Sir Franklyn argued recently that "that Opposition supporters were almost willing it to happen (a Moody's downgrade) in the belief it would boost their party’s prospects in the upcoming general election."
But he suggests investors need to shake that off and take more risks.
Unfortunately his ties to the governing PLP are so strong, that he hopes to shift the blame for a weak investment climate and downright horrible economy onto investors.
Of course this appears to be typical PLP race baiting, but as a chartered accountant and an "economic visionary" surely Sir Franklyn understands the incentives necessary to encourage investment and likewise he knows the disincentives to investment.
And it's apparent the disincentives, created by bad government polices far out weigh any investors desire to take risks at this point in time.
So what are those "weights" you ask?
Here's a quick list of some of the harmful practices:
- The National Debt approaching $7 Billion
- Ever increasing tax burden
- Additional regulations
- Increasing government bureaucracy
- A civil service that seems to reward inertia
- Corruption – both in government and the private sector
- Failing educational system
- Declining rankings for the Ease of Doing Business?
Not to mention the anti business and anti profit sentiment and racial overtones.
All this, along with the threat of bank de-risking must raise the hair on potential investors necks.
To reiterate, incentives matter, and there is no doubt that negative incentives affect investor and citizen confidence.
Begin to turn some of these negatives around and maybe there will be renewed interest from investors.
Until then it appears a more rocky economic road lies ahead.
Mr. Wilson knows this to be sure. Regretfully his political allegiance won't allow him to encourage the government to take responsibility like leaders do and start to improve the business and investor environment.
I guess if the FNM were the government they’d be blaming the opposition PLP just the same?
