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Music

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Lifestyle

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Health

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Technology

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Movies

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Music

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Drama

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Lifestyle

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St Lucians duped about landmark XCD 3.5 billion tourism revenue

Arrogance or stupidity? Moreover, when one cannot believe or trust communication or information from a minister of government, it is well established that “unfamiliar motives” are apparent.

“If you can’t convince them, confuse them.” Harry S. Truman, 33rd President of the USA.

By Caribbean News Global

CASTRIES, St Lucia, (CNG Business) – In the interest of currently described so-called “fake news” and “misinformation” and the inability of the Government of Saint Lucia (GOSL) and the ministry of tourism to data provisions, within an established tourism information database, or otherwise, to ascertain the true reflection of the industry, is evasive at the very least, to the mere acceptance of utterances. It, therefore, prompts the question in the light of accountability: True or false?

“Tourism activity in most countries of the ECCU has returned to pre-covid levels,” per the budget address 2025/26. “The current imposition of tariffs by the US on goods from its traditional trading partners and their retaliatory response will reduce global economic growth, which may have adverse consequences for our tourism industry.” (Supply-chain issues, food prices and inflation).

Tourism is Saint Lucia’s main source of jobs and income – accounting for 65 percent of GDP and the island’s main source of foreign exchange earnings. The US is the leading source market to which, the domestic political ethos previously forecasted that tourism would not rebound, post-COVID.

Saint Lucia’s tourism-dependent economy has normalised after the pandemic the IMF executive board 2024 Article IV Consultation published March 13, 2025, said:

“The current account deficit narrowed to 1.9 percent of GDP in 2023 with the rebound in tourism, even as the fiscal deficit widened to 2.6 percent of GDP and debt ticked up to 74.5 percent of GDP.

“The deficit excluding natural disasters costs is forecast to narrow to 1.3 percent of GDP in FY2024 but widen thereafter to 2.2 – 2.9 percent of GDP on the back of higher capital expenditures. Debt is projected to stabilize around 74 percent of GDP, well above the regional debt ceiling of 60 percent of GDP. The current account deficit is anticipated to narrow further over the medium term on account of stronger tourism and lower fuel prices.

“Risks to the outlook are tilted to the downside and include investment delays and large debt rollover needs. Saint Lucia is vulnerable to a global slowdown and supply disruptions, as well as natural disasters and climate change. On the upside, stronger-than-expected growth in tourism and construction could provide a positive boost to the economy.” ~ IMF.

The declaration that Saint Lucia achieved a ‘landmark XCD 3.5 billion in revenue last year, despite operating with 500 fewer hotel rooms’; the withdrawal of at least one local news story on the subject matter, and the indifference of the liberal political class to journalist and local media not parroting the political narratives as newsworthy, has become more relevant to restate and scrutinise.

“The total value of visitor arrivals reached XCD 3.5 billion, despite 500 less rooms, we were still able to have a record-breaking year in terms of arrivals,” the GOSL announced.

Arrogance or stupidity? Moreover, when one cannot believe or trust communication or information from a minister of government, it is well established that “unfamiliar motives” are apparent.

Minister for Tourism, Investment, Creative Industries, Culture and Information, Dr Ernest Hilaire [ Photo Credit: https://www.facebook.com/ernesthilaireslu]

The vagaries and assumptions are not unintended by liberalizers, and the need for a political narrative to mask uncertainty that accounts for in an industry where the vast majority of the gross revenue is not dispersed in Saint Lucia, beyond operational expenditures and taxes collected by the government, statistics and modules can be easily formulated.

Did St Lucia’s tourism sector achieve ‘landmark XCD 3.5 billion in revenue last year’ – true or false? Was it tax revenue collected from tourism? If so, what does it mean? What’s behind the numbers?

“The tourism industry remains the country’s major economic driver. The increase in stay-over visitor arrivals and visitor expenditure (XCD 3.6 billion), was equivalent to 51.8 percent of GDP. Spending on accommodation accounted for the largest share of visitor spending at 63.7 percent. Food and beverage expenses were 16.5 percent of total spending while hotel activities, tours and excursions accounted for 12 percent. US visitors and UK visitors contributed 56.7 percent and 22.8 percent respectively to visitor expenditure,” says the budget data, 2025/26.

The government and appropriate authorities have seemingly allowed the said XCD 3.5 billion – a buoyant number to infiltrate the lesser comprehension and stalled the attempt to explain the external distribution and revenue sectors of the XCD 3.5 billion, as well as the domestic and sectorial revenue distribution. And by any chance, to collaborate their findings with the practical effect on tourism providers. Moreover, separating the real beneficiaries from the spectators, chumming at trickle-down economic dependency.

Tough times create strong people

Progressively, the Saint Lucia Tourism Authority is said to have developed a global strategic marketing plan that has taken into consideration the uncertainty of the global economy.

“The Plan will leverage digital platforms, influencer collaborations, and targeted campaigns to showcase the island’s beauty and culture while promoting sustainable tourism practices” … “one of the goals of this government is to provide assistance to small and medium-sized enterprises (SMSEs) to take advantage of the opportunities the industry present.”~ Budget address 2025/26.

Safeguarding the tourism space to support local enterprises is paramount. Saint Lucia’s high tourism dependence requires practical policies, sustained fiscal consolidation and tailored reforms to reduce debt, increase productivity, and boost potential growth. Service efficiency requires mark improvements.

Where is the economic opportunity?

The GOSL says it, “expects that private sector investments, particularly in the housing and tourism sectors, will proceed at a rapid pace.”

The qualifier stems from the conclusion that, “ 2024 was the best year for stayover arrivals in the history of Saint Lucia. Total visitor arrivals grew by 16 percent to 1.2 million visitors. There was a 17.5 percent increase in visitor spending which was XCD 3.6 billion. The food and accommodation sector contributed 20.8 percent of real GDP in 2024. Increased airlift, targeted marketing campaigns and the hosting of major events increased the number of visitors to the island.

” It has been the government’s policy to ensure that information regarding the public debt is available for scrutiny and public comment,” says prime minister and minister for finance, Pierre. “In this regard, we have the following documents ready for public dissemination: the debt bulletin, comprising of debt portfolio review and the Medium-term Debt Strategy. The debt-to-GDP as of 2024 was 73.5 percent totaling XCD 5.1 billion. External debt accounted for 61.5 percent while the balance, domestic debt, accounted for 38.5 percent.” ~ Budget Address 2025/26.

ECLAC downwardly revises growth projections for Latin America and the Caribbean in 2025 – Saint Lucia – Estimate 2024: 3.7 % Forecast 2025 (Revised April) 2.0 %

A regional tourism consultant on request for comment from CNG, said:

“The 2025/26 budget is dead…hardship ahead! While XCD 3.5 billion utterances are brandished and the lowest unemployment rate of 10.8 percent nationally, [yet] signs of a tougher environment are showing.”

Saint Lucia Tourism Authority (SLTA),  CEO, Louis Lewis

Unpacking the tourism numbers and the industry impact, Saint Lucia Tourism Authority (SLTA), CEO, Louis Lewis, per a St Lucia Times article titled – Tourism Authority stands by figures, explained:

“We have actually moved to face-to-face surveys, so that criticism would have been dated and even beyond that, I am not confident that the change in the methodology of capturing data would have yielded any better results. The very CARTAC report cited that in 2019, visitor expenditure was estimated at US$ 2,354 by the SLTB and US$ 1,455 by its assessment. It also shows that in 2021 and 2022, the SLTB underestimated visitor spend by 15 percent and five percent, respectively. So what does that say about the methodology? But having said so, we have actually done that to ensure that we get as best as possible what we need,” he said.

“We have every confidence that the estimates that we put out — and I want to stress and emphasise that they are estimates — that they are accurate, notwithstanding the recognition for ways in which it can be improved. … These are estimates, and they give you a perspective on the direction in which visitor expenditure is taking place. More than that, whenever we are putting out data with regard to estimates, we do a triangulatory verification.”

To quell the inaccuracies and substantiate indifference, it would be best to do it with figures. Let’s see the data!

@GlobalCaribbean  

The post St Lucians duped about landmark XCD 3.5 billion tourism revenue appeared first on Caribbean News Global.

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