Barbados government faces additional $100 million debt

BRIDGETOWN, Barbados: The Barbados government is currently facing over $100 million more in debt repayment than that accumulated in the previous year.

Prime Minister David Thompson made the revelation, explaining that this is due in part to new debt raised during the year and the repayment of approximately $27 million for the new prisons at Dodds.

The Barbados Advocate reported that the Prime Minister said that his administration was also facing an increase in interest payments in 2008 to 2009 of $38.4 million due to new loans as well as an increase in amortization by $12.5 million over the level of 2007-2008.

Barbados Prime Minister David Thompson

Thompson told his constituents that his government had to honour $8.1 million to assist the Ministry of Public Works in preparing the roads for the project undertaken by private construct on companies, to continue the Ministry's road maintenance re-sealing and overlay programme, and to pay consultants for the geological study and hazard assessment of Arch Cot Terrance the wider Brittons Hill area.

Further, he said that the government was saddled with an additional $17.4 million for the Ministry of Health to cover costs which arose from High Court suits with respect to the St Joseph Hospital and an additional $12.2 million for the Drug Service.

He also mentioned that $26.5 million had been allocated to the Barbados Defence Force and $8.1 million to the Queen Elizabeth Hospital to assist with operation and referred to $27.8 million and $41.5 million allocated to the Transport Board and the University of the West Indies respectively.