Kingstown St. Vincent May 12,2026-Chartered Certified Accountant Kirk Da Silva has expressed support for the establishment of a National Development Bank and the introduction of a Citizenship by Investment (CBI) programme in Saint Vincent and the Grenadines, while also questioning aspects of the government’s wider fiscal strategy.
Da Silva made the comments during WE FM’s Voices programme as he responded to the recent 2026 IMF Article IV Mission to Saint Vincent and the Grenadines and ongoing discussions surrounding economic policy and private sector development.
He said he supported both initiatives “up front” but stressed that their success would depend heavily on implementation, governance and proper management.
Referring to past policy recommendations by the International Monetary Fund, Da Silva said smaller Caribbean economies had often been encouraged to reduce the size of the public service, cut labour costs and pursue austerity-driven measures.
According to him, many of those approaches have since been criticised by academics and economists.
Turning to the proposed National Development Bank, Da Silva said development banks have become increasingly important internationally since the global financial crisis of 2007- 2008.
He argued that commercial banks in St Vincent and the Grenadines often lend conservatively during difficult economic periods, limiting access to financing for small businesses.
Da Silva described local commercial banks as “pro-cyclical”, saying they tend to lend more freely when economic conditions are strong but tighten lending when economies slow down.
He said this creates challenges for entrepreneurs and small businesses seeking capital to expand operations or invest.
Pointing to the performance of the National Commercial Bank SVG Ltd., Da Silva noted that the institution recorded significant profits in recent years, including approximately EC$38 million last year.
While acknowledging that some of the profits may have resulted from investment activity, he questioned whether banks could do more to lower interest rates and reduce charges for businesses.
“I think a serious question ought to be, can we do better with our interest rates? Can we do better with charges to help small businesses in Saint Vincent and the Grenadines?” he said.
However, Da Silva cautioned that a National Development Bank would need strong governance structures and adequate capitalisation to be effective.
He described the EC$500,000 capital injection referenced in the national budget as “extremely minimal”, adding that careful planning would be required if the institution is to play a meaningful role in economic development.
On the issue of Citizenship by Investment, Da Silva said St Vincent and the Grenadines had already lost opportunities by delaying the introduction of such a programme while other Caribbean territories benefited economically.
Still, he said the country should now move forward with a CBI programme, once proper due diligence systems and governance safeguards are in place.
“But should we do it? I say yes,” Da Silva stated
Despite backing both proposals, Da Silva questioned whether the government’s broader fiscal approach aligns with its stated goal of expanding the private sector.
He argued that governments typically achieve surplus budgets either by increasing taxes or reducing expenditure, including capital and recurrent spending.
Da Silva suggested that such measures could potentially slow economic activity and conflict with efforts to stimulate private sector growth.