By Andre Huie From WINN FM

St. Kitts and Nevis (WINN): During an IMF press conference recently, officials from the Western Hemisphere Department were quizzed by St Vincent and the Grenadines journalist Jerry George about the lack of adequate focus on the Caribbean and the impact of Venezuela’s Petro Caribe arrangement on Caribbean indebtedness.

“Your presentation simply mentions the Caribbean. I don’t understand what that means, I don’t understand what the state of play is in the Caribbean, because it really says nothing,” George said.

“Venezuela’s supposed assistance to the region, has greatly increased the national debts of the country…let’s take Petro Caribe for example, even though it is seen as loan that is extended, the truth is, the increase of the national debt is significant and the biggest problem in the region is that area of national debt and deficit budgets. How could I, when I leave here, say that I understand what is the true position of the Caribbean, particularly with respect to the financial institutions?”

“This is a vast discussion, so we can do it bilaterally,” Deputy Director, Western Hemisphere Department Adrienne Cheasty responded.

“One thing I should point out…is that there are two Caribbeans. There is the Tourism-dependent Caribbean and Commodity-Exporting Caribbean, and we do distinguish between those. However, I would say that the theme is the same for both of them this year, that growth, even though it’s higher in Community-Export it’s still disappointing. So it’s up, but it’s disappointing, in both. It’s a unified message. In both Caribbeans we’re worried about debt, in both Caribbeans they’re exposed to Petro Caribe. However, the small tourist-dependent countries in a funny way are better off because they came late to Petro Caribe, so they are less vulnerable than some of the other countries to…any potential withdrawal of Petro Caribe financing.”

The IMF is addressing the threat of a potential pull-out of Petro Caribe financing on the Caribbean.

For more on this story go to: http://www.winnfm.com/news/local/8018-imf-comments-on-risk-to-caribbean-of-potential-petro-caribe-pullout#sthash.luBvWHym.dpuf