Dominica’s Fortunes Dropped by $400 Million from 2018-2020 – Thomson Fontaine

Former IMF official and economist, Dr. Thomson Fontaine, has revealed that Dominica’s fortunes declined by $300-$400 million from 2018-2020. He said the country’s wealth had been dwindling consistently before the advent of the COVID-19 pandemic and that this is responsible for the country’s economic woes.

Fontaine also noted that 27.4% of the country’s GDP was collected as tax revenues in 2018, but this dropped to 23.2% in 2019 and declined further by 21.9% in 2020. He stated that Dominica generates huge revenue through the CBI programme, but this has not helped to bail out the country from poverty and stagnation.

The economist revealed that IMF top brass would be eager to know the ins-and-outs of the CBI revenue stowed away in the government’s special escrow account. He explained that given his stint at the IMF, he has access to economic data that suggests Dominica’s economy is in doldrums. According to him, the poor are getting poorer and the middle class are not better off in any way.

Fontaine lamented that even though the DLP administration is cashing in heavily on revenues from the CBI programme, most of the fund is paid out to foreign construction companies for housing projects that do not translate to improved economic conditions for Dominicans. He added that if the acceleration given to housing projects in Dominica is extended to job creation, poverty levels will drop significantly and standards of living will improve greatly.

He therefore called on the PM Roosevelt Skerrit administration to channel CBI funds rightly for the overall good of the common man on the streets. He said Dominica has huge economic potentials as has been recorded in the tourism sector, but more needs to be done by way of economic transparency and appropriation.

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