Bowe calls for debt management and repayment strategy 

Bowe calls for debt management and repayment strategy 
Gowon Bowe.

NASSAU, BAHAMAS — Gowon Bowe, the Fidelity Group’s chief executive officer yesterday urged the government to implement a debt management and repayment strategy as debt projections soar to $9.5 billion.

Bowe stressed the issue needs “significant attention”, not panic notwithstanding the ‘daunting’ figure.

“The 9.5 billion which is projected should give pause for the policy makers and society to say we need to be devising an actual debt management and repayment strategy which can show how we plan on being able to reduce that amount,” Bowe said.

“Unfortunately all of the conversation has been around what the debt-to-GDP and deficit-to-GDP number will be. We need to look at the $9.5 billion in terms of the size of our economy and our revenue intake.”

He continued: “Government revenue is only $2.5 billion in peak times and now they are only looking at $1.7 billion in revenue given the economic fall-out from COVID-19.

“This is not about creating panic but we it is a tremendously large number and requires significant attention as well as careful and deliberate planning and execution. We need to look at how we extend and restructure terms, devise a repayment strategy and articulate that plan.”

Bowe said: “Similar to a person paying their mortgage to keep the roof over their head, the government must do what it has to do to effectively keep the roof over the country’s head. There are tough decisions to be made.

“Whether the government grows the economy, raises taxes or reduces expenditure; none of those are easy tasks in this economic climate.”

He added: “We need however to set out a plan that is economically sound and though it may not be politically popular it will be good for the investors domestic and foreign.”