Friday, August 25, 2006

ROSEAU, Dominica: The number of persons in Dominica living in poverty has fallen, according to a World Bank report.

The report entitled Towards a New Agenda for Growth, Organization of Eastern Caribbean States says that the percentage of the Dominican population living in poverty is now 33% as compared to a figure of 39% in the last Country Poverty Assessment conducted in 2002.

Although the percentage of the population living in poverty in Dominica is high, Dominica is not the worst in the Eastern Caribbean Region according to the World Bank report. In St Vincent and the Grenadines the percentage of the population living in poverty is 38%. The figure for Grenada is 32% and St. Kitts and Nevis is 31%.

To deal with the issue of poverty in Dominica the Skerrit Administration has reportedly adopted “pro-poor policies”. Through the Basic Needs Trust Fund and the Social Protection Programme, the Government has attempted to soften the effects of the decline in banana production and the effects of globalisation generally on the poor by providing basic economic and social infrastructure and much needed employment and income.

The Basic Needs Trust Fund is funded by the Caribbean Development Bank, the Canadian International Development Agency (CIDA) and the Government of Dominica. The Social Protection Programme is funded by the European Union.

Within the next few months, the Dominican government will launch the Social Investment Fund. Funded by the European Union at a cost of $14.5 million, the DSIF will complement other social development initiatives geared at social services and infrastructural provisions, short-term employment and poverty reduction.

Over 400 persons have reportedly accessed the European Union-funded Enterprise Development Facility. According to the government, this facility has allowed many persons to start their own businesses. The Dominica Youth Business Trust has also opened new avenues for employment for young persons.

The Government has provided support to the banana industry through the Dominica Banana Producers Limited because, it says, it recognises the importance of the banana industry to the Dominican economy.

The Government has also invested in education in an effort to lift people out of poverty. In its pursuit of fulfilling its dream of having one university graduate in every household by 2015, the Government in 2006 will send an additional 150 young persons on scholarships overseas, in addition to the 109 sent in the last academic year. It is recognised that university graduates have a better chance of finding a job and usually attract higher salaries than non-graduates.

The $29.4 million from the Government of Venezuela, secured by Prime Minister Roosevelt Skerrit for housing development in Dominica is expected to tackle the deep-seated housing needs of many low-income persons in Dominica.

This cash injection from Venezuela for housing is expected to complement the Special Mortgage Programme, which is a component of the Shelter Development Project. Through the SMP, a single person earning $1,000 per month or a couple earning $1,500 per month can apply for loans for home construction and repairs. The SMP is a credit facility funded by the Caribbean Development Bank and administered by the AID Bank.

In addition, Government’s Squatter Regularization Programme has allowed over 120 families so far to purchase land at only $1 per square foot.

In 2004, the Government embarked upon the preparation of a Growth and Social Protection Strategy. The GSPS, which was finalised earlier this year articulates a medium-term strategy for growth and poverty reduction over the next five years.

The GSPS seeks to foster growth in the economy by building on four pillars, one of which is employing strategies for poverty reduction and social protection.

It is hoped that these policy interventions by the Government will result in a marked reduction in the number of Dominicans living in poverty in the coming years.

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