A new Regional Partnership Strategy (RPS) covering the period FY15-19 was launched in November 2014 and focuses on creating the conditions for sustainable and inclusive growth in Antigua and Barbuda, Dominica, Grenada, St Kitts and Nevis, St Lucia and St Vincent and the Grenadines.
The RPS is anchored on the Comprehensive Debt Framework (CDF). This framework acknowledges the multifaceted nature of the OECS challenges and aims at helping governments in the design of country specific solutions to their high indebtedness. The CDF focuses on the interrelated areas of improvements in competitiveness, reduction in sovereign debt levels, fiscal adjustments to ensure macro sustainability, and enhanced resilience to shocks are interrelated aspects. OECS governments have embraced the CDF framework and used it in framing their own reform strategies and priorities.
The strategy also takes into account feedback received during consultations with Governments, representatives of the private sector and civil society organizations, and bilateral and multilateral partners.
The objective is to contribute to laying the foundations for sustainable inclusive growth through three areas of engagement: (i) competitiveness, (ii) public sector modernization, and (iii) resilience.
Constrained in general by the small size of investments in the OECS, the IFC and MIGA will contribute to the RPS objectives through selective investment support, depending on opportunities. The IFC will focus on crisis response; job creation and inclusive growth; innovation, competitiveness, and integration; and climate change.
The indicative IBRD lending program for the six OECS countries is expected to be around US$120 million, comprising up to a maximum of US$20 million for each OECS country for the period of the RPS (FY15-19). In addition to the IBRD envelope, four OECS countries (Dominica, Grenada, St. Lucia, and St. Vincent and the Grenadines) can also count on an IDA national allocation and can leverage additional regional IDA resources, consistent with the IDA regional allocation criteria. The IDA17 (FY15-17) allocation for the OECS is equal to SDR 61.3 million. Currently, there are no active lending operations in St. Kitts and Nevis.
The six OECS countries are part of the Caribbean Growth Forum (CGF), which is a multi-stakeholder initiative with the aim to identify, prioritize and implement a set of reforms and measures for unlocking growth in the Caribbean and promoting participatory public policy making. The CGF is led by the World Bank, the Inter-American Development Bank, and the Caribbean Development Bank, in collaboration with the United Kingdom Agency for International Development and the Canadian International Development Agency.
Last Updated: Oct 07, 2014