Jamaican Greed - scams, scandals, scoundrels and suckers.

---

I decided to open this section with a couple of quotes to make people aware of the gross double standards and illustrate what the people are up against. This section highlights why the people should take immediate action; it should be a denouement to the downfall of the parliamentarians and the end of governance for the 1%. Quite frankly, the people are continuously lied to and are aided by a complicit media.  

The tweet below is what he told the people:

The measure of a good government is how they protect and actively empower the weakest and most dispossessed in the society. The measure of a good government frugality and careful management of the peoples' money and income to protect from inflation and unnecessary taxes. 

Cannot argue with that logic. He also informed the world, quote: "Fiscal discipline is now a part of the DNA of the Government." Really? Both statements need to be examined. 

He brags about debt reduction (i.e. austerity measures) but his government has borrowed at least US$2.5 billion which appears to have fallen into a black hole. Borrowing is not a problem if you know that you can service the debt. If the loan period is 20 years how will we repay US$125m plus interest every year? Will the US$2.5 billion be used to create wealth for the island and generate US$125m annually to service repayments? History tells us NO! Hence we will remain under severe austerity for the foreseeable future. 

So our debt is increasing and the people have no idea what has happened to the US$2.5b. Is it part of the US$3b reserves sitting in the Bank of Jamaica that he and the minister of finance are so in love with?

He could invest some of the billions in a renewable energy industry that could pay for itself. However, Mr Fiscal Discipline et al plan for private ownership of the renewable energy industry, for the rich to profit from being rich and make money from our natural resources. The payback period for a solar investment is around 4 years, so remarkable returns are possible but the Jamaican people should not benefit from free solar radiation. Every solar panel, wind turbine and waste-to-energy plant must be owned by a foreigner and Jamaica must remain dependent. These are shared policies, both parties want private ownership and the people are oblivious that they are being sold out. 

US$150 million lost every year

In 2015 the country's electricity bill was US$118m and that excluded secondary and tertiary educational institutions. If we include those institutions the average annual bill is around US$150m then 4×150m = US$600m is needed to take public infrastructure off the grid. That sounds like a lot of money but the JLP has borrowed almost US$2b from the gangster trio, namely the IMF, World Bank and the IDB whose mandates state that they lend to eradicate poverty.

So around US$600m is needed to solar power primary schools, streetlights and public infrastructure. If US$1b was borrowed from the IMF (the extra $400m infrastructure improvements, waste-to-energy plants and contingencies) over the same 20 year loan period the repayments would be US$50m plus interest.

Let me repeat that, the repayments would be US$52.5m after the 3 year grace period. 

If we include all educational institutions, we are currently paying JPS around US$150m. 

So here are the choices that the JLP and PNP governments had years ago (as far back as 2009 waste-to-energy was discussed and it was estimated back then that it could generate 18% of our electricity and annual savings of US$60m were possible):

Today, the government has 3 options to implement state investment: 

1. Borrow;

2. Use the aforementioned US$2.5b or 

3. Access the US$3b reserves.

All 3 are good but I prefer 2 or 3. In regards to option 3, the government and the IMF should explain why it is a good idea to have US$3 billion sitting around when it could be working for the people. I doubt that it is doing nothing in the Bank of Jamaica. Someone is getting interest on the people's cash money.

In regards to option 2, in 2016 US$1.64b was borrowed from the IMF to quote, "support the country's ongoing reform program to tackle poverty, create jobs, and improve living standards." Let me repeat that: "to support the country's ongoing reform program to tackle poverty, create jobs, and improve living standards." So state investment in renewables would have been perfect. I would like to know how the people's US$1.64b was used. 

The following year they were broke so they borrowed US$70m from the World Bandit to "spur growth and development"? Well, state investment in renewables would have been a perfect spur! 

What happened to that money? How will the IMF and World Bank be repaid a total of US$1.71b; that is US$85.5 million annual repayments plus interest over 20 years? It is being repaid with further austerity measures. But to make matters worse the IMF said we have access to US$1.2 billion. The money is available for investment in renewables and education but Holness chooses to perpetuate poverty and boast about prosperity. It is prosperity for the few.

 So this is how the people's money is managed. Waste, mismanagement and austerity are constituents of our fiscal discipline. It is the polar opposite to what the PM tweeted: 

The measure of a good government is how they protect and actively empower the weakest and most dispossessed in the society. The measure of a good government frugality and careful management of the peoples' money and income to protect from inflation and unnecessary taxes. 

Wow. Says it all really........

So let's look at an example of his "frugality and careful management of the peoples' cash".

When it comes to hypocrisy, the PM is a major player. Check his twitter account @AndrewHolnessJM. Here he is telling everyone about the importance of education, quote: "Education is like a vaccine, everybody must have it!" He means everybody must be able to read and write.

In 2017, the aforementioned minister of education said the following: "We are just at that point where we are able to provide quality education from early childhood to primary, so that every student will be able to go on to secondary and every student will be able to go up to grade 13, so you will leave with the minimum of an associate degree. That is the kind of education system that we are building." Wow! What BS! A call centre executive lamented that our school leavers are too dunce to work in call centres! Associate degree? Sorry, but "...the kind of education system that we are building" is now geared up to churn out workers for call centres.

One of the very few true statements made by the PM was his admittance to underfunding education: "We acknowledge that what the government gives to the education system... certainly to the traditional high schools... is not enough." Yes, you admit this but continue to divert public funds into JPS shareholders' pockets whilst telling us “Public resources must be used to improve the life chances equally for every single Jamaican, and give every single Jamaican the type of education that allows them to fulfil their goals.” 

But then, whilst trying to shift blame to the education sector he inferred that education is properly funded: "Holness said there must be value for money for government expenditure in the sector, citing many schools were struggling. He said that high standards must be maintained, instead of what was an acceptance of compromise." "...an acceptance of compromise"? The only "acceptance of compromise" is by the Jamaican people towards parliamentarians. ".....high standards must be maintained.."? High standards?!? That statement is further proof of delusion. Only 41 schools had 50% or more of their students attain 5 or more CSEC subjects including English and/or Mathematics. And only 70 schools above 20%. The facts are the vast majority of schools function as day care and Holness is getting just reward on poor investment.

His answer to the crisis is to build 6 STEM schools. So, instead of laying a foundation by investing in early education he wants to build on quicksand. So children are going to magically improve to attend these institutions and we are going to recruit from the worldwide shortage of STEM teachers. But none of this is challenged. Lucrative building contracts will be awarded with the endgame of more money wasted and misappropriated. The president of the Jamaica's Teachers Association has my proposals but he appears to have his own agenda. Improving education certainly is not on his to do list.

We're in trouble. I had to include this story so that you can see the origins of the government's targeted 5% growth and the improvement of the country. Look at the list above. If you exclude the logistics hub what are you left with? The logistics hub requires billions of USD so it is outside the control of the government. So, with the left overs how many of the working class would move to middle class? How many will leave poverty behind?

When you see 'medical tourism' as a revenue stream for growth in a country like Jamaica you know the people are in trouble. You know that those at the helm are clutching at straws. Can you honestly see any growth?   

The logistics hub initiative: I became aware of this when I read the story. I assumed it was to do with the Chinese having plans for Goat Island. According to the politicians, "The initiative will provide a myriad of opportunities for global and domestic commercial and industry interests." Of the 'several cornerstone projects, which represent investment opportunities...' are the aerotropolis and Jamaica Railway (http://www.jamaicatradeandinvest.org/sites/default/files/investment_projects/Global_Logistics_Hub_Jamaica_Government_Project.pdf ). So we're talking about a billions of USD in foreign investment. Not millions but billions. Sorry, but I have to look at our history. I hope I am wrong but all I can see is a nice fat juicy carrot - jobs and therefore hope. 

Carrots attract poor people, they need work. They move to an area hoping that the project will materialise. They have to live somewhere so they 'capture' land - knock together a home on or near the proposed site hoping to profit when the government moves them. Either monetarily or by relocation to a proper house. Next thing you know you have a community with no infrastructure. They need water and electricity and they get them. These are not breeding grounds for hope. Communities materialised in Boscobel, the site of the Ian Fleming Airport and also along sections of Highway 2000. Anyway.....

The video on the ministry of industry website announces that Jamaica will be the fourth global logistics node. The fourth! So there are 3 nodes and we'll be the fourth. That claim I found somewhat unbelievable. I'd expect at least one on each continent. 

Well good luck Googling the phrase 'global logistics node'. From the CBRE website: "These hubs are connected via hub-and-spoke systems centered around 30 global logistics hubs—including the likes of Los Angeles, Chicago, Hong Kong, Tokyo, London and Paris—that form the backbone of today’s global supply chain." The writer later substituted 'global logistics hub' with 'global nodes'. Further reading: "However, as emerging markets grow and new centers of production materialize, 20 emerging markets are on the verge of becoming global logistics hubs over the next decade, including South Florida, Bajio, Busan, Suzhou, Berlin and Amsterdam." 

So there appears to be 30 nodes, not 3. 20 more are in the pipeline and South Florida, which is on our backdoor step is one of them. 

Medical tourism? Really? In a country with 33 working ambulances? What about your charges? How many hospitals were recently downgraded to clinics?

Ecotourism with such low investments in renewables? The only growth I can see is in the stakeholders bank accounts. 

Energy diversification in Jamaica benefits only the few. The price of electricity is governed by three major factors: the cost of fuel, the exchange rate and theft. All three are major problems for the supplier and that is reflected in the astronomical cost of electricity. It will never be affordable for most because the government's energy plans are heavily dependent on buying fossil fuels. I don't see how expensive energy can entice investment. 

The truth of the matter is Jamaica is a tiny island which receives enough sunshine to power it's needs 5 fold. Yet we're building a LNG powered energy station as China completes it's panda solar farm. A rich nation doesn't want to pay for fuel but poor Jamaica does? That is illogical. In this day and age 70% diversification to LNG is a disgrace. 

BPO - hahaha! Don't get me started!

International financial services - I have no idea. Is that scamming?

I think that Agro-parks are a good idea but we have serious issues to address before they can be successful. Our biggest problem is praedial larceny. I have witnessed Iceman the pineapple seller sleeping whilst vending in the market. He has to guard his field at night. This is commonplace. I have met many people who have lost crops and animals. My dad lost his field of yams. I had a buddy who inherited a nice piece of land. Someone suggested that she should farm it. She thought about it but didn't. She reasoned that after paying for seeds, labour and security she was not guaranteed to reap the crop. We have monumental problems if farmers think like her and many do. 

If devils are stealing entire crops then there has to be a marketplace. If they are stealing cows they can't eat the entire animal, there must be a marketplace. These devils can sell at half the market rate because after paying transportation costs for their nefarious activity every cent is profit. But how do you convince a mother who earns minimum wage not to buy as cheap as possible? By putting more money in her pocket? Then there is the poor victim - no money to send their children to school. And the consequence of that in the future?

We import too much but I assume that is partly due of globalisation. You would think that the weakness of our currency would make the prices out of reach. I'm not an economist so I assume our economic closeness to the US has significant impact. How do you create an environment where we stop importing cheaper food? I go to the market every week and it is awash with American produce. Many vendors go to the wharf and buy their onions, red peas (kidney beans), peppers, potatoes and other produce. In the US a supermarket was selling 8 plantains for 98 cents. On the streets of Montego Bay the standard price for a nice ripe plantain is $100. Plantains will soon be heading to our shores. Followed by ........

Returns on farming can be poor - coffee growers were on the news demanding better prices. I thought that they were doing okay based on the price of coffee on the supermarket shelves, US$6 for a 100 gram jar of instant. Their spokesman said some were prepared to leave the coffee to rot because they were making losses.

Prices in the market can fluctuate tremendously. They can double in a week and that is not an exaggeration. Sometimes the price hikes are understandable - scarcity due to pests, flooding or drought. After the recent flooding tomatoes moved from $50 to over $200 per pound. Last month I was buying pineapple at $50 and now it is $100 and this due to a glut in the market. And boy didn't Iceman lament when it was $50. 

I think that we need to look at our farming from the ground level. Could cooperatives work? Some work the fields and some act as security? Coordination to keep prices stable? We need to find a way of sellers proving that their sources are legitimate. Much easier said than done. Would a more educated and fairer Jamaica have these issues in such magnitude?

Prayer isn't working and neither are government policies. We are a farming nation and a man must be able to reap what he sows. He could when I was a child but not now.