Beautiful Virgin Islands

Tuesday, Jun 24, 2025

Premier does not regret rejecting UK’s $426M loan guarantee offer

Premier does not regret rejecting UK’s $426M loan guarantee offer

Premier Andrew Fahie said his government does not regret declining the $426 million loan guarantee from the United Kingdom government back in 2019 given the current state of the world’s economy.

The Premier referenced an article written by the British media house BBC, stating the rise in inflation has caused the UK’s government interest payment on public debt to be increased by £1.6 billion or 36 percent in comparison to last year.

Fahie said forces here in the Virgin Islands and abroad tried to pressure his government in signing the loan guarantee regardless of the terms and conditions. However, he said the size of the package and projects were beyond what he considered prudent, given the dynamics of the ratios outlined in the protocols for effect finance management.

“Some of the terms and conditions needed adjusting and we proposed a more manageable number of projects for less money with more favourable terms,” Fahie said.

The Premier, who is also the Minister of Finance, said up until recently, persons were still saying that the government should have taken the money and he said he still stands by his decision.

“When you look at what is happening with other economies, and with the global developments and this includes developments that were not foreseen at the time such as COVID-19 and now the war that is unfolding in Europe — which is already having a global economic impact such as rise in oil and natural gas prices — which have the potential to disrupt global trade and also the climatic risk in this region.”

“I am sure you would agree that your government’s position on the loan guarantee was wise. Could you imagine if we had leveraged these Virgin Islands and then with the sudden and unforeseen spikes in the global economy, we had exceeded the ratios and protocols for effective financial management and the terms we had concerns about engaged?” the Premier questioned.

Fahie said the outcome would have several financial ramifications on the territory and its efforts to properly manage its own funds.

“If we had been short-sighted and hasty as those persons who were pushing us to agree, the Virgin Islands people would possibly have lost their hard-fought right to manage their own finances. With the guidance of God, your government has been making the correct decision to protect the Virgin Islands. Your government has been prudent, and your government has been responsible, and we continue to be and the record bears this out. Please. Don’t mistake the absence of noise for the lack of activity,” the Minister of Finance said.

Earlier this month, Opposition legislator Julian Fraser said the Fahie-led administration made a gamble when they refused the loan guarantee from the UK when it entered office, just a year removed from hurricanes Maria and Irma.

According to the Third District Representative, the decision to forego the offer from the UK government may have backfired given the unanticipated blow taken by the BVI’s economy because of COVID-19.

The legislator expressed that the administration, led by Premier Andrew Fahie, could have later accepted the UK’s offer and avoided embarrassment, but declined to do so.

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
Macron and Merz: Europe must arm itself in an unstable world
Germany and Italy Under Pressure to Repatriate $245bn of Gold from US Vaults
Airlines Evaluate Flight Cancellations Amid Escalating US-Iran Tensions
Starmer Invites Innovators to Join Government Talent Scheme
UK Economy’s Strong Opening Quarter Shows Signs of Cooling
Harrods Seeks Court Order to Secure Al Fayed Estate for Victims
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
Labubu Doll Drives Pop Mart to Status as China’s Most Valuable Toy Maker
Global Coal Demand Defies Paris Accord Goals
We have new information and breaking details to share about what is shaping up to be a historic air campaign tonight
Six Massive Bombs Dropped on Fordow; Trump: 'A Historic Moment for the U.S., Israel, and the World'
Fordow: Deeply Buried Iranian Enrichment Site in U.S.–Israel Crosshairs
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Pakistan to nominate Trump for Nobel Peace Prize.
BBC Demands Perplexity AI Immediately Stop Using Its Content
Telegram Founder: I Will Leave My Fortune to Over 100 of My Children
Political Turmoil Resurfaces in Belgium Amid Economic Concerns
Fed policymakers divided on timing of interest rate cuts
Trump signals imminent agreement with Harvard University
Inheritance tax referendum alarms Swiss billionaire community
Japan cancels bilateral security meeting amid US defence demands
AI skeptic Emily Bender warns that ‘the emperor has no clothes’
Israel Confirms Assassination of Quds Force Commander in Tehran
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
FBI and Senate Investigate Allegations of Chinese Plot to Influence the 2020 Election in Biden’s Favor Using Fake U.S. Driver’s Licenses
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
Plans to Sell Dutch Embassy in Bangkok Face Local Opposition
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump's $5 Million 'Trump Card' Visa Program Draws Nearly 70,000 Applicants
DGCA Finds No Major Safety Concerns in Air India's Boeing 787 Fleet
Airlines Reroute Flights Amid Expanding Middle East Conflict Zones
Elon Musk's xAI Seeks $9.3 Billion in Funding Amid AI Expansion
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Taiwan Imposes Export Ban on Chips to Huawei and SMIC
Israel has just announced plans to strike Tehran again, and in response, Trump has urged people to evacuate
Netanyahu Signals Potential Regime Change in Iran
Juncker Criticizes EU Inaction on Trump Tariffs
EU Proposes Ban on New Russian Gas Contracts
×