(Barbados Nation) The National Insurance Scheme (NIS) will continue to invest in Barbados, and Government is about to become a big client.
Prime Minister David Thompson said on Monday night during his 2009 Budgetary Proposals that the NIS would play a major role in Government’s capital projects programme.
Top of the list will be construction of two buildings at Warrens, St Michael, at a total cost of approximately Bds$105 million over two years, and providing almost 200 000 square feet of usable office space that the Government has agreed to rent on a long-term basis.
One building has already started and the documentation for the second is now complete, and the project ready to commence.
“The National Insurance Board has seized this current economic situation to position itself to improve the financial return it earns on the pension funds it manages on behalf of the people of Barbados,” Thompson said.
At the same time, Government will use this opportunity to provide improved accommodation for some of its employees whose work places leave much to be desired.”
According to the PM, the NIS is also nearing the point when it will be ready to commence construction on a third office building, also for lease to Government, but this time to accommodate the operations of the Caribbean Examinations Council.
“By making these investments, the NIS will also be increasing the return it makes on its money since the returns on real estate are typically better than on long-term Government bonds or bonds of equivalent rating or on deposits held in the commercial banks, trust companies and mortgage houses,” Thompson told the Lower House.
He said the capital works programme would provide capital spending in the economy outside of Central Government spending of approximately Bds$100 million per year or nearly 1.5 per cent of Barbados’ gross domestic product, and go a long way towards restoring employment levels in the construction industry and the rest of the economy.
