1. POLICY DIFFERENCES WITH THE NETHERLANDS, THE SOLE SOURCE OF FINANCING FOR SINT MAARTEN!!!!!!!!!!
- ARE WE STILL PROUD OF THE GAMES WE PLAY WITH THE PEOPLE’S LIVELIHOOD??????
- THE NA/UP COALITION HAS TO OWN UP TO THIS DANGEROUS GAME OF BRINKMANSHIP AND STOP IT BEFORE IT IS TOO LATE.
19 Mar 2021
New York, March 19, 2021 — Moody’s Investors Service, (“Moody’s”) has today downgraded the Government of Sint Maarten’s issuer ratings to Ba2 from Baa3. Moody’s also changed the outlook to negative. This concludes the review for downgrade that commenced on 10 February 2021.
The key drivers behind the rating action were:
• Policy differences with the Netherlands, the sole source of financing for Sint Maarten
• Untested access to alternative sources of financing, which exacerbates the credit impact of the large increase in Sint Maarten’s debt burden
The negative outlook reflects the risk that political differences with the Netherlands may lead to a repeat of the funding problems Sint Maarten faced at the end of last year.
The local currency ceiling is lowered to Baa2 from A3 and the foreign currency ceiling is lowered to Baa3 from Baa1. The three notch gap between the local currency ceiling and the sovereign rating reflects the limited role of the government in the economy. The one notch difference between the foreign and local current ceilings reflects the limited scope to impose transfer and convertibility controls within Sint Marteen’s existing monetary union.
MP SARAH WESCOTT WILLIAMS …I could not agree more. Question is how long can we keep up this brinkmanship. I post the original Dutch post, because I like the expression “… laveert de St. Maartense regering behendig…”
But also “…terwijl er eigenlijk niks in staat…”