Barbados Country Assessment of Living Conditions 2010 Volume 2: A Macroeconomic and Social Assessment of Barbados: 1995-2010 Submitted to the Government of Barbados, National Assessment Team (NAT) and The Caribbean Development Bank (CDB) on behalf of the Team of Consultants (TOC)
Sir Arthur Lewis Institute of Social and Economic Studies (SALISES) University of the West Indies Cave Hill Campus, Barbados July 2012 i
Barbados Macroeconomic and Social Assessment 2010
ACKNOWLEDGEMENTS The research assistance provided by Annette Greene, Alice Walters and Doris Downes is greatly appreciated. The comments provided by Dr Janice Cumberbatch, Colin Williams and the staff of the Caribbean Development Bank and the Ministry of Social Care, the National Assessment Team (NAT), the steering committee, the various Ministries and the general public at the various consultations were taken on board.
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Barbados Macroeconomic and Social Assessment 2010
Barbados Country Assessment of Living Conditions 2010: A Macroeconomic and Social Assessment of Barbados: 1995-2010 TABLE OF CONTENTS 1.
Introduction ............................................................................................................................... 1
2.
Development Strategies and Policies .......................................................................................... 3
3.
4.
5.
6.
2.1.
Development Strategies ........................................................................................................................ 3
2.2.
Policy Framework ................................................................................................................................ 5
Growth Performance and Structural Change ............................................................................... 8 3.1.
Growth Performance ............................................................................................................................ 8
3.2.
Structural Change ................................................................................................................................. 9
3.2.1
Agriculture and Fisheries .............................................................................................................. 9
3.2.2
Manufacturing ............................................................................................................................ 10
3.2.3
Tourism ...................................................................................................................................... 11
3.2.4
International Financial and Business Services ............................................................................. 12
Macroeconomic Environment .................................................................................................. 14 4.1.
Balance of Payments .......................................................................................................................... 14
4.2.
Fiscal Balance .................................................................................................................................... 14
Labour Market Dynamics ......................................................................................................... 16 5.1.
Labour Supply .................................................................................................................................... 16
5.2.
Employment ....................................................................................................................................... 18
5.3.
Unemployment ................................................................................................................................... 21
Social Sector Developments ..................................................................................................... 23 6.1.
Education Sector ................................................................................................................................ 23
6.1.1
A Historical Overview of Education in Barbados ........................................................................ 24
6.1.2
Expenditure on Education and Supporting Infrastructure ............................................................. 25
6.1.3
Physical Infrastructure ................................................................................................................ 26
6.1.4
Human Resources ....................................................................................................................... 27
6.1.5
School Curriculum and Enrolment .............................................................................................. 29
6.1.6
Output of the Education System .................................................................................................. 37
6.2.
Health Conditions ............................................................................................................................... 42
6.2.1
Objectives of the Health Sector ................................................................................................... 42 ii
Barbados Macroeconomic and Social Assessment 2010
6.2.2
Health Infrastructure ................................................................................................................... 43
6.2.3
Public Expenditure on Health ...................................................................................................... 43
6.2.4
Human Resources ....................................................................................................................... 44
6.2.5
Pharmaceutical Program ............................................................................................................. 45
6.2.6
Family Planning Program ........................................................................................................... 46
6.2.7
Maternal Health .......................................................................................................................... 47
6.2.8
Infant and Child Mortality .......................................................................................................... 48
6.2.9
Immunization Coverage .............................................................................................................. 48
6.2.10
Dental Care................................................................................................................................. 49
6.2.11
Ophthalmic Care......................................................................................................................... 49
6.2.12
Environmental Health ................................................................................................................. 49
6.2.13
Communicable Diseases ............................................................................................................. 51
6.2.14
Chronic Non-Communicable Diseases (CNCDs)......................................................................... 52
6.3.
Housing.............................................................................................................................................. 55
6.4.
Poverty and Social Welfare ................................................................................................................ 57
7.
Crime and Violence ................................................................................................................. 63
8.
Governance .............................................................................................................................. 64
9.
Habitat Patterns and the Environment ....................................................................................... 66
10. Conclusion ............................................................................................................................... 69
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TABLES Table 5.1: Labour Force, 1995-2010 .................................................................................................................. 17 Table 5.2: Labour Force Participation Rates by Sex, 1995-2010 ......................................................................... 17 Table 5.3: Employed Labour Force by Highest Level of Qualification 2002-2009, Both Sexes ........................... 18 Table 5.4: Employed Labour Force by Occupation, 2000-2009 (‘000 persons) ................................................... 19 Table 5.5: Employment in Barbados by Sex for Selected Years .......................................................................... 19 Table 5.6: Sectoral Distribution of Employment for Selected Years (‘000) ......................................................... 20 Table 5.7: Unemployment in Barbados, 1995-2010 ............................................................................................ 21 Table 6.1 Expenditure on Education in Barbados, 1994/95 - 2006/07 (Bds $million) .......................................... 25 Table 6.2: Distribution of Primary and Secondary Schools in Barbados by Parish .............................................. 26 Table 6.3: Primary School Teachers according to Level of Training 2001-2002 ................................................. 28 Table 6.4: Secondary School Teachers according to Level of Training 1999-2002.............................................. 28 Table 6.5: Enrolment at the Pre-primary level, 1994/95 – 2000/01 ..................................................................... 30 Table 6.6: Enrolment in Government Primary Schools, 1995-2009 (‘000) .......................................................... 30 Table 6.7: Enrolment in Government Secondary Schools, 1996-2009 (‘000) ...................................................... 31 Table 6.8: Student Enrolment at the Samuel Jackman Polytechnic by Sex and Department: 1999-2000 - 20012002 .................................................................................................................................................................. 32 Table 6.9: Enrolment at the Barbados Community College by Division and Sex 1999/2000 - 2001/2002............ 33 Table 6.10: Erdiston Teachers’ Training College: Full-time Enrolment by Course and Year, 1999/2000 - 2001/234 Table 6.11: Barbadian Undergraduate Students enrolled at UWI by Faculty 2007-8 - 2008-9 ............................. 35 Table 6.12: Student Enrolment at Tertiary Institutions in Barbados 2002/3 - 2008/9 ........................................... 36 Table 6.13: Summary of BSSEE Results, 1996-2004 ......................................................................................... 37 Table 6.14: National Mean of BSSEE by Gender 1999/2000 - 2001-2002 .......................................................... 37 Table 6.15: National CXC Examination Results: General/Technical Proficiency Level 1999/2000 – 2001/2002 . 38 Table 6.16: Passes at CXC General Proficiency Level Examinations, 1995-2007 ............................................... 39 Table 6.17: Number of SJPP Graduates, 1995-2007 (000) .................................................................................. 40 Table 6.18: Number of BCC Graduates by Sex, 1995-2007 (000)....................................................................... 41 Table 6.19: Erdiston Teachers’ Training College Graduates, 1999-2002 (number) ............................................. 41 Table 6.20: Number of UWI Graduates according to Sex, 1995-2007................................................................. 42 Table 6.21: Government Expenditure on Health 1994/95-2005/06 Bds$000 ....................................................... 44 Table 6.22: Barbados’ Health Expenditure per capita 2002-2006, (current US$)................................................. 44 Table 6.23: Selected Health Care Professionals in Barbados 1995 - 2007 ........................................................... 45 Table 6.24: Special Benefits Statistics for the year April 1994 to March 31, 2003 .............................................. 46 Table 6.25: Rates of Birth, Death and Natural Increase, 1995-2010 .................................................................... 46 Table 6.26: Medical and Clinical Services offered by the BFPA 1999-2001 ....................................................... 47 iv
Barbados Macroeconomic and Social Assessment 2010
Table 6.27: Infant and Child Mortality in Barbados 1990, 2000 and 2007........................................................... 48 Table 6.28: Immunization Coverage by Type 1996-2001. (%) ............................................................................ 48 Table 6.29: Population with Access to Improved Drinking Water Sources and Improved Sanitation (%) .......... 50 Table 6.30: Reported Cases of Six Leading Communicable and Notifiable Diseases, 2001-2003 ........................ 51 Table 6.31: Economic burden of Diabetes and Hypertension in selected Caribbean Countries, 2001 (US $)........ 53 Table 6.32: Ten principal causes of death with rates per thousand population, 2001-2003 .................................. 54 Table 6.33: Number of Dwelling Units constructed between 1995 and 2010 ...................................................... 56 Table 6.34: New Mortgages Extended to Housing, 1995 - 2007 ($m) Selected Institutions ................................. 57 Table 6.35: Requests made to Poverty Alleviation Bureau (PAB) ....................................................................... 61 FIGURES Figure 3-1: Real GDP Growth (%) in Barbados 1995 to 2008 .............................................................................. 8
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Barbados Macroeconomic and Social Assessment 2010
Barbados Country Assessment of Living Conditions 2010: A Macroeconomic and Social Assessment of Barbados: 1995-2010
1.
Introduction
Barbados is a small developing country which, by international standards, has performed very well over the past four decades. With a surface area of 432 square kilometers (166 square miles), a resident population of 276,300 in 2010 and a per capita gross domestic product (GDP) of Bds $27,800 in 2010, the country has achieved a ‘very high human development’ status according to the United Nations Development Programme (UNDP)’s Human Development Index (HDI). By 2007 Barbados had achieved four of the eight Millennium Development goals (MDGs) in the areas of education, gender, child mortality and maternal health and had partially achieved the main goal of poverty reduction. Progress still has to be made in the areas of HIV/AIDS, the environment and global partnership arrangements. The relative small land area means that the natural resource base of the country is limited. Indeed, the economic activities undertaken in the country over the decades have been largely land-based: agricultural (mainly sugar cane) production and tourism. The pockets of oil and natural gas have been exploited largely for domestic consumption. The labour force accounts for about 67 percent of the adult population, namely, 142,300 persons in 2010. In effect, the range of specialist skills is limited and persons tend to be generalists with respect to their skills set. The small domestic market size of the country means that international trade plays a significant role in the economy. Over the years, Barbados has had important trading relations with the United Kingdom (UK), United States of America (USA), Canada and the CARICOM member states. In addition to significant economic progress, the country has witnessed a high degree of political stability and social progress especially in the areas of health and education. The high ranking of Barbados in the UNDP’s Human Development Index (HDI) reflects the great strides made on both the economic and social fronts in the country. The HDI combines indicators of livelihood (per capita income), health (life expectancy at birth) and education (mean years of schooling and expected years of schooling). This study examines the nature of the economic and social development which has taken place over the period 1995 to 2010. In addition, it also examines the governance framework within which the socioeconomic development of the country has taken place. In the next section, the development framework (strategies and policies) established over the fifteen-year period is outlined. This framework is developed from development plans, policy statements and budgetary provisions made by the Government of Barbados. In the third section, a review of the growth performance and structural changes which occurred over the period is undertaken. Some of the factors accounting for the changes are also identified. The macroeconomic policies and the regional and international environment within which Barbados has had to operate are assessed in the fourth section of the study. The nature of demographic change and labour market dynamics are examined in section five. The policies and programs guiding the development of the human capital of the country are assessed in this section. The social development of the country is analysed in section six. This section covers such areas as health, education, housing and social services and social protection (including welfare and poverty alleviation/reduction programs). Issues of crime and violence are discussed in section seven, while in section eight, the nature of governance in Barbados is examined. The highly touted Social Partnership is examined in this section. The ninth section gives an overview of habitat patterns, environmental and sustainable development challenges facing the 1
Barbados Macroeconomic and Social Assessment 2010
country. The final section identifies the main features and lessons learnt from the development experience of Barbados over the past 15 years, with a special focus on the nature of quality of life and living conditions experienced by the population of the country. The study builds on several studies which have been undertaken on the social and economic development of Barbados. These studies include: Beckles (2006), Blackman (1998), Downes (2001), Downes and Carter (2001), Howard (2006), Thomas (2002), Rojas-Suarez and Thomas (2006) and Worrell (1982, 1994/5). Comparative studies involving Barbados and other CARICOM countries have also been undertaken: Brewster (1995), Da Costa (2007), Grenade and Lewis-Bynoe (2011) and Henry and Miller (2009). An important aspect of this study is to provide the background for examining changes in living conditions and poverty since the study undertaken by the IADB (1998) on poverty and income distribution in Barbados during the 1996 to 1997 period. The study attempts to identify the main factors which could have accounted for changes in living conditions, poverty and the distribution of income over the 1995 to 2010 period.
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2.
Development Strategies and Policies
Barbados has adopted a forward planning approach to development since the mid-1940s when the first development plan entitled a “Ten Year Development Plan for Barbados: Sketch Plan of Development 1946 to 1956” was prepared. Barbados is the only country in the region that has consistently prepared development plans since the 1940s [see Downes, 2000]. Development goals generally reflect the hopes and aspirations of the people through the eyes of the government of the country. During the period under review the Government of Barbados prepared a National Strategic Plan covering the period 2006-2025 and a Medium Term Development Strategy for the period 2010-2014. In addition, the provisions in the Development Plan 1993 to 2000 partly governed policy-making and programming during the study period. The annual statements of financial and budgetary proposals and the estimates of expenditure prepared by the Government, along with Central Bank reports and periodic statements of Government ministries provide further information on the development framework adopted by the Government.
2.1.
Development Strategies
Barbados can be regarded as a ‘social democratic’ country with the private sector being considered as the main engine of growth in the economic sectors (agriculture, manufacturing and services), and the Government facilitating the process and providing the necessary regulatory and legal framework. In addition, the role of the Government has been the maintenance of economic, social and political stability, the provision of a social safety net and the incentives needed for efficient resource allocation. The approach to development planning in Barbados has therefore been largely ‘indicative’, “with the government providing the institutional, infrastructural and policy framework and environment for the private sector to provide the stimulus for economic activity” [Downes and Carter, 2001, p. 6]. The development strategy adopted by the Government in its 1993-2000 development plan was to focus on increasing productivity, export competitiveness and growth in an era of trade liberalization. The early stage of the Plan saw the Government trying to deal with the issues of structural adjustment and having just coped with an economic crisis during the 1990-92 period. The crisis required the assistance of the International Monetary Fund [see Haynes, 1997]. The first phase of the Plan, 1993/4 to 1996/7 focused on issues of structural adjustment in the economy, while the 1997/8 to 1999/2000 period emphasized economic growth. The main goals of the plan were: the achievement of balanced and sustainable growth to increase employment and the promotion of a more equitable and cohesive society. Underlying these goals were the following objectives: achieving a path of sustained economic growth through export growth, reducing unemployment especially among the youth, promoting human resources development and the use of science and technology, reducing inequality of income and wealth, promoting the effective delivery of social services, enhancing public sector performance and protecting the physical environment as part of a sustainable development strategy. The Government sought to generate economic growth through the expansion of agricultural production (especially sugar cane, cotton and horticulture), the promotion of agro-industrial activity, tourism promotion and the building of the international business and financial services sector. The support of the labour unions and the private sector was enlisted by the Government in the formation of a Social Partnership. The Partnership, which emerged from the economic crisis of 1990-92, has become a useful model of governance in Barbados.
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Barbados Macroeconomic and Social Assessment 2010
The National Strategic Plan 2006-2025 contains the same basic goals/objectives as the previous development plan, namely: 1. enhancing prosperity and competitiveness especially in the export services (tourism and international business and financial services); 2. creating greater equity and social justice; 3. building social capital and promoting human resources development to create greater participation and to reduce poverty; 4. maintaining social and political stability through democratic governance and good leadership; 5. improving the governance process and strengthening civil society; 6. building a “green economy” in the context of sustainable development. The private sector is expected to be the driver of productive activity in the country with the Government creating the enabling environment for growth, stability, innovation, entrepreneurship and providing a social safety net. The central vision of the Strategic Plan is the achievement of a “fully developed society that is prosperous, socially just and globally competitive by the end of the first quarter of this century” (p.1). As a long-term strategic plan, it is expected that medium-term plans would be developed to account for changes in the social and economic environment over time. With the increasing globalization and liberalization of the economies of the world, the Strategic Plan recognizes the need to focus on global excellence while maintaining and/or promoting core Barbadian traditions. As in previous plans, productivity growth and enhanced international competitiveness are seen as vital to the achievement of the goal/vision of developed status by 2025. The Social Partnership is also seen as a vital mechanism for achieving the stated goals and objectives of the Plan. The Medium Term Development Strategy of Barbados 2010-2014 provides support to the long term vision of a “fully developed and people-centred society”. The Strategy was developed in the context of a worldwide recession (2007-9) which has adversely impacted the economy of Barbados. The production focus continues to be tourism, international business and financial services supported by agriculture, energy and the small business sector. Greater attention is paid to enhancing the social sectors of the country (education and training, health, housing, transport, etc). As in the previous development plans the emphasis is placed on enhancing productivity and competitiveness, promoting science and technology in all the productive sectors and taking full advantage of relationships with trading partners and the existing trading agreements. As a small developing country seeking to move to developed country status, these focal areas are critical to success. In summary, the development strategy adopted by Barbados over the study period has involved the promotion of exports (especially tourism and international business and financial services), the enhancement of productivity and competitiveness as part of the export drive, the enlisting of the Social Partners in management of the development process, the building of social capital and human resources development, the exploitation of trading agreements and the strengthening of the social services. Development planning in the review period has been aimed at preparing the country for the new liberalized trading arena; supporting the adjustments of the productive sector as they reorganize and retool to meet the new international competition without the accustomed protection at the border, as well as facilitating the search for new markets and products as traditional ones became closed to the country. Planning has also been about maintaining the stability of the economy in an environment that has been somewhat volatile over the past 15 years. The Government has therefore aimed to provide the enabling environment to facilitate the development of entrepreneurship and private sector development.
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2.2.
Policy Framework
The Government of Barbados has instituted policies and programs and established organizations to achieve various development goals and objectives. The policy framework has provided incentives for private sector and non-governmental organizations to expand their operations or shift their use of resources. The policy framework consists of monetary, fiscal, trade, wages/incomes, social and environmental measures designed to achieve specific outcomes. Monetary policy has been designed to anchor the exchange rate parity between the Barbadian dollar and the USA dollar. Barbados has maintained a fixed exchange rate parity of Bds $2 for US $1 since 1975 and has used this nominal exchange rate policy anchor to maintain macroeconomic stability and predictability in the country. Its currency however floats with other currencies which can have some small effect on economic activity. Monetary policy has been generally ‘tight’ in order to avoid excessive credit creation which can result in balance of payments (BOP) disequilibrium. Over the years, the Central Bank has relaxed the levers over which it influences monetary policy in the context of financial liberalization. It maintains indirect control and moral suasion in influencing the supply of money and credit creation. Monetary policy has also been directed towards building the local capital market and financial institutions. The Government has supported such financial development through incentives, such as tax allowances for investing in mutual funds, credit unions and registered savings (retirement) plans. Financial support has also been provided for initiatives taken to promote small and medium-sized enterprises and export-oriented firms, namely, special loan facilities and lower interest rates. It has also created institutions to finance small enterprises (Fund Access) and venture capital activities (Enterprise Growth Fund). These agencies were established after the closure of the Barbados Development Bank. Invest Barbados was also established to encourage foreign direct investment in the country and promote service exports from the country. Fiscal policy measures have been used extensively by the Government to promote economic growth and development through the key sectors in the economy: agriculture, manufacturing, tourism, international business and financial services, cultural services and also small and medium-sized enterprises. A range of tax incentives have been used - tax allowances, rebates, grants, price support, to name a few, in order to support economic activity. Over the study period, the Government introduced a major tax reform measure by introducing a value added tax (VAT) in 1997 to replace a range of other indirect taxes. This tax reform measure was implemented to improve the tax base of the Government and also the efficiency of the tax collection process. The base rate was 15 percent with several items being exempted or zero-rated. Some areas of economic activity such as the hotel and guest houses sector were subject to a lower VAT rate of 7.5 percent. The zero-rated items include exports, certain agricultural supplies and educational materials while financial services are exempted. The Government has sought to maintain a relatively low overall fiscal deficit as a percentage of gross domestic product (GDP) over the period. Over the period 1995 to 2008, the fiscal deficit as a percent of GDP varied from 0.6 to 6.0, with a surplus recorded over the 1995 to 1997 period. The ratio however rose to 8.6 in 2009 and 8.8 in 2010 as a result of the economic recession as the Government adopted countercyclical policy measures. Fiscal policy was also used to support the Government’s social development programme. The housing sector has benefited from tax allowances (for example, mortgage interest, house repairs), while a reverse tax credit for low income workers (those who earn $16,000 per annum or less) was introduced. Pensions were increased gradually 5
Barbados Macroeconomic and Social Assessment 2010
over the period, while assistance was provided for the care of the elderly. The Government also provided funds to assist young persons and those living “on the block� by way of Project Oasis. In the area of wages and incomes policy, the Protocols among the Social Partners (Government, Labour Unions and Employers) continued to form the basic framework. The first Protocol (1993-95) called for a wages freeze in the public sector, with any wage/salary increases linked to productivity increases. Subsequent Protocols (199597, 1998-2000, 2001-4, 2005-7 and 2011-13) have focused on wage restraint or moderation, with wages and salaries linked to measures of organisational performance including productivity. There is no national minimum wage in place. A minimum wage however exists for shop assistants. This wage was increased from Bds $158 in June 1997 to Bds $200 per 40 hour week in December 2004. In the area of trade policy, the Government has had to respond to the trade liberalization process taking place in the international economy. As a member of the World Trade Organisation (WTO), the Government has had to replace non-tariff barriers to trade with tariffs (that is, the process of tariffication) and also to gradually reduce these tariffs. In addition, as a member of the CARICOM integration movement it has had to relax restriction on imports from members states and introduce other non-trade measures as the member states seek to create a single market and economy. Barbados’ trade policy has been designed to: i.
secure the necessary access to and make the best use of opportunities in overseas markets for Barbadian goods and services; ii. encourage the growth and further development of the productive sectors; iii. encourage the entry of goods and services from other countries in a manner that would not undermine the quality of life or increase the cost of living; and iv. support strategies for economic growth and development. [see Ministry of Foreign Affairs and Foreign Trade, 2006, p. 2]. The Government sought to promote the export of goods and services to both regional and international markets. For example, several concessions have been granted to the tourism and international business and financial services sectors, while the manufacturing sector has benefited from export and training grants and the agriculture sector has received assistance from the export development fund. The Government has signed a number treaties and agreements with several countries in order to promote the international business and financial sector. In the area of social policy, the Government has sought to eradicate poverty through the establishment of an institutional framework. The Rural Development and Urban Development Commissions were established to promote micro-enterprises and to assist with housing and infrastructural community development. A Social Investment Fund was established in 1997 to eradicate poverty through the development of small and medium sized enterprises and to support rural and urban re-development. A Poverty Alleviation Programme was also established to deal with abject poverty. Youth development has been the focus of such institutions as the Barbados Youth Service (BYS), Youth Entrepreneurship Scheme (YES) and skills training programs in established organisations such as the Barbados Vocational Training Board (BVTB) and the Samuel Jackman Prescod Polytechnic (SJPP). Support for micro-enterprises is provided by Fund Access. The Government also sought to reduce unemployment through the expansion of the economy. The health sector was supported by an HIV/AIDS program which provided affected persons with free medication. The main program in the education sector was the Education Sector Enhancement Programme ( the so-called 6
Barbados Macroeconomic and Social Assessment 2010
EduTech programme) which has sought to enhance the teaching and learning function of the school system via information technology, while at the same time improving the school plant. The Government has also designed a housing policy to increase and improve the housing stock available through the National Housing Corporation (NHC) using funds from its divestment program. Government’s environmental policy framework involved a push towards sustainable development whereby economic, social and environmental concerns would not be in conflict. The Government developed a sustainable development policy to “ensure the optimization of the quality of life for every person by ensuring that economic growth and development do not occur to the detriment of our ecological capital”. The revised National Physical Development Plan and the National Strategic Plan 2006-2025 further emphasizes the need for sustainable development in Barbados. The National Strategic Plan points to the achievement of a “green economy”. The Government has sought to minimize the extent of squatting associated with poverty in other countries through a rigorous control of human settlement in the country. It has accessed funds from international agencies such as the IADB to finance a housing development program. The Government’s policy framework has been designed to foster economic growth, to reposition the productive sectors of the economy in light of changes in the global environment, to maintain macroeconomic stability, to build social and human capital in order to eradicate poverty in the country and to put the country on a sustainable development path. The private sector has been seen as the main engine of growth with the Government facilitating the process through its policy measures and institutional initiatives.
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Barbados Macroeconomic and Social Assessment 2010
3.
Growth Performance and Structural Change
3.1.
Growth Performance
In 1995, Barbados recorded its third consecutive year of economic growth; this trend continued until the year 2000, averaging around 3% for that period. Real output had increased from $844.2 million to $973.4 million based mainly on growth in the non-traded sector, in particular, construction. The year 2001 proved difficult for the country. This was in the main due to the effects of trade liberalisation, a global slowdown in the aftermath of the Asian financial crisis and especially the September 11 terrorist attacks on the United States of America (USA). These events resulted in fall offs in both the tourism and international business sectors and a decline of real GDP by 2.6% (see Figure 1). Counter-cyclical expenditure by the Government as part of its National Economic Emergency and Financial Programme (NEEFP), which commenced at the end of 2001, seems to have tempered the effects of the slowdown and Barbados returned to its growth path in 2002, albeit at less than 1% with a real GDP figure of $954.4 million. Figure 3-1: Real GDP Growth (%) in Barbados 1995 to 2008
Increases in output continued, with a rate of 2% recorded in 2003 and a high of 4.9% in 2004 when output exceeded one billion dollar level for the first time, fuelled mainly by expansion of the tourism and wholesale and retail trade sectors. The year 2004 was also the third successive year of growth for the tourism sector after the decline of 2001. In 2005 however, the contribution of the tourism sector went into decline as oil prices started to rise but real output continued its growth at 4.1%, a marginally slower rate than the previous year. The non-traded sector had taken over the lead and construction expanded by about 13.5% as the country advanced its capital infrastructure programme and home accommodation programme for ICC Cricket World Cup 2007. Continued growth in the non-traded sector, especially construction, led the expansion of real GDP until 2007 when all major projects concerned with the international cricket competition were completed. While the non-traded sector continued to be the main contributor to output, construction gave way to wholesale and retail trade and the traded 8
Barbados Macroeconomic and Social Assessment 2010
sector which had been slowly recovering over the prior 2 years, grew 2.5% in 2007, supported mainly by a 3.3% improvement in tourism. High oil and commodity prices in 2008 in conjunction with a downturn in the global economy as the financial and economic crisis in the USA unfolded caused a slowdown in tourist arrivals, the country’s largest income earner and a slowdown in economic activity by 0.2 %. This caused the Government to introduce a Short and MediumTerm Action Plan with policies designed to protect the Barbados economy during the economic and financial crisis. The crisis had its most severe impact on the economy in 2009 when economic growth fell by 4.1 percent with the non tradable sector falling by 6.1 % and the tradable sector by 4.2%. The Government in association with the Social Partners agreed to protect jobs in the public sector, increase public sector capital expenditure within the limits of the Government’s fiscal space, to avoid layoffs in the private sector by using alternative work and wage arrangements and implement a program of social assistance to help the vulnerable in the society. The economy has displayed a sluggish recovery as it hardly grew over the 2009 to 2010 period. Gross Domestic Product per capita (in current prices) also grew steadily during the review period from $15,300 in 1995 to $27,800 in 2010, notwithstanding the reversals in the problem periods of 2001/2002 and 2008/9. Real GDP per capita however rose from Bds$ 3193 in 1995 to Bds$ 3870 in 2010, that is an average growth rate of approximately 2 percent per annum. While nominal GDP per capita declined from Bds$ 29,500 in 2007 to Bds$27,800 in 2010, real GDP per capita fell from Bds$ 4032 in 2007 to Bds$3870 in 2010, that is 4 percent, as a result of the decline in economic activity. The differential between the two ratios (nominal and real) is due to the inflation effect. Inflation jumped from 2.4 in 1996 to 7.7% in 1997, much of which was attributable to the introduction of a 15% Valued Added Tax (VAT) at the beginning of the year. The underlying rate was estimated to have remained in the region of 2.5% to 2.7%. After a sharp correcting decline of 1.2% in 1998, inflation ranged from 0.2% to 2.8% for the next five years. The rise in oil prices caused another jump from 1.4% in 2004 to 6.1% in the following year. By 2008 with continued increases in the price of oil, inflation was estimated at 8.1%. There was some dampening of the inflation rate in 2009 and 2010 with the economic recession. In 2009 the inflation rate was 3.6%, while in 2010 it was estimated at 5.8 %. While the inflation rate is largely fuelled by external factors such as the increases in the price of food and fuel, domestic factors can lead to periodic spikes in the rate, namely the VAT and increases in interest rates which represent a cost element in the production process.
3.2.
Structural Change
3.2.1 Agriculture and Fisheries Successive administrations of Government have all articulated their intention to see a productive and profitable agricultural sector. The focus of policy has been to preserve the rural environment, encourage food security, upgrade and update the sector to modern technology and research and facilitate agro-processing in order to expand and diversify the export base. To this end, farmers are eligible for concessions on the importation of equipment and inputs, technical assistance as well as loans and grants through various agencies. Agriculture as a whole faces problems associated with the vagaries of the weather, shortages of labour, high production costs, outdated technology and management practices and declining interest. Programmes to provide land to landless farmers, irrigation facilities and a sugar replanting scheme are also in place. Even so, in 2010, the sector only employed 3,600 persons compared with the 5,100 it employed in 1995. Sugar production, after falling to a new low of $16.5 million in 1995, recovered to reach a peak of $27.8 in 1997 or 3% of GDP, more in line 9
Barbados Macroeconomic and Social Assessment 2010
with its general trend of the early 1990’s. However by 2010, sugar sector’s share of output was reduced to an estimated 1.0% of GDP. Non-sugar agriculture started the period (1995) at $36.7 million or 4.3% of GDP and reverted to the same level in 2010, namely $36.6 or 3.4% of GDP. The sugar industry which initially was the major foreign exchange earner of the country has been in decline. Since 1995, fewer and fewer of acres of sugar cane have been planted, while approximately 18,500 acres were under sugar cane production in 1995 that figure stood at 13,600 in 2008. Production costs, which stood at $1806 per tonne at a production level of 38,800 tonnes in 1995, reached $3450 in 2010 and production dropped to 25,500 tonnes. Although several attempts have been made to reorganize the sub-sector to boost productivity and efficiency, it has not made the expected recovery. The difficulties that beset the entire agricultural industry before 1995 are still evident for the review period. In addition, the new world trading regime has put an end to the preferential access to guaranteed markets under which sugar has previously been exported. The ruling of the WTO that preferential access to the European market which the sugar of Barbados and other ACP countries enjoyed under the Cotonou agreement was in contravention of the EU’s WTO responsibilities and the announcement by the EU of its intention to reduce the guaranteed price by some 37% over a 4-year period created serious challenges for the industry. The CARIFORUM-EC Economic Partnership Agreement (EPA) which was signed in 2008 replacing Cotonou Agreement ( the last in a series of the non-reciprocal trade agreements), now offers only duty free access to Barbados’ sugar exports. Two of the three factories in operation at the start of the review period are still in production by the end of the study period. In 2006, a plan was approved for the building of a multi-purpose facility that would produce specialty sugar for the local and export markets, refined sugar and ethanol for the local market as well as 30 megawatts of electricity. This facility was expected to replace both the Andrews and Portvale plants and funding was provided to the BAMC for pre-investment activities, to re-capitalise the sugar replanting scheme and to bring idle lands back into sugar production. Since then, Barbados sugar which in recent years was produced solely for the export market became available for sale locally under the name Muscavado Gold. Also, the brand Plantation Reserve was on sale in the UK at $17.00 per pound rather than the $1.00 per pound of bulk sugar. The plans for the multi-purpose were put on hold in 2008 in the light of the global financial and economic crisis. The Government supported non-sugar agriculture (vegetable, root-crop, cotton, livestock production and fisheries) with a view to food security for the country and diversification of exports. Between 1995 and 2010, contributions to GDP went fluctuated closely around the average of $34.8 million in real terms throughout the entire period. Attempts at preservation include prohibiting the change of use of a set acreage agricultural land, programmes to interest young people such as the Youth in Agriculture Scheme and support to the 4-H Clubs. Also, 60% of public procurement for the school meals programme, for instance, must be sourced locally and the BADMC has been reorganised so that its services include facilitating investment in the sector.
3.2.2 Manufacturing Manufacturing is made up mainly of garments/textiles, paint, paper and paper products, food processing, furniture, beverages, chemicals and electronic components. Within the sector, food and beverage category continues to expand and remains the sector’s greatest contributor to GDP, employment and exports. The paper products and the printing and publishing sub-sector have shown increases as well.
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Barbados Macroeconomic and Social Assessment 2010
The sector has not weathered the liberalization of trade very well. The majority of firms is small and produces mainly for a local market heavily protected with a system of licences and import duties and taxes. High production costs both in raw materials and labour, outdated technology, undercapitalization and the reality of small local market size have been identified as some of the more pressing challenges of the sector. Duties on raw materials were removed in 1994 but the initial boost to production between 1995 and 1998 faded when the sector was faced with reduction of the Common External Tariff (CET), the removal of licences and phasing out of the surtax on extra-regional imports required by agreement of both CARICOM and the WTO. Even though the licences were replaced with high rates of duties and the sector retained some measure of protection from extra-regional imports, it was still not competitive with its regional counterparts. The introduction of VAT in 1997 brought further competition from reduced import prices. In 2001, a $25 million fund was launched to assist the sector in re-organizing and retooling toward international competitiveness and after the September 11, 2001 attack in the USA, the emergency measures undertaken by the Government included a 60% surcharge on some extra-regional goods in an effort to protect the sector. In addition, a drive to raise the profile of local goods in the form of a “Buy Local” campaign was initiated by the Government in conjunction with the Barbados Manufacturers’ Association (BMA). The sector also benefits from many assistance packages offering loans at concessionary rates, grants, technical assistance, tax and duty exemptions as well as extra incentives directed at the exporting firms. However, the sector as a whole has declined in real terms for the period under review from $ 81.4 million or 9.6% of output in 1995 to $ 51.0 million or 4.8% of GDP by 2010 though closely clustered around an average of $ 62 million since 2001.
3.2.3 Tourism Tourism is Barbados’ premier engine of growth. This is clearly recognized by the Government which expressed its intention to continue improvements in the tourism product and to make major investments in this regard. Since 1995, the Government has taken over a group of small hotels on the South Coast that were heavily indebted to the (then) Barbados Development Bank (BDB) to preserve accommodation capacity by rehabilitating and expanding properties under the Gems of Barbados initiative. Investment has also gone into the Urban Rehabilitation Programme, renovating and beautifying areas such as Bridgetown, St. Lawrence Gap and Oistins among others. There have also been major product improvements in the sector: the Government rebuilt the Hilton hotel, the Sandy Lane Hotel underwent extensive work and there was a general drive to upgrade various facilities in time for the 2007 ICC Cricket World Cup. The industry benefits from the Tourism Development Act which provides duty free importation of building materials and a range of furniture and fixtures as well as income tax concessions to owners and investors. These incentives are also available to all tourism related businesses including restaurants and recreational facilities. The UK has accounted for the greatest number of long stay tourist arrivals since 1999 followed by the USA and other CARICOM territories. While at the other end of the scale, Germany has been in decline for most of the period and records the lowest number of visitors among all the categories. Visitor arrivals from Trinidad and Tobago represent the largest number from among the CARICOM territories. Tourism’s contribution to real GDP increased from $130.3 million in 1995 to $150 million in 2006 with major interferences occurring during the 2001/2002 and 2005 periods. Since 2007 in the wake of the global financial and economic crisis, there has been a reduction in the number of visitors to the island both long stay and cruise 11
Barbados Macroeconomic and Social Assessment 2010
ship arrivals. Even so, tourism has experienced a marginal reduction in its percentage contribution to GDP from 15.4% in 1995 to 12.3% in 2010. The Government has dispensed financial assistance of about $ 25 million to support the sector as further declines in the fortunes of its main markets are expected. In addition, the increase in the UK air passenger departure tax (APD) to be implemented in 2009 was also expected to have a negative impact on the sector. Active lobbying coupled with a change in Government in the UK was able to delay the implementation of the measure.
3.2.4 International Financial and Business Services Barbados has shown itself to be a competitive venue in the international business and financial employed services sector. The drive to promote the offshore sector has been part of the Government’s effort to diversify the economic base of the country. The other area receiving some assistance has been the creative/cultural sector. In 1995 there were approximately 3700 offshore companies registered, about 700 of which registered in 1995. The sector provided an estimated US $150 to foreign exchange and around 2000 persons. However, in 1998 a Report on Harmful Tax Competition published by the Organisation for Economic Co-operation and Development (OECD) and the subsequent listing of Barbados among countries that were designated tax havens created some challenges for the sector. By 2000, Barbados along with other CARICOM countries were listed as tax havens and threatened with retaliatory action when they resisted OECD initiatives to remove policies and practices deemed harmful by that body. In addition, the Financial Action Task Force (FATF) reported concerns on money laundering and financial stability (2000) that needed to be addressed. The country’s policy of continually reexamining and updating its legislation to increase the efficiency of supervision and regulation, to comply with international standards and maintain its competitive edge stood it in good stead in this case such that by 2002 the FTAF agreed that Barbados would not be black listed. There have been however recent attempts to impose greater restrictions on the sector thus weakening its contribution to economic activity. During the period there was much uncertainty generated by Asian Financial Crisis as investors redirected funds to more developed markets. In addition, a complaint was registered with the WTO in 1999 against United States policy on Foreign Sales Corporations (FSCs). The US complied with the WTO’s ruling on FSC by changing the legislation to eliminate the need for FSCs in 2000. The 2139 entities resident in Barbados at that time started their dissolution process. Only 33 FSCs were still renewing licenses at the end of 2008. Barbados pursued a policy of expanding its system of Double Taxation Treaties (DTAs) and Bilateral Investment Treaties (BITs) to enhance the attractiveness of its offshore product. In 2010 there were eighteen DTAs in force and negotiations were ongoing with several others. The sector was boosted by the phased liberalisation of the telecommunications industry which started in 2000 and the establishment of the Barbados International Business Promotion Corporation (BIBPC) in 2005. The Government also extended financial support to the Barbados Coalition of Service Industries (BCSI) which was launched in November 2002 and Private Sector Trade Team (PSTT) to assist in the continuing development of the sector. Several of the initiatives of International Business Strategic Plan 2007-2012 were implemented during 2007, for example, the International Business Unit (IBU) was created to ensure the implementation of international best practices through its regulatory and supervisory activities in the sector. The International Business Charter which outlined the timelines for application and renewal of licences and new application procedures for IBCs and ISRLs which provide simultaneous establishment of residency and licensing of entities were instituted. The Government 12
Barbados Macroeconomic and Social Assessment 2010
has also expanded the BIDCs Technical Assistance Programme for Services by providing additional funding for activities in the sector. In addition, it has established advisory committees on international business. In 2010, 3105 international business entities were registered in Barbados notwithstanding the closure of some 2000 FSCs and the slowdown in new registrants over 2007 and 2008 as the US financial crisis reverberated around the world. Receipts from the International business sector have represented an average of 11% of Government revenue since 2005. In summary, the agriculture and manufacturing sectors have borne the brunt of the liberalisation process. These sectors were in decline before the review period and though they have both benefitted from many fiscal incentive schemes, have not managed to make the transition envisioned. In the agricultural sector, the share of sugar in GDP which had already fallen below that of non-sugar agriculture in 1989 stood at a low of 2% in 1995 and declined further to 1.2% by 2008. Non-sugar agriculture, in the same vein fell from 4.3% to 3.1% over the same period. For manufacturing, production share which fluctuated between 9% and 12% over the 1966 – 1997period, declined to 7.7% in 1998 and then to 5.4% in ten years later. Tourism, however, from a 15.4% share in 1995, averaged the same until 2006, declining less than 1% point to 14.9 and 14.6 in 2007 and 2008 respectively. The tourism sector too has had the support of the government and during the period, fiscal incentives, once offered mainly to the accommodations subsector, have been expanded to include all tourism related activities as well. The share of the services sector, wholesale & retail trade, tourism, government and other services, in GDP has increased from 66% to 68% over the review period. The Government has been quite active in improving and promoting the financial services sector which has become a major source of government revenue earner of foreign exchange. The economic crises of 2001 and 2008-9 however proved challenging for the macroeconomic management as the main economic sectors were greatly affected by the fall in external demand. The Government use countercyclical policies within the limits of the fiscal space provided at the times to ride out the worse of the recessions.
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Barbados Macroeconomic and Social Assessment 2010
4.
Macroeconomic Environment
4.1.
Balance of Payments
At the start of the review period, the current account of the Balance of Payments (BOP) was in one of its few periods of surplus continuing from 1992 to 1996. This was supported by gains in manufacturing as demand for processed foods, paints and printed materials increased especially from South America and a slowdown in retained imports, a possible result of the effects of the 100% surtax levied in 1994. However, starting 1997, the current account returned to its chronically deficit position and remained so for the remainder of the period under review. Domestic exports after growing 26% in 1996 lost ground and apart from a slight recovery in 1999 remained in decline until 2003. Domestic exports recovered in 2004, expanding by 5.3% to $346.9 million and performed well for the next two years, growing by 21.7% and 17.7% with the aid of exports of chemicals and rum. However, growth in domestic exports slowed to 5.1% and even further to 1.7% for 2007 and 2008 respectively. Retained imports on the other hand, expanded throughout the period, mainly because of the increase in consumer demand as output of the country expanded in addition to the higher import prices occasioned by the increase in oil prices from 2005. Where in past periods the Government has used combinations of import duties and licensing to control imports, these measures were no longer freely available in the new liberalised trading arena and imports slowed only in the periods of global uncertainly of 1998 and 2001 and in then again in 2006 when tighter monetary policy and the effects of a 6% cess levied on extra-regional imports in 2005 were felt. The deficit on the current account however, did not overwhelm the gains in the capital account which despite a deficit for 1995, showed a surplus for rest of the period. The capital account was boosted by receipts from an international bond issue and some long term private loans in 2000 and buoyant public and private inflows in 2003. In the final analysis the net international reserves (NIR) averaged around 14 weeks cover between 1996 and 1999, close to the required minimum of 12 weeks cover and averaged 28 weeks cover for the rest of the period with highs of around 37 and 36 weeks for 2002 and 2003 respectively.
4.2.
Fiscal Balance
Fiscal policy over the review period has been concerned with the preservation and improvement of living standards of Barbadians as has been the focus in the past. In addition, there has been investment into reorganising the public sector to improve its efficiency and a concerted effort has gone into supporting and preparing the productive sectors to face the challenges brought about by the liberalisation of trade. Total expenditure has increased every year from approximately $1.4 billion to $3.3 billion between fiscal 1995/96 and 2008/09. There was a slight cutback in 2009/10 to just under $3.0 billion as part of a fiscal consolidation effort to deal with the economic crisis. Between 50% and 53% of current expenditure each year up to 2006/07 has been dedicated to the social services of education, health, social security and welfare, housing and community amenities and social services and between 34.6% and 49.1% of capital expenditure. Current revenue has increased every year in the period except fiscal 2002/03 though generally not as fast as current expenditure. During the review period, there was a consolidation of several taxes into a 15% Value Added Tax, reduction of corporate and personal income tax rates, reduction in taxes on imports, various allowances and duty free concessions to the productive sectors which would have impacted on the level of revenue collected. Fiscal year 1995/96 saw a fall in the fiscal deficit due an increase in revenue from taxes on income and profit. The deficit deteriorated for the next 2 years as expenditure led by wages and salaries outstripped revenue, in spite 14
Barbados Macroeconomic and Social Assessment 2010
of the estimated 21% increase in collections in 1997 due to the introduction of VAT. The Government substantially reduced capital expenditure in fiscal year 1998/99 during the slowdown in the world economy. This, along with a rise in revenue from taxes on goods and services led to a reduction in the fiscal deficit. A revenue fall in the 1999/2000 period in addition to the full repayment of a loan caused a worsening of the deficit in that period but it improved in the next year due to lower debt repayment. Expenditure on the Emergency package of late 2001 as well as the reduction in corporate taxes of the following year resulted in a 46% jump in the fiscal deficit (2001/02) and then again by around 23% (2002/03). However, the deficit in fiscal year 2003/04 stood at $483.5 million, a fall off of nearly 14% compared to the previous year due to an 8.7% increase in revenue supported by higher VAT receipts. A further decrease in the next period when revenue increased by around 12.9% due mainly to an increase in taxes on goods and services helped by an increase in the cess from 3% to 6%. As part of its policy objectives in 2006, the Government announced its intention to restrict the fiscal deficit to less than 2.5% of GDP without adding any new taxes. However the deficit worsened over the next period from $550.7 to $741.1 million, causing the Government to adjust its threshold upward to 3% of GDP. At the end of fiscal 2008/09 the fiscal deficit had risen to Bds$904.7million. The fiscal deficit to GDP ratio moved from 3.8% in 2007 to 8.8% in 2010 as the Government sought to stabilize the economy during the recession. While revenue did grow during the three-year period in response to fiscal measures introduced by the Government, government expenditure in grants to public institutions increased as part of a stimulation package during the crisis period. Total debt grew from approximately $2.5 billion to $8 billion in the period 1995 to 2010 representing approximately 79% and 110% of GDP respectively. During that period government has financed the fiscal shortfalls mainly from the highly liquid domestic market, maintaining foreign debt to an average 21% of total debt, fluctuating between 13% and 32% of GDP in each year. Foreign debt jumped from 17.0% of GDP to 25.9% of GDP between 2001 and 2002 as GDP contracted and borrowing on the external bond markets increased. External borrowing from international institutions and also on bond market rose in each of the following 3 years and though foreign debt maintained an average each year of 24% of GDP for 2003 and 2008, it reached a high of 31.7% of GDP in 2005 before tapering off to around 20% of GDP for 2007 and 2008. Borrowing on the external bond markets has mainly been in support of the Balance of Payments. The challenges facing the Government brought a downgrading of its sovereign credit rating by the Standard and Poor’s rating agency over the period 1999 (A-) to 2010 (BBB-).
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Barbados Macroeconomic and Social Assessment 2010
5.
Labour Market Dynamics
5.1.
Labour Supply
An analysis of the supply side of the labour market involves an examination of the forces giving rise to the changing nature of the labour force, the participation of persons in the market and the quality of the persons entering labour market activity. Between 1995 and 2005, the total labour force increased from 136,800 to 146,800 persons, that is, an average annual growth rate of 0.8 percent per annum. There was however a decline in the total labour to 142, 300 by 2010. The male labour force grew at a rate of 1 percent per annum over the 1995 to 2004 period, while the female growth rate was 0.6 percent per annum. The higher male labour force growth rate resulted in an increase in the proportion of males in the labour force [see Table 5.1]. Over the 1995-2010 period, the adult population increased from 200,800 to 213,600 persons, representing an average annual growth rate of approximately 0.5 percent. With the labour force growth rate being higher than the adult population growth rate, there has been an increasing tightness in the labour market which has implications for immigration, hours of work, wages and the retirement age. Over the past three decades, Barbados has seen an increase in the population of persons who are 65 years and over, that is the ageing of the population. The percentage of persons in this age group increased from 10.7% in 1980 to 11.8 in 1990 to 12.1% in 2000 and 13.8% in 2010. The absolute number of person rose from 26,500 in 1980 to 328,600 in 2010. The overall population growth averaged 0.3 % per annum over the study period. The birth rate decline slightly from 13.1 per 1000 in 1995 to 12.9 per 1000 in 2010; while the death rate remained relatively steady at an average of 9 per 1000 over the period 1995 to 2010. These population dynamics have implication for the long term supply of labour in the country as it tightens over the years. The labour force participation rate (that is, the percentage of labour force out of the adult population) continued to exhibit a general upward trend during the 1995 to 2004 period but showed a slight decline over the 2005 to 2009 period. The overall participation rate rose from 68.2 percent in 1995 to 69.6 percent in 2005, with the female rate increasing at a slightly higher rate than the male rate [see Table 5.2]. The rate fell to 67 percent in 2010. There was also a slight decline in the participation rates during the 2001-2 recession and probably reflected a net ‘discouraged worker’ effect associated with the increase in unemployment and the inability to obtain a job after a reasonable period of search.
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Barbados Macroeconomic and Social Assessment 2010 Table 5.1: Labour Force, 1995-2010 Year 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Total ‘000 136.8 135.4 135.8 136.3 136.6 138.4 145.2 143.4 145.5 146.3 146.8 143.5 143.7 143.8 142.8 142.3
‘000 69.1 69.0 69.8 70.3 71.1 71.9 74.9 74.1 74.6 75.0 75.0 73.4 74.5 73.7 72.9 72.9
Male % 50.5 50.9 51.4 51.6 52.0 51.9 51.5 51.7 51.3 51.3 51.1 51.1 51.8 51.3 51.1 51.1
‘000 67.6 66.5 66.0 66.0 65.5 66.5 70.3 69.2 70.9 71.3 71.8 70.1 69.2 70.1 69.9 69.9
Female % 49.5 49.1 48.1 48.4 47.9 48.0 48.4 48.3 48.7 48.7 48.9 48.9 48.2 48.7 48.9 48.9
Sources: Barbados Statistical Service (BSS), Labour Force Sample Survey Report, 1994-1999, 1996-2001; Central Bank of Barbados: Annual Statistical Digest, 2005, Barbados Economic and Social Report 2011 Table 5.2: Labour Force Participation Rates by Sex, 1995-2010 Year
Male
Female
Total
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
74.5 74.3 73.6 74.0 74.7 74.8 75.9 74.8 75.1 75.3 75.2 73.4 74.3 73.3 72.3 71.8
62.7 61.6 62.1 62.0 61.4 62.7 63.8 62.7 64.0 64.2 64.5 62.8 61.9 62.5 62.2 62.0
68.2 67.4 67.5 67.7 67.7 68.4 69.5 68.5 69.2 69.5 69.6 67.8 67.8 67.6 67.0 66.6
Sources: Barbados Statistical Service, Continuous Labour Force Sample Survey Report, 1994-1999, 1996-2001, Barbados Social and Economic Report 2011; Central Bank of Barbados: Annual Statistical Digest 2005.
The increase in the female participation rate has been noticeable over the past three decades. Several factors have been identified to explain this trend, namely, improved educational and training opportunities for females which boost their competitiveness in the labour market, the expansion of activities in selected areas of the economy (for example, information services, distribution, banking and finance), the increased use of modern household 17
Barbados Macroeconomic and Social Assessment 2010
production technology which releases time from household production activities and the need for selfactualisation and financial independence An analysis of the labour force by industrial attachment indicates that the services sectors, especially general services, government services, tourism and wholesale/retail trade accounted for over 70 percent of the attachment The manufacturing and construction/quarrying sectors accounted for approximately 20 percent of the labour force attachment over the 1995-2010 period and reflects the general shift of the economy’s production operations towards the services sector. An examination of the educational attachment of the labour force indicates that over 60 percent of the force had attained at least secondary level education over the 1995-2001 period. The percentage of the labour force which had attained university level education increased significantly from 9.5 percent in 1995 to 20.4 percent in 2001, with females outnumbering males in this area. The relatively high level of educational attainment in Barbados is due largely to the enforcement of compulsory school attendance up to the age of 16+ years. Although enrolment rates at the primary and secondary levels are very high, with the institution of universal education at these levels, there is some concern about the low degree of certification among labour market participants. It is estimated from census data that approximately 63 percent of the adult population had no certification in 1990, while in 2000 the figure stood at 57 percent. This problem is more severe among the older cohorts of the labour force, 50 years and older in 1990, who may not have benefited from ‘free’ secondary level education since the mid 1960s. Data from the labour force survey for 2009 indicate that 54% of the labour force had no academic certification. This gradual downward trend suggest that there has been some incremental improvement in the quality of secondary level schooling which is partly reflected in the increased enrolment at the tertiary level ( especially females).
5.2.
Employment
In the context of the labour market, as indicated earlier, a significant percent of the employed workforce has no formal qualifications [see Table 5.3]. In addition, the bulk of the employed labour force is in “low skill” jobs: service/shop, craft, clerical and elementary occupations [see Table 5.4.]. In 2009, 61 percent of the employed were in there occupational categories. Hence 40 percent of the employed labour force occupies “medium” and “high” skill jobs. Table 5.3: Employed Labour Force by Highest Level of Qualification 2002-2009, Both Sexes Level of Qualification None BSSC CXC (Basic) O Level/CXC (General) A Level Certificate Diploma Degree Professional (e.g., ACCA) Others Not Stated Total
2002 62.2 1.8 1.3 27.8 2.5 11,0 3.9 13.4 0.6 0.0 4.0 128.6
2003 62.0 2.4 1.8 29.0 2.1 10.6 4.1 11.9 1.8 1.1 2.5 129.5
2004 56.9 2.5 1.8 30.3 2.1 12.2 4.4 15.5 2.0 1.3 3.0 132.0
Source: Barbados Statistical Service: Labour Force Survey
18
Number of Persons (000) 2005 2006 2007 57.1 56.7 55.2 2.5 2.2 1.6 1.1 1.3 1.4 29.7 29.0 29.7 2.4 2.0 2.0 12.5 12.4 14.9 4.5 4.6 5.0 16.5 15.9 16.2 2.2 2.4 1.7 1.6 2.6 3.1 2.6 1.8 2.1 132.6 131.0 133.1
2008 56.5 1.4 0.7 29.2 1.7 15.5 4.5 16.4 1.4 3.8 1.0 132.1
2009 53.9 1.3 1.2 29.3 1.8 14.2 4.0 16.6 1.3 3.5 1.3 128.5
Barbados Macroeconomic and Social Assessment 2010 Table 5.4: Employed Labour Force by Occupation, 2000-2009 (‘000 persons) Occupation Legislators, Senior Officials Professionals Technicians and Associated Professionals Clerks Service/Shop Workers Skilled Agricultural Workers Craft and Related Workers Plant/Machine Operators and Assemblers Elementary Occupations Not Stated Total
2000 9.7 13.7 9.1
2001 10.9 15.0 10.6
2002 10.2 14.8 10.7
2003 9.8 14.2 10.5
2004 12.2 16.7 11.1
2005 11.8 17.0 11.3
2006 11.0 15.7 10.5
2007 11.8 16.5 10.8
2008 12.2 16.1 10.6
2009 12.6 15.2 13.1
15.0 24.0 3.1 17.1 8.5
15.2 23.5 3.0 17.3 9.1
14.6 23.4 3.1 16.5 8.8
15.2 24.8 3.8 17.4 8.0
15.7 22.9 3.8 17.3 6.7
16.0 22.4 3.3 18.6 7.7
16.7 22.5 3.4 19.2 8.2
16.7 22.3 2.9 19.8 7.8
16.0 24.4 3.7 18.5 7.9
16.9 22.0 3.9 16.1 7.4
28.1 0.7 129.0
26.0 0.3 130.9
26.2 0.4 128.6
25.4 0.4 129.5
24.8 0.7 132.0
24.2 0.4 132.6
23.3 0.4 131.0
23.9 0.4 133.1
22.4 0.3 132.1
21.1 0.2 128.5
Source: Barbados Statistical Service: Labour Force Survey
Employment creation has been an important goal of economic policy making in Barbados over the years. Between 1995 and 2007 the number of persons employed increased from 109,900 to 133,100, that is, an average annual growth rate of 2.1 percent. The rate of female employment growth was 2.2 percent per annum while the rate for males was 2.0 percent [see Table 5.5]. With the onset of the global financial and economic crisis, the number of persons employed fell from 133,100 persons in 2007 to 127,000 in 2010. The Government adopted a policy of maintaining public sector employment at the existing level, which suggests that the decline in employment took place in the private sector. The ratio of male to female employment also declined from 1.11 in 1995 to 1.04 in 2010. Table 5.5: Employment in Barbados by Sex for Selected Years Number of Persons Employed (‘000) Year Total Male Female 1995 109.9 57.7 52.1 1998 119.6 64.4 55.2 2001 130.9 68.9 61.9 2004 132.0 68.3 63.8 2007 133.1 69.7 63.4 2010p 127.0 64.6 62.4 Note: p – provisional; Source: Barbados Economic and Social Report, 2004, 2011
Male 52.5 53.8 52.6 51.7 52.4 50.9
Percent Female 47.4 46.1 47.2 48.3 47.6 49.2
Over the past three decades, Barbados has witnessed a secular decline in both the absolute and relative number of persons employed in the agricultural sector and a growth in the services sector employment. The Government, general services, distribution/commerce, tourism and, to some extent, construction/quarrying were the main absorbers of labour in Barbados. Government has been the single largest employer of labour, with the share of government employment in total employment remaining relatively consistent at about 21 percent over the period (see Table 5.6).
19
Barbados Macroeconomic and Social Assessment 2010 Table 5.6: Sectoral Distribution of Employment for Selected Years (‘000) Sector Sugar ,Other Agriculture and Fishing Construction and Quarrying Manufacturing Electricity, Gas and Water Wholesale and Retail Tourism Transport and Communications Financial Services General Services Government Total
1995 5.1 8.8 11.7 1.0 16.6 11.9 5.1 7.6 19.3 22.9 109.9
1998 5.2 12.5 10.7 1.3 18.2 13,8 5.1 7.5 19.9 24.5 119.6
2001 5.4 14.2 9.2 1.9 19.1 13.7 5.7 10.4 22.9 26.2 128.8
p
2009 4.0 111.5 7.4 1.7 18.8 13.3 5.4 11.3 28.1 26.6 128.5
Note: p – provisional; Source: Barbados Economic and Social Report, 2004 and 2009
There are very few estimates of employment in the informal sector in Barbados. Although there has been an increase in the employed labour force classified as “employer” or “self-employed”, that is, from 9600 in 1996 to 12,700 in 2001, these categories included persons working in the ‘formal labour market’ (for example, lawyers, doctors, consultants, accountants). One study of the informal sector undertaken by the Barbados Statistical Service in 1997/98 indicated that: i.
the number of informal sector business operations constituted 40.4 percent of the average number of ‘employers’ and ‘own-account’ or ‘self-employed’ workers;
ii. the number of informal sector employees was 5.9 percent of the average number of persons employed; iii. of the estimated 6904 persons employed in the informal sector, 61.4 percent are males and 38.6percent females; iv. the concentration of the sector was in distribution, agriculture and, to a lesser extent, general services and construction; v. few of the operators had university education (1.1 percent) or technical/vocational education (less than 1 percent). Most of the operators had primary or secondary level education; vi. production units were very small and operated either singularly or by family members. Labour intensive technologies were used in these units; vii. approximately 62 percent of the persons employed were between the ages of 30 and 59 years, while 12 percent were aged 20-29 years. This feature would suggest that work experience was important in the sector; viii. most of the employees were either self-taught or had no training and usually worked for 4-12 hours per day.
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Barbados Macroeconomic and Social Assessment 2010
Research suggests that while there are instances of the worse form of child labour in the country these are not widespread [Dunn,2002].
5.3.
Unemployment
The unemployed in Barbados are defined as those persons in the labour force who are available and looking for work but who are unable to find any form of work during a three-month period immediately preceding the date of enumeration. Such a definition yields higher unemployment rates in Barbados than in countries which employ the widely used definition based on ‘one week preceding the date of enumeration’ The expansion in real output for most of the period under review was also reflected in the overall reduction in the unemployment rate which had been troublesome for some time. The unemployment rate fell consistently from 19.7% in 1995 until 2000 when it declined to single digits recording a new low of 9.3% which is the about the average rate maintained until 2008 with dips to 8.7% and 7.4% in 2006 and 2007 respectively. With the onset of the recession the unemployment rate rose from 8.1% in 2008 to 10.8% in 2010. The need to preserve jobs during the recession accounted for the slow increase in the unemployment rate. The unemployment rate for females has always been higher than that for males. Over the 1995-2010 period, the male unemployment rate declined from 16.5 percent to 10.9 percent, while the female unemployment rate fell from 22.7 percent to 10.6 percent [see Table 5.7]. There was a rise in both rates over the 2008-9 period. Table 5.7: Unemployment in Barbados, 1995-2010 Year 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Total 26.9 21.5 20.0 16.9 14.6 12.4 13.0 14.8 16.0 14.2 14.2 12.5 10.6 11.7 14.2 15.3
Number Unemployed (‘000) Male Female 11.2 15.7 8.5 13.0 8.0 12.0 6.0 10.9 5.7 5.9 5.1 7.3 7.3 5.7 6.4 8.4 7.2 8.8 6.7 7.5 6.0 8.2 5.6 6.9 4.8 5.8 5.0 6.7 7.6 6.6 7.9 7.4
Total 19.7 15.6 14.5 12.3 10.4 9.3 9.9 10.3 11.0 9.8 9.7 8.7 7.4 8.1 10.0 10.7
Unemployment Rate (%) Male Female 16.5 22.7 12.4 18.9 11.3 17.8 8.4 16.4 7.5 13.3 7.4 11.4 8.0 11.9 8.7 12.1 8.6 12.6 9.0 10.6 8.0 11.4 7.7 9.8 6.4 8.5 6.9 9.5 10.1 10.0 10.1 10.0
Sources: Central Bank of Barbados, Annual Statistical Digest, 2005, Barbados Economic and Social Report 2011
Like many other developing countries, Barbados has a ‘youth unemployment’ problem. Although the school leaving age is 16+ years, the unemployment rate among the 15-19 years age group was 52.9 percent in 1995 and among the 20-24 years age group, it was 31.1 percent. In 2001, the corresponding rates were 30.4 percent for the 15-19 year old age group and 19.7 for the 20-24 year old age group. In 2010, the unemployment rate among the 15-19 years old age group was 48 percent. These rates are significantly higher than the national rates. Not surprising, females have suffered higher rates of unemployment than males. In 2001, the unemployment rates for 21
Barbados Macroeconomic and Social Assessment 2010
males 15-19 and 20-24 years of age were 25 and 18.2 percent, respectively, while for females, the corresponding rates were 36.7 and 21.3 percent. An examination of unemployed by last occupation indicates that approximately 30 percent were in elementary occupations, which require little or no human capital formation. Unemployment was also high among service/shop workers and, to a lesser extent, among craft and related workers. Barbados is the only country in the Caribbean with an unemployment insurance scheme which was established in July 1981. The number of claims received rose from 8830 in 1995 to 12,411 in 2008, with a peak of 18,066 in 2001 during the short recession. They also rose during the 2008-9 recession from 11,504 in 2006 to 12,411 in 2009. The main occupational categories which were susceptible to unemployment and hence the claim for an unemployment benefit were service workers, clerical workers, production workers and unskilled/casual/general workers. These workers tend to be females between the ages of 25 and 44 years. The Severance Payment Scheme was introduced in 1973 to compensate workers for involuntary and permanent job loss occasioned by the closure, relocation or sales reduction of a company. The Scheme covers private sector employees only as tenured Government employees are excluded. These two schemes provide the social safety net for unemployed person who qualify. The Government also provides a range of training programs for the unemployed through the skills training program at the Barbados Vocational Training Board and the Samuel Jackman Prescod Poytechnic. The working poor can also qualify for a reverse tax credit.
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Barbados Macroeconomic and Social Assessment 2010
6.
Social Sector Developments
6.1.
Education Sector
The philosophy of education as espoused by the Government of Barbados is based on the premise that each child, starting at the pre-primary/nursery stage to tertiary level, should have educational opportunities that would enable him/her to maximize his/her abilities and contribute to the social and economic development of the country. In order to fulfill this objective, a wide and varied range of educational opportunities has been made available to all Barbadian students at each stage of the educational process. This is reinforced by the compulsory nature of education at the primary and secondary levels (that is, up to 16 years of age). Moreover, education is provided ‘free’ (that is, without the payment of direct fees) up to the tertiary level. This commitment to education in Barbados has reaped important dividends to the country. The rate of literacy stood at 98 percent between 2005 and 2007 (Digest of Labour Statistics, 2007). The country’s commitment to the development of its human resources has bestowed on it the singular honour of being the number one developing country in the world according to the UNDP’s Human Development Index (HDI). The responsibility for education and all matters pertaining to education in Barbados lies with the Ministry of Education (and Human Resources Development since 2008). The Ministry was established in 1954 under the portfolio of the Premier at that time. However, in 1958, the Ministry became a separate entity with its own administrative and technical staff. The present education system is governed by the Education Act which was passed in 1981. In addition to spelling out the role of the Minister of Education and the Chief Education Officer, it sets out the different stages of education that are provided and the management structure which guides each stage. The Minister of Education has the overall responsibility for all matters pertaining to education in Barbados, and he/she determines the overall policy of that Ministry. The Chief Education Officer heads the technical section of the Ministry and is chief professional advisor on pedagogical matters while the administrative section is headed by the Permanent Secretary, who is responsible for financial and general administrative matters (Education in Barbados, 2001). The education system in Barbados is based on the British model. It is divided into four tiers or stages with some overlapping of these stages. These different stages are: i.
Pre-primary or nursery: This stage caters to children between 3 and 5 years of age;
ii. Primary: Children between the ages of 5 and 12 are educated at this level; iii. Secondary: At this level children between the ages of 10+ and 16 are educated; iv. Tertiary: Students who have successfully completed secondary level education may opt to advance to this level or enter the world of work. In addition to ‘mainstream’ education, ‘special’ education is provided for students with special needs. For example, mentally or physically challenged children or those who learn at a slower pace can attend schools specially geared towards their needs. Students with behaviourial challenges are also catered for with the establishment of institutions geared specifically to address these situations so that they can eventually be integrated into mainstream education.
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Barbados Macroeconomic and Social Assessment 2010
6.1.1 A Historical Overview of Education in Barbados Formal education was introduced into Barbados in 1686 when two planters from the parish of St George donated land and a sum of money to establish a charity school. The beneficiaries of this gesture were not the children of slaves but those of poor whites. Subsequently two schools were built to provide for the education of colored boys and girls in 1781 and 1827, respectively. Following emancipation, estate schools were set up to educate the children of freed slaves. By 1850 the first Education Act was passed; through this act an educational committee and a part-time school inspector were installed. In 1858, the second education act was passed in which the part-time school inspector had become fulltime and more importantly, a curriculum was formally established. Pupil teachers were introduced. This rudimentary system in which the focus was on the three ‘Rs’ formed the basis of the present comprehensive educational system which provides upward mobility for many of the citizens of the country. Many important developments in education in Barbados took place during the 1967 -1994 period. Greater access to education at both the primary and secondary levels was certainly an important hallmark of this period. Tertiary level educational institutions were established. Free education was provided only after the establishment of Comprehensive Secondary schools or ‘Newer’ Secondary schools during the fifties. The Grammar schools which were in existence prior to this period catered to children of the elite at that time. Today, there is no distinction between the so-called Grammar schools and the Comprehensive schools as they both offer the same curriculum and are staffed by similarly qualified teachers. There was comprehensive training of all teachers at the primary and secondary levels. A full program of hot meals was established for students at the primary level and there was greater movement from primary to secondary school. Some of the other major changes which occurred during the period and which continue to make a significant contribution to the education system today were as follows [Ministry of Education, 2000]:
The University of the West Indies (formerly College of Arts and Science of the University of the West Indies established in 1963) was moved to its permanent home at Cave Hill in 1967;
The Barbados Community College was officially opened at its temporary location at Sherbourne in 1969;
The Samuel Jackman Prescod Polytechnic was officially opened in 1970
Several Newer Secondary Schools were built and 23 primary schools were either built or schools amalgamated to create a more efficient system;
School Meals service was established as a separate department;
The Textbook Loan Scheme was introduced;
The Ministry of Education officially implemented the continuing education program for school leavers and adults in three secondary schools.
In recent years, school children have been allowed to ride free of charge on the government’s transportation once there are in school uniforms. In 1995, plans were put in place to enhance the education system through the promulgation of a White Paper on Education Reform titled, ‘Each One Matters’ which spelt out the Ministry of Education’s policy to provide:
a sound basic education for each citizen 24
Barbados Macroeconomic and Social Assessment 2010
wide range of higher education opportunities
training in technical skills
special education facilities for the disadvantaged
In order to further enhance the system, in 2000, plans were put in place to restructure the education system with regards to the following areas:
curriculum reform
information technology
continuous assessment
teacher appraisal with a view to enhancing professionalism among teachers
6.1.2 Expenditure on Education and Supporting Infrastructure The physical infrastructure and human resources which support the educational system depend entirely on the government’s commitment to and financial support for education. Mindful of the role education must play in harnessing the full potential of the citizens of Barbados; it is little wonder that successive government administrations have committed a substantial part of total government expenditure to the education sector. Over the 1995 to 2007 period, for example, the total expenditure on education (comprising current and capital) varied between 19 and 22 percent for the financial years 1994-1995 to 2006-2007 [see Table 6.1]. In fact, education receives the second largest share of the government’s budget. The expenditure on education is directed towards several programs and sub-programs in that Ministry. For the period 1999/2000, 2000/2001 and 2001/2002, the programs which were earmarked for funding were basic education development, secondary education, tertiary education, direction and policy formulation, teacher training and adult education. With respect to Special Services, areas earmarked were school meals, examinations, pupil transport, audio visual aids and school uniforms. Table 6.1 Expenditure on Education in Barbados, 1994/95 - 2006/07 (Bds $million) Year
Current Capital A B 1994-1995 229 823 20 214 1995-1996 224 575 16 885 1996-1997 244 331 30 233 1997-1998 284 193 38 441 1998-1999 302 519 25 068 1999-2000 305 242 29 685 2000-2001 353 287 55 853 2001-2002 339 749 38 351 2002-2003 365 900 43 776 2003-2004 377 403 35 827 2004-2005 389 110 30 439 2005-2006 425 671 23 241 2006-2007 446 398 36 971 Source: Central Bank of Barbados, Annual Statistical Digest, various issues
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Total (A + B) 250 037 241 460 274 564 302 634 327 587 334 927 409 140 378 100 409 676 413 230 419 549 448 912 483 369
Education as % of Total Government Expenditure 22.85 20.22 20.23 20.14 20.72 20.06 22.67 19.62 20.56 20.76 20.51 19.09
Barbados Macroeconomic and Social Assessment 2010
6.1.3 Physical Infrastructure In the public sector, the student population is served at the pre-primary level by 78 pre-primary (nursery) divisions within primary schools. Additionally, there are 18 private nursery schools. Primary education is delivered through 84 primary schools which are distributed throughout the eleven parishes of the country. It is not surprising that the majority of these schools are located in St Michael, the most densely populated of all the parishes [see Table 6.2]. In the case of secondary education, there are 23 secondary schools, the majority of which again are located in St Michael. Of the 23 secondary schools, 2 are single sex schools while 21 are coeducational. Four of these secondary schools offer sixth form level education. In addition to public education, there are several private pre-primary, primary and secondary schools. Private schools are mainly secular but there are a few denominational institutions. Student enrolment at these institutions is usually less than 5 percent of total student enrolment in the public system. Under the Education Act Cap 11, all private schools must satisfy the education standards set by the Ministry. This means that they must provide education that is of a similar quality to that provided by public schools. The Government of Barbados provides assistance to all private secondary schools as follows: one member of staff is provided for a specified number of students in each private secondary school. Secondly, it provides annual grants to these institutions in order to assist them in the provision of computer-related technology which is equivalent to that provided in the government schools [EFA in the Caribbean: Assessment 2000]. Table 6.2: Distribution of Primary and Secondary Schools in Barbados by Parish Number of Schools Primary 9 3 8 6 4 3 4 32 4 7 4 84
Parish Christ Church St Andrew St George St James St John St Joseph St Lucy St Michael St Peter St Philip St Thomas Total Source: Ministry of Education
Secondary 2 1 1 2 1 1 1 9 3 1 1 23
At the primary and secondary levels, the Government of Barbados further facilitates the education process by providing free school meals for students at the primary level. This provision ensures that all students who attend public schools have adequate nutrition so as to enhance their ability to learn. At the secondary level, each student benefits from free text books through a text book loan scheme and a uniform grant. Furthermore, all students in school uniform have access to free public transportation to and from school. There are four special schools - The Irvine Wilson, Ann Hill, Alma Parris and the Edna Nicholls Centre - which cater to students with special needs. The Irvine Wilson provides education for students with visual and hearing impairment, while the Alma Parris and Ann Hill Schools cater to students with learning difficulties or mental disorders. The Edna Nicholls Centre was established to provide educational opportunities for those students with behavioural problems and who are suspended from mainstream schools. It ensures that they continue the school 26
Barbados Macroeconomic and Social Assessment 2010
curriculum while their problems are being addressed by the relevant professionals, following which they are integrated into the school system again. There are also two special schools in the private sector - The Challenor School for those who are mentally challenged and the Learning Centre. Both private schools receive assistance from the government. At the tertiary level, there are four such public institutions in Barbados. These are the University of the West Indies (Cave Hill Campus), the Barbados Community College, the Samuel Jackman Prescod Polytechnic and the Erdiston Teachers’ Training College. The University of the West Indies provides the highest level of tertiary or post-secondary education. There is also Codrington College which is affiliated to the UWI and offers theological education and training. The Barbados Institute of Management and Productivity (BIMAP) is a public-private sector institution which offers management training and education to the degree level. Several other private tertiary institutions also exist and provide specialized professional training.
6.1.4 Human Resources Pre-Primary/Nursery Level For the 2002-2003 period there were 1565 teachers employed in the delivery of pre-primary education. Of this number, 1224 were females while 342 were males. Teachers at this level are trained in early childhood education. Primary Level The minimum educational requirement for an individual who wishes to enter teaching at the primary level is four Subjects at the Caribbean Examination Council (CXC) General level. However, after a specified period of teaching such teachers must undergo training at the Erdiston Teachers’ Training College. Consequently, the majority of teachers in the primary system are trained professionally. This training consists of the successful completion of a two-year in-service training program at the Erdiston Teachers’ Training College. Data for the 2001-2 school year reveal that there was a total of 1508 teachers in the public primary education system. Of this number 340 or 22.5 percent were males, while 1168 or 77.5% were females. Table 6.3 further shows that 84.9 percent of all teachers in the primary school system for this period were trained teachers; of these teachers 52.5 percent were trained graduate teachers and 32.4 percent were trained non-graduates. Still a further glance at the data shows that of these trained graduate teachers, 633 were females, while only 149 were males. Approximately 6 percent of the total number of primary teachers were graduates but not trained. Again, the majority were females. There were 12 special grade teachers, nine of whom were males. At present, this category no longer exists but special grade teachers were mainly physical education teachers. Finally, the number of teachers in the category of untrained teachers was 133; almost half of them were males. This last category comprised only 8.8 percent of the total number of teachers in the primary education system in the 2001-2 period. In 2007, approximately 1600 teachers were assigned to the public primary schools with a very high proportion of them being trained and female.
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Barbados Macroeconomic and Social Assessment 2010 Table 6.3: Primary School Teachers according to Level of Training 2001-2002 Category of Teacher Trained Graduate Graduate Special Grade Trained Teacher Untrained Teacher Total
No 149 13 9 127 42 340
Male % 9.8 0.9 0.6 8.4 2.8 22.5
Female % 41.9 5.3 0.2 23.9 6.0 77.3
No 633 80 3 361 91 1168
No 782 93 12 488 133 1508
Total % 52.5 6.2 0.8 32.4 8.8 100
Secondary Level Data for the periods, 1999-2000, 2000-2001 and 2001-2002 show that the overwhelming number of teachers in the secondary system are trained graduates (that is, 60.2, 63.3 and 61.6, respectively). Graduate teachers are trained at the Faculty of Education of the University of the West Indies or at other teacher training institutions once this training is equivalent to that offered by the local teachers’ training institution [EFA in the Caribbean: Assessment 2000]. Non-graduate teachers at the secondary level are trained at the Erdiston Teachers’ Training College for a period of two years. Of all teachers in the system for the three periods the majority were females [see Table 6.4]. However, unlike the situation in the primary system, this difference in numbers was less. Table 6.4: Secondary School Teachers according to Level of Training 1999-2002 Category of Teacher Number Graduate - Trained 785 Untrained 241 Special Grade - Trained 20 Untrained 17 Teacher - Trained 148 Untrained 93 Total 1304 Male 565 Female 740 Source: Digest of Education Statistics, 2002
1999-2000 Percent 60.2 18.5 1.5 1.3 11.4 7.1 100 43.3 56.7
Number 805 217 14 20 138 78 1272 553 719
2000-2001 Percent 63.3 17.1 1.1 1.6 10.8 6.1 100 43.5 56.5
Number 794 263
2001-2002 Percent 61.6 20.4
49 107 75 1288 551 737
3.8 8.3 5.8 100 42.8 57.2
In 2003, the total number of teachers in the private secondary system stood at 97. No data were available as to the categories of teachers based on their educational background and training. In 2007, there were approximately 1400 teachers in the public secondary schools. The education system is also supported by a cadre of professional guidance counselors at the secondary level and educational psychologists at the primary level. While guidance counselors are in-house staff, educational psychologists make routine visits to primary schools. Tertiary Level With respect to tertiary level education, teachers and lecturers must possess the following qualification/training: those at the Barbados Community College and Erdiston Teachers’ College must be graduates and hold a teachers’
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Barbados Macroeconomic and Social Assessment 2010
training certificate, while University lecturers must hold post-graduate degrees, preferably a doctorate in the discipline in which they lecture.
6.1.5 School Curriculum and Enrolment
6.1.5.1.
Pre-Primary and Primary Levels
Curriculum At this stage of the education system, children between the ages of 3 and 5 pursue an Early Education Programme (ECE). The curriculum of the ECE Program has been designed to stimulate natural curiosity and critical thinking. Each child is allowed to develop at his or her own pace with appropriate stimulation. Play is an important component of the curriculum at this stage of the education process. At the primary level, between the ages of 5 and 7, students pursue an ECE programme while those between the ages of 7+ and 11+ pursue the National Curriculum. The core curriculum at the primary level for children aged between 7+ and 11+ is wide and varied and consists of the following subjects: Mathematics, Grammar, Spelling, Comprehension, Composition (Language Arts), Art and Craft, Music and Movement, Social Studies, Health and Family Life, Science, Spanish (some schools), Food and Nutrition and Religious and Moral Education and Information Technology. Between 10 and 12 years of age, primary school students write the Barbados Secondary School Entrance Examination (BSSEE) between May and June each year. This examination serves to allocate students into the different secondary schools based on their examination results. Students are tested in English and Mathematics. Based on their examination scores and choice of secondary schools and zoning, students are awarded places at these secondary schools space permitting. Those students who are not awarded places at Government secondary schools and those who choose to attend private secondary schools are awarded bursaries for assisted private secondary schools. Enrolment The compulsory nature of education in Barbados from primary to the secondary level ensures one hundred percent enrolment rate at each of these levels (that is a 100 percent transition rate). At the pre-primary level of education, gross enrolment for the period 1994-1995 to 2000-2001 ranged between 65 and 74 percent [see Table 6.5]. Preprimary or nursery education is not compulsory as provision as this level of education is only provided by the government where space is available in existing primary schools. It is estimated that the gross enrolment rate for the pre-primary level rose from 94% in 2006 to over 100% in 2010. During the period 1999/2000 to 2001/2002 there was a decline in enrolment by 3.6 percent reflecting the projected population decline for this age group. On the other hand, private primary enrolment showed a 12 percent increase. Table 6.6 shows primary enrolment in government schools for the period 1995 to 2009.
29
Barbados Macroeconomic and Social Assessment 2010 Table 6.5: Enrolment at the Pre-primary level, 1994/95 – 2000/01 Male Female Year Number Percent Number Percent Number 1994/1995 2449 62 2644 65 5093 1995/1996 2734 68 2790 69 5524 1996/1997 3021 75 3023 76 6044 1997/1998 2901 73 2903 74 5804 1998/1999 2914 74 2830 74 5744 1999/2000 2729 70 2751 72 5480 2000/2001 2628 70 2732 71 5630 Source: Ministry of Education: The Development of Education, National Report of Barbados, 2001
Total Percent 65 69 76 74 74 72 71
Table 6.6: Enrolment in Government Primary Schools, 1995-2009 (‘000) Year Total 1995 26.4 1996 26.81 1997 26.91 1998 32.01 1999 30.21 2000 28.94 2001 29.44 2002 29.00 2003 28.32 2004 27.82 2005 28.00 2006 27.61 2007 27.09 2008 25.29 2009 25.03 Source: Barbados Socio-Economic Data-Pocket Statistics (Ministry of Labour)
6.1.5.2.
Male 13.20 13.65 13.72 16.44 15.44 15.23 14.94 14.81 14.39 14.09 14.30 14.06 13.70 12.91 12.72
Female 13.20 13.56 15.70 14.79 13.06 14.48 14.50 14.18 13.94 13.73 13.69 13.54 13.39 12.38 12.31
Secondary Level
Curriculum Students at the secondary level pursue a wide range of subjects up to level 5. These subjects include English Language, English Literature, Mathematics, Additional Mathematics, French, Spanish, Science subjects (Physics, Chemistry, Biology, Agricultural Science and Integrated Science), Home Economics (Food and Nutrition), Clothing and Textiles, History, Geography, Social Studies, Economics, Commerce, Religious Education and Physical Education. In addition, vocational subjects are offered at this level and include: Metal Work, Wood Work, Technical Drawing, Typewriting, Office Practice, Principles of Accounts, Principles of Business and Information Technology. At the end of the fifth year at secondary school, students sit examinations in a range of subjects offered by the Caribbean Examination Council (CXC) at the general proficiency level. Those students who are successful at the CXC examinations may either enter the world of work at this stage or continue further studies at one of the four sixth form schools or at Barbados Community College (BCC) where they sit the Caribbean Advanced Proficiency Examinations (CAPE). Other options at this stage include pursuing a two-year Associate Degree at the Barbados 30
Barbados Macroeconomic and Social Assessment 2010
Community College. Some may opt to pursue a 4-year degree program at the University of the West Indies or choose to follow a technical/vocational education program at the Samuel Jackman Prescod Polytechnic (SJPP). Enrolment At the secondary level, enrolment over the same period declined by 6.0 percent [see Table 6.7]. The ratio of male to female enrolment was approximately 1:1 over the period 1996 to 2009. Table 6.7: Enrolment in Government Secondary Schools, 1996-2009 (‘000) Year Total 1996 21.5 1997 21.2 1998 21.0 1999 20.44 2000 20.18 2001 21.44 2002 21.51 2003 21.88 2004 21.93 2005 21.54 2006 21.45 2007 21.38 2008 19.69 2009 19.33 Source: Barbados Socio-Economic Data-Pocket Statistics (Ministry of Labour)
6.1.5.3.
Male 10.7 10.5 10.4 10.18 10.23 10.76 10.71 10.93 11.08 10.68 10.69 10.67 9.98 9.88
Female 10.8 10.7 10.6 10.26 9.95 10.68 10.80 10.95 10.85 10.86 10.75 10.71 9.72 9.45
Tertiary Level
Samuel Jackman Prescod Polytechnic Curriculum The curriculum of the SJPP seeks to provide occupational competencies and trade skills in several areas. These areas include Automotive Engineering, Building Trades. Electrical Engineering, Agriculture, Commercial, Human Ecology and Mechanical Engineering. Upon successful completion of a particular course of study, the student is awarded a certificate from the SJPP or from an overseas examining body such as City and Guilds of London and the Royal Society of Arts. Enrolment The total number of full-time students who were enrolled at the Samuel Jackman Polytechnic during the 1999 to 2002 period grew from 935 during 1999-2000 to only 954 in 2001-2002, representing a 1.9 percent increase. However, the number of students who were enrolled on a part-time basis over the same period was double the number of full time students. Throughout the period the number of males enrolled in both full and part-time courses outnumbered that of females, reflecting the male orientation of course offerings at that institution [see Table 6.8]. The institution offers a number of short courses which makes it attractive to a number of individuals. Table 6.12 provides additional enrolment data which shows total enrolment grew from 2504 students in 19992000 to 2972 in 2001-2002 but fell to 2872 in 2008-9. There was a recovery in 2010-11with a total enrolment of 3073 students. Since this data is not disaggregated into type or student, sex or department, it is not possible to comment on any change in enrolment pattern by department or sex. The available data suggest a gender 31
Barbados Macroeconomic and Social Assessment 2010
differential in enrolment by subject area with females dominant in commercial and human ecology areas, while men dominate in the engineering construction and related areas. Table 6.8: Student Enrolment at the Samuel Jackman Polytechnic by Sex and Department: 1999-2000 - 2001-2002 1999-2000 Department Male Female Total Automotive Engineering 139 2 141 Building Trades 180 23 203 Electrical Engineering 146 13 159 Agriculture 32 10 42 Commercial 3 117 120 Human Ecology 6 172 178 Mechanical Engineering 81 11 92 Sub-Total 587 348 935 Part-Time 1009 560 1569 TOTAL 1596 908 2504 Source: Ministry of Education, Youth Affairs and Sports
2000-2001 Male Female 156 3 164 23 147 19 32 15 10 116 5 174 79 10 593 360 978 890 1571 1250
Total 159 187 165 47 126 179 89 953 1868 2821
2001-2002 Male Female 142 5 151 31 159 17 27 12 14 108 8 187 81 12 582 372 1097 922 1679 1294
Total 147 182 176 39 122 195 93 954 2019 2973
Barbados Community College Curriculum The Barbados Community College offers studies mainly in technical, paraprofessional and pre-university level courses. The curriculum includes Commerce, Computer Studies, Fine Arts, General Education, Health Science, Hospitality Studies, Language Centre, Liberal Arts, Physical Education, Science and Technology. The Community College offers Bachelor Degrees, Associate Degrees, Diplomas and Certificates (including a threeyear Basic Nursing Course which leads to the Registered Nurse Certificate). Enrolment During the period 1999-2002, the majority of full time students who were enrolled at the Barbados Community College were females. The increase in student enrolment over the period was 37 percent. Of note was the fact that the ratio of males to females, for the period was 1:2. The majority of full-time students were registered in the Division of Language, Commerce and Hospitality studies and Computer Studies [see Table 6.9]. With respect to part-time students, the same trend was seen in choice of course of study, with Commerce and Hospitality Studies being in the forefront. Overall, female students were enrolled in Languages by an overwhelming majority compared to males. The number of females enrolled in the Department of Health Science and Science were noticeably greater than that of males. Only in the area of Technology did the number of male students outnumber that of females for the entire period.
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Barbados Macroeconomic and Social Assessment 2010 Table 6.9: Enrolment at the Barbados Community College by Division and Sex 1999/2000 - 2001/2002 Division Male Commerce 104 Computer Studies 153 Fine Arts 58 General Education 15 Health Science 47 Hospitality Studies 53 Language Centre 96 Liberal Arts 83 Physical Education 16 Science 111 Technology 103 Total 839 Source: Digest of Education Statistics, 2002
1999-2000 Fem Total 306 410 145 298 70 128 41 56 200 247 190 243 362 458 184 267 4 20 172 283 21 124 1695 2534
Male 172 153 67 16 88 104 82 71 0 111 118 980
2000-2001 Fem Total 403 575 127 280 89 156 44 60 249 335 333 437 261 343 159 230 0 0 182 293 19 137 1866 2846
Male 236 259 85 35 86 130 128 71 14 111 197 1352
2001-2002 Fem Total 635 871 301 580 148 233 107 142 249 335 481 611 397 525 159 230 10 24 182 293 24 221 2693 4045
Erdiston Teachers’ Training College Curriculum The Erdiston Teachers’ College offers a two-year in-service program for teachers. Along with this program several others are offered. These include the following:
Certificate in Education
Diploma in Education
Technical and Vocational Training
Bachelor of Education.
Enrolment During the period 1999/2000 to 2001/2, the total numbers of teachers trained in the various programs ranged from 93 in 1999/200 to 108 in 2001/2 and 94 in 2001/2 [see Table 6.10]. The data reveal that during 1999 to 2001, the majority of teachers were enrolled in the two-year in-service program and in the Certificate in Education program. The numbers enrolled for the Bachelor of Education were 23 in 2000/1 and 21 in 2001/2. Except for the Technical/Vocational Program, which had a majority of male students, the majority of the students enrolled in all the other programs were females. In addition to full-time programs, the College also offers programs on a parttime basis
33
Barbados Macroeconomic and Social Assessment 2010 Table 6.10: Erdiston Teachers’ Training College: Full-time Enrolment by Course and Year, 1999/2000 - 2001/2 Program M Two Year In Service 3 Certificate in Education 6 Diploma in Education 8 Technical/Vocational 11 Bachelor of Education 0 Total 28 Source: Ministry of Education, Youth and Sports
1999-2000 F T 29 32 23 29 10 18 3 14 0 0 65 93
M 3 12 0 9 8 32
2000-2001 F T 29 32 28 40 0 0 4 13 15 23 76 108
M 9 0 0 7 6 22
2001-2002 F T 53 62 0 0 0 0 4 11 15 21 72 94
University of the West Indies (Cave Hill Campus) Curriculum The University of the West Indies at Cave Hill offers undergraduate as well as postgraduate programs in the five faculties of the university campus. These are the Faculties of Social Sciences, Science and Technology, Law, Humanities and Education and Medicine A wide range of courses are delivered through the faculties and students can pursue studies at the undergraduate and postgraduate levels. In recent years, there has been an increase in the number of candidates in the PhD programmes. Enrolment Admission to the Bachelor’s Degree program in most faculties of the University occurs at two levels. Students who hold CXC’s certificates (CSEC) only must undertake a four year degree programme. On the other hand, students can enter directly into the three-year programmed based on the relevant CAPE qualifications or the associate degree. The Master’s Degree program entails a further one or two year period of study following completion of the Bachelor’s Degree, while a doctorate is awarded upon successful completion of a period of further study and research. The total number of Barbadian students who were enrolled at the Cave Hill Campus of the University of the West Indies in undergraduate programs increased in number from 3033 in 2002-3 to 5500 in 2008-9, representing an increase of 44.8 percent [see Tables 6.11 and 6.12]. At the undergraduate level, the total number of female students was more than twice that of male students for each academic year and in every faculty except Science and Technology. At the undergraduate level, the total number of male students increased from 1011 in 2002-2003 to 1789 in 2008-2009, representing an overall increase of 43.5 percent. This overall increase in the total number of males enrolled was slightly less than the increase in total female enrolment, which stood at 45.5 percent for the same period. The majority of undergraduate students (that is, both males and females) were enrolled in the Faculty of Social Sciences for the period, while second largest number were enrolled in the Faculty of Science and Technology. This was followed by the Humanities. During the 2002-2009 period, female students also outnumbered their male counterparts at the postgraduate level. The total number of postgraduate students registered rose from 459 in 2002-3 to 529 in 2008-2009; this difference represents an increase of 13.2 percent. For the 2009-2010 period, over 1200 students were admitted to undertake postgraduate studies across the five faculties of the cave Hill Campus of the University (Daily Nation, March 2010). This number grew from a total of 529 for the 2008-9 period (see Table 6.12). 34
Barbados Macroeconomic and Social Assessment 2010 Table 6.11: Barbadian Undergraduate Students enrolled at UWI by Faculty 2007-8 - 2008-9 Faculty Social Sciences Science and Technology Medicine and Research Law Humanities School of Education Total Source: Ministry of Education
2007-2008 Male 813 499 15 24 246 40 1637
Female 1986 409 37 63 642 174 3310
Total 2799 907 52 87 888 214 4947
2008-2009 Male Female 933 2248 487 376 10 39 26 51 297 861 36 136 1789 3711
Total 3181 863 49 77 1158 172 5500
With respect to tertiary level education, the data from table 6.12 show that during the period 2002/3 to 2008/9: i.
there was a steady increase in the number of students in all the institutions with the exception of the Erdiston Teachers’ College which showed a reduced intake during the period 2005/6 - 2006/7. In the case of the University of the West Indies (UWI) female student enrolment outstripped that of male enrolment at both undergraduate and postgraduate levels;
ii. the number of females enrolled at the University of the West Indies, the Barbados Community College and Erdiston Teachers’ College was greater by far than the number males at the same institutions. iii. male enrolment at the Samuel Jackman Polytechnic exceeded that of female but not by a wide margin. Even though this institution offers technical and vocational training geared mainly towards males, the number of females who attended during the study period continued to climb steadily. Overall, female students were enrolled in Languages by an overwhelming majority compared to males. The number of females enrolled in the Department of Health Science and Science were noticeably greater than that of males. Only in the area of Technology did the number of male students outnumber that of females for the entire period.
35
Barbados Macroeconomic and Social Assessment 2010
Table 6.12: Student Enrolment at Tertiary Institutions in Barbados 2002/3 - 2008/9 Institution UWI Undergrad Postgrad Total BCC SJPP Erdiston
M 1011 167 1178 1277 1498 93
2002-3 F T 2022 292 2314 2420 1474 130
3033 459 3492 3697 2972 233
M 1160 182 1342 1116 1593 87
2003-4 F T 2370 306 2676 2332 1351 139
3530 488 4018 3448 2944 226
M 1121 184 1305 1242 1843 87
2004-5 F T 2244 322 2566 2483 1518 139
3365 506 3671 3725 3161 226
M 1388 207 1595 1429 1726 32
Source: Barbados, Socioeconomic Data, 2009 Notes: UWI - University of the West Indies BCC - Barbados Community College SJPP - Samuel Jackman Polytechnic
36
2005-6 F T 2825 363 3187 2655 1110 67
4213 569 4782 4144 2836 99
M 1475 163 1638 1326 1524 50
2006-7 F T 3083 330 3413 2539 1248 138
4558 493 5051 3865 2772 188
M 1637 146 1783 1402 1632 40
2007-8 F T 3310 280 3590 2886 1516 192
4947 426 5373 4288 3148 241
M 1789 186 1975 1459 1360 84
2008-9 F T 3711 343 4054 3001 1512 217
5500 529 6029 4460 2872 301
Barbados Macroeconomic and Social Assessment 2010
6.1.6 Output of the Education System 6.1.6.1.
Primary Level Output
Between 1996 and 2004, over three thousand students took the examination annually. A summary of the BSSEE results for the period 1996 and 2004 is presented in Table 6.13 Data on the National Mean of BSSEE by sex for the period 1999 to 2002 reveal that, on average, females did much better than males in English and Mathematics [see Table 6.14]. Additionally, data for the same period indicate that the majority of students who took the examination before the age of 11 were females, while a large number of male students were deferred especially in 2000/1 and 2001/2 (Digest of Education Statistics, 2002). Table 6.13: Summary of BSSEE Results, 1996-2004 Year 1996 1997 1998 1999 2000 2001 2002 2003 2004 Source: Ministry of Education
Male 1968 1868 1938 1852 1979 2085 2033 2078 1986
Female 1963 1970 1876 1759 1847 2061 2019 2119 1884
Total 3931 3838 3814 3611 3826 4146 4052 4107 3970
Table 6.14: National Mean of BSSEE by Gender 1999/2000 - 2001-2002 Year Male 1999-2000 38.70 2000-2001 45.25 2001-2002 53.44 Source: Ministry of Education
6.1.6.2.
Female 50.34 51.99 62.65
English Overall 46.22 48.41 58.05
Male 36.09 57.44 46.41
Female 44.16 62.88 54.13
Mathematics Overall 41.64 59.85 50.27
Secondary Level Output
Caribbean Examination Council results for the period 1999/2000 - 2001/2002 reveal that over 90 percent of students consistently passed in the technical/vocational subjects, Clothing and Textiles and Food and Nutrition. On the whole there were greater percentages passes in the technical and vocational areas for the period [see Table 6.15]. While 73 percent of students who sat English passed, only 57 percent who sat Mathematics during this period passed (Digest of Education Statistics, 2002). According to Table 6.16, for the period 1995 to 2006, the number of females who were successful at these examinations outnumbered males by a wide margin in every year of the examination. This trend was observed at both the public and private education system. This difference in performance by sex was much greater in the private system. When one considers that the numbers of males and females who enter the secondary school system are approximately the same, the difference in performance is even more glaring. This difference in performance at the secondary level may explain why larger numbers of females than males go on to enroll at tertiary institutions such as the Barbados Community College and the University of the West Indies to pursue 37
Barbados Macroeconomic and Social Assessment 2010
academic subjects while more males are enrolled at the Samuel Jackman Polytechnic where they pursue technical and vocational education or join the world of work. Table 6.15: National CXC Examination Results: General/Technical Proficiency Level 1999/2000 – 2001/2002 % Passes >90 %
> 80%
> 70%
> 60%
1999-2000 Subject Clothing/Textile Food Nutrition Geography Integrated Science Music Principles of Business Metals Office Procedures Technical Drawing Visual Arts Woods Agricultural Science Biology Caribbean History Chemistry English A, English B Mathematics Principles of Accounts Social Studies Spanish
2000-2001 %Passes Subject >90% Clothing/Textile Metals Agricultural Science Food and Nutrition Home Economics Integrated Science >80% Information Technology Music Social Studies Visual Arts Woods Caribbean History English A Geography >70% Music Spanish Technical Drawing Biology Building Technology French, Electronics >60% Physics Principles of Accounts Principles of Business
Source: Ministry of Education: Digest of Education Statistics, 1999-2002
38
2001-2002 %Passes Subject >90% Clothing /Textile Food and Nutrition Caribbean History Geography Home Economics >80% Integrated Science Office Procedures Social Studies Woods English A Physics >70% Principles of Business Spanish Visual Arts Agricultural Science Biology Chemistry English B French >60% Electrical Technology Information Technology Mechanical Engineering Music Principles of Accounts Technical Drawing
Barbados Macroeconomic and Social Assessment 2010
Table 6.16: Passes at CXC General Proficiency Level Examinations, 1995-2007 Public Total
1995
1996
1997
1998
8484 9292 10404 11194 Male 3327 3809 4201 4410 Female 5157 5483 6203 6784 Private Total 1065 1355 1369 2505 Male 312 371 374 741 Female 753 984 995 1764 Source : Ministry of Education and Human Resource Development
1999
2000
2001
2002
2003
2004
2005
2006
11496 4603 6893
11222 4508 6714
12004 4804 7200
12681 4984 7697
14867 5500 9367
15065 5813 9252
13308 5730 9578
16402 6094 10302
2316 617 1699
1692 512 1180
1721 556 1165
2021 571 1450
212 84 128
n.a. n.a. n.a.
n.a. n.a. n.a.
n.a. n.a. n.a.
39
2007 7919 2891 5028 n.a. n.a. n.a.
Barbados Macroeconomic and Social Assessment 2010
6.1.6.3.
Tertiary Level Output
Between 1995 and 2007, the number of graduates particularly from the University of the West Indies (Cave Hill), the Barbados Community College and the Samuel Jackman Prescod Polytechnic increased significantly. Except for the polytechnic, the overwhelming majority of graduates for the period were females. Samuel Jackman Prescod Polytechnic The number of graduates from this institution for the period under investigation varied. In 1995, there were only 250 graduates and, despite fluctuation in the number, by 2005, there was an increase of over 200 percent in the number of graduates from this institution (see Table 6.17). Table 6.17: Number of SJPP Graduates, 1995-2007 (000) Year Male 1995 0.19 1996 0.21 1997 0.60 1998 0.67 1999 0.64 2000 0.62 2001 0.33 2002 0.62 2003 0.59 2004 0.46 2005 0.49 2006 0.14 2007 0.43 2008 0.44 Source: Ministry of Labour: Digest of Labour Statistics, 2007
Female 0.06 0.16 0.51 0.05 0.66 0.35 0.79 0.35 0.37 0.43 0.37 0.19 0.40 0.38
Total 0.25 0.37 1.11 1.17 1.30 0.97 1.12 0.97 0.96 0.89 0.86 0.32 0.83 0.82
On the whole, the overwhelming majority of graduates for the period were males. This comes as no surprise since the curriculum is geared towards male-oriented courses. Barbados Community College Barbados Community College graduates during the period 1995 to 2007 are shown in Table 6.18. For the entire period female graduates far outnumbered male graduates. Unfortunately, the data are not disaggregated by program so it is not possible to indicate the areas where either sex dominated.
40
Barbados Macroeconomic and Social Assessment 2010 Table 6.18: Number of BCC Graduates by Sex, 1995-2007 (000) Year Male Female 1995 0.48 0.88 1996 0.21 0.63 1997 0.36 0.99 1998 0.15 0.33 1999 0.22 0.37 2000 0.43 1.14 2001 0.46 1.05 2002 0.45 1.09 2003 0.43 1.10 2004 0.25 .64 2005 0.29 0.64 2006 0.40 0.89 2007 0.30 0.69 2008 0.30 0.92 Source: Ministry of Labour, Digest of Labour Statistics, various issues
Total 1.36 0.84 1.35 0.48 0.59 1.57 1.51 1.54 1.53 0.89 0.93 1.29 0.99 1.28
Erdiston Teachers’ Training College Data for three periods, 1999-2000, 2000-2001 and 2001-2002 show that the total number of graduates of the college increased from 93 during the 1999-2000 period to 103 over the 2000-2001 period but fell to 94 during the 2001-2002 period [see Table 6.19]. The distribution of graduates by sex reflects the pattern seen in the teaching profession at the primary and secondary levels of the education system, that is, an over-representation of females. Only in the technical and vocational program did the number of male graduates surpass that of female graduates. Table 6.19: Erdiston Teachers’ Training College Graduates, 1999-2002 (number) 1999-2000 Program Total Male Female 2-year in-service 32 3 29 Certificate in Education 29 6 23 Diploma in Education 18 8 10 Technical/Vocational 14 11 3 Bachelor of Education 0 0 0 Total 93 28 65 Source: University of the West Indies (Cave Hill Campus)
Total 32 40 0 13 23 108
Male 3 12 0 9 8 32
2000-2001 Female 29 28 0 4 15 76
Total 62 0 0 11 21 94
Male 9 0 0 7 6 22
2001-2002 Female 53 0 0 4 15 72
Between the period 1995 and 2007, the number of graduates of the University of the West Indies fluctuated. In 1995, there were 370 graduates. In 2007 this number had almost tripled to 930, with some fluctuation in the intervening years [see Table 6.20]. The number of female graduates outnumbered that of male graduates by a ratio of approximately 2:1. Data are not available according faculty but given the trend shown in enrolment by sex, it follows that female graduates surpassed male in nearly all faculties of this institution.
41
Barbados Macroeconomic and Social Assessment 2010 Table 6.20: Number of UWI Graduates according to Sex, 1995-2007 Year 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Source: Digest of Labour Statistics, various issues
6.2.
Total 370 410 430 500 540 780 740 760 650 720 1010 850 930 1000
Male 120 150 150 170 190 250 260 260 230 230 300 230 280 300
Female 250 260 280 330 350 530 480 500 420 490 710 620 650 700
Health Conditions
The health sector in Barbados has played a pivotal role in underpinning the socioeconomic development of the country since independence in 1966. Health policies of successive administrations of government have fostered a high quality of health care that is free to the public at the point of delivery. Much focus has been placed in the delivery of primary health in a comprehensive manner mainly through a system of polyclinics located across the country.
6.2.1 Objectives of the Health Sector To a large extent, the provision of health services in Barbados has been the responsibility of the Government of Barbados through the Ministry of Health. The objectives of the Ministry of Health with respect to health care provision have been (Barbados Economic and Social Report, 1995): i.
to promote health
ii. to provide comprehensive health care and ensure that Barbados’ natural and historical resources are properly managed through environmentally sound principles in all aspects of development planning iii. to provide primary, secondary, tertiary and emergency care as well as care for the elderly iv. to provide a continuous supply of drugs to institutions and the public v. to provide rehabilitative care for the disabled and vi. to support health promotion programs In addition to the Government’s involvement in the delivery of health care, there is also a growing private sector interest in this area. Additionally, there are non-governmental organisations (NGOs) with interest in specialized areas of health. Collectively, they are all stakeholders in health care.
42
Barbados Macroeconomic and Social Assessment 2010
6.2.2 Health Infrastructure The population of Barbados is served by a wide network of health facilities consisting of hospitals, polyclinics, satellite clinics and private health care facilities. The Queen Elizabeth Hospital (QEH), a 600-bed teaching and research institution, is the premier health facility in the country. It provides acute, secondary, tertiary and emergency care. Successive governments have focused attention on primary health care and public health as a means of improving the health of the population on a sustained basis. To this end eight polyclinics were built and strategically located across the eleven parishes. The polyclinics are the first point of contact with health care services for communities across the country for several persons. In addition, there are four satellite clinics. The polyclinics provide a wide range of preventive and rehabilitative services that is comprehensive in nature. These services include maternal and child health, immunization, oral health, ophthalmic service, general practice service, diabetes and hypertension clinics, nutrition education, physiotherapy, pharmaceuticals, environmental health and limited mental health care. Additionally, there are four district hospitals and one geriatric hospital which provide care for the elderly. Mental health services are provided by the Psychiatric Hospital. All government-run institutions provide health care free of charge at the point of delivery to citizens of Barbados. There is, however, provision for private care at the Queen Elizabeth Hospital on a limited basis. Public health care is supplemented by a private health care system consisting of two hospitals, much smaller in size and scope than the QEH with a total complement of 32 beds. There are also three medical centres which offer mainly acute and emergency care on a 24-hour basis. Further private care is delivered through a number of private medical practitioners. On the whole, there are 66 hospital beds per 10,000 persons in Barbados (WHO, 2009). While there is no global norm, this figure compares favourably with that of the European region where there are 63 beds per 10,000 persons. This is in stark contrast to regions in the world where the number of beds per10,000 population is listed as 10.
6.2.3 Public Expenditure on Health Successive administrations of government in Barbados have been steadfast in their commitment to health care as reflected in the proportion of government expenditure that is allocated to the health sector. Overall, the health sector receives the third largest share of total government expenditure. Current and capital expenditure data on health between fiscal years 1994/95 and 2005/6 reveal that over 15 percent of total government expenditure was directed towards the Ministry of Health (see Table 6.21). During the 1996/7 fiscal year, the Ministry of Health was allocated over 22 percent of total government expenditure. Recurrent expenditure in that fiscal year amounted to Bds $145m, while capital expenditure stood at Bds $8.2m. Approximately 23.9 percent of the recurrent health budget is allocated to primary health care programs. The QEH receives over 68 percent of Hospital Services budget and these funds are used to provide in-patient, out-patient and support services. Hospital Services program includes the QEH, the Emergency Ambulance Service, Psychiatric Hospital, Care of the Elderly and the Medical Aid Scheme.
43
Barbados Macroeconomic and Social Assessment 2010 Table 6.21: Government Expenditure on Health 1994/95-2005/06 Bds$000 Current Expenditure Total Health Expend Expend Percent 1994/95 990215 145054 14.6 1995/96 1058916 152992 14.4 1996/97 1134248 159234 14.0 1997/98 1254937 163547 13.0 1998/99 1332881 178609 13.4 1999/00 1407288 191945 13.6 2000/01 1514402 202678 13.4 2001/02 1582077 219887 13.9 2002/03 1671492 233756 13.9 2003/04 1745499 239868 13.7 2004/05 1822461 248698 13.6 2005/06 1984166 263129 13.3 2006/07 2096037 287276 13.7 Source: Central Bank of Barbados, Annual Statistical Digest, 2007 Fiscal Year
Capital Expenditure Health Expend Percent 8282 7.9 7710 5.7 8122 3.7 6676 2.7 5782 2.3 6618 2.5 8574 2.9 10218 3.0 12968 4.0 5694 2.3 5825 2.6 5926 2.3 6232 2.4
Total Expend 103810 135362 219647 247412 247821 261795 290610 334645 321087 244827 223451 252379 255169
Total Health Exp (%) 22.5 20.1 17.7 15.7 15.7 16.1 16.3 16.9 17.7 16.0 16.2 15.6 16.1
For the fiscal year 2008/9, funds allocated to the health budget amounted to Bds $471.2m which represented an improvement of Bds$101.4m over the 2007/8 financial year. Forty-five percent of these funds went to hospital services in order to cover the operations of the QEH (i.e., emergency care, acute care and secondary care as well as medical aid). Eight percent was directed towards the care of the elderly and district hospitals, while the Pharmaceutical program received Bds$43m or 9 percent of the total budget. In addition, primary health care and environmental health services received 6.1 and 18.0 percent, respectively. Between 2002 and 2006, Barbados’ health expenditure per capita was increased from US$625 to US $774 (see Table 6.22). On average, global spending on health for 2006 was 8.7 percent of the gross domestic product. The highest level of spending, 12.8 percent was seen in the Americas and the lowest or 3.4 percent in South East Asia (WHO, 2009). In Barbados, government spending on health amounted to 6.6 percent of GDP. Table 6.22: Barbados’ Health Expenditure per capita 2002-2006, (current US$) Year 2002 2003 Amount (US$ 625 645 Source: World Bank, World Development Indicators, nd
6.2.4
2004 688
2005 729
2006 774
Human Resources
Adequate skilled human resources are necessary if the government is to meet the health care needs of the population. The total numbers of persons in selected areas of health for the period 1995 to 2007 are shown in Table 6.23. Between 2000 and 2007, Barbados recorded a density of 13.7 physicians per 10,000 population. Globally, the number of physicians per 10,000 population stands at 13, varying from 2 per 10,000 population in the African region to 32 per 10,000 population in the European region. With respect to nursing staff, in 1999, there were 51.2 nurses and midwives per 10,000 population. Globally, there are 29 nurses and midwives per 10,000 population (WHO, 2009). Total health workers (that is, physicians and nurses) in Barbados in 1999 stood at 64.9 per 10,000 population. This figure exceeds by far the minimum number the WHO estimates that is required to satisfy the primary health care requirements for a country in order for it to fulfill the Millennium Development Goals. 44
Barbados Macroeconomic and Social Assessment 2010
Barbados experienced a significant loss in its nursing staff in 2002 (see Table 6.23) as locally trained nurses migrated to Europe where they felt greater economic opportunities and opportunities for advancement awaited them. The Government of Barbados responded to the shortfall in nursing personnel by importing nurses from the Phillipines, Nigeria and, more recently, from some CARICOM countries. This measure is regarded as short term one as the Government has increased the number of students enrolled in the three-year registered nurses program offered at the Barbados Community College. Table 6.23: Selected Health Care Professionals in Barbados 1995 - 2007 Category 1995 1997 1999 2001 Doctors/Physicians 172 291 333 366 Registered Nurses 358 632 1019 1152 Midwives 157 318 427 495 Pharmacists 105 169 145 189 Dentists 50 51 57 53 Nutritionists 11 11 11 13 Medical Lab Technologists 25 32 49 51 Environmental Health Inspectors* 94 n.a. n.a. n.a. Source: Ministry of Labour and the Civil Service: Digest of Labour Statistics, various issues *Annual Report of the Chief Medical Officer, 2002-2003
2003 319 570 285 146 27 13 26 n.a.
2005 432 594 245 232 61 n.a. 32 100
2007 420 720 241 230 68 3 32 n.a.
6.2.5 Pharmaceutical Program The Barbados Drug Service consists of fourteen (14) pharmacies located across the country. The Service was established in 1980 in order to provide prescription drugs free of charge to qualified recipients. It controls the importation and distribution of essential drugs in the country. The Service has been effective in controlling the expenditure on procurement of drugs. In Barbados, prescription drugs are available free of charge to children under 16 years of age and adults over 65 years of age as well as those suffering from conditions such as diabetes, asthma, cancer, hypertension and epilepsy through a Special Benefit Service. In order to better facilitate the dispensing of these medications, the Service has established contractual agreements with private pharmacies so as to meet the prescription requirements of patients. For the 2004/5 fiscal year, more than one million prescriptions were submitted by private pharmacies that participate in the Special Benefit Service at a cost of over Bds$11m to the Government of Barbados. Table 6.24 shows the number of prescriptions processed by private pharmacies on behalf of the Ministry of Health and the amounts reimbursed. The number prescriptions filled by private pharmacies almost doubled over the period. In 2009-10 over 770,000 prescriptions were filled in the public sector at a cost of $14.4 million.
45
Barbados Macroeconomic and Social Assessment 2010 Table 6.24: Special Benefits Statistics for the year April 1994 to March 31, 2003 Prescription Number 578,808 692,735 743,765 803,890 806,950 786,738 n.a. 921,110 955,000
Year 1994-1995 1995-1996 1996-1997 1997-1998 1998-1999 1999-2000 2000-2001 2001-2002 2002-2003 Source: Barbados Drug Service
Reimbursement Bds$ 8,307,134.00 10,221,586.57 11,437,887.32 10,857,428.00 9,273,790.00 13,590,362.79 15,798,637.00 17,360,242.00 18,814.31
6.2.6 Family Planning Program Between 1955 and 1994, the population of Barbados grew by 15 percent, with growth in the 15-29 years age group increasing by 24 percent (Barbados Social and Economic Report, 1997). In 1995, the population stood at 264 thousand and in 2010, the figure rose to 276 thousand. The rate of population growth has remained rather small since 1995 (see Table 6.25). During the 1997 to 2007 period, while the world’s population growth rate stood at 1.3 percent, while that of Barbados, for the corresponding period averaged 0.3 percent. The total fertility rate for the decade of the nineties remained below 2 children per woman in the 15 to 49 years age group (Barbados Social and Economic Report, 1997). However, with a population density of 625 persons per square kilometer, in 2005, Barbados had the distinction of being the tenth most populous nation in the world. Table 6.25: Rates of Birth, Death and Natural Increase, 1995-2010 Population (000) Birth Rate Year (000) 1995 264.4 13.1 1996 264.6 13.3 1997 266.1 14.3 1998 266.8 13.6 1999 267.4 14.5 2000 269.1 14.0 2001 270.4 15.0 2002 271.3 14.1 2003 272.2 13.8 2004 272.7 12.7 2004 273.4 12.8 2006 274.0 12.4 2007 274.7 12.9 2008 275.3P 12.9 2009 275.7p 12.9 2010 276.3 12.9 Source: Barbados Statistical Service, Ministry of Health
Death Rate (000) 9.4 9.1 8.7 9.3 9.0 9.1 8.9 8.5 8.4 8.9 7.9 8.5 8.1 9.0 8.8 8.0
Rate of Nat Increase (000) 3.7 4.2 5.6 4.3 5.5 5.0 6.1 5.6 5.4 3.8 4.9 3.9 4.8 3.9 4.1 4.2
Rate of Pop Growth (%) 0.4 0.1 0.6 0.4 0.2 0.6 0.6 0.3 0.3 0.2 0.3 0.2 0.3 0.2 0.1 0.2
Successive administrations of government in Barbados have recognized that in order for the country to sustain the gains it had achieved in social and economic development it was necessary to control population growth. In fact, 46
Barbados Macroeconomic and Social Assessment 2010
by controlling population growth every citizen stood to benefit from a better quality of life. Barbados has been able to control its population through the implementation of a family planning program. The Barbados Family Planning Association was established in 1953 in order to fulfill this objective. The Barbados Family Association (BFPA), a non-governmental organisation, is the main agency offering a wide range of services in the area of family planning. These services include family life education and peer counseling which target adolescents and young adults thus enabling them to better manage their sexual and reproductive health. In addition, pap smears, pregnancy tests, contraceptives as well as sterilization services are available to the public (see Table 6.26). Clients obtain these services through visits to the Association. Demand for contraceptive services decreased by 16 to 20 percent in 2001, though the community-based distribution of contraceptive services showed some increase in the volume of items sold. This finding probably speaks to the desire of clients to avoid the stigma that is associated with visits to t0he BFPA office. Pregnancy tests for the period mentioned above were also down by 39 percent. On the whole, there was a decline in the use of the Association’s services in 2001. The services of the Association can now be accessed at all of the island’s polyclinics. There is ongoing training for nurses who work in this area. Table 6.26: Medical and Clinical Services offered by the BFPA 1999-2001 1999
2000
2001
New clients/acceptor visits 3164 Old Clients/Acceptor visits 10672 Total clients/Acceptor visits 13836 Contraceptive visits 5146 Pap Smear Tests 1573 Pregnancy Tests 987 Doctors attended 4811 Advice Counselling 4321 Sterilization - Tubal ligation 13 Vasectomy 18 Source: Ministry of Health; Barbados Family Planning Association
2020 10543 12563 4694 1667 1156 5002 3629 15 16
1062 8999 10061 3943 1602 700 4791 3840 16 6
2000-2002 % Change (47) (14) (19) (16) (3) (39) (4) 6 19 (61)
6.2.7 Maternal Health Maternal and child health services to mother and child and adolescents are the main focus of the health care delivery service at polyclinics. Women of child bearing age benefit from free ante- and post-natal care which is delivered through these polyclinics. In addition to these services, family life development which includes family planning and nutrition counseling are offered. Women across the island have access to these services mainly because polyclinics and satellite clinics are strategically located to reach particular catchment areas. A well-developed network of roads further improves access. According to the Ministry of Health’s record, between 2000 and 2008, there was 100 percent ante-natal coverage for pregnant women and between 1990 and 2008, 100 percent of all births were attended by skilled health personnel. Between the 30th and 36th week of pregnancy, all antenatal cases are referred to the Queen Elizabeth Hospital for continued care prior to delivery. Pregnant women who are HIV positive are given the antiretroviral drug, AZT. It has been shown that only 5 percent of infants of these women have remained HIV positive to the age of 18 months, indicating a 95 percent success rate in treatment. The quality of maternal care is
47
Barbados Macroeconomic and Social Assessment 2010
very high and this is reflected in very low maternal mortality. In fact, figures show that for 2005, there was 0.16 death per 1000 population.
6.2.8 Infant and Child Mortality Infant mortality is defined as the probability of a child dying between birth and age one, while child mortality is the probability of a child dying by age 5. Good access to pre and post-natal care for pregnant women has contributed significantly to improved infant and child health in Barbados. WHO data (2009) show that, with regards to infant mortality, the rate for 1990, 2000 and 2007 were 15, 12 and 11 deaths per 1000 births, respectively. There were slightly lower rates for female infants (see Table 6.27). In the case of child mortality, a similar pattern is shown with rates for 1990, 2000 and 2007 being 17, 13 and 12 deaths per 1000 births, respectively. Again, there were slightly lower rates for female children. In each case, the values show a downward trend. Table 6.27: Infant and Child Mortality in Barbados 1990, 2000 and 2007 Infant Mortality (no per 1000 births) Year Male Female Both 1990 18 12 15 2000 12 12 12 2007 11 10 11 Source: WHO, World Health Statistics, 2009
Child Mortality (no per 1000 births) Male Female Both 19 14 17 13 13 13 11 12 12
Generally, countries that have high life expectancies, as is the case of Barbados, show low infant and child mortality rates.
6.2.9 Immunization Coverage The objective of achieving 100 percent immunization coverage for children in Barbados is well within reach of the health authorities. The Ministry of Health’s immunization campaign has been effective in preventing many common childhood diseases which contribute to high infant and child mortality rates. Table 6.28 shows the extent of immunization coverage for conditions such as DPT (Diptheria, Pertussis and Tetanus), Polio and MMR (Measles, Mumps and Rubella for the period 1996 to 2001. Table 6.28: Immunization Coverage by Type 1996-2001. (%) Year 1996 1997 1998 1999 2000 2001 Source: Barbados Social and Economic Report
DPT 92.7 87.9 87.7 86.8 97.0 97.0
Polio 89.9 88.3 88.1 85.6 96.0 96.0
MMR 100.0 84.5 92.2 86.2 92.0 93.0
By 2001, over 90 percent of all children under the age of five had been immunized against DPT, Polio and MMR. Prior to universal coverage, these diseases wreaked havoc on the health of infants leading to high mortality rates. In 2001, a drive was mounted by the Ministry of Health to increase immunization coverage for children under 5
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years of age. This expanded program on immunization was conducted by CAREC and PAHO in conjunction with officials of the Ministry of Health. The findings of the program were that: i.
of the 23 percent of the national budget allocated to primary health care, maternal and child health received 70 percent of the funds;
ii. the Government was committed to sustaining the procurement of vaccination. An increase of 150 percent of funds was allocated for the purchase of vaccines. This increase was mainly for the pentavalent DTP/Hepatitis B/HIB vaccine for those under one year and the second dose of measles, mumps and rubella for all children. Clearly, these initiatives show the Government’s commitment to the health of the population and particularly that of the young.
6.2.10 Dental Care The primary goal of the dental service is to provide preventive and restorative care for children and adolescents up to 18 years of age. This is done through oral and dental screenings, promotional activities, monitoring and preventive and emergency treatment (Annual Report of the CMO, 2002-2003). Basic dental care provided includes fillings, preventive treatment, root canal therapy and limited orthodontic care. In 1997, in the English-speaking Caribbean, Barbados stood out as the only country offering a comprehensive dental care service free of cost to children and adolescents up to age 18. Free dental care is administered through the polyclinics. In 1996, the number of cases seen increased by 20 percent over the number of cases of the previous year. With respect to restorative dental care, there was a 39 percent increase in the number of cases seen and a thirty-five percent corresponding decline in the extraction of permanent teeth.
6.2.11 Ophthalmic Care Ophthalmic care is provided for children up to 18 years age as is the case in dental care. While most polyclinics are able to provide screening tests, only the Winston Scott polyclinic is equipped to carry out more detailed and corrective ophthalmic care.
6.2.12 Environmental Health The Environmental Health Division of the Ministry of Health is charged with the responsibility of removing threats to human health posed by, contaminated water and food, disease carrying vectors such as mosquitoes and rodents and generally unsanitary conditions. In 1996, the department stepped up its surveillance and monitoring of meat by 6.1 percent. In 1999, food quality control was implemented through passage of the appropriate legislation which was essentially designed to address food imported into the country. Food catering establishments are routinely inspected to prevent the transmission of food borne illnesses. Food handlers are routinely tested to ensure that they are free of the bacteria that may cause food-borne illnesses. In 1999, food handlers benefited from training in the application of the principles of Hazard Analysis Critical Control Point (HACCP) in order to reduce contamination of and/spoilage of food.
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Fogging exercises are conducted regularly especially following heavy rainfall so as to control/eliminate the aedes aegypti mosquito which is responsible for transmission of dengue fever. Another mosquito vector targeted by the environmental officials is the anopheles which is responsible for the transmission of malaria. Debushing exercises are carried out regularly so as to eliminate breeding sites of these insects. Chemical spraying is also employed around homes where the potential exists for mosquito breeding. The department also provides rodenticides in order to control the rodent population and thus the spread of leptospirosis. One hundred percent of the population in Barbados has access to improved drinking water sources. With regards to improved sanitation, Table 6.29 shows that for 1990, 2000 and 2006, while 100 percent of rural dwellers had access to improved sanitation, only 99 percent of their urban counterparts benefited. This difference is accessibility undoubtedly speaks to pockets of poverty that still exist within urban areas. Table 6.29: Population with Access to Improved Drinking Water Sources and Improved Sanitation (%) Category Improved Drinking Water Source: Urban Improved Drinking Water Source: Rural Total Improved Sanitation: Urban Improved Sanitation: Rural Total Source: WHO: World Health Statistics, 2009
1990 100 100 100 99 100 100
2000 100 100 100 99 100 100
2006 100 100 100 99 100 99
Monitoring of the island’s water - ground, spring and nearshore waters is the responsibility of the Environmental Engineering Department which falls under the Ministry of the Environment. Routine testing of samples of water from the majority of these sites shows that levels for the parameters being measured are well within the WHO limits. However, of some concern is the quality of ground water at two sites located in the parish of St Michael. At one site in particular, residential dwellings were erected in spite of the fact that this area is designated Zone One (no residential dwellings allowed). Very high levels of nitrates as well as evidence of coliform bacteria (faecal organisms) have been found. The latter situation is associated with inadequate disposal of sewage. High nitrates level at both sites are attributed to heavy fertilizer use as the area is zoned for agricultural activity. Although the levels of these parameters do not exceed the WHO standard of 10mg/l, at two of these sites levels were consistently over 9.0 mg/l (that is, 9.3mg/l and 9.1mg/l (BES, 2007). This situation certainly poses a threat to the health of population these wells serve and is definitely a cause for much concern. The situation has the potential for worsening with respect to the parameters that are monitored because of even more evidence of illegal erection of dwelling places. Investigation shows that in St Michael, several areas have been used by squatters to erect houses. These include Howell’s X Road, My Lord’s Hill, Belle View, Licorish Village and McLean’s Land in St Michael and Rock Hall in St Phillip. These are all Zone One areas. Contamination of the drinking water can have serious health consequences for users. In response to high nitrate levels and bacteria in the ground water in the Belle, the Cabinet agreed that the Barbados Water Authority should: i.
build a 15,000 cubic metre per day brackish water reverse osmosis plant at the Belle at a cost of US$ 18.6m ii. the Zone 1 boundary at the 1963 demarcation should remain but a comprehensive study should be undertaken to review existing zoning regulations at a national level to determine the suitability in present day as appropriate protective barrier against ground water contamination; 50
Barbados Macroeconomic and Social Assessment 2010
iii. appropriate sewering of the Belle Area and its environs in an attempt to improve Zone 1 environmental conditions. To date, the problems have not been effectively addressed though efforts have been made to find solutions. So far, only a feasibility study has been undertaken.
6.2.13 Communicable Diseases The number of cases of the various communicable diseases that once were a source of great concern has been significantly reduced. Mortality rates have been drastically reduced as a result of advanced treatment and improvement in standards of hygiene. However, despite this success, some of diseases are recurring as a result of environmental changes (for example, global warming), greater movement of people and goods as well as increased resistance of these organisms. Some of these communicable diseases that still cause concern are Dengue Fever, Salmonellosis, gastroenteritis and Leptospirosis. Dengue Fever is endemic in Barbados with four serotypes of the virus identified. The aedes aegypti mosquito is the vector for this virus. For the years 2001, 2002 and 2003, this disease ranked as the leading cause of morbidity in the country (see Table 6.30). During 1995, there were a record number of cases of Dengue fever. Increases in the number of Dengue cases are associated with heavy rainfall and increases in the number of breeding sites for the aedes aegypti mosquito. During 2003, there was one confirmed death from dengue hemorrhagic disease. In 2003, 35000 man hours were lost as a result of the disease. Saint Peter and St Lucy are the two parishes with the highest rate of infection. Debushing programs as well as home inspection visits are implemented by the Ministry of Health in order to discourage breeding of the aedes aegypti mosquito. Other methods employed are public education to discourage breeding of the mosquito as well as chemical control through fogging and chemical spraying. Table 6.30: Reported Cases of Six Leading Communicable and Notifiable Diseases, 2001-2003 Disease Rank Dengue Fever 1 Salmonellosis 3 Gastroenteritis 4 Leptospirosis 4 Bacillary Dysentery Bronchopneumonia 2 Source: Annual Report of the CMO, 2002-2003
2003 Number 997 60 22 22 107
Rank 1 2 4 5 6 3
2002 Number 947 93 37 9 6 40
Rank 1 2 3 4 6 5
2001 Number 1109 82 67 18 6 44
The number of cases of tuberculosis remains low in Barbados but between 1999 and 2003, there was a steady increase in the number of cases of tuberculosis (TB) resulting in one case of death in 2003. However, overall, the number of cases of the disease still remains low. The steady rise in the number of tuberculosis cases seen in the country parallels the growing HIV/AIDS pandemic as the immune system of affected persons becomes compromised thereby making them susceptible to diseases which have hitherto been eradicated or kept under control. The majority of the reported cases of TB were of the pulmonary type. With the implementation of the Ministry of Health’s Highly Active AntiRetroviral Therapy (HAART) program, it is likely that there will be more HIV-positive persons living longer and their immuno-compromised states will make them more susceptible to TB and consequently the number of cases of TB will rise.
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Salmonella is the most common agent responsible for food borne illness. Its presence is an indication a breach in the standard of food safety practices by food handlers. Between 1999 and 2005, there was a decline in the number of cases of Salmonella poisoning no doubt due to greater quality control imposed by the HACCP program and ongoing training of food handlers. Insufficient data on other food borne illnesses make it difficult to draw any meaningful conclusion. No doubt, the training program instituted to upgrade the skills of those involved in the preparation of food in established eating places as well as itinerant vendors has had some beneficial results. The number of reported cases of malaria in Barbados has been small. There were two cases of the diseases reported for each of the following years, 1995, 1997 and 2005. In 2000, there were 4 such cases. Although cases of malaria have been imported into Barbados, wetland surveillance shows that the disease vector, the anopheles mosquito, has been found in Barbados. Active surveillance has been successful in preventing a greater number of persons from being infected with the disease. The number of new cases of HIV/AIDS varied over the period under study. Data from CAREC show that after a reported 95 new cases in 1995, there was a decline to 58 in 1997. But in 2000, the number of new cases rose again to 219. Most recent data show that the number of new cases reported stood at 76. The Government of Barbados has adopted a range of strategies in order to control the spread of this disease. The strategies employed include community outreach programs, education campaigns in primary and secondary schools as well as testing of the public and counseling. Despite these efforts, a number of persons, notably those in the 25-49 age group have succumbed to the disease. The new data show that more males than females are affected.
6.2.14 Chronic Non-Communicable Diseases (CNCDs) Barbados, like other Caribbean countries is in epidemiological transition where infectious diseases and malnutrition that once plagued these countries have all but disappeared except, of course for HIV/AIDS. The region is now threatened by the rapid rise in chronic non-communicable diseases (CNCDs). These diseases include hypertension, heart disease, some cancers (particularly of the cervix, prostate and breast) and type-2 diabetes. Overweight and obesity are part of this trend. A survey conducted in Barbados in 2007 revealed that 58 percent of the population is overweight with 30 percent being obese. These conditions are mainly life- style related. They are characterized by low levels of physical activity (the survey found 59 percent and 42.5 percent of men), high caloric intake, and increases in the consumption of fatty diets associated with ‘fast foods’. The ‘new’ diet is now low in fresh fruit and vegetables but high in animal fat, sugar and salt. Sharma et al (2008) report a rise in diet-related chronic non-communicable diseases in Barbados and a need for nutritional intervention because of the high prevalence of these conditions. Chronic Non-Communicable Diseases (CNCDs) are now the principal causes of morbidity and mortality in Barbados. Table 6.32 shows the ten principal causes of death with rates per thousand population between 2001 and 2003. In 2002, diabetes caused the highest number of deaths in Barbados. Overall, diabetes, cerebrovascular diseases and disease of pulmonary circulation and other forms of heart diseases were the number one, two and three causes of mortality in Barbados. As a leading cause of mortality in Barbados, type 2 diabetes has now been affecting young adults in their twenties. Associated with this disease are eye abnormalities which are now being reported. Of growing concern too, is the increasing number of amputation of lower limbs that is accompanying uncontrolled diabetes.
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The costs of hypertension and diabetes were measured in four (4) Caribbean countries: Bahamas, Barbados, Jamaica and Trinidad and Tobago in 2001. The data assume that all patients in the study who needed therapy received it. The results of the study (Table 6.31) indicate that the total costs of treatment varied across the countries ranging from US $27m to US$484m for Trinidad and Tobago which paid the highest percentage GDP for diabetes. In the case of Barbados and Jamaica, direct costs were a significant proportion of total costs. Overall, diabetes represented 0.5, 1.83, 2.66 and 5.21 percent of GDP for the Bahamas, Barbados, Jamaica and Trinidad and Tobago, respectively. With respect to hypertension, the costs of this disease were much more for all countries except Trinidad and Tobago. Barbados paid the highest percentage of GDP (3.5%) of all the countries. Table 6.31: Economic burden of Diabetes and Hypertension in selected Caribbean Countries, 2001 (US $) Bahamas Diabetes Direct Cost 16,745,343 Indirect Cost 10,523,286 Total Cost 27,268,629 % of GDP 0.5 Hypertension Direct Cost 30,030643 Indirect Cost 16,339,814 Total Cost 46,390,457 % of GDP 0.86 Source: Caribbean Better Health, September 14, 2007
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Barbados
Jamaica
Trinidad/Tobago
34,905,372 2,895,766 37,801,138 1.83
170,452,990 38,361,390 208,795,380 2.66
128,702,050 355,696,731 484,398,781 5.21
50,833,110 21,822,867 72,655,977 3.51
188,195,080 63,452,410 251,647,490 3.21
137,932,296 121,549,768 209,482,064 2.79
Barbados Macroeconomic and Social Assessment 2010
Table 6.32: Ten principal causes of death with rates per thousand population, 2001-2003 Cause Disease of pulmonary circulation and other forms of heart disease Cardiovascular disease Diabetes mellitus Ischaemic Heart disease Malignant neoplasms of digestive organs except stomach HIV/AIDS Pneumonia Hypertension Malignant neoplasm of prostate Septicaemia Acute Respiratory infection Malignant neoplasm of female breast Source: Report of the Chief Medical Officer of Health, 2002-2003
Rank 2 1 3 9 7 6 8 4 5 10 -
54
No 191 231 171 81 90 98 89 149 111 59 54
2001 Rate 0.7 0.9 0.6 0.3 0.3 0.4 0.3 0.6 0.4 0.2 0.2
Rank 3 2 1 5 7 10 6 4 8 9 -
No 198 205 221 150 114 42 132 162 102 55 51
2002 Rate 0.7 0.8 0.8 0.6 0.4 0.2 0.5 0.6 0.4 0.2 0.2
Rank 1 3 2 4 7 10 6 5 8 9 -
No 256 207 246 180 115 30 143 159 101 74 57
2003 Rate 0.9 0.8 0.9 0.7 0.4 0.1 0.5 0.6 0.4 0.3 0.2
Barbados Macroeconomic and Social Assessment 2010
With a growing number of elderly persons in Barbados, the situation is likely to get worse before it gets better as the elderly experience disproportionate levels of chronic diseases (PAHO, 2000). A significant proportion of the health budget has to be channeled towards efforts to combat the present situation. In fact, the situation is viewed so seriously by the health authorities that in its Strategic Plan for Health 2002-2010, the Ministry of Health regarded as a national priority the task of tackling CNCDs and it has been estimated that 65 percent of the QEH budget is allocated to such diseases. The Government of Barbados, cognizant of the overall benefits of a healthy population has invested heavily in the health sector. Healthy individuals are capable of delivering higher levels of productivity and thus can make a greater contribution to national development. Successive administrations of government have therefore placed a high priority on the promotion of health care for the nation. Almost all aspects primary health care are provided free of charge to citizens of Barbados. These provisions have resulted in significant gains for Barbados. These include a consistently low rate of population growth, thus ensuring that the resources of the country can be enjoyed by a greater number of individuals. Excellent ante- and post-natal care for women of child-bearing age has resulted in low maternal and mortality rates. The authorities have been so successful in these areas that Barbados has already attained these Millennium Development Goals, that is Goal 5 which aims to reduce maternal mortality by three quarters by 2015 and Goal 4 which seeks to reduce the rate of infant mortality. Good immunization coverage has resulted in the non-existence of those communicable childhood diseases that resulted in significant infant mortality rates. Again, infant mortality has been significantly reduced and is well within the desirable target of the Millennium Development Goal (that is, Goal # 4). Children continue to benefit from free dental and ophthalmic care up to age 18. Environmental health has not been neglected. Barbados has a source of safe ground water on the whole. Routine monitoring of all water sources ensures that the quality of water available meets the World Health Standards. One hundred percent of the population has access to improved drinking water sources. With respect to improved sanitation, 100 percent rural residents and 99 percent urban dwellers benefit from this service. All of these conditions have in no small way contributed to the high level of life expectancy enjoyed by the population. However, the gains outlined so far are being threatened by the rise in prominence of chronic non-communicable diseases (CNCDs) such as diabetes, cardiovascular disease, disease of pulmonary circulation/heart disease and cancer. Diabetes, cardiovascular disease and disease of pulmonary circulation/heart disease have been the leading cause of death. In the main, these are life style diseases that are triggered by such factors as too little or no physical exercise, unhealthy diets leading to overweight and obesity. A significant part of the health budget now has to be directed to dealing with these diseases as failure to do so would erode all the gains that have so far resulted a sound and comprehensive health care system.
6.3.
Housing
Reports based on censuses conducted in 1990 and 2000 show that there has been a marked improvement in the quality and quantity of the housing stock in Barbados. For instance, in 1990, there were 75,211 dwelling units throughout the country and by 2000, this amount had increased to 91,406 - a 9.4 percent increase in the total housing stock. Two noteworthy features of this increase in the housing stock were the decline in the number of structures with wooden outer walls and an increase in the number of homes with a smaller number of bedrooms. According to the 2000 Census, the majority of homes (48.1 percent) contained three bedrooms, while in 1990, the majority were made up of four bedrooms.
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Barbados Macroeconomic and Social Assessment 2010
The shift away from wooden structures clearly indicates a general improvement in the economic welfare of Barbadians and recognition that concrete block (wall) structures are less susceptible to the ravages of severe weather conditions. Additionally, concrete block structures are less prone than wood to damage by fire. The decrease in the number of bedrooms may indicate smaller families or a greater willingness of young working members of families to move into their own accommodation. Data from both censuses indicate that overcrowding was reduced from 7.7 percent in 1990 to 5 percent in 2000. Overcrowding here is defined as the number of units which were occupied by seven or more persons. Despite the improvement shown in housing conditions over the two census years, the need still existed for an improvement in the quantity and quality of the housing stock. During the 1995 to 2000 period, the Government of Barbados responded to this need by constructing a number of units particularly to house those in the lower income groups. Table 6.33 shows the number of such units constructed between 1995 and 2009. Table 6.33: Number of Dwelling Units constructed between 1995 and 2010 Year 1995 1996 1997 1997 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Source: Barbados Economic and Social Report, various issues
Number of Units 677 731 767 1133 656 1076 1174 1067 1017 n.a. n.a. 1145 898 1321 2084 2065
The agency charged with the responsibility of providing public housing in Barbados is the National Housing Corporation (NHC). The NHC was established in 1973 with a clear mandate to meet the demands of Barbadians for a solution to the existing housing problems. Such a solution had to be affordable as the target population fell within the low income group of persons. Both the Urban Development Commission and the Rural Development Commission play a key role in informing the programs instituted by the NHC for the respective areas they oversee. The NHC has been involved in the provision of a range of dwelling units. These include single units, terrace units which represent a cluster of single dwelling units and, more recently, multi-storey (apartment) dwelling units. Tenants of the Corporation who have been renting their units for 20 years or more are now eligible to purchase these units providing all outstanding rents have been paid. Prospective owners are expected to provide their own legal fees. At the end of 2010, 1926 or 90 percent of these tenants had accepted the government’s offer to purchase their units.
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The construction of houses has been facilitated generally by a selection of agencies: The Barbados Mortgage Finance Company (BMFC), Commercial Banks, Trust Companies and Insurance Companies. Table 6.34 shows the contribution of these various agencies to the housing effort between 1995 and 2007. Table 6.34: New Mortgages Extended to Housing, 1995 - 2007 ($m) Selected Institutions Year BMFC 1995 8.5 1996 12.3 1997 12.9 1998 11.7 1999 11.8 2000 24.2 2001 32.1 2002 29.5 2003 10.7 2004 22.7 2005 39.7 2006 58.8 2007* 47.7 Source: Ministry of Housing and Lands Central Bank of Barbados Barbados Mortgage Finance Company Office of the Supervisor of Insurance Note: *up to September 2007
Commercial Banks 4.7 3.8 6.8 7.5 7.7 20.5 39.1 65.1 65.4 93.1 94.4 81.4 54.1
Trust Companies 49.2 44.4 51.3 24.3 30.4 34.7 34.6 28.1 37.8 53.9 62.3 72.2 62.3
Insurance Companies 4.2 15.6 33.7 33.1 28.7 29.8 35.2 38.0 n.a. n.a. n.a. n.a. n.a.
Total 66.6 75.9 104.7 76.6 78.6 75.6 78.6 144.5 113.9 169.8 196.4 212.4 164.1
Several innovative measures have been used by the Government to propel the housing drive. For instance, during 2008, the NHC embarked on a new housing initiative called Housing Every Last Person (HELP). This initiative was intended to make available quality housing to every Barbadian at prices ranging between $40,000 and $100,000 for a complete unit. The project consists of starter homes, 2 and 3 bedroom units and infrastructure at the designated sites. The number of houses completed increased from 73 in 2008 to 184 in 2010. In 2010, the Housing and Neighborhood Upgrading program was launched at a cost of Bds $5m. This construction project was part of a US $40m program funded by the Government of Barbados and the InterAmerican Development Bank (IADB). Its planned target area is 4 areas across the parish of St Thomas. Included in this project is the upgrade of sewage treatment facilities and construction of roads. Low income earners across the country can also benefit from grants to undertake repairs to their existing homes. These repairs include the installation of kitchen cabinets, bedroom closets, windows, doors and tiling. The sum of the grant is Bds $10,000. This program is geared towards low income families earning a combined monthly salary of Bds $2666 and who should not have previously benefited from government housing assistance (Barbados Advocate, September 10, 2010)
6.4.
Poverty and Social Welfare
Poverty has been of historical importance in Barbados as in other developing countries. For example, the Report of the West Indies Royal Commission (the Moyne Commission) identified high levels of poverty and deprivation as the root source of the riots in the 1930s. Although there have been several papers and reports on the socioeconomic conditions in Barbados over the years since the publication of the Report, there has only been one 57
Barbados Macroeconomic and Social Assessment 2010
systematic empirical study devoted to the incidence and characteristics of the poor [see IADB, 1998]. During the period August 1996 to June 1997, the Inter-American Development Bank (IADB) commissioned a study on poverty and income distribution in Barbados. The study used a variant of the cost of basic needs (CBN) approach to the calculation of the poverty line and hence the extent of poverty during the period. The overall poverty line consisted of a basic nutritional basket of food items which would meet the recommended daily requirements of nutrients for different age groups taking into consideration local eating habits and availability. This line provided a measure of ‘extreme poverty’. The non-food component of the poverty line included an estimate for basic necessities - education, health, clothing, etc. While the poverty line varied by sex and income group, the average value of the poverty line for the whole population was estimated at Bds $5503 (US $2751). In effect, a household was regarded as being poor if its per capita income was below the $5503 value of the poverty line (or Bds $106 per week). It was estimated that 8.7 percent of all households (about 7000 households) lived below the poverty line. Poverty rates varied between 4.4 percent in St James to 13.9 percent in St John. St Michael, the most densely populated parish recorded a poverty rate of 8.9 percent. Poverty in Barbados affected 35,000 persons or 13.9 percent of the population during the period. The incidence of poverty was highest in the parishes of St John, St Andrew, St Lucy and St George, that is, in rural areas. The depth and severity of poverty in Barbados were not regarded as significant. A measure of the overall poverty gap or depth of poverty was 2.3 percent, which suggests that the average cost of filling the poverty gap over all households was very low (Bds $127 per year). The degree of severity of poverty (that is, the degree of inequality amongst the poor) was also very low, approximately 1 percent. As expected, the depth and severity of poverty were higher amongst the unemployed than the working poor. The profile of the poor was very similar to that in other countries. The main elements are as follows: i.
poor households were larger than non-poor households, and were largely female-headed with a larger number of children; ii. the link between female-headed households and poverty could be partly related to the high levels of female unemployment, job discrimination and other social factors; iii. the human capital base of the poor (that is, the level of education and skill) was quite low; little or no certification and skill training background was evident; iv. the unemployment rate was highest among poor households and particularly affected young cohorts and females; v. members of poor households tended to make greater use of the secondary or informal labour market and several were self-employed in elementary occupations; vi. heads of poor households were generally single females and generally young or middle-aged persons; vii. poor households were generally overcrowded (defined as 3 or more persons per bedroom). Housing quality was lower than that of the non-poor households; viii. poor households had less than adequate water services than non-poor households. They also had problems maintaining utility services; ix. poor households were recipients of greater government transfers (pensions, welfare assistance) and received income (wages) from work in the labour market. There is less saving amongst the poor who rely on credit facilities; x. poor households spent a significant proportion of their income on food, although there were efforts to invest in education to break the cycle of poverty. 58
Barbados Macroeconomic and Social Assessment 2010
The general results emerging from the study indicate a strong link between poverty and labour market conditions. Poor households have low human capital which means that they can only obtain low paying jobs in a highly segmented market or remain unemployed. A small scale follow-up study of poverty in selected areas in St Michael and St Andrew during November 2001 confirmed several of the features of the poverty profile which emerged from the IDB study [see Saptagiri, 2002]. These common features include: low levels of human capital, high levels of unemployment, female-headed, poorer quality housing conditions and sanitation facilities, overcrowding, high expenditure on food, greater use of public facilities - transport, health, welfare services, employment in elementary occupations and informal sector, problems meeting non-food needs (water, rent, school supplies, and transport) and dissaving. In addition, the follow-up study observed a significant number of single member households, usually pensioners, which existed below the poverty line. Several of the poor were also affected by chronic non-communicable diseases (hypertension, diabetes, arthritis). It was noted that the depth and severity of poverty were greater in the urban than rural areas. While these studies provided useful information on the state of poverty in Barbados over the 1996-2001 period, it should be noted that several individuals and households which are just above the poverty line are vulnerable to poverty. “Vulnerability” occurs when a main ‘breadwinner’ becomes unemployed, ill or is otherwise unable to participate in the labour market. There are cases where the pension of retired persons keeps the household above the poverty line. A recent study on the ‘working poor’ in the Caribbean used data from the Barbados Continuous Household Survey to estimate the extent of poverty and the characteristics of the ‘working poor’ for the years 1998, 2001 and 2004 [ILO, 2006]. Using a poverty line of US $13.84 per day at 2000 prices, the level of poverty increased from 8.9 percent of households in 1998 to 14.9 percent of households in 2001, before declining to 10.7 percent in 2004. Using data from the IDB (1998) study, it seems that over the period 1996-2004, there was a ‘core’ of poverty in Barbados estimated at approximately 9 percent of households. The increase in household poverty between 1996 and 2001 could be attributed to the decline in economic growth during the period. The available data on the “working poor” (“individuals engaged in either paid or self employment who belong to household below a specified poverty line”) indicate the following features: i. ii. iii. iv. v.
poor households usually have 1 or 2 members employed; there is little moonlighting among the working poor (they generally have only one job); the female head is the person who is usually employed; the working poor tend to have at least secondary level education, but little certification; the working poor are generally employed in the distribution and general services sectors (i.e., the private sector) vi. the working poor are engaged in elementary occupations or work as shop/service assistants. The minimum wage for shop assistants was increased from $158 per week (for persons under 18 years of age) and $170 ( for persons over 18 years) in 1997 to $200 per week for all assistants in 2004. In general, the annualized minimum wage for such workers was higher than the poverty line. These features provide a basis for developing appropriate public policies directed at the labour market. Econometric research on the probability of being poor in Barbados points to the significance of household size and human capital (education level and qualifications).[ see Downes, 1999] 59
Barbados Macroeconomic and Social Assessment 2010
The respective administrations of government have designed and implemented various measures to reduce poverty in Barbados. Social services have sought to alleviate poverty through welfare assistance, child care, help for the elderly and the disabled and community development. Family planning programs, initiated in the 1950s, have sought to plan for more appropriate family size. Educational developments in the 1960s opened the doors for social and economic advancement and escape from the poverty trap. Improvements in the health care facilities have also assisted with poverty reduction. The 1990s was an active period for the implementation of poverty reduction measures. It can be argued that the drive in Barbados was informed by the international concern for poverty eradication (e.g., the MDGs and PRSPs) and data on the poverty situation in the country. The Government of Barbados complemented the existing social services with special agencies and programs to reduce poverty in the country. Between 1995 and 2000, the Government established the following institutions: Rural Development Commission (RDC), Urban Development Commission (UDC), the Ministry of Social Transformation and the Poverty Alleviation Bureau (PAB). These institutions were complemented with a Social Investment Fund, Rural Enterprise Fund, Urban Enterprise Fund, a Relief 2000 program and a Poverty Alleviation (later called Eradication) Committee. These institutions and programs have targeted various aspects of the poverty situation through: i. creation of micro, small and medium enterprises; ii. direct employment and entrepreneurship; iii. road works, house repairs/construction, installation of street lights and rural enterprise development , especially in the agricultural sector; iv. urban renewal, urban enterprise development; v. training for employment vi. debt relief for essential services. These new institutions and programs have complemented such established agencies such as the Welfare Department, National Assistance Board, Child Care Board, Community Development Department and the National Disabilities Unit. In addition, several NGOs have received funds from the State to assist with program delivery. Information from the Poverty Alleviation Bureau (PAB) provides some insight into the nature or poverty in recent years. The PAB became operational in 1998 to assist with the alleviation and eradication of poverty in Barbados in collaboration with other government agencies and NGOs. A profile of the clients of the PAB indicates the following characteristics: i. ii. iii. iv. v.
female single-headed households unemployed persons low paid workers non-contributory pensioners persons with disabilities
These persons tend to have the following socio-economic features: i. ii. iii. iv.
low educational attainment and skills low wages (working poor) - $150 to $300 per week in 2004 sub-standard housing conditions with some degree of overcrowding strained family relationships 60
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v. no access to house spots (land). The main areas of requests from the PAB have been assistance with house repairs, payment of water and rental arrears, housing accommodation and training. Between 2001 and 2003, there was an increase in the number of requests from 681 to 985, but a fall off since 2003 [see Table 6.35]. The increase in requests can be partly explained by the increase in unemployment and slowdown in economic activity experienced during the 20012003 period. Since 1993, there has been a steady decline in the unemployment rate associated with a rise in economic activity. The PAB therefore provides assistance with the immediate alleviation of the scourge of poverty and the long term goal of poverty eradication. Table 6.35: Requests made to Poverty Alleviation Bureau (PAB) Year 2001 2002 2003 2004 2005 2006
Number 681 829 985 793 546 426
Five Main Areas House repairs, Water arrears, NHC rental arrears, Jobs, Training (not available) House repairs, NHC rental arrears, Water arrears, Rental accommodation (Private), Training House repairs, Accommodation, Water arrears, Assistance -in-kind, NHC rental arrears House repairs, Housing (construction), Water arrears, NHC rental arrears, Training House repairs, NHC rental arrears, House construction, Training, Water arrears
The poverty alleviation program of the Government includes the payment of a grant to low (minimum) wage earners. This ‘reverse tax credit’ was introduced in 1997 to cushion the inflation impact of the value added tax (VAT). In 1997 the individual annual income threshold was $13,000 ($250 per week) and the one-off grant was $350. The threshold was increased to $15,000 ($288.46 per week) in 2007, with subsequent increases to $16,500 ($317.31 per week) in 2008 and $18,000 ($346.15 per week) in 2009. The grant was raised to $800 in 2007 with subsequent increases being $1100 in 2008 and $1300 in 2009. In 1997, it was estimated that 14,000 minimum wage earners (12 percent of the employed) were affected by this measure, while in 2007, over 27,000 persons (21 percent of the employed) were expected to benefit. These figures suggest a doubling of the number of low wage earners over the decade 1997-2007. The reverse tax credit is seen as an alternative to the implementation of an enforceable national minimum wage. The long-term approach to poverty eradication is through the training of persons (human capital development). With 57 percent of the adult population having no certification in 2000, a deliberate effort has been made to boost education and training of the population (for example, skills training programs, expansion of the Polytechnic courses, NGO programs). These national programs have been supported by programs targeted at poor households. One such program is the ‘welfare-to-work’ program which began in 2000. This program trains persons in a range of vocational areas (dress-making, care of the elderly, cosmetology, house-keeping, etc) and assists in job placement or self-employment. In the case of the elderly poor, pensions have been increased over the years. In addition, NGOs have established on-going programs to assist the elderly - home help, discount shopping, etc. It has been estimated that the Welfare to Work and Relief 2000 (focusing on indigent families) reduced the welfare recipients from 10,000 in 2000 to approximately 7000 in 2006. The Government has recently introduced a Bridge Program where the focus is on eradicating poverty within families in order to break the intergenerational transmission of poverty evident in the country. It represents a comprehensive approach to reducing poverty from different angles. The pilot program has started with 30 families/households across the 30 constituencies.. It is expected that the 2008-9 economic crisis would weaken the 61
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ability to overcome poverty and can there impair the achievement of the first Millennium Development Goal of eradicating extreme poverty by 2015. In sum, public policies have been targeted at reducing the extent of poverty through various mechanisms. There is still a ‘core’ of poverty which still remains and also a group of vulnerable individuals/households that exist just above the poverty line. This group is susceptible to economic and personal shocks which can catapult them into poverty. Public policy therefore provides a social safety net for the poor and vulnerable.
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7.
Crime and Violence
As a small developing country with a high dependence on the external sector (namely tourism and international business and financial services), Barbados has had to keep the incidence of crime and violence very low. The law enforcement authorities have been stern with respect to reducing the incidence of criminal activity and violent behavior. The total number of reported crimes declined from 10,541 in 1995 to 8,994 in 2010 after a period of steady rise over the 1980 to 1993 period. The main crimes reported over the period 1995 to 2005 were those against property that is acquisitive crimes, followed by those against the person. There was a high incidence of crimes such as residential burglary, robbery, theft (especially from cars in recent times), assault and wounding and drug related activities. Drug related crimes have been a central target for the law enforcement agencies and the various initiatives have resulted in a decline in such crimes from 1275 in 2002 to 830 in 2009 after a growth from 221 in 1980 to 1094 in 1998. In the hotel and tourism sector, reported crimes against visitors declined from 324 in 2001 to 185 in 2010. Most of these crimes have been hotel burglary, robbery and theft from beaches, that is property or acquisitive crimes. The law enforcement agencies have noted that there are ‘crime hotspots’ and have intensified policing efforts in these areas. Community policing has been integral to the reduction of the incidence of crime in these areas. Research work on criminal activity in Barbados indicates that there is a relationship between the state of the economy and acquisitive crimes and also the level of human capital and the proclivity to engage in criminal activity. Greenidge and Warner (2001) used econometric analysis to show that over the 1980 to 1999 period increases in unemployment had a positive impact on the incidence of crime, while increases in economic output, police development expenditure and the number of police per capita had a dampening effect on the incidence of criminal activity. Yearwood (2009) has indicated that those convicted of criminal offences generally have a low level of human capital (no certification, poor literacy and numeracy skills and weak interpersonal skills) and are also subject to a relatively high level of recidivism. These features suggest that there are weak rehabilitation schemes and that the education system needs to be reformed to cater to young persons with differential needs. The profile of persons convicted of crimes indicates that they tend to be young males with low levels of human capital and high level of unemployment. Several of these young males also engage in violent and aggressive behavior suggesting that there is a need for anger management and conflict resolution among these young persons. Over the years the law enforcement agencies have introduced several initiatives to stem the incidence of crimes and violence. The Juvenile Liaison Scheme was targeted at reducing the incidence of aggressive behavior and criminal activity among young persons. The police force has also intensified its community policing program to reduce criminal activity in communities prone to high level of such activities. Special initiatives have been undertaken in the areas of burglary and drug related crimes. Greater patrolling of tourism areas has also been undertaken. In collaboration with the private sector and NGOs, a Crime Stoppers Barbados program has been introduced so that the public can provide the law enforcement agencies with information criminal activity. A victim support and community outreach program has been implemented to protect the vulnerable in the society. Victimization surveys however indicate that while there has been a general inclination to report certain types of crime because of the slow response of the police force, the small extent of loss and the use of post crime protective measures.
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8.
Governance
Governance refers to the “way a society sets and manages the rules that guide policy making and policy implementation” [UN, 2007, p.1]. It involves the formal and informal arrangements that determine how public decisions are made and how public actions are carried out in accordance with constitutional values [UN, 2004] Barbados is a constitutional monarch with the Majesty of the United Kingdom being the Head of State. Her Majesty is represented by the Governor-General of Barbados. The country operates a parliamentary democracy with a bicameral legislature and a multi-party system. The legal system is largely based on the English common law with a written constitution. The country became an independent sovereign state in 1966. The legislative system consists of a Senate with 21 appointed members and a House of Assembly with 30 elected members. The Prime Minister is selected by a majority of the members of the House of Assembly and is the Head of the Government. The Legislature is responsible for the passing of all laws in accordance with the constitution. The country is divided into 30 constituencies which elected the members of the Lower House in competitive elections held approximately every 5 years. The Senate members are appointed by the Governor General as independent Senators, while the Prime Minister recommends the appointment of the Government Senators and the Leader of the Opposition recommends the appointment of the opposition Senators. The duration of a Parliament is normally 5 years with the Prime Minister being the only person who can determine the date of a general election. The executive system of Government is based on a Cabinet of Ministers, with the Prime Minister being the head of the Cabinet and the other Ministers being selected from the House of Assembly and the Senate. The Cabinet is the “principal instrument of policy and it is charged with the general direction and control for the Government of Barbados” [UN, 2004, p.6]. It is collectively responsible to the Parliament. The Cabinet makes all of the policy decisions on behalf of the Government and receives advice and policy briefs from career public officers and other interested parties. Over the years, successive administrations of Government have espoused a social democratic political philosophy which is characterized by a largely capitalist mode of economic production undertaken by the private sector, the promotion of social welfare policies, the promotion of social justice and workers’ rights. Indeed, the parties which have held power over the years have their base in the labour movement: the Barbados Labour Party (1994-2008) and the Democratic Labour Party (2008 – present). There has been a smooth transition of the administration of the Government over the years. The Judiciary is regarded as being highly independent with a hierarchy of Courts. At the base there is the Magistrate Courts, and then there is the High Court and the Court of Appeal. The Chief Justice is the Head of the Judiciary and is appointed by the Head of State on the advice of the Prime Minister and the Leader of the Opposition. The Judges of the High Court and the Court of Appeal are appointed by the Governor General after receiving advice. In 2005, Barbados accepted the Caribbean Court of Justice (CCJ) as the final Court of Appeal after using the Privy Council in the UK for several decades as the final court. The Civil (Public) Service constitutes the administrative arm of the Government with respect to the implementation of policies within the established legal framework. The Civil Establishment Act provides the legal framework governing the establishment of offices and the recruitment of public officers. The Public Services Commission administers the regulations relating to the employment of the public officers.
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In addition to the central government, there is a range of statutory bodies which administer the policies of the Government. These bodies usually take on specialized functions which seek to advance the work of the Government in several areas-housing, transport, health, social welfare, regulation etc. There is also provision for an Ombudsperson, appointed by the Governor General. The Office of the Ombudsperson hears complaints against government offices with respect to injuries or injustices resulting from administrative actions. The Government has recently established constituency councils covering all 30 constituencies in the country. The Councils have been designed to “allow for decentralization of decision-making, strengthening of democracy and encouragement of people’s participation in the development of the nation” [http\\www.councils.gov.bb]. These Councils are expected to assist with the reduction of poverty and give voice to the residents in the various constituencies in the context of local governance. Each Council consists of 15 members drawn from broad areas of representation within the constituency-youth, faith-based, women, men, political parties, church, etc. Members are invited to serve or are nominated by the special interest groups for a period of two years. The Councils are largely built on volunteerism and civil engagement at the local level. In addition to the Councils there is a range of non-governmental organizations and community based organizations which lobby for their special interests. In a large measure, these interests are captured within the ambit of the membership of the constituency councils, thus broadening the base of democracy in the country. As a result of the economic crisis in the early 1990s, a Social Partnership involving the Government, Workers’ representatives and Employers’ representatives was formed. In 1993, a Protocol for the Implementation of a Prices and Incomes Policy was signed by the three parties for the period 1993-1995. This Protocol was later extended for the period 1995-97. In 1998, the Protocol was broadened to one of a Social Partnership. This arrangement has been an important element in the governance structure of the country as it has brought some degree of industrial peace, greater information-sharing at the macro level and greater collective action in times of crisis. It has also foster the formation of other tripartite arrangements such as the National Productivity Council, the National Initiative for Service Excellence and the Council of Economic Advisors. Subsequent Protocols (1998-2000, 2001-2004, 2005-7 and 2011-13) have widened the scope of the agreements among the three parties. Indeed, Barbados has become well-known for the success of its social arrangement. It has been able to contribute to the building of social capital which has been identify as a major factor explaining the performance of Barbados relative to Jamaica ( Brewster , 1996). The Social Partnership has transcended different administration of Government thus attesting to its national acceptance and strength. It has supported the voluntaristic approach to collective bargaining and the management of industrial relations in Barbados. In the context of global assessments of governance in selected countries, Barbados has done well in all the indicators used: voice and accountability; political stability and lack of violence/terrorism; government effectiveness; regulatory quality; the rule of law and the control of corruption. Over the period 1996 to 2009, Barbados was generally in the top percentiles of all the indicators, although there was some slippage in the indicators over the period [see World Bank, World Governance Indicators]
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9.
Habitat Patterns and the Environment
The densely populated nature of Barbados means that there are several competing demands for use of its limited land area. Space has to be allocated for the following activities: residential, agricultural, business/commercial, tourism and recreational. The island is divided into five zones mainly for the purpose of securing the groundwater from bacterial contamination. This system of zoning in effect determines what type of activity can be conducted in a particular zone depending on whether underground water catchment areas are located in the area. No residential activity is permitted in Zone 1 areas because of the threat of contamination of the water supply by sewage and other household waste. With respect to residential activity, and on the basis of occupied dwelling units, the majority of the population is settled in the parishes of St Michael, Christ Church, St James, St Philip and St George. While the pattern of settlement distribution remained the same according to the 1990 and 2000 Censuses, in 2000, there was a notable increase in the number of occupied dwelling units in the parishes of St Thomas (30.5%), St Philip (26%), St James (19.1%), St Peter (18.1%), St George (18%) and Christ Church (13.0%). There was negligible increase in the number of units in St Michael (0.6%). This pattern clearly shows a movement away from the urban to rural and suburban areas which is expected to continue. This movement away from urban to other areas has been relatively easy for many reasons: an excellent network of public paved road stretching some 1,600 kilometres ( 900 miles), good infrastructure across the island, a decent public and private transportation system and the large percentage of persons who own cars and other vehicles. All of these factors make commute to work in Bridgetown and its environs rather easy. Both the Government and the private sector provide transportation services throughout the country. School children in uniform and persons over the age of 65 years can travel on Government buses free of charge. The number of registered vehicles (private cars, motor vehicles buses, van, lorries etc) increased from 59,000 in 1995 to 131,400 in 2008, an increase of over 200 percent. This significant growth may be one of the reasons for the increase in traffic congestion. As part of the development strategy, the Government has over the years identified Special Development Areas for selected economic activity, for example tourism. These areas have been identified in the Physical Development Plan which guides the use of land in the country. These special development areas have received special concessions from the Government and include both rural and urban areas. Various administrations of government in Barbados have focused on the promotion of home ownership and the provision of housing for the poor and those with low incomes. Public housing solutions range from various terrace units to multi-level dwellings. Recently, the Government has embarked on a rather innovative use of land space by entering into partnership with the private sector to provide housing for middle income earners. This project employs the Zero line concept where the land space allocated to each homeowner is limited but the entire community benefits from land allocated for community activities and shopping facilities. In essence, a ‘village’ is created by this project. The Villages of Coverley exemplify this new concept in home construction. In spite of the various ways the Government has tried to provide housing for the poor and those on low incomes, there is still a small percentage of individuals who are homeless and therefore resort to squatting. These individuals are either unable to rent or are vagrants. The increased demand for land for residential and other purposes has led to a steady decline in the amount available land set aside for agriculture and also to the increase in the price of land especially for residential purposes. The fall in demand for sugar has also meant that large plots have been left idle thus making subdivision of the land easier. The Government has been encouraging small farmers to become engaged in agricultural 66
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production. To this end, the Land for the Landless program was started in 2001. In 2006, a total of 220.5 acres of public land and 204 acres of private land were allocated to the Barbados Agricultural Development and Management Company (BADMC) for distribution to small farmers who had joined the program. At present, 204 acres of public land and 100 acres of private land are in production. The program receives approximately 80 new applicants yearly (Barbados National Assessment Report, 2010). Commercial, government and office activity is still centred mainly around Bridgetown. However, there has been a gradual shift away from city to the suburban area of Warrens. There is a limited amount of commercial activity in the parishes of St James, Christ Church and, to a lesser extent, St Peter. Since the tourism plant is located along the south and west coasts of the island, nearly all tourism related activities take place along this narrow coastal stretch. This pattern makes these establishments susceptible to sea level rise and storm surges associated with climate change. With tourists seeking more than the traditional sea and sand experience, tourism-related activities have started to move inland and so there is additional demand for more land space to accommodate activities such as golf and polo which are considered as sports tourism. There are limited open spaces for recreational activities. Very few ‘windows to the sea’ remain as the tourism plant has virtually used up all beachfront land on the south and west coasts. In recognition of the need space to be set aside for recreational purposes, the National Heritage Department in the Ministry of Housing has facilitated the commencement of work to establish a National Park and a system of protected areas. The rapid strides made by Barbados in its development process mean that equally rigid measures must be put in place to minimize the costs associated with the development process. It makes good sense that the environment that supports the infrastructure and provides the resources that propel development be carefully managed. There are several threats to the natural environment because of anthropogenic activities; a few of these are outlined below. As Barbadians enjoy a higher standard of living, consumption patterns change and more waste is generated. While the country can boast a reliable Sanitation Service, there is still a tendency for some to dispose of garbage illegally in water catchment areas, for example. Increased activity in the tourism sector has led to beachfront erosion and destruction of natural habitats of marine animals. Increased activities in all areas of life have led to a very high consumption of and dependence on power and transportation fuel. At present, 95 percent of these needs are met by imported refined products. Significant savings in foreign exchange can be realized through the use of alternative sources of energy. An effective waste management system in Barbados ensures that pollution of the environment is minimized. The Mangrove landfill receives 1000 tons of garbage daily. A new waste management facility at Vaucluse, St Thomas - a joint venture between government and the private sector - operates as a transfer station where garbage is first sorted and recyclable or reusable materials are recovered. The rest of the garbage is than sent to the Mangrove landfill. Consequently 70 percent of all waste including construction and demolition waste, wood, plastics, glass and metal are diverted from the landfill. With respect to the Coastal zone, the coastal Zone Management Unit is responsible for shoreline stabilization, erosion control and restoration of coastal habitats. One notable example of the work of this unit is the Rockley to Coconut Court Waterfront Improvement Project popularly known as the “Boardwalk”. This project was funded by the National Conservation Commission (NCC) and the Organisation of American States (OAS). The work done by the CZMU has enhanced this public good in such a great measure that it is used extensively by the public as a place for recreation, to keep fit and socialize. 67
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The Land for the Landless Program is a good example of the use of natural resources to generate economic activity in order to foster development. This program ensures that those who have no access to such a basic natural resource can become productive citizens and contribute in a positive way to national development. Given its location as a small island country in the Eastern Caribbean, Barbados is susceptible to such natural hazards as tropical storms, floods, soil erosion and landslides. The coastline is particularly vulnerable to the effects of storm surges and sea level rise associated with climate change. The Government has been conscious of the effects of natural hazards and disaster on the society and economy that it has established an institutional framework to handle such eventualities. A comprehensive integrated disaster management plan has been prepared and managed by the Department of Emergency Management (DEM) established in 2007 (formerly the Central Emergency Relief Organisation-CERO formed in 1978). The DEM is responsible for activating and coordinating the national disaster plan when an event occurs. A Drainage Unit is responsible for controlling and preventing inland flooding. In collaboration with the Town and Country Planning Office (TCPO), it is expected to ensure that construction activity in the country provides for adequate drainage. The Coastal Zone Management Unit (CZMU), established in 1983, focuses on issues relating to coastal erosion and the surveillance of coastal vulnerability. The Ministry of Agriculture monitors soil erosion in the Scotland District which is susceptible to significant land slippage. The institutional arrangement, supported by a number of NGOs, has worked well for Barbados over the years. Over the 1995 to 2010 period, Barbados was affected in a significant way by three major storms in 2002, 204 and 2010. The estimated damage associated with such storms has not been as great as other Caribbean countries. Indeed, Barbados has displayed an improvement in its risk management over the years as highlighted by Sarmiento and Hoberman (2011). Using a risk management index consisting of four components: risk identification, risk reduction, disaster management and governability and financial protection, they indicate the Barbados moved 12 in 1995 to 45 in 2008 (where the index lies between 0 (bad) and 100 (good)). The vision of Barbados becoming “the most environmentally green economy in Latin America and the Caribbean” can certainly become a reality if everyone is allowed the opportunity to contribute to the process. The ‘greening’ of the country would allow it to proceed on a sustainable development path where there is a balance of environmental, economic and social actions associated with human activity. Indeed Barbados has adopted a sustainable development strategy to guide its long term development
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10. Conclusion An assessment of the economic and social environment of Barbados over the period 1995 to 2010 indicate that significant progress was made on several fronts while there were reversals associated with external shocks to the economy. Barbados has performed well by international standards having achieved a “very high human development� ranking by the UNDP and having achieved most of the MDGs. The country has developed a planning and policy framework which has seen the emphasis placed on productivity growth, export expansion, production diversification and developing the human capital base of the country. Economic expansion has been associated with the reduction of unemployment and the improvement of social indicators in the education, health and housing sector. The economic recessions in 2001 and especially 2008-9 eroded some of the gains associated with economic progress over the study period 1995 to 2010. The economy has seen the continued shift in production towards the services sector especially tourism and international business and financial services. More persons now derive their livelihoods from the services sector than four decades ago. The different administrations of government have used various fiscal and monetary policy measures to provide incentives and concessions to the productive sectors of the economy. More females have joined the labour force and have occupied more professional jobs than males by the end of the study period. The country has witnessed a reduction of reported crime over the period and a general degree of social stability. The establishment of governance mechanisms such as the Social Partnership has allowed the country to become a model for other small developing countries. It is expected that the economic progress achieved up to 2008 would have benefitted the mass of the population with decreases in poverty and income inequality. The recession would have however resulted in a reversal of this trend. The basic social and human capital still remains in the country to allow it to rebound after the crisis. With sound economic policies, the assistance of the social partners and the support of international development agencies and the Barbados’ Diaspora the country should able to return to the pre-recession growth path.
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Saptagiri L. (2002). Poverty and Income Distribution in Barbados 2001-01 (London/Barbados Commonwealth Secretariat/Ministry of Social Transformation) Sarmiento J.P. and Hoberman G. (2011): Disaster Risk Management Disparity in the Caribbean: Evidence from Barbados, Dominican Republic, Jamaica and Trinidad and Tobago (Western Hemisphere Security Analysis Centre, Florida International University, May). Sharma S. et al (2008): “Assessing Dietary Patterns in Barbados Highlights the Need for Nutritional Intervention to Reduce Risk of Chronic Disease”, Journal of human Nutrition and Dietetics, vol 21 (2), April, pp 150-158. Thomas C.Y (2002): Green Paper on Social Policy for Barbados (Barbados, UNDP, February). United Nations (2004): Barbados: Public Administration Country Profile (New York, December). United Nations (2007): Public Governance Indicators: A Review of the Literature (New York, Department of Economic and Social Affairs). Worrell D. (1982. The Economy of Barbados 1946-1980, (Barbados, Central Bank of Barbados), editor. Worrell D. (1994/5): “The Barbados Economy since the 1930s”, Journal of the Barbados Museum and Historical Society, vol XLII, pp 75-90. Yearwood (2009). “The Success of Rehabilitation Amongst Male Offenders in Barbados 1998-2004: Implications and Recommendations” (UWI, SALISES Seminar Paper).
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