The Trinidad and Tobago Automotive Dealers Association is praising Prime Minister Kamla Persad-Bissessar's decision to reveal the names of foreign exchange users. The Prime Minister said the move is intended to expose what she described as a forex cartel and to bring greater transparency to the distribution of foreign exchange...
00:00According to a list released by Exim Bank, chicken companies and pharmaceutical firms have emerged as the biggest users of foreign exchange over the past five years.
00:12Despite criticism that the disclosure violates privacy, Automobile Dealers Association President Visham Babur insists the exposure was necessary to confront the unfair distribution.
00:26Priority shouldn't be given to only one sector. Priority has to be given to some extent to everyone in this country with regards to Forex because everybody has issues.
00:38People have health issues. They have different challenges. So we have to look at it holistically.
00:44I can understand we need certain sector to bring in life, like let's say the medical supplies and these things.
00:52But again, we need to have transparency.
00:55Former Minister of Finance, Kom Imbit, slammed the government's plan, calling it a destruction of banking confidentiality.
01:05Others in the business sector echoed concerns, warning that the disclosure sets a dangerous precedent, is reckless and could have serious repercussions.
01:16Despite this, the Automobile Dealers Association President insists the move was necessary.
01:22So people could be opening new businesses, getting money under this company that deemed necessary, and they could have other businesses financing where other businesses are having problems getting Forex.
01:35So when we talk about transparency, when we talk about publishing a list, then the citizens, then the businesses would have to put pressure.
01:45And when I say pressure, I mean they would have to advocate and understand because they would have figures in front of them.
01:50If you have no statistics and no figures, you can't say anything.
01:53Vice President of the Association, Rundell Fields, says consumption of foreign exchange is a major contributory factor, highlighting how usage patterns underscore the need for transparency and accountability.
02:07If we don't know how we're consuming, so thankfully we've had the oversight on the report did by Mr. Hawaii, whereas even individuals themselves can realise how individuals have been consuming Forex as well.
02:22I mean, it's disappointing that we're at a point where we don't have the liberties that we've had and the liberties that even small islands have where we could consume without check.
02:31But, I mean, we're at a position, I think we can agree, where we must understand the value of knowing our consumption patterns and our consumption culture as well.
02:43Fields tells the Morning Edition, the release of this information is imperative for any plan to create legislation regulating foreign exchange distribution going forward.
02:54He adds that economists, government officials and other relevant stakeholders will now have the opportunity to carefully examine the data and assess how best to shape policy.
03:08If you're going to draft legislation as is suggested as the way forward, you have to have oversight of what has been taking place over the last few years and see what our true challenge is.
03:19You have to have an idea of how it's being dispersed and not only how it's being dispersed amongst the public and the business, but also how much of it are we earning as well and where's the shortfall?
03:29How much more do we need to earn? How do we diversify in the sectors that we're going to actually earn more? What are we not looking at?
03:37Where can we invest more of our Forex into that we've been wasting somewhere else?
03:41Prime Minister Kamala Passat-Bissassar confirmed that her government will bring forward legislation in Parliament to require the central bank to make all foreign exchange allocations public.
03:53She said the move is aimed at exposing Forex cartels and giving citizens a clear view of how the banking system has been impacting small and medium enterprises.
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