Lee: TT facing forex crisis

SOUTH BUREAU

Pointe-a-Pierre MP David Lee is calling on government to state for the record, whether or not TT is facing a foreign exchange crisis.In a media release yesterday, Lee cited the lowering of Republic Bank’s maximum US dollar spending limit on credit cards from $15,000 to $12,000.

In a media statement last week, Republic Bank said its decision was "a result of the ongoing challenge with foreign exchange availability." The new restrictions will be effective from January 20. Credit card limits below this amount (approximately TT$81,000) will remain unchanged.

The US-dollar spending cap will also apply to all transactions at merchants outside TT, including online transactions, even if the billing currency chosen is TT dollars. Lee said thousands of citizens especially entrepreneurs would be “severely setback” by the latest measure announced by Republic Bank.

“Government must be honest and inform our citizens if our economy is facing a foreign exchange crisis as recent events clearly indicate such dire circumstances. As a country we must ask why? Has the Government been misleading the country on the economic health of this nation?”

Lee said the PNM Administration must explain to the country why are these “ongoing challenges" being encountered as it relates to foreign exchange availability especially when they “boasted about an economic turnaround, when the Ministry of Trade is boasting about increased non energy exports while a report produced by Research and Marketing also stated that our economy was out of a recession.”

“Was the economic turnaround a political gimmick or public relation stunt by a regime slowly sinking our economy due to its inaction, lack of innovation and inability to generate significant foreign direct investment?”

He said it is “truly disheartening” that in a once robust economy, citizens are now “struggling to obtain forex which can only lead to negative repercussions such as further business closures, loss of jobs and act as a deterrent to foreign investors.”