The financial health of the St. Christopher and Nevis Social Security Fund, the Development Bank of St. Kitts and Nevis (DBSKN), and the St. Kitts-Nevis-Anguilla National Bank (SKNANB) Group of Companies, is strong and getting stronger.
The declaration was made by the Federation’s Prime Minister and Minister of Finance, the Honourable Dr. Terrance Drew, on Tuesday, June 20, 2023, during a Sitting of the National Assembly.
“Social security is roaring, the National Bank is roaring, and the Development Bank has a smaller roar,” said Prime Minister Dr. Drew.
A closer look at the data, per institution, gives greater insight into the financial standing. Reading from a report from social security, Dr. Drew said, “At the end of April 2023, the St. Christopher and Nevis Social Security Fund stood at $1.73 billion. There was a surplus of income over expenditure of $5.1 million for the year to date compared to a deficit of $7.5 million at the same time in 2022.”
It was also reported that contribution income increased by 12 percent standing at $35.7 million compared to $31.9 million last year. A 180 percent increase in investment income also was registered as well as a 10 percent increase in benefits expenditure and a six percent increase in administrative expenses compared to figures in 2022.
As it relates to the SKNANB Group of Companies, a deficit was registered during its last fiscal year, which ended in June 2022. However, the prime minister said that the numbers for the current fiscal year are positive.
“The National Bank is on a trajectory to rebound this year. The fiscal year comes to an end in June and as we are seeing the numbers now, [the] national bank will once again be turned green and is expected to once again pay dividends,” the Minister of Finance stated, noting that the bank is very healthy.
Prime Minister Dr. Drew added that the development bank is also “roaring back” after corrective actions were taken following the number of irregularities discovered last year, including the absence of an independent financial audit since 2018.
“We have set a path to make sure that we get the development bank back on the road of integrity, good governance, and to serve its purpose in serving the people of St. Kitts and Nevis,” he indicated.
“… Unlike the few years recently passed, we are now able to keep up with our loan payment to the government, to National Bank, these were in big default, and we had to make sure that the bank came back into alignment,” PM Dr. Drew expressed.
The prime minister stressed that the government has been “extremely responsible” with these three institutions in recognition that they are “critical to our development.”