Government will continue with the reform of state-owned enterprises (SOE), which in some cases includes private sector involvement.
This was outlined in the Barbados Fiscal Framework 2026/2027 to 2028/2029.
However, there was no indication that a divestment or privatisation strategy will be used as was the case when the Barbados National Bank and Insurance Corporation of Barbados were sold to private sector entities.
“Government is continuing its SOE reform programme which started in 2019, following the approval of its Barbados Economic Recovery and Transformation (BERT) Plan with the International Monetary Fund,” the Fiscal Framework states.
“The reform of the SOEs under the BERT Plan was aimed at improving efficiencies in the public sector and the reduction of SOE transfers over the medium term. Under this reform programme, several agencies were identified for reform, with a few of them already completing the reform process.”
The Ministry of Finance report said that the agencies that were previously reformed/restructured included:
• The Barbados Agricultural Management Company Limited: the operations of this entity involving sugar production and processing were divested to the co-operative movement.
• Gymnasium Limited: entity was absorbed into National Sports Council.
• Barbados Cultural Industries Development Authority: entity was absorbed into the National Cultural Foundation.
• Caves of Barbados: operations of Harrison’s Cave were leased to a private sector entity, Jamaica’s Chukka Caribbean Adventures.
• National Productivity Council: entity ceased operations and was wound up.
• Merger of the Rural and Urban Development Commissions into the Rural and Urban Development Commission.
The report added that “as it relates to entities that are currently in the process of reform, the following should be noted:
• Detailed plans have been drafted for the restructuring of the Transport Authority and sections of the Transport Board into the Mass Transit Authority. This entity will have private involvement.
• Plans are being developed for the reorganisation of National Housing Corporation aimed at improving operational efficiencies.
• The amalgamation of key energy entities: National Petroleum Corporation, the Barbados National Oil Company Limited and Barbados National Terminal Company Limited to form the Barbados National Energy Company Limited.
• Amalgamation of the social services entities of the Child Care Board, National Assistance Board, Welfare Department, and the National Disabilities Unit.
There are also plans to undertake a public-private arrangement at the Grantley Adams International Airport.
It was announced in 2023 the Private Office of Sheikh Ahmed Dalmook AI Maktoum of Dubai and Agencias Universales S.A. of Chile (AGUNSA) had signed a memorandum of understanding with Government of Barbados “towards a new Public Private Partnership for the investment, development, and operation of the Barbados Grantley Adams International Airport” over a 30 year period.
In 2023, Prime Minister Mia Amor Mottley also dismissed as mere rumour circulating reports that the Barbados Water Authority would be privatised.
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