Prime Minister Gaston Browne announced plans to publish a booklet detailing strategies for making Antigua and Barbuda’s Social Security Scheme sustainable.
Speaking on the Browne and Browne show on Saturday, the Prime Minister explained that: (a) Social security schemes cannot rely solely on contribution income and (b) Investment portfolios—spanning short, medium, and long-term assets—are essential for generating sufficient returns.
He criticized past practices where Social Security funds were primarily kept in low-yield current and deposit accounts, leading to insolvency in 2010. PM Browne emphasized the need for diversified investments in stocks, bonds, and real estate.
Learning from Regional Examples
Drawing a comparison with St. Kitts and Nevis, Prime Minister Browne noted that their social security scheme now holds assets valued at approximately $1.7 billion, almost double that of Antigua and Barbuda’s, despite a smaller population.
According to the prime minister the key difference between the two schemes is quite simple; St. Kitts and Nevis actively invested their Social Security funds, becoming one of the largest corporate investors in the country.
PM Browne argued that critics, including former opposition leader Harold Lovell, inadvertently made the case for investment-driven social security management through their comparisons. He rejected Lovell’s characterization of investment strategies as “gambling” with pension funds.
“It is proven globally that social security schemes or pension schemes cannot survive exclusively on contribution income,” he reiterated.
Through this comprehensive discussion on Point FM, Prime Minister Browne highlighted two central pillars of responsible governance:
- Financial Transparency: Ensuring audited accounts are complete, accurate, and free from adverse opinions through institutional reforms and accountability systems.
- Social Security Sustainability: Building a robust investment portfolio to safeguard long-term benefits for all Antiguans and Barbudans, drawing lessons from both local history and successful regional models.
“These initiatives align with the government’s broader agenda to foster financial integrity, protect national institutions, and ensure long-term economic resilience for Antigua and Barbuda,” PM Browne explained.
Prime Minister Browne revealed plans to release a detailed booklet titled:
“The Transfer of Jolly Beach to Social Security: A Strategic Imperative”
Authored by PM Browne himself, the booklet outlines his administration’s rationale and financial analysis supporting the transfer of the Jolly Beach Resort to Antigua and Barbuda’s Social Security Fund. He emphasized that this move aligns with the government’s broader vision of: Entrepreneurial Socialism (Empowerment Capitalism): Where state and private sector partnerships generate wealth that benefits the nation as a whole and Strategic Investment Over Foreign Dependence: Breaking from old colonial economic models where key assets were owned and controlled by foreign investors.
The forward of the booklet spells out the government’s commitment to building a self-reliant Antigua and Barbuda. It highlights examples of national assets reclaimed under Browne’s leadership, such as: West Indies Oil Company: Now majority-owned by the government and people of Antigua and Barbuda. As well as Domestic Banking Sector: Following the purchase of Canadian-owned bank branches, local banks reported over EC$110 million in combined profits last year, profits that now remain within the Antigua and Barbuda.
