Minister of Finance Colm Imbert is defending Government’s actions and decisions regarding its foreign exchange policy.
In a statement on Sunday afternoon, Minister Imbert countered recent media commentary regarding the availability and distribution of foreign exchange, and recommendations for the TT Dollar to be floated against the US Dollar.
He noted that the IMF’s call for greater exchange rate flexibility is not new, having been made as far back as 2012. He acknowledged that past Governments, including the United National Congress, did not heed these recommendations.
The Minister said the current PNM Government has maintained a fixed exchange rate since 2015 to control inflation and prevent adverse impacts on the vulnerable population, arguing that devaluation would significantly increase the cost of living without providing additional US dollars.
The Finance Minister also responded to calls for greater Government involvement in Forex distribution, reiterating that he will conduct consultations with various interest groups to determine the best way forward.
As to the Forex windows established at EximBank for essential imports, Minister Imbert noted they were created by the current Government as part of its efforts to target forex distribution effectively. He described the claim that the Government was pressured into resuming these windows as a false narrative, stating that Government signalled months ago to clients of the EximBank that it was reviewing the list of essential imports and the quantum of foreign exchange made available through that particular Forex window.