The Construction Stimulus Package was being implemented with funds under the 2012/2013 National Budget, seeking to boost employment within the construction sector. This would also encourage low income earners to build their homes.
That programme was expected to end today, Monday, February 10, 2014. However, St. Lucia News Online has been reliably informed Cabinet has met this morning to discuss a possible extension of the Construction Stimulus Package.
That programme has been ongoing since May 2012 and was projected to last for 18 months.
Prime Minister Kenny Anthony in the 2012/2013 national budget address explained all duties and taxes would be excluded from selected construction items used for building homes and commercial buildings. This included sand, cement, plywood, steel bars, iron pipes, aggregates, nails fencing and stone products ,paints and other building products.
Bank of Saint Lucia was to put $100 million towards the stimulus programme with five percent fixed interest rate on the loans for the first five years with an incremental increase to match market rate. The government’s contribution was to waive $45 million in construction revenue, which would result in materials being 41% less than the actual price. Government also waived 0.25% on loans for residential and commercial mortgages.
Government is expected to issue a statement on Tuesday coming out of Monday’s discussions.
St. Lucia News Online will provide a further update on this.