by S Brian Samuel
I like SilverSands, a project conceived and financed by a good old-fashioned equity investor, putting his millions where his dreams are.
With CBI financing yes, but no one could accuse Egyptian billionaire Naguib Sawaris of not having a major stake in Grenada, personally and financially. But then: how much is too much? There was outrage a few years ago, when plans became known to sell Camerhogne Park, one of only 2 public spaces on Grand Anse Beach, to Sawaris, to compliment the adjacent Riviera beach land he already owns. That plan may now be dormant, for now, but these things never die; they just go behind closed doors. In addition to SilverSands, Sawaris has gone on a buying spree, scooping up Grenada’s prime tourism properties[1]:
- Jenny’s Place: Grand Anse Beach
- The Edge: Grand Anse Beach
- Riviera site: Grand Anse Beach
- Mount Cinnamon: Grand Anse Beach
- Deep Pool: Golf Course
- Beach House: Magazin Beach
- Port Louis Village: Lagoon
Such strong belief and investment in Grenada is to be applauded, and Sawaris has proven that he doesn’t just sit on his acquisitions, he develops them. Within just a few years, he has grown to become a major player, some would say the major player, in Grenada’s tourism investment market. But, there’s always a but. The question must be asked: is too good much of a good thing, a bad thing? As any economist will tell you: excessive market concentration into the hands of one single entity is dangerous. This stranglehold on Grenada’s prime assets means that one man will control a significant part of Grenada’s tourism product. Design, marketing strategies, architecture – everything that constitutes ‘Pure Grenada’ will be in the hands of one man. It also strengthens his hand, even more than it already is, in negotiations with the government over fiscal concessions.
We used to exert controls over Grenada’s small land base, through the Alien Landholding Act and the policy of not selling land freehold on Grand Anse Beach. The Cherman brothers, Grenadian pioneer owners of Coyaba Hotel, would have loved to have purchased their land freehold, yet all they got was a 99-year lease. But nowadays the Government is pushing as many prime properties as it can, into the welcoming arms of one man: here, take it all.
Finally: a word on Maurice Bishop International Airport. It needs tarting up here and there, but what it does not need, is to be privatised. The thought of trying to find an international operator to take over MBIA is just ludicrous; it’s way too small. What MBIA needs, is to be run in a professional, serious, and courteous manner, yes of course, with better efficiency. The job of Customs and Immigration is not to smile at people; it’s to protect our borders. I’ve been through Cairo Airport. No one smiled at me, no one fawningly welcomed me to Egypt, and I wasn’t out in 2 minutes.
[1] https://www.thenewtodaygrenada.com/local-news/silver-sands-owner-lobby-for-privatisation-of-mbia/
Agreed with the author’s comments. We are selling Grenada like there is no tomorrow. What exactly is the purpose of that. Those who sell get poorer. Those who buy get richer. We are poor because we are poor. That happens when we see easy money and couldn’t care less about our country. Yeah!
I hear your cries and feel you discomfort BUT what Grenada needs is foreign investment and who else will provide it but a foreigner. Having just one major investor does open the door to creating the rules to suit themselves but they didn’t get rich by playing by other peoples rules and as the government haven’t set any rules who can blame them? So who is at fault here – the government or the player?
The colonial rule and mentality never went away. The Petite Bourgeois ruled Grenada as oligarchs. Money and social class always played a role. If you have/had family name with Money is all that mattered.
The playing was never equal. Social injustice is rife in Grenada. It’s because of this colonial DNA that anyone with money can have they way…while this is not unique to Grenada, it is a key ingredient why it can happen and will continue yo happen.
This is not about investment in a capitalist market where it’s free for all but lack of patriotic duty by leaders to Grenadians.
The control of wealth and the means to amass more wealth is nothing new to Grenada. There are few Petite Bourgeois who thought they will forever control everything in Grenada. At the same time looking at everyone else as peasants.
Who owns and control the car dealerships in Grenada? Who controls and blocked the importation of used vehicles? The market is pretty locked down to benefit of a few.
To date there is one party boat in Grenada? Everyone else was denied license or was accused of unsafe.
Who owns and control bulk importation of food? Most rumshops have buy from those who control it.
So if a poor man protest against a foreign investor because he owns too much land/properties, do you think his life will improve. Do you think the Grenadian Petite bourgeois will accept him as equal or fight for interests?
Do you think that Petite bourgeois will advocate that everyone should have an equal opportunity to get a loan and invest.
The answer is no…so what is the difference?
Any private operator Sawiris wants to take over MBIA will need to get in line behind the Chinese:
“In addition, the government has reportedly taken on a $150-million debt from the government of China for upgrading the airport.”
https://www.nytimes.com/2018/06/25/world/asia/china-sri-lanka-port.html
We must ask why there is no public accounting of the millions in income generated by the government in the mass sales of some of the finest properties in Grenada ? These assets rightfully belong to the Citizens of Grenada; not pocket stuffs of those politicians living high on the hog.
What will our future generations get out of these flea market sales of such prime properties where only the few inner circle politicians and their cronies benefit from these here moves.
The first people to enslave and dispossess Black people were Arabs; this is a fact. The last nation to outlaw enslaving Black people was an Arab nation, Mauritania in 1981, again, another fact. 1981! It was only in 2007 that it became a crime to own slaves in Mauritania. What is ingrained in a culture becomes the raison d’être of that culture. The Egyptian is NOT our friend and he does not belong here. A black man cannot buy and build in either Cairo or Sheikh Al Sharm. Why is he here? Who made him feel comfortable? What did Fedon, Marryshow, Blaize, Gairy, and Bishop fight for? I am pretty sure it was not for this. As I close, please think about 1981. If we were in an Arab country in 1981 we could have been slaves. 1981!
Likewise, in agreement on the caution and concern that should exist regarding concentration of investor ownership stakes in Grenada. In small Grenada, the inadvertently created oligarch(s) likely will be the genie(s) that cannot be put back into the its/their bottle(s).
“What MBIA needs, is to be run in a professional, serious, and courteous manner, yes of course, with better efficiency.”. Couldn’t agree more. A sentiment I would apply to other government agencies, notably of them: the RGPF.