Call made for a Grenada Diaspora Investment Fund

Grenadians at home and in the diaspora ought to be collaborating more to build “generational wealth” especially in the new environment with the passage of new tax and spending measures in the United States, Grenada politician Peter David has said.

Among the US measures, included as part of what President Donald Trump calls the “One Big Beautiful Bill” is a 1% tax on money sent through Western Union, MoneyGram and other remittance service providers to family and friends in Grenada and other Caribbean countries. The original proposal was for a 3.5% tax.

“Here’s what this means for Grenadian families. A 1% tax is better than the 3.5% they originally wanted. But, it’s still money taken from families who are already struggling,” said David. “Every dollar sent home from the US now has a 1% tax taken by the American government. Your family sends money for groceries, but only a portion arrives. Emergency money for medicine, less money reaches the person who needs it.”

David, examining other actions of the US government, said Grenada and the Caribbean also are being impacted by the shutting down of programmes of the United States Agency for International Development (USAID) and the layoff of USAID staff and contractors.

There’s a message in the decisions taken by the American government, said David, speaking in his capacity as leader of opposition political organisation, D Movement. “The American message is clear — we must rely on ourselves,” said David, who is also MP for the Town of St George. “We can’t build our future depending on others’ generosity.”

David has recommended that Grenada examine its tax structure to help small businesses and look for a financing mechanism to support them. He also has proposed the establishment of a “Diaspora Investment Fund” which “channels overseas Grenadian wealth directly into local start-ups and small businesses.”

In Grenada, “we need easier pathways for our Diaspora to invest back home” as well as “tax incentives that reward businesses for buying local rather than importing,” said David, a former Foreign Minister and Minister of Agriculture.

“We need local supply chains, so when you spend money in Gouyave, it stays in Gouyave. We need to support small businesses without drowning them in red tape. We need a financing mechanism that works for vendors, fisherfolk and service providers, who have good ideas but can’t access traditional banking.”

Grenadians at home and abroad, working together and finding “smarter ways to support each other, “can build something bigger than survival and create lasting prosperity,” David suggested.

“A vendor in the market doesn’t care which party helps her to expand; she just wants access to credit and customers. A farmer doesn’t care about political colours. He wants to sell his produce to restaurants and hotels, instead of watching them import fruits and vegetables,” he said.

“D Movement’s role isn’t to have all the answers. It’s to ensure these conversations lead to action, with policies that actually work for working Grenadians.”

D Movement