by Linda Straker
- Project Polaris to offer higher standard of care, expanded specialist services, and improved diagnostic capabilities
- Aim to break ground on Hope Vale site in first half of 2026
- All agreements signed under 2025 Loan Authorisation Act will be tabled in Parliament
Government will open an account at the Eastern Caribbean Central Bank (ECCB) as part of its strategy to create a savings fund for the building of a new hospital.
Labelled as Project Polaris, this new hospital project will be designed to offer a higher standard of care, expanded specialist services, and improved diagnostic capabilities and is described by the Government as the most transformative initiative on the healthcare agenda for the ruling Dickon Mitchell administration.
“Mr Speaker, one of the most transformative initiatives on our healthcare agenda is the construction of a new state-of-the-art hospital,” Finance Minister Dennis Cornwall told Members of the Lower House when he presented the 2025 Estimates of Revenue and Expenditure on 7 March. “In 2025, we will focus on finalising key aspects of the design and financing, with the aim of breaking ground on the Hope Vale site in the first half of 2026. An amount of $23.6 million has been allocated for this project in 2025.”
Cornwall told the House of the decision to set up the fund at the regional financial institution. “Additionally, the Cabinet has approved the establishment of a Special Fund at the ECCB into which a sum of US$25 million is to be deposited as Government’s contribution towards the overall financing of Project Polaris,” he announced. “Furthermore, a small percentage of all NTF receipts will be set aside monthly, commencing June 2025 after finalising the legal requirements, to support the smooth transition to the new hospital once completed.”
The NTF is the National Transformation Fund established by the Citizenship by Investment (CBI) programme. That fund provides for people who want to become a citizen of Grenada to pay over US$200,000 to secure citizenship approval. Government earned over EC$500 million through the CBI in 2024.
Besides establishing that fund at the ECCB, Government will also seek to raise funds for the hospital project through its Budget Loan Authorisation Bill. This Bill, once approved, will authorise the Minister of Finance to borrow specified amounts of money from various sources to finance the 2025 Budget and to finance the new hospital project with teaching facilities. The money is to be raised through loans, bonds, promissory notes or other financial instruments.
Targeted lenders will include the International Development Association (IDA), the International Bank for Reconstruction and Development, the Caribbean Development Bank (CDB), the Eastern Caribbean Central Bank (ECCB), the Regional Government Securities Market and other companies, banks and or financial institutions.
All agreements signed under the 2025 Loan Authorisation Act will be tabled in Parliament.
