Finance Minister Perry Geerlings announced that the final documents to secure financing for the rebuilding of Princess Juliana International Airport (PIJA) will at last be signed next week. It regards a US $51 million grant from the Dutch-sponsored Trust Fund managed by the World Bank and a $50 million soft loan by the European Investment Bank (EIB) – both to country St. Maarten, two “on-lending” agreements with PJIA, a concession undertaking agreement with the bondholders and a liquidity support facility during the 18-month construction period, for which State Secretary of Home Affairs and Kingdom Relations Raymond Knops said another $21 million had been made available (see Wednesday paper).
He was at the time very concerned over the delay in this matter, complaining that “continuous efforts” had been made to seek an alternate, much more expensive financing method. The obstruction and indecisiveness were in part due to lack of clarity from government and of communication within the airport.
According to Knops, this was done to elude pre-conditions set by the Netherlands regarding the quality of management and the supervisory boards, as well as World Bank procedures. One of the issues he mentioned is that the formal appointment of a new chief financial officer (CFO) at PJIA recommended by Royal Schiphol Group was yet to take place pending his required screening by local security service VDSM.
Nevertheless, it does appear there is at least light at the end of a long tunnel. And while there has been much ado about a US pre-clearance facility not being included in the current plans, Geerlings had said earlier that the architectural design does leave room for such.
Although some may argue that a caretaker cabinet should not make these kinds of commitments, the process to get the airport fully restored has been ongoing since Hurricane Irma damaged it in September 2017 and the underlying funding agreements were reached last March. The reality remains that this is an urgent and all-important project for the island and its tourism economy that can no longer be postponed.
The finish line is in sight and everybody involved better help reach it or get out of the way.
