Today’s report that work on the new hospital will begin in November is most welcome. There had been some doubt among citizens after the recent political crisis, considering severe criticism against the plans expressed in the past by Members of Parliament (MPs) that are part of the incoming coalition.
However, it regards a project of the St. Maarten Medical Center (SMMC) foundation, rather than government. In addition, the original building contract was signed in 2016, although an addendum is now being finalised for approval by the consortium of lenders.
One of the latter is Social and Health Insurances SZV, which stands to benefit from fewer costly referrals abroad because more specialists, facilities and services will become available on-island once the complex is in use. Some of the improvements are already noticeable, thanks to related investments to upgrade care at SMMC in the meantime.
Concerns about main contractor INSO due to the insolvency of its former parent company have been addressed mostly by the Italian government and its administrators. It appears all is finally just about set to proceed, starting with a new wastewater treatment plant.
Regrettably, there is less positive news regarding the full rehabilitation of Princess Juliana International Airport (PJIA), as the intended signing for financing from the Dutch-sponsored Trust Fund and the European Investment Bank (EIB) didn’t go through. It turns out the existing PJIA bondholders had last-minute reservations due to the no-confidence motion against the current government and its – consequently – caretaker status, as well as whether the next government will honour the agreements.
A legal counsel of the National Recovery Programme Bureau (NRPB) had apparently also expressed doubts, as the motion said not to make commitments with third parties. However, there are seemingly experts who beg to differ.
An interim cabinet backed by the NA/US Party/Mercelina/Brownbill majority being formed pending the January 9 snap election was given the specific task to continue the hospital project by the governor. A draft parliamentary motion has therefore been presented by NRPB to “formateur” SiIveria Jacobs, that – once adopted by the legislature – would authorise the outgoing ministers to finalise the deal.
Whether such an approach or renewed talks with lawyers and bondholders based on other legal opinions will produce any immediate results remains to be seen. No matter what, it’s important to prevent further delay of this urgent project, as this could have serious implications for the airport and the tourism economy in general.
