BASSETERRE, St. Kitts, Nov 13, CMC – The St. Kitts and Nevis government Friday night announced the gradual phasing out of the 42 year-old Citizenship by Investment Programme (CBI) insisting that it has a plan to ensure the continued socio-economic development of the twin island Federation.
“We have a plan, we have partners, and we have the will to see through. When we step out of CBI, we will step into a sustainable island state, which will have clean energy, more jobs, a stronger and more diverse economy, and a future that does not depend on citizenship by investment,” Prime Minister Dr. Terrance Drew said in a 30 minute radio and television broadcast.
He said that the government is in control and that the “economy is in safe hands, and the best days of our twin island Federation are still ahead of us. So I call you tonight to let us build, let us build together as one, as one Federation,” he added.
The announcement by St. Kitts and Nevis follows similar statements made by Antigua and Barbuda, Dominica and St. Lucia following the decision of the European Union that the countries of the sub-regional Organisation of Eastern Caribbean States (OECS) with CBI programmes should end them by June 1, 2028.
St. Lucia’s Prime Minister Phillip J Pierre told a news conference earlier this week that Castries had submitted a response to the EU, but would not divulge the contents of the correspondence while Antigua and Barbuda Prime Minister Gaston Browne has indicated that his country will adopt options to terminate the CBI “with a longer transition period specifying the period proposed for the Commission’s consideration, together with the support it would need to manage the transition and any other special requests”.
The European Union had given the OECS countries a June 1, 2028 deadline to end the programme or risk losing visa free access to the Schengen area.
Antigua and Barbuda, Dominica, Grenada, St. Kitts and Nevis and St. Lucia all operate a CBI programme through which citizenship is granted to foreign investors in return for making a substantial investment in the socio-economic development of these countries.
Prime Minister Drew in his lengthy address in which he traced the origins of the programme here, said if a small country is put on the wrong grey or black list, the world’s big banks step away.
“Our banks depend on banks in the United States, Canada and Europe to move money in and out of this country. If those banks cut us off, a visitor could not pay with a credit card, a family abroad could not send money home, a business could not pay for goods it imports.
“We would be cut off from the international financial system. Correspondent banks wouldn’t do business with us and our services economy would cras,” Drew said, adding that tourism, banking, offshore education, all of it depends on money moving freely.
“No responsible leader would gamble with that. I will not gamble with that. You are too important. So the only prudent decision is this. St. Kitts and Nevis will wind down its citizenship by investment programme responsibly on a timeline now being negotiated with the European Union.”
He said that this means that St. Kitts and Nevis will keep its “good name” in the international community and all nationals will continue to receive the benefits associated with that good name.
“As your Prime Minister, I have taken that decision and I have formally given that position to the European Union. It was never sustainable to rely on CBI forever. So we will move with purpose towards our sustainable island state and a diversified economy that can sustain St. Kitts and Nevis for decades to come.”
Prime Minister Drew said that nothing changes tonight “for any person who lawfully holds our citizenship,” adding “every citizen home and abroad, nothing changes for your travel.
“This decision is what protects it. Second, this change will not happen overnight. It will take time and I will announce the final date for receipt of CBI applications as soon as it is agreed with the European Union.”
Prime Minister Drew said that until then, the programme will continue on the “strictest standards in its history.
“Every standard we have agreed to as a region will be followed and our regional regulator will monitor that we follow them. There will be no rush, no discounts and no fire sale. Our citizenship will never again be sold cheaply on the basis of buyer meets seller.”
He said thirdly, the projects already on the way, “we will push for completion and the dedicated staff of our citizenship unit who worked so hard to restore our good name will be deployed to lead our new drive for foreign direct investment where their experience with investors will be put to work for our people.
“In other words, they will continue to work,” he said, telling the nation “we are not walking into the unknown.
“This is the eventuality we have been preparing for,” he said, disclosing that he held talks on Thursday with a delegation from the European Union, discussing how the EU’s global gateway strategy can support the country’s economic transition, the Nevis geothermal project and a power link between some neighbouring Caribbean islands.
Drew said that the discussions also centered on another on the sea fibre optic cable, better sea links across the region for trade and travel and other related projects forthe continued economic transformation of St. Kitts and Nevis.
“That meeting is one of many. We have held discussions with the Republic of China on Taiwan, the United States, the Republic of Ireland, the Kingdom of Saudi Arabia and Italy and other countries who are willing to partner with us,” he said, adding that discussions have also taken place with the Barbados-based Caribbean Development Bank (CDB), the Inter-American Development Bank and the Green Climate Fund.
“Each discussion has one fundamental purpose, to move our diversification forward under the sustainable economic expansion and diversification seed pillars of our sustainable island state agenda.
“Our international partners have even committed to partner with us on exploring for geothermal energy here in St. Kitts while we push ahead with the drilling and then the building of the geothermal power plant in Nevis.
“We have been preparing for this day since 2022. Our immediate actions in 2022 preserved CBI. Major reform, constant dialogue, a professional citizenship unit and regional buy-in gave us time, time to keep earning from CBI while we build something new to last.”
He said that in 2022, CBI money made up as much as 70 per cent of our government’s revenue. In 2026, it is less than 20 per cent.
“That did not happen by accident. It happened because we planned it. The transition period gives us more time to raise CBI capital to complete the projects already in the pipeline.But we will not slow down our projects. We will put our diversification plans into hyperdrive so that when we step out of CBI, we step into a sustainable island state as a net energy supplier. “
Drew said that geothermal will be at the heart of the plan and the government is pushing ahead with the drilling of six geothermal wells and then the building of a major power plant.
“A power link will carry that energy to St. Kitts. Our partners will begin exploring for geothermal here in St. Kitts as well. Add the 50 megawatt solar plant, the corporate pattern of which will be decided in a mere few weeks, and St. Kitts and Nevis will produce more clean power that we use.We will become a net energy supplier.
“Our neighbours in Antigua and Barbuda and St. Martin have already expressed interests in getting energy for us. That means cheaper, cleaner electricity for our homes and businesses and a new export for our nation.”
He said efforts will also be made to ensure the Federation has food security an that from November 2027, P&O Cruises will home port two of its ships, Iona and Avia, here in St. Kitts for the winter cruise season.
“With the European Union, we are discussing another on the sea fibre optic cable to make our connections faster and more secure. Digital work can be done right here and sold to the world. The orange economy, our music, our carnival, our artists, our filmmakers and our designers are a business. We will make the most of our creative economy so that our talent earns for our people.”
Drew said that the government will train and further educate citizens “at every age and at every stage of their careers so that our workforce is more qualified, more skilled, and of course, more productive than ever before” adding that the “next 20 years will be built on the value of our people”.
Drew sought to answer whether the economy would be strong enough for the upcoming changes as a result of the loss of CBI funding.
“Let me answer with the words of the International Monetary Fund, which reviewed our economy in May of this year. The IMF said debt sustainability is maintained. It found our banking system broadly stable with stronger capital and fewer bad loans.
“It said geothermal and solar energy projects are advancing steadily. It said that a successful energy transition could strengthen medium-term growth. It expects with all of the challenges that our economy will grow this year.
“The IMF also confirmed what I have told you tonight. Last year, CBI income fell to six per cent) of the size of our economy, and our economy is still growing. However, I will not pretend that the road is easy.”
Drew said that less CBI money” means we must spend wisely and plan carefully.
“We will. Our plan is to make this change by growing our economy. Raising taxes is not part of that plan. Our governance is also strong. We passed the Anti-Corruption Act. We strengthened our integrity and freedom of information laws. We placed our citizenship unit under independent audit, and we helped to build a regional regulator.
“So, I do not stand before you with promises alone. I stand before you with a record, with partners, and with a plan. The economy and the governance of Saint Kitts and Nevis (15:35) are in safe hands”.
“Fellow citizens and residents, we relied on sugar, and the world changed. We relied on CBI, and the world changed again. This time, we saw the change coming, and we prepared. Our Citizenship by Investment Programme served this nation for 42 years,” he said.
CMC/pr/ir/2026