Foreign exchange is not the problem. It is the diversity and scale of exports.
Even before Covid-19 hit the shores of T&T, manufacturers were facing the challenge of access to foreign exchange. Until then, approximately 80 per cent of the countryâs foreign exchange was generated by the energy sector. Since then, the impact of the global pandemic on energy prices has put further pressure on availability and access to foreign exchangeâthe problem has gotten considerably worse.
Until a business, and ideally the country, is a net foreign exchange earner, these constraints will result in constant demand for a limited supply of foreign exchange. The problem, and challenge, is not foreign exchange, it is the ability of the business to earn it. A re-framing of the problem redirects the effort and focus on the solution. We have to stop talking about a foreign exchange problem and talk about developing our collective and individual export capability.