Nevis Set to Welcome ‘Transformative’ Sustainable Economic Zone

Nevis, part of the Western Hemisphere’s smallest sovereign twin-island nation of Saint Kitts and Nevis, is set to welcome a Special Sustainable Zone (SSZ) to its shores. The move could represent the greatest economic development in Nevis’ recent history and see the 93 square kilometre island become a blueprint for all other small island states to follow.

It is understood that the Zone in question will be located in a largely barren, uninhabited area in the south, which has not seen the same levels of development as other parts. The Zone may also finally unlock a long-delayed geothermal energy project, which is believed to be capable of generating enough energy to make Nevis a net energy exporter.

Able to accommodate some 7,000-10,000 people, the development holds significant potential for investors as well as the local community, with thousands of jobs set to be created. Favourable investment conditions within the Zone will no doubt also spark a significant amount of global investor interest.

As part of the law around the Zone, the developer must generate its water and 70 percent of its electricity needs from renewable sources, ensure environmental and heritage site protection, and restore land while providing sustainable services within the Zone itself.

While special economic zones are not new, Nevis’ Zone marks a first in terms of sustainability being placed at its core.

Special economic zones exist in other Caribbean nations, including Jamaica, and have brought about significant economic gain, although these lack the environmental elements baked into Saint Kitts and Nevis’ legislation.

Speaking on a recent podcast about the development, Nevis Premier Mark Brantley noted that what Nevis is doing is novel, emphasising also that the move is crucial for Nevis’ very survival.

“This is the first attempt globally to bring the principles of sustainability into play,” Brantley explains.

In recent months, Brantley’s governing administration has been pursuing economic diversification initiatives to offset recent declines in CBI revenue and insulate Nevisians from wider macroeconomic headwinds.

Major bodies, including the IMF, have called on small island developing states, including Saint Kitts and Nevis, to adapt economic policies during current market volatility. Historically, such nations have relied excessively on revenue from tourism or CBI alone.

In April, the World Bank called on the Latin America and Caribbean region to ‘recalibrate economic strategies’ and to adopt ‘bold and practical reforms’ which boost productivity and tackle existing issues, including underinvestment in infrastructure.

The steps taken with the introduction of this legislation align with calls for economic adaptation and make Nevis the blueprint for others to follow.

Brantley has previously teased major projects, no doubt alluding to the August announcement. In a recent address to the nation, he highlighted the significant positive impact of an SSZ on local jobs, revenue, and the island’s infrastructure.

“We are striving to become the best place in the world to live, work, and raise our families. That, brothers and sisters, is our mission and our sworn duty. For years, I have said Nevis needs a game changer to take our island to the next level of development,” said Brantley.

Reports have since emerged of an investor who has proposed a development for the Zone which will generate thousands of long-term jobs, billions of dollars of direct revenue, and hundreds of millions in revenue for the government, which will be reinvested into long-stalled infrastructure projects.

Projects ranging from airport expansion to investment in core public infrastructure, including hospitals, roads, and schools could now see the fresh injection of capital they deserve. Further details on the SSZ are expected to be announced in the coming weeks.