The Trinidad and Tobago Government has signalled plans to divest several state-owned enterprises, including National Quarries Limited, Trinidad Hilton, Magdalena Grand Beach and Golf Resort, and La Brea Industrial Development Company Limited (LABIDCO). Prime Minister Kamla Persad-Bissessar outlined the proposed sales on October 14 while speaking at a groundbreaking ceremony for a major hotel development in Tobago.
The ceremony marked the start of construction for a planned 200-room Marriott resort valued at TT$500 million. The project, being developed by Trinidad-based Superior Hotels, is expected to include villas, townhouses and recreational amenities, with completion anticipated by 2029.
Persad-Bissessar used the occasion to explain her administration’s position that private-sector investment should play a greater role in commercial activities currently undertaken by the state. She argued that the government had a poor record of operating businesses and said it had decided to divest its hotel assets.
National Quarries and LABIDCO were among the enterprises identified for potential divestment. Criticising the financial performance of National Quarries, the Prime Minister said the company incurred costs of TT$350 to prepare aggregate but sold it for TT$150. She questioned the commercial logic of that arrangement and invited interested investors to consider acquiring LABIDCO.
The government also intends to invite expressions of interest for the Magdalena Grand Beach and Golf Resort and Trinidad Hilton. Persad-Bissessar questioned why the state should operate hotels, arguing that private-sector participation was vital to investment and development. Her remarks indicate that the proposed divestment programme extends beyond individual businesses to the government’s wider approach to managing commercial assets.
The Magdalena Grand has recently furloughed more than 50 workers for at least one month, according to the report, citing low occupancy and reduced business activity. The development adds urgency to questions surrounding the hotel’s financial performance, although the government has not provided a complete timetable or detailed terms for the proposed sales in the material reported.
Tobago Chief Secretary Farley Augustine welcomed Superior Hotels’ decision to proceed with the resort after considering recommendations from the Tobago House of Assembly and concerns raised during the planning process. He said public beach access would be maintained, construction would not take place on the beach itself, and environmentally responsible practices would be observed.
Superior Hotels chairman John Aboud said the company would comply with conditions established by the Environmental Management Authority in its Certificate of Environmental Clearance. He also said IDB Invest, the private-sector arm of the Inter-American Development Bank, had expressed strong interest in participating in the project.
The planned resort is being presented as a significant private-sector investment in Tobago. Meanwhile, the proposed divestments could reshape state involvement in several commercial enterprises. The next steps will depend on the government’s formal expressions of interest and the response from prospective investors.
