On this issue, Prime Minster Arthur of Barbados who has lead responsibility for the implementation of the CSME commented as follows: “Our Caribbean Community has been conceived to be a comm unity of Sovereign States. Each sovereign state in such an arrangement retains exclusive powers in relation to the implementation of community decisions.
Flexibility not forbearance Finally, let me end on a current concern that pertains to the RBI’s regulation that is not unrelated to the issues discussed in this lecture. Today, a large number of industries are getting together with banks to clamour for regulatory forbearance. They want the RBI to be “realistic” and postpone any recognition of bad loans.