On Apr 14, 2026
BASSETERRE — Prime Minister Hon. Dr. Terrance M. Drew outlined immediate economic relief measures effective April 20, 2026, during a national address Tuesday, acknowledging short-term struggles amid long-term nation-building efforts.
In his speech, Drew detailed targeted interventions to ease burdens on households, motorists and businesses. The government will slash the excise tax on gasoline by 50%, dropping the price from EC$1.95 per gallon to EC$0.98 until July 31, 2026, absorbing $1.2 million in costs. A customs service charge (CSC) on gasoline will also halve from 6% to 3% over the same period, saving an additional $600,000.
Further, alternative energy equipment like solar photovoltaic panels will be exempt from CSC and import duties until December 31, 2026, to make home powering more affordable. Surcharges by shippers will be excluded from customs tax calculations on imports, preventing hidden fees from inflating costs.
Drew also extended discounted VAT rate days for 2026: August 28-29 for back-to-school, and December 11 and 19 for Christmas, including vehicles. “These are genuine targeted interventions to put money back in your pocket to keep your lights on, to keep your vehicle moving, and to help you breathe a little easier,” he said.
The prime minister emphasized collective responsibility. “When government reduces taxes, let those savings reach the people at the counter, because when our people can breathe, our economy grows and that benefits everyone, including your business,” Drew urged businesses.
He framed the measures amid global challenges, stressing prudence over panic. “There are no quick fixes. Fuel prices may rise again. Supply chains may shut, but we will navigate this with prudence, not panic,” he stated. Drew highlighted progress in energy, water, schools and peace, rooted in “evidence, in care, and in the unshakeable belief that St. Kitts and Nevis deserves to stand tall among nations.”
The address called for unity: “We therefore rise together. All we do not truly rise at all.” Drew encouraged citizens to share rides, fix items and support fairness, vowing no one—from young job seekers to elderly in Nevis—would be left behind.
“Your government will continue to monitor, assess, and act carefully, responsibly, and always with your wellbeing at the center. That is our commitment,” he concluded, invoking blessings on the federation.
