Anguilla’s government reserves currently stand at about EC$358.6 million with no drawdowns in the past year, according to Premier Cora Richardson Hodge.
In an open letter to opposition leader Ellis Webster published on 27 April, she added that the island’s fiscal position “remains sound” due to careful management of public expenditure.
The response came nearly a month after he called on the premier to provide a detailed breakdown of the government’s reserves and its overall fiscal position in a letter on 31 March.
Get members-only articles and editorials, giveaways and discount codes with Anguilla Focus. Click here to join from just $4/month.
Webster, who previously served as premier under the Anguilla Progressive Movement, said the move would “foster transparency and public confidence” as well as support constructive dialogue.
In her response, the premier said: “At a time when global uncertainty is placing real pressure on households, businesses and governments alike, I agree that clarity, transparency and responsible leadership are essential.”
As well as government’s reserves, the opposition leader requested updates on the overall fiscal position, revenue performance, deficit management plans and support measures.
Reserves in detail
Richardson Hodge, who also serves as finance minister, in her letter explained that government reserves as at 23 April remained strong at about $358.6m.
The position includes funds temporarily placed in reserves, reflecting the timing of delayed capital expenditure, she said, adding that money will be drawn down as the projects progress.
She said there have been no withdrawals from reserves over the past year, and the support measures implemented to date have been funded from current revenue.
The approved 2026 Budget anticipates a potential overall deficit of about $73m, which, if realised, could be financed from reserves, the premier explained.
She said this represents a “prudent planning provision” rather than a current drawdown, and any use of reserves will be “carefully considered, targeted and aligned” with the Fiscal Responsibility Framework.
“The government’s approach is guided by prudence, sustainability and responsibility to both present and future generations,” she said. “Reserves are a national safeguard, to be used judiciously where circumstances require.”
Fiscal position
The government’s finances are in a strong position as at the end of the first quarter, the premier continued in her letter.
She said year-to-date revenue collections stand at $187.38m, representing 31.4% of the annual budget of $595.88m – about 6.4 percentage points ahead of the expected pro-rata pace.
Expenditure for the same period stands at $69.78m (17.5% of the annual budget of $397.79m), which is 12% below the cumulative expenditure profile.
Performance has been particularly strong in general services tax and domain name registration, which together have been the primary drivers of the revenue surplus, the premier wrote.
Year-to-date revenue is up 24.6% compared to the same period in 2025.
“Government will continue to manage expenditure carefully, strengthen capital implementation and avoid unnecessary reliance on reserves,” Richardson Hodge said.
A comprehensive breakdown by revenue category will be included in the forthcoming inaugural fiscal report due to be published this quarter.
An ‘encouraging’ performance
The first quarter of 2026 has been encouraging, the premier said, adding that revenue performance has been “robust”, supported by continued growth in .ai domain receipts, and contained expenditure.
“At the same time, we are clear-eyed about the work still to be done, including improving the execution of the capital programme so that approved investments translate more quickly into tangible outcomes for the people of Anguilla,” she said.
“The challenge before us is to strike the right balance – to support people through present pressures while safeguarding the stability that will serve them in the future.
“That is the responsibility of government, and it is one we take seriously.”
The premier said she welcomes continued constructive engagement on these matters, adding that the people of Anguilla deserve a discussion that is grounded in facts and focused on solutions.
“This government will continue to act with care, discipline and a clear sense of purpose as we navigate the period ahead,” she said.
