The Antigua Labour Party (ALP) voiced its opposition towards the planned sale of the State Insurance Corporation (SIC) by President Baldwin Spencer’s administration, and disagreed that the corporation cannot expand overseas.

“That in itself is nonsense,” said ALP political leader Lester Bird. “There is nothing to prevent it in its form now from going outside of Antigua and from establishing a committee of the State Insurance and to go abroad and enter into agreement with our people.

ALP chairman Gaston Browne is also opposed to the planned divestment, on the grounds that it goes against accepted norms where governments sell money-losing ventures.

“It is very simple,” he said. “All they needed to do is to turn it into a corporation that is wholly owned by the Government of Antigua of Antigua and Barbuda; and if it is that they really needed to get additional capital they could have perhaps even listed it on the ECSE (Eastern Caribbean Stock Exchange).”

Earlier this week the government said it had signed a contract with the International Finance Corporation (IFC), the World Bank Group’s private sector arm, to take charge of the divestment of SIC, which provides a variety of insurance services to clients in Antigua and Barbuda. The government also said that it would launch an international bidding process and invite reputable insurance investors to express interest.

“The corporation would benefit from the injection of capital and expertise of a reputable insurance investor in order to improve its operations and service offerings,” according to the government in a statement. “Divestment would also enable SIC to participate in the consolidation of the insurance market expected to unfold in the Eastern Caribbean.”

But ALP’s Browne took a political shot at Spencer’s United Progressive Party (UPP) for the move. “It shows very clearly here that the members of the UPP lack creativity, they lack innovativeness.”