Director of the Sir Arthur Lewis Institute of Social and Economic Studies (SALISES) Professor Patrick Watson says the main focus of diversifying T&T's economy should be on goods and services that can generate foreign exchange.
"Any product, service or activity that does not lead to an increase in foreign exchange earnings is a waste of time. Trinidad and Tobago and economies like Trinidad and Tobago require foreign exchange to survive.
"Some of the most profitable enterprises in Trinidad and Tobago will fall flat and become irrelevant if foreign exchange becomes unavailable," he said.
Watson was speaking at a UWI symposium on Creating an Enabling Environment for Diversification of the T&T Economy, a collaborative effort between SALISES, UWI Trade and Economic Development Unit and Guardian Media.
It was the fourth instalment in a series of public discourses intended to generate conversation on the economic issues currently facing T&T.
Members of the discussion panel included UWI senior economics lecturer Dr Roger Hosein, CEO of the Energy Chamber Dr Thackwray "Dax" Driver, Guardian Media chief business editor Anthony Wilson, and SALISES director Watson.
The event was moderated by economics lecturer Dr Daren Conrad.
Watson said any successful attempt at diversfication must focus on institutional capacity building, as several of the country's institutional structures are currently lacking.
He said: "Many of the social and economic institutional structures in T&T are failing one after the other. If these institutions continue to fail, there will be very little chance of diversification. One of the institutions that is failing the most in T&T is the police service."
In their respective presentations, other members of the panel discussed other areas critical to the diversification thrust.
In his presentation, Hosein touched on the need for a stronger Exim Bank to facilitate trade and investment flows, as well as the need to build out Eteck industrial parks to foster growth and development.
Driver said two of the main strategic pillars of the Energy Chamber is to focus on economic diversification with the objectives of increasing the export of energy services and attracting investments into T&T's upstream oil and gas sector.
Wilson focused on the need for state divestments and increasing the efficiency of tax collections.
Andre Worrell