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Reflections on Freeport, the “Magic City” as it turns sixty



ElcottProvidenciales, 07 Aug 2015 – The vision of developer Wallace Groves that gave birth to an economic zone on Grand Bahama that would come to be called the Magic City, Freeport, the industrial capital of The Bahamas, legally enabled by the Hawksbill Creek Agreement, turned 60 this week.

The agreement between the government of The Bahamas and Wallace Groves was signed on the 4th of August 1955 and by all accounts, the Freeport experiment was a qualified success.

Built on Pine Barren, by all accounts, Freeport is a modern and well designed city. The name Freeport was derived from the guaranteed long term tax concessions and benefits for financial, commercial and industrial enterprises by port licensees within this one of a kind economic free trade zone. At that time the advantages offered were superior to any being offered in the region.

The 1955 Act specifically stated that “no real property or rates and no real property levies (whether capital or periodic) of any kind shall be levied, charged or collected by the Government within the Port Area or upon or against any land building or structure within the Port Area.”

Additionally, “no personal property taxes or rates and no capital levies and no taxes on capital gains or capital appreciation shall be levied, charged or collected by the Government. No taxes of any kind shall be levied upon or against the earnings of the Grand Bahama Port Authority or against the earnings of a Licensee in the Port Area and outside the Colony.”

The initial vision and business model called for Freeport to be a major shipping hub, taking advantage of its proximity to the North and South American shipping lanes, and an international business center. Under the 1955 Hawksbill Creek Agreement, the Grand Bahama Port Authority established the infrastructure for World Standard Services and Facilities.

The city thrived under the 1955 tax regime and business model but was subject to the radically changing social order that was sweeping across North America and the Caribbean. This social revolution engulfed The Bahamas as it came into its own by bringing all citizens on the periphery of Bahamian society well into the Bahamian mainstream, both socially and economically; this public policy remains a work in progress.

Today, Freeport continues to offer an exceptional business climate for both domestic and foreign direct investment in the aftermath of Hurricanes Frances, Jeane and Wilma one decade ago that caused extensive infrastructural damage; the legal disputes between and the deaths of both of its principals, Sir Edward Saint George and Sir Jack Hayward; the extensions of tax concessions to east and west Grand Bahama beyond the port area; and the ongoing negotiations between the government and relevant stakeholders on the future of the tax concessions enjoyed by port licensees for sixty years.

On Wednesday 29th July 2015, the Parliament of The Bahamas extended the tax provisions for another six months to allow for a more in depth analysis of the local economy and to finalize a strategic economic plan for the island going forward.

On Freeport’s sixtieth birthday, the voices of Grand Bahamians were heard on this decidedly successful commercial experiment, its growth and development over the years, and its promising future. The recurrent themes were the lack of economic activity and job opportunities, especially for our youth.

“I believe that the magic has gone out of Freeport; the drive that the movers and shakers had for Freeport died now…I guess it died with the person who was in charge and when they died the vision died as well” said one resident.

“For the last twenty years Freeport has gone totally down. Since the storms, there was no type of replenishment for Freeport” said another Freeport resident.

“Some people doing okay; some people doing bad so I guess it depends on what you into” was another observation.

“Freeport right now…the state it in, you could see it, it picking up slowly but what needs to really happen right now we need more…basically for the youth more job opportunities” was yet another view.

One lady felt strongly about opening the former Princess Towers and Princess Country Club:
“People need work. They need to do something with that big hotel down at the Bazaar, the Princess, I mean open it up or do something ‘cause people need jobs. Young people coming out of school – they need jobs.”

One observer believed the principals made a strategic error in developing Freeport. He commented on the structure and function of the Freeport model.

“The successful business model created by Wallace Groves was transformed by the Hayward/St George shareholders, who determined that assets critical to the operation of a “Freeport” were to be either partially or completely sold off to outside interests. Under new management those entities became profit centers, thereby increasing operational costs – a disincentive to potential investors; the power company, the Freeport Harbour Company, the airport company and the Grand Bahama Development Company (are just a few examples).”

The complaints about high airport landing fees, the high cost of aviation fuel and the absence of a modern airport post Hurricane Wilma have reached the highest levels of government and will no doubt figure prominently in the current negotiations.

We thank the observers for their frankness and brutal honesty.

In the end we congratulate Freeport on its sixtieth birthday and Bahamians remain optimistic and hopeful of its return to its lofty perch as the “MAGIC CITY.”

Magnetic Media is a Telly Award winning multi-media company specializing in creating compelling and socially uplifting TV and Radio broadcast programming as a means for advertising and public relations exposure for its clients.


Three Days to NIB Rate Increase for 2023



By Dana Malcolm

Staff Writer



#TurksandCaicos, March 29, 2023 – On April 1st, the second round of increases on contributions at the National Insurance Board will kick in for the Turks and Caicos workforce.  Announced last year, the increases were instituted to keep the NIB from running out of money by 2027 as it services a population that is living longer with contributions that had not been increased in 30 years.

As the Government’s new financial year begins, increases at NIB will mean a higher cost for doing business and a higher cost for running the Government.

The private sector is expected to pay contributions at a rate of 11 percent on your taxable income. The hike is up from last year’s 10 per cent; six percent of which is to be paid by the Employer and five percent is to be paid by the Employee.  For wages of $2000, this will mean a $200 improvement in income per month to the NIB.  As for the burn on residents’ pockets, based on a minimum wage of $1200 monthly salary, that’s at least $60 dollars a month and $720 per year.

Public sector rates will move to 10.15 percent up from 9.15 per cent with the worker paying 4.575 per cent and the Government paying 5.575 per cent; that’s $54 a month and $648 a year at minimum wage.

The NIB rate as of April 1, 2023, will jump to 9 percent for self-employed individuals; For self-employed individuals at minimum wage, that is $108 dollars a month or $1296 per year.

As taxable incomes increase so will the contribution.

The increases follow a 2019 Actuarial review, undertaken every three years, which unearthed that the NIB was facing a dismal future, possible collapse. Contribution rates were growing at a rate much slower than NIB expenses, which included beneficiary payouts.  On that trajectory, the NIB’s earnings would be eclipsed by its income by 2027, forcing the worker protection plan to draw down on money saved for economic shocks like Covid-19.

Unsurprisingly, this was deemed untenable, and an immediate increase was recommended.

Despite this scramble to boost earnings, the NIB has simultaneously increased payouts.  Payouts for pensions, funeral grants, maternity grants and more will all attract bigger sums.

These incremental increases on contributions and payouts were all consultant recommendations, informed statements from the Board.

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Bahamas News

Work of NAECOB critical in ensuring high standards in education, says Minister Hanna-Martin



By KATHRYN CAMPBELLBahamas Information Services
NASSAU, The Bahamas, March 29, 2023 – Over 100 schools in New Providence, public and private, and some 30 plus schools in Freeport have been inspected by The National Accreditation and Equivalency Council (NAECOB) to ensure high quality standards for the delivery of education.
“We will cover every island, every cay in this country to make certain that the facilities that we send our children to are adequate, conducive for learning, safe and sound for education,” said Thelma Grimes, chairperson, NAECOB.
“We are going to head to Cat Island and all the others before June.This is our announced visit. They [schools] have a chance to get things fixed that are not finished and [afterwards] we will have the unannounced.”
The Council informed the media of its progress during a briefing Monday, March 20, 2023 at its headquarters, Tonique Williams-Darling Highway.
Howard Newbold, Inspector and Council Member explained that the council’s seven inspectors are tasked with visiting every site or virtual space operating the following: primary/secondary schools, private/secondary, post-secondary, recognized, training, allied health and business institutions among others.
 Mr. Newbold said inspections include an examination of:
 -Safety and security standards-Human security which begins at the entrance to the property’-Physical security: safety mechanisms including smoke detectors, fire alarms and extinguishers (service date verification, and evacuation plan)-Primary grounds, playground equipment, swing sets and slides-Curriculum-Information management system (student records, staff schedules, registration certificate with NAECOB, business license, photos of the national leaders etc.)
The Hon. Glenys Hanna-Martin, Minister of Education and Technical and Vocational Institute thanked NAECOB for their efforts. She described their work as “critical” and a part of an overall national thrust to ensure that the quality of education in the country is at a high standard.“We’re the Ministry of Education and they’re our schools. We are accountable to NAECOB. They ensure that what is happening on the campuses throughout the nation meets the physical standards and the qualitative standards of education. You would have heard classroom size and teacher/student ratio. We may have challenges, and we do at the Ministry of Education but when these issues are brought to our attention we are obliged and compelled to seek resolution to ensure that the standards are met.
“This is a quality assurance measure for the Ministry itself and our schools to ensure that public and private and public schools meet these standards. We value that. Because the objective of the Ministry is to ensure that we meet the standards so that our young people who enter these institutions are afforded the best opportunity possible.
 “Education is a cultural value; a norm. We submit ourselves to the work of NAECOB to ensuring what happens is done at least to make the acceptable standards of the delivery of education in our schools,” she said.
Cassia Minnis, registration officer, said “registration” certifies that a local educational institution/provider has met the criteria to offer an educational service in The Bahamas as outlined in the Education Act. She said it is mandatory that all educational institutions/provider offering/proposing to offer an educational service in the Bahamas must be registered according to the NAECOB Act and the Education Act.
 She said NAECOB is aware of “small” schools operating within residential homes and warned that this is in contravention of the law.
She encouraged the public to view listings of all registered institutions on the website at
NAECOB is responsible for registering and accrediting primary schools, secondary schools, post-secondary schools, and any institution that offers training in The Bahamas.

BIS Photos/Mark Ford

Header: Seated at the table, from left: – Lorraine Armbrister, Permanent Secretary; Minister Glenys Hanna-Martin; Dominique McCartney Russell, Acting Director; Cassia Minnis, Registration Officer; Thelma Grimes, Council Chairperson; Howard Newbold, Inspector, Council Member; Shena Williams, Council and Inspector; Dorothy Anderson, Inspector; T. Nicola McKay, Deputy Chairperson;  (seated behind) Willard Barr, Council and Inspector.

1st insert: Thelma Grimes, Council Chairperson

2nd insert: Howard Newbold, Inspector and Council Member

3rd insert: The Hon. Glenys Hanna-Martin, Minister of Education and Technical and Vocational Training

4th insert: Cassia Minnis, Registration Officer

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Bahamas News

Bahamas Golden Jubilee Events Announced, Celebrations Across 33 Islands & Cays



#TheBahamas, March 27, 2023 – As the 50th anniversary of our nation’s independence approaches, Bahamians everywhere are teeming with excitement and expectancy around the year-long celebrations set by The National Independence Secretariat.

Yesterday, the Prime Minister joined H.E Leslia Miller Brice, Chair of The National Independence Secretariat to unveil the Calendar of Events for the 50th Independence celebrations.

The calendar comprises a host of events, initiatives and recommendations for celebrations throughout all 33 islands of The Bahamas.

At this jubilant occasion the PM stated, “Celebrating independence is about acknowledging the greatness around us, the greatness within us, and the greatness ahead of us.

We are Bahamians. That identity is special.”

View the newly released calendar of events here:…

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