Connect with us

Bahamas News

BAHAMAS: Prime Minister foreshadows Fiscal Responsibility Legislation in his Budget Contribution

Published

on

#Nassau, June 20, 2018 – Bahamas – The government is set to bring about Fiscal Responsibility Legislation specifically targeting the rising deficit accumulated over the years.  That, according to Prime Minister Dr. the Hon. Hubert Minnis during his Contribution to the 2018/19 Budget Debate in the House of Assembly, June 18, 2018.

He reaffirmed that his government is “steadfastly committed” to balancing the budget and getting the burden of debt down to a maximum of 50 percent of Gross Domestic Product.  Hence the draft legislation, which is being circulated for public input, includes target levels for the deficit that will see it eliminated in three years – 2020/21.

The Prime Minister noted that the previous administration left almost $800 million in outstanding bills and obligations. After having paid millions of dollars of unpaid bills at the end of 2016/17, his government, in preparing the 2018/19 Budget still faces “a huge pile” of additional unpaid bills and arrears to the tune of $360 million.

“In their last two years in office, they increased the government debt by a staggering $912 million. And this, despite the $1.5 billion in revenues that were collected from the VAT during the first two and one-half years of its existence,” he said.

According to the Prime Minister, the increase in VAT from 7.5 percent to 12 percent is a direct consequence of the “reckless, irresponsible, corrupt mismanagement of public finances of the Christie/Davis government.”

“These are tough targets indeed and the timeline for their achievement is challenging,” the Prime Minister said. “But after so many decades of deficit financing and rising debt levels, we firmly believe that the time has come for decisive action.”

He said that his government believes this move would bolster confidence and stimulate enhanced domestic and foreign investment into the economy.

“We fully intend to proudly wear the mantle as the Bahamian Government that finally succeeded in wrestling the deficit to the ground, bringing us to a much healthier fiscal position.”

The Prime Minister further explained that in order to restore the country’s financial health, his government is taking a strategic and balanced approach in its budget and financial management.

Such measures include:

  • Cutting expenditure, finding savings and reducing waste and costs in a number of areas;
  • Aggressively targeting corruption and the misuse of public funds, which is a tremendous burden on public finances;
  • Major investments in education and training, and the development of entrepreneurs;
  • Major investments in critical infrastructure;
  • Improving the ease of doing business in order to stimulate growth and productivity;
  • Increased revenue generation through more domestic investment and foreign direct investment; and,
  • Increased revenue generation by a higher VAT rate, and a sliding scale tax for gaming operators, among other tax measures.

Other measures include ongoing reform of taxes including ongoing decreases in or the elimination of various tariffs and duties, major investments in BPL and renewable energy in order to decrease the cost of electricity long term, and an improved fiscal and budgetary management through legislation, and technology.

The Prime Minister said that his government is “doing the right thing” to stop The Bahamas from heading down a path that could ruin the country for future generations.

“Right here in our region, we are witnessing the painful results of governments waiting too long to make the difficult though necessary choices to keep their countries from financial collapse.

“I am determined to make sure that our Bahamas does not get to the point where a future prime minister must make an emergency call in the middle of the night, to an emergency international lending agency to request a bailout.”

 

By: Lindsay Thompson (BIS)

Photo Caption: Prime Minister, Dr. the Hon. Hubert Minnis during his 2018/2019 Budget Debate Contribution in the House of Assembly, June 18, 2018.

(BIS Photos/Yontalay Bowe)

 

Continue Reading

Bahamas News

Caught in the Net, Not Accused of Wrongdoing

Published

on

What the Attorney General must do now to protect Bahamian exports

Deandrea Hamilton | Editor

NASSAU, Bahamas — The United States’ decision to impose a 12.5 percent tariff on Bahamian exports is about more than higher costs for seafood, rum and other goods entering the American market. It is a warning that The Bahamas must move quickly to strengthen or clarify its legal framework governing forced labour and supply-chain enforcement.

The tariff, which takes effect July 24, is part of a sweeping U.S. trade action affecting 60 economies following a review by the Office of the U.S. Trade Representative (USTR). The review concluded that the listed countries have not adequately prohibited or enforced measures against goods linked to forced labour in global supply chains.

The action follows a recent U.S. Supreme Court ruling that invalidated an earlier series of Trump-era tariffs imposed under emergency powers. In response, the Trump administration shifted to a different legal authority—Section 301 of the Trade Act of 1974—using findings from a U.S. Trade Representative investigation into forced-labour compliance to support a new round of tariffs affecting 60 economies, including The Bahamas.

Importantly, the action does not accuse Bahamian businesses of using forced labour. Instead, it reflects the U.S. view that The Bahamas’ legal or enforcement framework does not yet meet the standard Washington expects.

That distinction matters.

The Attorney General’s Office now has the responsibility to lead the country’s legal response. That begins with determining precisely what concerns the U.S. Trade Representative identified, reviewing whether Bahamian law adequately addresses those concerns and, where necessary, recommending legislative or regulatory changes. If deficiencies exist, legal amendments and stronger enforcement could help position The Bahamas for removal from the tariff list.

The government may also seek formal discussions with U.S. officials while those reforms are undertaken, outlining a clear timetable for compliance and demonstrating that the country is committed to meeting international labour standards.

A Nassau Guardian front-page report on July 24 drew attention to the tariff action, prompting broader questions about why The Bahamas was included among the 60 economies affected by the U.S. trade measure and what steps are now needed to restore full confidence in the country’s trade framework.

For many Bahamians, the immediate concern will be the fisheries sector, one of the country’s largest export industries. Commercial shipments of lobster, conch, fish, crawfish and other products entering the United States could become more expensive because of the additional tariff, potentially affecting exporters’ competitiveness.

The broader lesson is that international trade increasingly depends not only on quality products, but also on strong business relationships and confidence in the legal systems that govern them.

For The Bahamas, this is less a finding of wrongdoing than a reminder that international credibility is earned through modern laws, effective enforcement and trusted partnerships. The challenge now is for the Attorney General’s Office to lead a swift legal review, identify any deficiencies and chart a clear path toward compliance so Bahamian exporters are not burdened any longer than necessary.

Continue Reading

Bahamas News

What 45 Shell Casings and New Murder Charges May Mean for Three Officers in the Azario Major Case  

Published

on

By Deandrea Hamilton | Editor

NASSAU, Bahamas (July 16, 2026) — The allegation is as shocking as it is consequential. Prosecutors now contend Azario Major was struck by additional gunfire after he was already dead.  That conclusion has prompted the Director of Public Prosecutions to upgrade the case against three police officers from manslaughter to murder ahead of a judge-only trial.

According to court filings and the DPP’s review of the forensic evidence, prosecutors allege that additional rounds entered Major’s body after death, a finding they say fundamentally changed their assessment of the case and justified the more serious charge of murder.

Investigators recovered 45 spent shell casings at the scene of the Boxing Day 2021 fatal shooting of Azario Major, a striking piece of forensic evidence that has remained central to the case from its earliest days.

Major, 31, was fatally shot by police outside Woody’s Bar on Fire Trail Road on December 26, 2021. While police initially maintained the shooting was justified, the circumstances surrounding the incident were heavily scrutinized during a Coroner’s Court inquest, where jurors ultimately returned a verdict of homicide by manslaughter.

The officers later challenged that finding, but the Supreme Court upheld the Coroner’s Court ruling, paving the way for criminal proceedings. They were subsequently arraigned on manslaughter charges and pleaded not guilty.

The DPP’s decision to elevate the charges to murder significantly raises the legal stakes. Unlike manslaughter, which does not necessarily require proof of an intent to kill, a murder conviction requires prosecutors to establish the legal elements of the more serious offence beyond a reasonable doubt. The prosecution’s case is now expected to focus heavily on forensic evidence, ballistic analysis and the sequence of gunfire during the fatal encounter.

The case is also notable because it will proceed without a jury. Barring further delays, the trial is expected to open on September 14 before Justice Guillimina Archer-Minns in a judge-alone trial, where a single judge—not a jury—will decide the fate of the three accused officers.

The proceedings will determine not only whether the three officers are guilty or innocent of murder, but whether prosecutors’ extraordinary allegation—that Azario Major was struck by additional gunfire after he was already dead—can be proven in court.

Continue Reading

Bahamas News

CARICOM Targets Affordability as Bahamas, TCI Continue to Feel the Pinch  

Published

on

By Deandrea Hamilton

 

Cheaper shipping. Lower energy costs. Better access to healthcare. Stronger consumer protections.

Those are among the measures CARICOM Heads of Government believe could finally begin reducing the stubbornly high cost of living for millions of people across the Caribbean.

Meeting in Saint Lucia, regional leaders agreed that making life more affordable must become one of the Community’s highest priorities. Their emerging strategy includes reducing freight costs through a regional ferry service, accelerating renewable energy projects to lessen dependence on imported fuel, expanding regional healthcare partnerships, strengthening consumer protection, and encouraging governments to adopt successful cost-of-living measures already being implemented across the Caribbean.

“Our discussions over the past four days were guided by one central objective – ensuring that CARICOM delivers results that people can see and feel in their everyday lives,” CARICOM Chairman and Saint Lucia Prime Minister Philip J. Pierre said.

Few places may welcome that relief more than The Bahamas and the Turks and Caicos Islands.

Although inflation has moderated in both countries from the sharp increases experienced following the pandemic, the cost of living remains stubbornly high. Families continue to complain about grocery bills that stretch household budgets, rising housing costs, expensive electricity, healthcare expenses and fuel prices that remain among the highest in the region.

Governments have responded.

In The Bahamas, successive reductions in Value Added Tax on selected goods and other targeted tax measures have sought to ease pressure on consumers. In the Turks and Caicos Islands, the Government this weekend opens applications for its $500 Cost of Living Relief Programme, acknowledging that many households continue to struggle despite the country’s economic success.

Yet affordability remains elusive.

The contradiction is difficult to ignore.

The Turks and Caicos Islands continues to post one of the region’s strongest tourism-driven economies, with robust investment, record visitor spending and sustained construction activity. The Bahamas has also strengthened its economic position, earning improved sovereign credit ratings as tourism, government revenues and fiscal performance continue to recover.

Yet those encouraging economic indicators have not translated into noticeably lower household expenses.

The reason is largely structural.

Both The Bahamas and the Turks and Caicos Islands produce relatively little of what they consume. Food, fuel, medicines, vehicles, building materials and countless household essentials are imported. Both countries also record significant trade deficits, illustrating their dependence on overseas suppliers. Every increase in global shipping costs, fuel prices or supply chain disruptions is eventually reflected in supermarket prices, utility bills and the cost of everyday living.

That is why CARICOM’s agenda matters.

If regional leaders succeed in lowering freight costs through an inter-island ferry network, expanding renewable energy, improving regional cargo movement, strengthening consumer protections and making healthcare more accessible through cooperation, the benefits could extend far beyond government balance sheets.

For Bahamians and Turks and Caicos Islanders, success will not be measured by another tourism record or another credit rating upgrade. It will be measured at the supermarket checkout, on the monthly electricity bill, at the gas pump and in the simple ability to afford a better quality of life.

Continue Reading

FIND US ON FACEBOOK

TRENDING