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Government enters into contractual agreement with the IDB for investment projects totalling $70 million

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#Nassau, June 18, 2018 – Bahamas – The Bahamas Government entered into a contractual arrangement with the Inter-American Development Bank (IDB) for investment projects totalling $70 million.

During the signing ceremony between the Government and the IDB at the Ministry of Finance, Thursday, June 14, 2018, Deputy Prime Minister and Minister of Finance the Hon. K. Peter Turnquest said during the mid-term budget review, he presented in Parliament a Resolution seeking authorisation for the Bahamas Government to enter into the contractual arrangements with the IDB.

The DPM said, “Today’s event, I note, marks the end of numerous discussions, among key stakeholders, whose contributions were vital in designing the activities or components of each project.  Moreover, this event confirms the government’s commitment to channel investment towards Family Island communities, as over the next five to six years, the country will witness the construction or rehabilitation to several Family Island airports and runways.”

He said these assets are regarded as vital points of connection to the wider Bahamas and the entire world, and therefore, planned upgrades are critical to enhancing the economic prospects of the islands.

DPM Turnquest said, in addition to upgrading airport infrastructure, civil works will also be undertaken on selected islands, to fortify traditional and re-introduce natural sea defence, so as to mitigate the negative impact of natural disasters to coastal areas.  “This work is important for the environment sustainability of The Bahamas.”

He explained that the $70 million for investment projects with the IDB are expected to address activities for the following areas:-

  • Climate Resilient Coastal Management and Infrastructure            $35 million
  • Family Island Airport Infrastructure Programme                             $35 million

The DPM said the IDB is a development institution and as a result, member countries accessing funds from the Ordinary Capital window of the institution are not subject to commercial financial terms.

“Hence, the tenor on these loans are 25 years at a variable interest rate, which is inclusive of LIBOR and currently stands at 3.25 per cent.  While this is the interest rate of choice, the Ministry of Finance, in consideration of future market conditions, has the option of converting to a fixed interest rate, if necessary.”

He said comparatively, these terms are more favourable than accessing funds from the international private sector markets, where the interest rates are recorded at 5.84 per cent with a 10-year tenor.

“These projects, I note, target infrastructure development and invariably are expected to have a positive impact on the productive sector.”

The DPM said while 80 per cent of the total loan resources or in absolute terms, $56,500,000 are allotted to civil works, some of the focal activities expected to be addressed in the projects and the corresponding financial resource include:

  • Infrastructure improvement to Airports and Runways on the islands of Exuma, Eleuthera, and Abaco –$33,000,000
  • Sustainable Coastal Protection Infrastructure to the Islands of Grand Bahama, New Providence, Long Island, and Andros – $23,500,000.

DPM Turnquest also explained that there is a link between the projects and focal sectors of the economy.

“Tourism and the Environment – both I emphasize, require constant support from government.  Our airports, I reiterate, are the main gateways for local and international transport between the islands.

“As for the Environment, this sector is regarded as an important asset, for which protective measures must be undertaken to prevent degradation. Unquestionably, failure to implement protective environmental measures would engender a negative impact on our tourism product and economic viability.”

He noted the importance of all stakeholders in providing fruitful input for the successful completion of each initiative; and also that the current economic environment, dictates the application of financial prudence in managing the resources allocated to the projects.

“In this instance, there must be constant monitoring and evaluation of actions deemed necessary to achieve outputs and outcomes for each project.”

The DPM said in addition to the investment programmes, the IDB will provide a grant totalling $500,000 to facilitate the government’s efforts to diversify the economy.  He said, “Through this grant, we will undertake diagnostic studies in three areas that have the potential of creating innovative industries in the country: these being, the digital economy, blue economy, and boutique agriculture.”

In attendance at the signing ceremony were Minister of Tourism and Aviation the Hon. Dionisio D’Aguilar; Minister of Public Works the Hon. Desmond Bannister and Minister of the Environment and Housing the Hon. Romauld Ferreira.

Representing the Bank were Alexandre Meira de Rosa, IDB Vice-President of Countries and Florencia Attademo-Hirt, IDB Country Representative.

 

By: Llonella Gilbert (BIS)

 

 

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Caught in the Net, Not Accused of Wrongdoing

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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.

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

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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.

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

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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.

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