Bahamas News
PM Davis ‘confident’ that Revenue Outturn will near $2.9 billion
By ERIC ROSE
Bahamas Information Services
#NASSAU, The Bahamas, May 30, 2023 – Prime Minister and Minister of Finance the Hon. Philip Davis said in the House of Assembly, on May 31, 2023, that public revenue receipts were strong over the nine-month period of July 2022 to March 2023, due to legislative reform, effective policy decisions, strengthened economic conditions and more efficient collection efforts.
“Analysis of the trends of the first three quarters of this fiscal year, and the years prior, suggest that the government is potentially set to exceed the $2.85 billion target set forth in the February 2023 Mid-year Supplementary Budget,” he said, during his Communication on Budget 2023.
“I am confident the revenue outturn at the end of the Fiscal Year 22/23 will near $2.9 billion.
Public spending has remained on track, and is well within the budgeted amount,” Prime Minister Davis added. “For this reason I am confident that expenditure at end of the Fiscal Year 2022/23 will almost reach the target of $3.1 billion set in the Supplementary Budget.”
He pointed out that the primary balance will, therefore, record a surplus of $68.4 million at the end of the fiscal year, a $54.8 million increase from the $13.6 million surplus projected in the supplementary budget.
“Likewise, the overall deficit is expected to improve to $520.6 million, down from the $575.4 million outlined in the supplementary budget,” he said.
Speaking of Government financing, Prime Minister Davis said that The Bahamas’ borrowing costs had begun to experience a downward trend in the previous quarter; but the cost of borrowing rose at the end of March 2023.
“At the end of the third quarter, the total average cost of borrowing for current outstanding debt had risen to an interest rate of 5.55 percent,” he pointed out. “This is notably higher than the previous year’s rate of 4.93 percent at the end of March 2022.
“This increase in borrowing costs is primarily attributable to the higher costs associated with external loan facilities.”
He added that, more specifically, the average interest rate for external financing had risen by 1.99 basis points, resulting in a rate of 5.55 percent as of March 2023, compared to the preceding year’s 3.56 percent.
“Throughout the past year, the interest rate policies of the major Central Banks have been restrictive, with a series of interest rate increases,” Prime Minister Davis said. “These adjustments have been primarily motivated by the escalation of inflation, and the resulting upsurge in interest rates has had an impact on the Bahamas’ external borrowing costs.”
He added: “However, the cost of borrowing in the domestic market has been declining over the past quarters.
Looking at it in more detail, we can see that:
- The average interest cost for domestic loans subsided by 27 basis points to 4.62 percent at end of March 2023, from 4.89 percent in the previous year;
- And the average interest cost for domestic bonds subsided by 3 basis points to 4.63 percent at the end of March 2023 from 4.66 percent in the previous year.”
Prime Minister Davis noted that those statistics affirmed the Government’s latest medium-term debt strategy, which aimed to shift its borrowing away from costly external commercial debt.
“Such debt has seen a sharp increase over the past five years, including recent interest rate hikes,” he said. “This strategic move will enable the government to once again rely predominantly on the domestic market to meet its financing requirements.”
Prime Minister Davis pointed out that, when considering the maturity of debt, or the average time it takes to repay the principal amount in the government’s debt portfolio, a longer maturity period led to a reduction in refinancing risk.
“In essence, prioritizing longer maturities is key to managing debt effectively,” he said. “And so another element of the government’s medium-term debt management strategy is the goal of prolonging the average maturity time of its debt.”
Prime Minister Davis said that, in the face of “unprecedented turbulence” in the global financial markets, the Government was able to maintain its average time to maturity.
“At end of March 2023, the average time to maturity has decreased slightly to 6.7 years, down from the previous 6.8 years in March 2022,” he said. “This variance is due solely to the external loan component, as the average time to maturity on internal debt has remained steady at 7.1 years.”
“This highlights the significance of maintaining a prudent approach to debt management, and aligning this administration’s practices with the government’s optimal debt strategy,” Prime Minister Davis added.
“It is imperative that we continue to exercise prudence in this area to ensure financial stability.”
(BIS Photos/Ulric Woodside)
#BARBADOS (September 26, 2023) – The Caribbean Tourism Organization (CTO) deeply mourns the loss of distinguished Bahamian leader and former chairman of the inter-regional body, Obediah Wilchcombe.
At the time of his passing, Mr. Wilchcombe was serving as Minister of Social Services, Information and Broadcasting
and Leader of Government Business in the House of Assembly of the Bahamas.
“We extend our heartfelt prayers and condolences to Minister Wilchcombe’s family, as well as the government and people of the Bahamas. He was a true champion for the people of the Bahamas and the wider Caribbean region,” remarked Kenneth Bryan, CTO Chairman and Minister of Tourism and Ports of the Cayman Islands.
Chairman Bryan recalled Minister Wilchcombe held the position of CTO Chairman twice (2002-2004 and 2016-2017) while serving as Minister of Tourism for the Bahamas, and contributed significantly to the advancement of sustainable tourism development in the Caribbean.
Chairman Bryan noted that the CTO plans to honor the life and legacy of “this eminent Bahamian leader” at the organization’s upcoming business meetings and the State of the Industry Conference (SOTIC) in Turks and Caicos next month.
Rashaed Esson
Staff Writer
#TheBahamas, September 26, 2023 – The Bahamas’ Minister for Social Services, the Hon. Obediah Wilchcombe made headlines in a completely unexpected way on Monday September 25; the veteran broadcaster and long-time politician, who passed away suddenly in his home island, Grand Bahama.
Reports to our newsroom were that Wilchcombe was found unresponsive and rushed to the Rand Memorial Hospital where he was pronounced dead.
Reports say the Minister passed due to heart failure at 64 years old.
The Office of the Prime Minister informed the prime minister would immediately travel to Freeport, Grand Bahama to be with loved ones of his Cabinet colleague.
The office offered this: Expressing condolences to the family, friends, loved ones and colleagues of Minister Wilchcombe, a true patriot, visionary leader and his cherished friend, the nation’s leader, in his official statement, said he was doing so with the heaviest of hearts.
“Obie’s untimely passing is very shocking and very sad. Even though he has achieved much in his many years of public service, he still had so much more to offer,” Prime Minister Davis said.
The Minister, affectionately called Obie Wilchcombe, was a fierce Member of Parliament who has been serving in politics for about 28 years, starting in 1994, according to the Progressive Liberal Party (PLP).
Not only did he serve as Senator and Cabinet Minister, but he was also the former Minister of Tourism and a National Chairman of the PLP.
“Our party is reeling this morning,” said Minister Fred Mitchell, current PLP National Chairman in a statement, “The party joins in those expressions. We have a deep sense of loss from one we have known over the decades of public life.
On behalf of the PLP, our leader and the entire team, supporters and friends, we can extend condolences to his family.”
Former prime minister and PLP party leader, Rt Hon Perry Christie said, “Obie served with distinction as Minister of Tourism. He was a dedicated servant of the people and a chief steward of our nation’s number one industry for some ten years. Any student of the tourism industry for the period of Obie’s ministerial tenure will be left in no doubt as to the magnitude and importance of his numerous accomplishments in relation to the growth and development of Bahamian tourism.”
In fact, as Tourism Minister, his notable accomplishments, according to party leader and prime minister, Davis included the introduction of sports tourism and the creation of a policy which helped to cement The Bahamas as an ideal film destination; two of the top three films of 2006 were shot in The Bahamas.
Additionally, the late Minister was a sportsman.
Wilchcombe served as former President of the Grand Bahama Basketball Association and the Commonwealth American Football League (CAFL).
His career in journalism is legendary. Having worked with the Broadcasting Corporation of The Bahamas as a reporter, anchorman and eventually taking on leadership roles including Deputy General Manager. At the time of his death, Minister Wilchcombe was holder of the Information and Broadcast portfolios of the Davis Administration.
“This is a very sad occasion for the Commonwealth of the Bahamas as you’d be aware one of our Frontline soldiers who would have labored very long in the public service Vineyard had passed, we learned early this morning the Honorable Obie Wilchcombe passed away the free national movement wishes is to extend condolences to his immediate and extended family and to members of the Progressive Liberal Party and to members of the journalism fraternity, having lost someone who has played an integral role in the development of this country,” said Michael Pintard, fellow Grand Bahamian and Leader of the Official Opposition, Free National Movement.
From the region, there is also reflection and condolences. From the Caribbean Tourism Organization: The CTO
deeply mourns the loss of distinguished Bahamian leader and former chairman of the inter-regional body, Obediah Wilchcombe.
At the time of his passing, Mr. Wilchcombe was serving as Minister of Social Services, Information and Broadcasting, and Leader of Government Business in the House of Assembly of the Bahamas.
“We extend our heartfelt prayers and condolences to Minister Wilchcombe’s family, as well as the government and people of the Bahamas. He was a true champion for the people of the Bahamas and the wider Caribbean region,” remarked Kenneth Bryan, CTO Chairman and Minister of Tourism and Ports of the Cayman Islands.
“The Premier and Government of the Turks and Caicos Islands sends its condolences to the family, friends, government, and people of the Commonwealth of the Bahamas on the sudden passing of the late Hon. Obediah Wilchcombe, Minister of Social Services, Information and Broadcasting, MP.
May his soul rest in peace,” said Hon Washington Misick, TCI Premier.
The death of Minister Obediah Wilchcombe is the first; a cabinet minister dying while still in office has no place in recent memory for many. It will mean a by-election for The Bahamas and a mournful experience when parliament reopens on October 4; Hon Wilchcombe with his vast experience and eloquence was also the Government Leader of Business in the House of Assembly, which is currently prorogued.
people of Grand Bahama, the Hon. Keith Bell, who recently took on the portfolio as the new minister of Housing and Urban Renewal, travelled to Grand Bahama, September 21, to meet with Minister for Grand Bahama, the Hon. Ginger Moxey and relevant stakeholders.Top on the agenda was the decrepit state of the housing complex situated in the Garden Villas area, a stone’s throw away from the downtown shopping district.Minister Bell was also accompanied by Minister of State in the Ministry of Housing and Urban Renewal, the Hon. Lisa Rahming and a delegation from New Providence.Before conducting a walkabout in the Garden Villas area, Ministers Moxey and Bell headed the contingent in meetings with executives of the Grand Bahama Port Authority and the Grand Bahama Development Company
Thursday morning.“We’ve also had tours at various facilities that will help us carry through some of these projects that we want to do. But I’m just excited that we will begin to see action because there is so much that our people have been going through and so we are working hand in hand, the Ministry for Grand Bahama, Housing and Urban Renewal, to ensure that we not only bring relief but that we will revitalize these communities,” Minister Moxey said.The delegation performed a general walkthrough in the Garden Villas area to get a first-hand view of the living conditions and spoke to a number of residents.Cognizant of the work ahead and the relief it would bring to the area residents, Minister Moxey was elated to collaborate with the Ministry of Housing and Urban Renewal and private stakeholders to get the projects started.
“I’m so excited that they are here on Grand Bahama to really assess the situation on the ground. There is a lot of work that needs to be done. We are now in the Garden Villas area that requires numerous issues to be addressed. One of them is housing. You can see many of these dilapidated structures that exist,” she said, while pointing out that Minister Bell has made Garden Villas a priority as one of the initial projects to be undertaken on Grand Bahama.The delegation also visited the area Urban Renewal Office and the Heritage Subdivision.
-
News3 days agoPolice say DNA confirmed identity of headless body
-
News3 days agoCarnival cruise port is open to others Cruise ships — Management
-
Bahamas News1 week agoEleuthera Medical Center Marks 5 Years, Private community clinic ‘grows with the demand’, adds Dental and Dermatology to slate of services
-
Bahamas News1 week agoRoyal Caribbean to open adults only private island destination
-
Bahamas News1 week agoOFFICERS ATTEND NATIONAL DAY OF BRAZIL CELEBRATION
-
Caribbean News3 days agoSmart City Project a Testament to Innovation, Progressive – Dr. Morris Dixon
-
Finance3 days agoUK holds steady on interest rates
-
News3 days agoGrand Turk drops in Rank for Cruising, Port profits down; Still Optimism High after major meeting with Carnival