Category Archives: Bahamas

2017-02-22 20:00 - Louzel Lombard Steyn

Cape Town - It's one of those bucket list adventures - swimming with the famous ocean pigs of the Bahamas.

But the international attraction might be nearing its end, as a whole lot of the widely adored swimming pigs were found dead on the beach of Big Major Cay, or Pig Beach, this past weekend.

Pig Beach is an uninhabited island located in Exuma in the Bahamas.

SEE:The Ultimate #NoRegrets travel bucket list for 2017

According to local reports, there are now only about seven or eight pigs left. Investigators are still working to figure out exactly what happened.

According to to the Bahamas Humane Society President Kim Aranha, speaking to the local Tribune 242, veterinarians have been collecting samples of the deceased pigs, but it is not clear how long it will take to determine what killed them.

It could be malicious," Aranha says, "but I dont really see why someone would go out of their way to hurt those lovely animals." One theory is that the pigs ingested something poisonous, given the sudden death of multiple pigs.

For now, visitors can still travel to Big Major Cay or Pig Beach to swim with the remaining pigs.

This is what the iconic tourist destination with its paddling pigs look like:

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Bahamas famous swimming pigs found dead in ocean - only seven or eight left - News24

Schedule

YESTERDAY

Canada 6

Barbados 4

United States 8

US Virgin Islands 1

Mexico 9

Guadeloupe 2

Trinidad and Tobago 8

Antigua and Barbuda 1

Jamaica 5

Belize 5

(Belize win 2-0

on penalties)

Bahamas 4

Guyana 1

TODAY

1:45pm Guadeloupev Barbados

3pm - Costa Rica v Panama

4:15pm - El Salvador v Turks & Caicos Islands

5:30pm - Canada v Mexico

6:45pm - Guyana v Jamaica

8pm -Belize v Bahamas

Wednesday, February 22, 2017

1:45pm - US Virgin Islands v Trinidad & Tobago

3pm - Antigua & Barbuda v United States

4:15pm - Panama v El Salvador

5:30pm - Belize v Guyana

6:45pm - Turks & Caicos Islands v Costa Rica

8pm - Bahamas v Jamaica

Thursday, February 23, 2017

1:45pm - Canada v Guadeloupe

3pm - Antigua & Barbuda v US Virgin Islands

4:15pm - Mexico v Barbados

5:30pm - El Salvador v Costa Rica

6:45pm - Panama v Turks & Caicos Islands

8pm - United States v Trinidad & Tobago

Friday, February 24

Sunday, February 26

Quaterfinals, Semi-finals and Finals

Games start at 11:15am

Teams TBD

By RENALDO DORSETT

Sports Reporter

rdorsett@tribunemedia.net

The Bahamas mens national team gave the home crowd of eager spectators the opener they were hoping for and set the tone for the remainder of Confederation of North, Central America and Caribbean Association Football (CONCACAF) Beach Soccer Championship.

Lesly St Fleur recorded a hat trick and Kyle Williams answered Guyanas only goal of the game as the Bahamas earned a 4-1 win over Guyana in the day one finale last night at the national beach soccer facility.

St Fleur, who scored two of his goals in the first period, said the team was inspired by the home crowd but is mindful that a good showing at CONCACAF is key for the ultimate goal of performing well at the FIFA Beach Soccer World Cup 2017.

We played well but there are always improvements in getting ready for the World Cup. Coming out and putting on a good performance in game one was key for us. We have to come back out and play the same type of game we played to keep this going, he said. Im the teams leading scorer, theres a lot of pressure on me but Im ready for that. As a team leader you have to go out there, play with heart and lead with example.

In the first period, The Bahamas Gary Joseph drew an interference call when he attempted an overhead kick for the sides first real scoring opportunity, but Guyanas Ethan Sparman was able to come up with the save.

The Bahamas was the aggressor early on with three shots on goal within the first three minutes of play.

St. Fleur would score the first goal a bicycle kick that found the back of the net at the7:39mark in the first third. He would score on another penalty kick about a minute later at the 6:37 mark to take a quick 2-0 lead. St. Fleur nearly pulled off the entire hat trick in the first third, but was just saved by Sparman.

Nursing a 2-0 advantage, the Bahamas controlled the pace of the game, and escaped several near scoring opportunities from Guyana Jashuan Moores strike just missed left, Jamal Haynes free kick ricocheted off the crossbar, and Bahamas goalkeeper Ivan Rolle kept the opponents scoreless with an incredible save on the another free kick from Deshawn Joseph.

Rolle, the youngest player on the team at 20-years-old,delivered an impressive performance protecting the goal.

I think the jitterbugs are out for me. It was my first tournament, but after this game now Im ready to move forward and continue playing my role in helping this team win, he said, We want to show the world that we deserve to be in the World Cup, not just have the easy path so it is major for us to gain everyones confidence moving forward. It was a great turnout, thanks to everyone at home for making this atmosphere possible.

In the third period, Rolle delivered a perfect throw in to St. Fleur, who was unpressuredand made another bicycle kick for a 3-0 lead with10:08left to play. Guyana scored on a great individual breakaway effort from Joseph. But the Bahamas would expand on the 3-1 lead and put the game away when St.Fleur delivered a cross and Williams finished with a header at the 4:41 mark.

The Bahamas will face Belize - who beat Jamaica on penalties after finishing level at 5-5 - tonight at 8pm as Group Stage play continues.

Other scores from day one included: Canada def. Barbados (6-4), USA def. the US Virgin Islands (8-1), Mexico def. Guadeloupe (9-2) and Trinidad and Tobago def. Antigua and Barbuda (8-1)

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Bahamas tops Guyana 4-1 at CONCACAF beach soccer | The Tribune - Bahamas Tribune

Bahamas Teams Brave Acute Winter Weather To Take Part In Travel Shows

NEW YORK Low Winter temperatures, a snowstorm and blizzard, was not enough to stop the Bahamas Ministry of Tourism Managers, as well as its Hoteliers and representatives from their Promotion Boards attendance, at the recent New York Times and Boston Globe Travel Shows.

Their collective participation provided an impressive representation for The Islands Of The Bahamas.

During the weekend of the recent New York Times Travel Show, temperatures dipped into the 30s.

The Boston Globe Travel Show took place the week that city experienced first a snow storm, a blizzard and then temperatures that dipped to wind chill factors as low as 13 degrees below zero.

In both instances, teams representing The Bahamas welcomed Travel agents, media and consumers to their booth to provide them with information on the Sunny Bahamas as an alternative to the north east coast winter weather.

Thirty thousand plus persons attended the New York Times show, which is touted as the largest consumer travel trade show nationally. The shows exhibitors featured 560 companies representing 170 destinations vying for a piece of the pie of the multi billion travel industry.

The Boston Globe Travel Show also saw a reasonably good number of both travel agents and consumers who braved acute winter conditions to attend.

At The Bahamas booth in both cities, consumers were updated on new developments in The Bahamas.

Travel Agents were assured of The Bahamas commitment to their profession that is evidenced in the countrys signature agents tools including a monthly Bahamas Travel Agents Newsletter and the recently unveiled Bahamas Specialist Program through the Travel Agent Academy.

Bahamas East Coast Area Manager, Mikala Moss also updated those agents that attended the Boston Globes Round Table discussions.

The Out Island Promotion Boards booth featured a special consumer offer to The Islands Of The Bahamas a limited time offer of Two Fly Free to an Out Island, from the city of Nassau, Bahamas.

Mikala Moss, Bahamas Ministry of Tourism, East Coast Area Manager, led the Bahamas team in both cities with Chrystal Bethel, Sales Manager New York.

Edward Archer, General Manager, Atlanta and Judy Pratt, Sales Manager, Florida assisted the New York team at the NY Times Show.

In Boston they were assisted by Jeannie Gibson, Manager, Global Communications Florida.

Partners at the Bahamas Booth in both cities included The Nassau/Paradise Island Promotion Board; The Grand Bahama Island Tourism Board and the Bahamas Out Islands Promotion Board. Hotel partners included Breezes, Nassau, Bahamas.

L-R: Mikala Moss, Bahamas Area Manager, East Coast; Loreal Sweeting, Bahamas Out Islands Promotion Board; Everald Christie, Breezes Resort, Nassau Bahamas; Donna Munroe Isidora, Grand Bahama Tourism Board; Mary DiPasquale, Nassau/Paradise Island Promotion Board; Jeannie Gibson, Bahamas Tourism, Global Communications; Chrystal Bethel, Bahamas Marketing Manager, New York and Carmel Churchill, Grand Bahama Island Tourism Board.

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Bahamas Well Represented at NY Times and Boston Globe Travel ... - South Florida Caribbean News

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PHOTO: The beach in Nassau, Bahamas. (Photo via Flickr/Aaron Headly)

Why relax on the beach and stare at the ocean when you could be exploring its depths?

Have you ever wondered what it would be like to go scuba diving but youre weary of all that gear?

Well, the Bahamas Ministry of Tourism details a SNUBA adventure, which mixes together the ease and approachability of snorkeling, and the advantage of scuba diving.

READ MORE Take Advantage of Value Added Tax Free Shopping in The Bahamas

As a part of Stuart Cove'sdiving tour, you, your family and friends and other travelers will all get on a boat and before you know you it, youre in the deep blue sea.

Discover the beauty of the reef, witness numerous ocean species swimming around you and dont be afraid to go deep into the 20 feet of water.

Per the Bahamas Ministry of Tourism blogger, anywhere from 30-50 people will go on a SNUBA adventure every day. The tour started back in 2012 and if you know how to swim, youre good to go. No prior scuba or experience is needed.

For more information on Bahamas Ministry of Tourism, check out their blog here.

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Take the Unlikely Plunge into the Beautiful Waters of The Bahamas - TravelPulse (blog)

Swimming with pigs in Exuma has been a bucket list item for many travelers heading to the Bahamas for years. But on Sunday, a number of the widely adored, doggy-paddling pigs were found dead on the beach of Big Major Cay.

Investigators are still working to figure out exactly what happened.

According to Tribune 242, the number of pigs that died is still undetermined.

I understand there are seven or eight pigs still alive. Its still unclear on the number of animals that are dead, Bahamas Humane Society President Kim Aranha told Tribune 242. Id say its more than seven but certainly not the 15 as initially reported on social media. The veterinarians are bringing the samples back but I cant say how long it will take to get the results.

One theory is that the pigs accidentally ingested something poisonous, given the sudden death of multiple pigs.

It could be malicious but I dont really see why someone would go out of their way to hurt those lovely animals, Aranha said.

For now, you can still visit the remaining pigs at Big Major Cay.

Originally posted here:

Widely Adored Swimming Pigs Found Dead in the Bahamas - Travel+Leisure

NASSAU, The Bahamas, Monday February 20, 2017 A brute force approach in The Bahamas by the Perry Christie administration to rake in millions of dollars owed from outstanding tax revenue is paying off $15 million every month to be exact, says Financial Secretary in the Ministry of Finance Simon Wilson.

But he says that is just the tip of the iceberg, as the Government goes after delinquent taxpayers to recover arrears in excess of $600 million.

On average, this effort has yielded $15 million a month. Our target is $400 millionin two yearsin incremental revenue without adjusting [tax] rates. We believe thats quite achievable, Wilson said.

Weve listened to our advisers who suggested taking a more aggressive stance. Their target is two times that. And that $15 million is only on New Providence, he continued, adding that the crackdown would soon extend to businesses in Abaco, Grand Bahama and Eleuthera.

The initiative launched last November pressures businesses to pay up arrears in four key areas Value Added Tax (VAT), Business Licence fees, Real Property Tax and Customs duties.

Wilson told the recent State of the Economy 2017 forum hosted by the Chamber of Commerce that theDepartment of Inland Revenuehadzeroed in on 800 entities importing/selling more than $30,000 worth of goods per year without businesses licenses.

He pointed to 24,000 properties in New Providence whose owners had not placed them on the roll for Real Property Tax increases.

In addition, the Government has also netted a significant number of shippers allowing goods to come in without proper business licences and names.

Acknowledging there was some resistance from some quarters, Wilson said the crackdown was the best approach to avert new or increased taxes as the Government attempts to boost its annual revenues by around four to five percentage points of gross domestic product (GDP).

The obvious way to get there is increasing tax rates or finding new taxes, he said. Weve taken a new approach because the system is sufficient to achieve this by being more aggressive on tax compliance.

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Tough Approach on Tax Arrears Pays Off For Bahamas Government - Caribbean360.com (subscription)

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The International Monetary Funds (IMF) Bahamas mission chief has backed calls for a Fiscal Responsibility Act, describing it as a useful medium term component for reforming the Governments finances.

Jarkko Turunen also said the Bahamas vulnerability to major hurricanes was not necessarily an impediment to implementing stricter fiscal rules, explaining that there are ways to design them to allow the Government to respond properly to natural disasters.

Mr Turunen, in an exclusive interview with Tribune Business, described a Fiscal Responsibility Act and fiscal rules as important steps in the Bahamas effort to rein in its fiscal deficits and national debt.

The exact shape of that medium-term fiscal framework, theres many ways to do it, but in principle I would see it as a useful component of fiscal reform and fiscal planning in the Bahamas, he said of a Fiscal Responsibility Act.

Mr Turunens comments are likely to delight groups such as the Chamber of Commerces Coalition for Responsible Taxation, and the Organisation for Responsible Governance (ORG), who have long campaigned for the introduction of such legislation as a means to force the Government to be more transparent and accountable over how it spends taxpayer monies.

His remarks also contradict the position expressed recently by Michael Halkitis, minister of state for finance, who told The Revolution radio show that there were both merits and drawbacks to implementing such an Act.

The Minister said an IMF study had identified both the advantages and disadvantages associated with a Fiscal Responsibility Act, and expressed concerns it would prevent the Government from responding properly in the wake of events such as a Hurricane Matthew-type storm.

The IMF study referenced by Mr Halkitis had suggested that the Government enhance its economic data and statistics collection before implementing such legislation, hence Mr Turunens reference to the medium term.

However, the Bahamas IMF Mission chief suggested that this country could eventually even go beyond a Fiscal Responsibility Act through the implementation of so-called fiscal rules.

While the Act would force the Government to return to Parliament to explain, and gain approval for, exceeding previously set Budget limits with more spending, fiscal rules go even further. They set targets, or limits, such as debt and deficit caps, and accompanying ratios, which the Government cannot go beyond.

I would say there are ways to design fiscal rules that allow the Government to take into account natural disasters and events not anticipated, Mr Turunen told Tribune Business.

The Christie administration has failed to deliver on February 2015 promises to initiate consultation on a Fiscal Responsibility Act, and the 75 per cent year-over-year increase in the deficit for the four months to end-October 2016 has reignited domestic demands for such legislation.

The $67 million increase took the Governments $157.5 million deficit for the four months to end-October 2016, more than 50 per cent higher than its full-year projection.

Mr Turunen, meanwhile, also agreed with Simon Wilson, the Ministry of Finances financial secretary, that the Bahamas needed to reform its Business License regime and find more equitable ways to tax the private sector.

Mr Wilson told a Chamber of Commerce-organised seminar last week that Business License fee rates needed to be lowered, acknowledging that the turnover-based tax was inefficient and regressive because it did not take into account company profitability.

I think that in terms of the general principle, I would agree with what Simon said, Mr Turunen told Tribune Business.

There are better ways of taxing businesses and profits than the current Business License fee. We dont have a position out there in terms of an alternative, but its something we would look at.

Bahamian businesses have complained about the Business License fees structure for years, arguing that using turnover as the basis for its calculation disproportionately places the burden on high sales companies, such as food stores and gas stations, which have low profit margins.

Many companies complain of paying more in Business License fees than they earn in annual profits, with the turnover basis also exacerbating the effects of price controls for many firms.

Mr Turunen had earlier told the Chambers State of the Economy 2017 forum that the IMF had flagged declining foreign direct investment (FDI) inflows as a risk in relation to the Bahamas current account deficits.

Due to this nation importing most of what it consumes, the Bahamas traditionally runs current account deficits - the physical goods it exports minus those it consumes - worth several billion dollars annually.

These, though, are financed by billion dollar inflows on its capital account, which represent tourist spending in the Bahamas and, historically, FDI inflows.

Mr Turunen, though, said a reduction in FDI inflows meant the current account deficit was now being financed by alternative capital sources that were less reliable.

One trend weve seen is the decline in foreign direct investment inflows, he said. That used to be a big part of financing current account deficits, and now its much less so.

This source of financing has been replaced by government borrowing to some extent, and other capital flows.. Some of those flows are less reliable, and weve identified it as a risk, and identified it as a risk in our reports.

Mr Turunen added that the IMF had been a bit surprised by the extent of the Department of Statistics revisions to the 2014 and 2015 GDP numbers, which showed that the Bahamian economy contracted by 0.52 per cent and 1.66 per cent, respectively, for those two years.

We were a bit surprised. We had anticipated a downward revision, but not by such a margin, Mr Turunen said, adding that the IMF often wanted governments to move more quickly on reform.

We are often in agreement on the direction. Sometimes we are impatient. Wed like to see the authorities moving faster, including in areas of structural reform, but these things are difficult to achieve, he explained.

Mr Turunen told Tribune Business that it was possible for the Bahamas to achieve faster GDP growth rates at the same time as fiscal consolidation, again calling for the Government to re-purpose more of its spending to capital and infrastructure projects.

The Christie administration has done the opposite, reducing its capital spending in favour of mobilising private capital via public-private partnerships (PPPs), such as those for the Road Traffic Department and Post Office buildings.

Reiterating that it was time for the Government to rationalise spending to achieve further consolidation, Mr Turunen said reforms to the various components of the Bahamas ease of doing would take time to bear fruit in terms of better economic growth.

I would say that the Bahamas should have a bright future, he told Tribune Business. There are challenges; low growth, the need for fiscal consolidation, and the impact from the hurricane, but to some extent the country is managing with these challenges perhaps better than some of the neighbouring countries.

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Imf Bahamas Chief Supports Fiscal Limits - Bahamas Tribune

The famed "tiger beach" on Grand Bahama has long been known for aggregations of its namesake shark, but the another island in the Bahamas archipelago, South Bimini,has been vying for some attention this week. Researchers there recently tagged and released a 13-foot (3.96m) record-breaker.

TheBimini Biological Field Station - Sharklab suspects thatthis gorgeous female is at least 20 years old, judging by size alone.To be clear, tiger sharks can get bigger than this they max out at around 20 feet (5.5m) but this individual is the largest the team has tagged in these waters.(For a bit of perspective, that boat measures 22 feet.)

And this isn't the first noteworthy appearance of late. "Not even two weeks ago we acoustically tagged a record male tiger shark (3.72m) ... two record sharks within this month!" the team wrote on Facebook.

Even for an experienced crew, handlingsuch a large animal can be challenging. Tiger sharks are less sensitive to stress than some of their kin (like hammerheads), but conducting each workup quickly and carefully is of upmost importance.

"This female tiger shark was so large that we struggled measuring her on the boat," the researchers said. "Luckily [principal investigator] Matt Smukallcame to the rescue, and measured the girth of the shark underwater, as you can see pictured."

The animal was fitted with a small acoustic tag, which will broadcast her whereabouts for years to come each time she cruises past one of the many receivers in the region.

We know that these cosmopolitan sharks inhabit tropical and sub-tropical waters worldwide, but researchers still want to learn more about the places these top predators regularly visit.Tags like this one can help us better understand how tiger sharks use critical habitat and more importantly, where that critical habitat is.

Some have speculated that the shark's large girth (close on sixfeet) indicates pregnancy, but Smukall and his team note that it's tough to say with certainty.

"It is very difficult to determine pregnancy without an ultrasound," he says. "For her size, she was had an average girth measurement. So if she was pregnant she was most likely not very far along in term."

Recent studies do suggest that at least parts of the Bahamas act as a nursery for tiger sharks, so thepossibility remains.

"Our data suggests that Tiger Beach may function as a refuge habitat for females to reach maturity as well as a gestation ground where pregnant females benefit from calm, warm waters year-round that help incubate the developing embryos and speed up gestation,"University of Miami shark biologist Dr Neil Hammerschlag told us last year.

At the time, he and his colleagues had justcaptured the first-ever tiger shark sonogram:

As you can see, tiger sharksproduce large litters but the pups are inefficient swimmers, and extremely vulnerable in the early stages of life. Learning where these threatened animals go to breed is a crucial step in better protecting future generations.

"The entire Sharklab was ecstatic to catch such a large shark," saysSmukall. "The Bahamas is far ahead of most other countries and has protected sharks within its waters. One major concern is that large sharks like this will frequently travel outside of the protected waters of the Bahamas and are [then] susceptible to fisheries."

Pregnant or not, the presence of this shark is a welcome one. Like othertop predators, these animals play a key part ina balanced ecosystem. Spotting such a healthy female is good news, and we're happy to report she was released without any trouble.

Was this Bimini behemoth headed for the gestation grounds off Tiger Beach? Are tiger sharks using the waters around Bimini in similar ways? With any luck, we'll soon find out.

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Topheader image: Shutterstock

Sarah Keartes is Earth Touch's resident 'queen of nerdery'. A self-proclaimed Attenborough wannabe with a serious shark addiction, she is likely to be spotted performing dissections and wielding lightsabers ... sometimes simultaneously. Find her on Twitter @sarahkeartes VIEW more from this CONTRIBUTOR

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Hefty 13ft tiger shark is a local record-breaker in the Bahamas - Earth Touch

A group of Hendrix College students spent part of their winter break on a mission trip to Eleuthera Island in the Bahamas.

Associate Vice President for Development Wayne Clark, who accompanied the ten students, said they partnered with One Eleuthera Foundation. He said the group spent time working in a garden and recycling center, conducted breast cancer awareness surveys, taught in local schools, assisted with plumbing work and conducted research to help start a junior college.

Clark said hes been at Hendrix College for 22 years and every year the school takes a mission trip.

He said around 15 years ago, the school started making the trips more affordable to students and numbers went up. Since then, the college has committed that those mission trips are such a good idea that costs have remained low enough for students to go.

Clark said they feel strongly that these trips are providing multiple benefits to students including the impact they have.

While they have been criticized for spending money on the trip instead of sending the finances straight to the nonprofit, he said what cant be measured is the change in the students when they realize their love and desire to serve.

Its those kind of things you cant measure, Clark said.

Hendrix has worked with the Eleuthera Foundation for more than 15 years and five mission trips have traveled to the island.

Clark said the teams dont go there to teach the people how to do something the right way, but they are there to learn from the residents and their way of life while serving and helping them with whatever they need.

We feel like its building bridges and building relationships and learning from other cultures and other people, he said. [Eleuthera Foundation is] such a great nonprofit that practices that same philosophy.

Clark said the students did a great job and were challenged in multiple ways.

Theres emotional things you deal with and theres physical stuff you go through, he said.

Clark said he often has students who are impacted so much that they return for a longer time frame to serve, which is inspiring to him. He said he loves getting to be a part of that.

You see that growth all the ways peoples eyes are opened, Clark said.

The ten students who participated in the trip were Ethny Ashcraft, Katie Bell, Graydon Carter, Isabella Crang, Miracline Ebijoyeldhas, Andrew Fleming, Mackenzie Gearin, Amanda Jimerson, Claire Nissen and Melissa Sorby.

The Miller Center trip has helped me form meaningful relationships with my Hendrix peers and the community members of Eleuthera, Ebijoyeldhas said. This trip has opened my eyes to the needs of communities other than my own and my potential role in serving those needs I hope to take the kindness and compassion the people of Eleuthera have showed me back to our Hendrix home.

Through the trip, Jimerson said she learned about the importance of starting conversations with just the intent of listening.

I have learned that we all have something to gain from one another, even if just through sharing experiences and ideas, she said.

After traveling with Hendrix on more than 20 mission trips, Clark said he learns something new about himself each time.

He said hes learned a lot about people society often dismisses.

I look at people different now, Clark said. Ive had some pretty great experiences.

Read more:

Hendrix students travel to Bahamas for mission trip - Log Cabin Democrat

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

The Bahamas economic growth potential has dropped quite sharply since this century began, an International Monetary Fund (IMF) executive said yesterday, urging the Government to curb spending to ensure fiscal sustainability.

Jarkko Turunen, the Funds mission chief to the Bahamas, said Value-Added Tax (VAT) and other revenue reforms had failed to eliminate the fiscal deficit, as promised, because the Christie administration had increased spending at the same time.

He told the Chamber of Commerces State of the Economy 2017 forum that the Governments spending had risen across all main components, with the biggest jump in subsidies and transfers to the public corporations.

On the positive side, Mr Turunen said the IMF expected the Bahamas $6.7 billion national debt, and accompanying ratio to GDP, to stabilise, although this was likely to be above the so-called 70 per cent danger threshold due to Hurricane Matthew.

However, he added that the roots of the problems bedevilling the Bahamian economy and its financial sector lay in this nations persistently low GDP growth rates, which factored into high levels of unemployment and violent crime.

Mr Turunen said the Bahamas needed to now simultaneously achieve faster economic growth and push forward with fiscal consolidation via reduced spending, so that VATs revenue gains were not squandered.

Many of the issues we see in the Bahamian economy and financial sector (non-performing loans) have their roots in the fact growth has been so low, the IMFs mission chief to the Bahamas said.

Real GDP growth has been weak, negative for the past two years. Take out 2010 and 2012, and growth has been negative or zero since the global crisis of 2008-2009.

The Bahamian economys anemic growth had fed into high double-digit unemployment rates, especially among young persons aged 15-24 years-old, where it is around 30 per cent.

Reading the news about crime, Im reminded about high youth unemployment, Mr Turunen said. At the same time, potential growth has declined.

He said the Bahamas economic growth potential had dropped from between 2.5-4 per cent at the start of the 21st century to around 1-1.5 per cent now - a decline that, at its maximum, is equivalent to 3 GDP percentage points.

Potential growth was actually high in the 2000s in comparison to the Caribbean, but has declined quite sharply, Mr Turunen said. Our estimate is the potential growth is between 1-1.5 per cent in the medium term.

There has been a decline in the major factors, labour and capital, but the decline has been driven by negative productivity growth, which has persisted for quite a while.

Fundamentally, low productivity growth shows theres some structural constraints. Mr Turunen pointed to the Bahamas high cost environment, particularly on labour and energy, and sliding ease of doing business as the culprits.

Adding that the Bahamas needed to better prepare its high school graduates for the workplace, Mr Turunen backed the concept of a National Development Plan (NDP), but said the stark negative growth position meant the IMF would recommend a shift to implementation as opposed to the ongoing planning.

To combine faster economic growth with fiscal consolidation (austerity), the IMF executive called on the Government to re-purpose its spending, switching monies from its recurrent (fixed cost) account to invest in infrastructure projects that would enhance medium and long-term GDP expansion.

Mr Turunen reiterated that the IMF was projecting a 3.5 per cent fiscal deficit for the 2015-2016 Budget period, placing the total amount of red ink at between $280-$300 million, well in excess of the Governments $150 million forecast.

The deficit has not been eliminated because government spending increased at the same time, Mr Turunen said.

Referring to the previous speaker, Simon Wilson, the Ministry of Finances financial secretary, Mr Turunen added: Im sure Simon has a much more interesting story to tell. There has been an increase in spending on all the main components. The biggest increase is in subsidies and transfers.

When adjusted for inflation, Mr Turunen said the Governments spending had been flat in some years, but it had increased in real terms for the past two fiscal years.

There has been quite a bit of progress on the revenue side. Now is the time to focus efforts on rationalising spending to ensure fiscal sustainability, he added.

The debt is expected to stabilise over the medium term. You dont want a situation where the debt continues increasing, and thats not a situation where we see the Bahamas going.

Mr Turunen said the IMF had projected that the Bahamas central government debt would stabilise at 68 per cent of GDP pre-Matthew, but it was now expected to increase significantly and exceed 70 per cent.

He called on the Bahamas to Budget and set fiscal targets according to its position in the hurricane zone, and to also focus on its total public sector debt and unfunded pension liabilities.

Link:

Bahamas' 'Growth Potential' Down 3% Since Century Start - Bahamas Tribune