Monday, October 10, 2005

Supporters of Free National Movement (FNM) Leader Senator Tommy Turnquest along with some FNM Action Group members Attack Hubert Ingraham

FNMs Attack Ingraham


By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

October 10, 2005


Supporters of Free National Movement Leader Senator Tommy Turnquest, including some members of the FNM Action Group, have launched what has amounted to a campaign to block the return of former Prime Minister Hubert Ingraham as leader of the party.


"Hubert Ingraham ‐ you are still the most hated man in this country and the people will remind you of it if you go back on your word and challenge Tommy Turnquest as leader," said a letter forwarded to the press by supporters of Senator Turnquest over the weekend.


The scathing letter blames Mr. Ingraham for certain "failures", but does not acknowledge that Senator Turnquest was also a part of the Cabinet when those alleged failures occurred.


The letter came more than a week after FNM MP's secured the support of the party's Central Council to have Mr. Ingraham replace Alvin Smith as the FNM's parliamentary leader.


The vote has resulted in a fierce internal battle in the party as observers wait to see if Mr. Smith will resign as leader of the Official Opposition.


Oswald Marshall, chairman of the Action Group, who commented on the matter on Saturday, said he doubts Mr. Ingraham will become the parliamentary leader.


"I don't expect Ingraham [to return]," Mr. Marshall added. "They had some kind of idea that they would push Ingraham to the front of the party by getting him to take over leadership (in the House).  I think they polluted that process and I understand that he is not doing that anymore.  The council members [who voted against the move] felt that this was a prelude to Ingraham taking over the party."


The letter from Senator Turnquest's supporters reminds council members who supported Mr. Ingraham's return that it was the former prime minister "who botched the referendum" in 2002.


The letter continues: "It was Hubert Ingraham that promoted and left PLP's in office while you the FNM controlled the government.


"It was Hubert Ingraham that destroyed the financial services sector through the enactment of ill-advised legislation;


"It was Hubert Ingraham that bludgeoned Batelco by giving packages to existing management and staff who were performing and performing well; "It was Hubert Ingraham that had all of the major unions up in arms through his policies and action;


"It was Hubert Ingraham who expelled senior men in the FNM who had been with the party way before he was on the scene."


The letter says, "Men such as Tennyson Wells and Pierre Dupuch, loyal supporters of ideals of the party, were discarded by Hubert Ingraham."


Although it was a claim former Deputy Prime Minister Frank Watson denied when he appeared on the Love 97 programme, "Jones and Company" just over a week ago.


Supporters of Senator Turnquest also accused Mr. Ingraham of operating "on his own terms without regard to his ministers."


The letter also accused the former prime minister of doing as he wished without reference to the concerns of the Bahamian electorate.


"He did not listen and the people just as they fell in love with him in 1992 and 1997 - hated him in 2002 and consequently voted the FNM out.  That is why we lost by the margins we did, it said."


The letter added, "Now Mr. Ingraham seeks to use the FNM once more for his own selfish gain by sending his hatchet men such as Frank Watson, Hubert Minnis, Brent Symonette and those less than men parliamentarians to say the party needs him.


"No way, do we need Hubert Ingraham to lead this party.  We have a leader of our own; one bred in the party - who paid his dues and has risen to the leadership position."


The letter continues, "We have reached an important milestone in the FNM when history will judge our actions as we prepare for the election in 2006 or 2007.  Do we [want to] embrace a new leader who will take care of FNM's in a fair way or do we bring back a rejected man?


"Tommy Turnquest may not be perfect in everyone's eye, but he is 100 percent FNM."


When he spoke with The Bahama Journal on Thursday, Senator Turnquest said he had "no idea" whether Mr. Ingraham will become the new parliamentary leader as the other FNM MP's wish.


But he reiterated that the former prime minister has assured him that he has no plans to again seek the leadership post of the FNM. 

Friday, September 30, 2005

Hubert Ingraham is Back!

Ingraham Bounces Back


By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas



In a rowdy session of the Central Council of the Free National Movement last night, former Prime Minister Hubert Ingraham was sanctioned as the new leader of the party in the House of Assembly.


Even though more than 170 council members were expected to have voted, only 128 did so with 88 voting in favour of Mr. Ingraham leading the Official Opposition while 40 voted against the move.


The FNM House members were joyful of the outcome of the vote, but their detractors pointed out that it is clear that Mr. Ingraham does not enjoy the full support of the council as one third of those who voted, voted against his return as the parliamentary leader of the party.


One council member said, "This is not a good position for a former prime minister to be in."


The council voted against the wishes of the party leader, Senator Tommy Turnquest.


"We had a wonderful council meeting today," Mr. Turnquest said early this morning as excited council members filed out of the party’s Mackey Street headquarters.


"We had 131 out of 172 councilors that were here.  People spoke freely.  It was a wonderful evening [and] the FNM continues to demonstrate its principles of democracy, freewill and free speech."


Asked whether he felt threatened by the fact that the overwhelming vote was in support of Mr. Ingraham, Mr. Turnquest responded, "I think Mr. Ingraham is a wonderful person to lead the FNM team in parliament.  He and I are extremely close and we’ll continue to be close and work together, he as leader of the Opposition and me as leader of the party."


He was also asked whether Mr. Ingraham will enter parliament next Wednesday as the leader of the Official Opposition.


Mr. Turnquest said, "That wasn’t decided here tonight and that cannot be decided here tonight."


But former Deputy Prime Minister Frank Watson had a different view of what last night’s vote meant.


"I think that the council made a decision in the best interest of the party and our country in selecting the Right Honourable Hubert Ingraham to be our leader in the House of Assembly," Mr. Watson told The Bahama Journal.


"The present leader, the Hon. Alvin Smith, with go to Government House and tender his resignation and members of the Opposition will then present Mr. Ingraham to the governor general as their leader."


He added, "I expect by the next sitting of the House Mr. Ingraham will take his position as leader of the Opposition in the House.  By Monday, I expect [Mr. Smith to resign]."


South Abaco MP Robert Sweeting said the opposition MP’s got exactly what they wanted.


"As we know, he has a vast amount of experience in politics.  He served both in opposition and in government…I think the PLP tonight is as scared as a rattlesnake," Mr. Sweeting said.


Montagu MP Brent Symonette said after the meeting that the vote shows that the FNM is live and "very democratic."


"We think Mr. Ingraham, who is the most experienced Member of Parliament, is certainly very capable," Mr. Symonette said.  "He’s shown from his track record he’s able to articulate, direct and lead."


Asked whether he wishes to see Mr. Ingraham lead the party, Mr. Symonette said, "I’m not going to make any comment about that at the moment.


Tonight was about our leadership in the House of Assembly and it’s not to be confused with the leadership of the party, which is an issue that convention decides in November."


He was also asked whether Mr. Ingraham is even interested in leading the FNM MP’s.


"I think the FNM MP’s wouldn’t have come to council tonight unless we had an indication from Mr. Ingraham that he was interested in leading the party and willing to so do.  We have met with Mr. Ingraham, as we have met with Mr. Turnquest.  So I think [if] Mr. Ingraham was not interest we wouldn’t have come here tonight."


High Rock MP Kenneth Russell, who was running to catch a ride at the time he spoke with The Bahama Journal, said the process was "interesting" and promised to elaborate when the House meets next Wednesday.


Former MP Anthony "Boozie" Rolle said the FNM showed once again that it is a party that relies heavily on democratic principles.


"The significance [of this] is that we would now have the most experienced member of the House of Assembly leading the charge in the House of Assembly."


Free National Movement Chairman Carl Bethel also believes the result was an "exultation of democracy."


"[Mr. Ingraham] will be opposition leader in parliament under the Constitution…how far that goes and where that takes him is really for him to decide.


"What is plain is that the party is seeking to marshal its hardest hitters, its heaviest hitters, and bring our big guns to the forefront because we are entering into a very crucial election period where it is plainly in the national interest of the Bahamian people that they be saved from this inept…and do nothing, directionless government," Mr. Bethel said.


Not everyone outside the FNM headquarters after midnight supported Mr. Ingraham leading the Official Opposition.


"I view this as a prelude to another exercise…I do not believe Ingraham is going to accept being the leader in the Opposition.  That is to be seen," said Oswald Marshall.


Noel Sutherland, another council member, added, "As difficult as it might be seen for the party to go along with this whole thing, it’s a difficult thing to be seen to not support your parliamentarians."


Former Senator Lawrence Glinton, meanwhile, said as a result of last night’s vote, the party’s chances of winning the next general elections have been "enhanced immeasurably."


"He will bring a strong opposition force to parliament and it will awaken the Bahamian people to the need to change this government," Mr. Glinton said.


Mr. Ingraham was not present for the historic meeting.  Some supporters of Mr. Turnquest viewed last night’s vote as a backdoor attempt by supporters of the former prime minister to get him back as leader of the Free National Movement.

Tuesday, September 20, 2005

The Bahamas Trade and Industry Minister, Leslie Miller appeals to the Bahamian driving public to do whatever they can to reduce their fuel consumption as the price of gasoline explodes

Minister Leslie Miller suggested that motorists in The Bahamas car pool; use smaller, more economical vehicles; use public transportation; and cut out the unnecessary driving - in the wake of increasing fuel prices


Gas Prices Skyrocket


By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

20th September 2005



Trade and Industry Minister Leslie Miller on Monday announced a new round of gas price increases, indicating that one company has received approval to raise the cost on a gallon of gasoline to $4.77.


It would be a 76-cent per gallon increase for Shell Bahamas.


"Today, I am returning to appeal to the Bahamian driving public to do whatever they can to reduce their fuel consumption," Minister Miller said.


He suggested that motorists car pool; use smaller, more economical vehicles; use public transportation; and cut out the unnecessary driving.


"When I made these calls before many persons did not recognize the severity of this situation," he said.


The $4.77 price is the highest the cost per gallon of gasoline has ever been in New Providence, according to the Minister.


"This will push gas to well over $5 in the Family Islands," he announced.


Effective today, the price for a gallon of gasoline in New Providence will be $4.77 at Shell; $4.03 at Texaco; and $4.02 at Esso.  The price for a gallon of diesel at Shell will be $3.62; at Texaco it rises to $3.64; and at Esso it increases to $3.26.


"These increases are truly amazing, since prices in The Bahamas are going up by more than 75 cents while prices in Florida reduced by about six cents on the weekend," the Minister said.


"It was also interesting to see that in France Total SA (The French Oil Company) recently pledged to pass reductions in prices to consumers within a few days, and to wait longer to pass on increases in order to protect the consumers from spikes.


"It was also interesting to note that the French Minister was unable to get any firm commitment from the foreign oil companies who were present at the meeting to assist with the prices or to invest more in refineries to help to rectify this situation."


On Monday, the Associated Press reported that crude-oil futures surged more than $4 – the biggest one-day price jump ever – amid worries that Tropical Storm Rita strengthening off The Bahamas could hit U.S. oil facilities in the Gulf of Mexico later this week, striking another blow at an industry struggling to recover from Hurricane Katrina.


The swells in crude, heating oil and gasoline futures came as OPEC ministers met to discuss how to relieve price pressures in the oil market and expressed concern that Rita would bear down on the hurricane-ravaged U.S. Gulf Coast, the AP said.


In The Bahamas, there has been a steady rise in fuel costs this year, which has also translated into a steady increase in the fuel surcharges of electricity bills.


The latest round of bad news comes as Minister Miller continues to push the PetroCaribe initiative.


Through the deal, Venezuela has agreed to provide fuel and fuel-related products cheaply to the region.


Minister Miller has said that it would mean huge savings on electricity bills and at the gas pumps.


He recently told The Bahama Journal, "We’re looking at an average savings of no less than $6 per barrel which equates to approximately in our estimation anywhere from 25 cents to 30 cents on a gallon of fuel.


"That’s the initial cost.  Bear in mind that the oil companies here use their brokerage companies, in Barbados and Jamaica and elsewhere, to purchase fuel from PDVSA, which is where we’re going to get our fuel.


"By eliminating the middlemen, we save another 25 cents to 35 cents on a gallon of fuel.  In addition to that, PetroCaribe is now in a position by having ships to lift the fuel for you.  In other words, PetroCaribe would send one of its ships to The Bahamas full of fuel emanating from any of the terminals owned by PDVSA, which is the national oil company of Venezuela, thereby saving an additional 5 cents to 10 cents on a gallon of fuel."

Friday, September 2, 2005

A Special Advisory Panel Determined that College of The Bahamas President, Dr. Rodney Smith's Action Indeed Amounted to Plagiarism

The Special Advisory Panel's Report Recommends the Termination of Dr. Rodney Smith as President of The College of The Bahamas COB


Panel Denounces Smith


By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

2 September 2005


Three days after former College of The Bahamas President Dr. Rodney Smith lashed out at COB’s Council for asking for his resignation, the Council released portions of a report written by a special panel that had been appointed to look into his plagiarism blunder.


In the report, the panel recommends termination saying it did not see how Dr. Smith would have cause to complain or feel aggrieved.


Four of the five panel members recommended termination while Professor Rex Nettleford, vice chancellor emeritus of the University of the West Indies, wrote a dissenting view.


Dr. Smith has insisted that his use of portions of a speech given by New York University President Dr. John Sexton without providing attribution does not amount to plagiarism because Dr. Sexton later said that his work is the property of the academic community.


However, the panel determined that Dr. Smith’s action indeed amounted to plagiarism.


"While we are aware of some emerging thoughts on plagiarism which appear to be less demanding, a comparison of the Sexton text and the Smith text, using any widely accepted authoritative definition of plagiarism, leads easily to the conclusion that his omissions amounted to plagiarism," said the report, written by retired Justice Joseph Strachan on behalf of a majority.


"Nothing that was said to us by President Smith erases that.  On the contrary, a part of what he said discloses ambivalence at best and being disingenuous at worst.  We note his studious refusal to use the word ‘plagiarism’, choosing instead, ‘intellectual property rights’.


The panel’s report also said, "There are two occasions on which President Smith omitted to acknowledge his indebtedness to President Sexton, at the Honours Convocation and at the Commencement; and hence, since each omission has the specific gravity, a conclusion that the requirements for cause are met follows irresistibly."


It also notes that the law provides that the Council may remove the president from office on the ground of misconduct, inefficiency or other good cause.


"Of this subsection, it is enough to say that we consider the omissions to fall within that provision," the panel wrote.


The panel also recommended various options for handling the situation moving forward, saying that should Dr. Smith fail to resign within a specified period to be chosen by the Council, the Council would have no option but to terminate him.


The Council was also advised to take the steps necessary for the "timely discharge of its contractual obligations to him."


Dr. Smith resigned in early August and revealed this week that the Council had asked him to, based on the panel’s recommendations.


On Tuesday, Mr. Wilson confirmed that Dr. Smith had been paid the nearly $300,000 agreed to as a part of his buyout arrangement with the Council.


In a press statement on Thursday, the Council said it took the decision to accept the recommendations of the advisory panel and agreed to implement them through a committee of Council consisting of Chairman Franklyn Wilson, Dr. Earl Cash and Simon Wilson.


The Council noted, "The matter of Dr. Smith’s settlement was faithful to all the recommendations of the panel, accepted as satisfactory to him as signaled by his signing of the settlement and fully acquitted by the College of The Bahamas."


The Council also expressed its "deep displeasure" at those elements of Dr. Smith’s recent statement, which seem to be impugning the integrity of Mr. Wilson, the Council chairman; other members of the Council and the Council in general.


"Equally distasteful are those aspects of the statement that needlessly and unfairly belittle the contributions of his former colleagues," the Council’s statement said.


It was referring to such statements in Dr. Smith’s release such as, "Throughout a highly successful ten months of my tenure, I found myself doing the work of several persons, persons that carried the titles and job descriptions, but had no other work experience other than at the College of The Bahamas."


The Council said that more could be said about the veracity and or completeness of various details addressed by Dr. Smith.


However, the Council said it chose to be reticent out of compassion for the immediate past president of the college (Dr. Leon Higgs).


The Council also said that it had no desire to engage in an "unseemly exchange of accusations" with Dr. Smith.


It chose instead to focus on the recommendations contained in the panel’s report, which only last week Mr. Wilson had maintained he was not going to make public.


In addition to Justice Strachan and Professor Nettleford, panel members included Anglican Archbishop Drexel Gomez; Bahamas Ambassador to the United Nations Dr. Paulette Bethel; and President-elect of John Carroll University of Cleveland, Ohio and former Vice Provost of the University of San Francisco, Father Robert Niehoff.

Wednesday, August 31, 2005

Dr. Rodney Smith Alleges that The Council of The College of The Bahamas Forced Him to Resign as President of COB

Mr. Franklyn Wilson, Chairman of the Council of the College of The Bahamas Refuses to Confirm Whether the Council had Asked Dr. Rodney Smith to Resign 


COB Council Shocked


By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

31 August 2005


Chairman of the Council of the College of The Bahamas Franklyn Wilson yesterday said the actions of former C.O.B. President Dr. Rodney Smith a day earlier were “shocking” and unbecoming of someone who has led such an important institution.


But Mr. Wilson declined to speak directly to the content of Dr. Smith’s statement in which he alleges that the Council forced him to resign even though it had already been proven that his use of material in a speech without proper attribution was not a violation of intellectual property rights.


Dr. Smith also showed up at the College on Monday to tell his side of the story.  But Mr. Wilson said what he did was out of line.


"I regard it as inappropriate, unfortunate, shocking, sad, whatever one wants to call it, that Dr. Smith saw fit to go about this matter in the way he did without the courtesy of letting the acting president of the institution, the secretary to the council, the chairman, or somebody know what was happening," he said.


"I just do not think that this is appropriate conduct for someone who has been the president of the College of The Bahamas."


Dr. Smith indicated in his statement that the Council did not show him support during the firestorm that surrounded the speech he gave at the college’s Honours Convocation in May.


He also intimated that Mr. Wilson went back on his word after implying that he was going to give him a copy of a report that had been completed by a special panel appointed to look into the matter and make recommendations for the way forward.


Mr. Wilson responded to this saying, "If it was his intention to accuse me of having lied I deny that and the truth is at all times I was very candid with him.  He did not say I lied to him, but this thing that I implied [that I would give it to him], I’d prefer if he were more precise in his choice of words [since] he’s such a scholar."


He said when he looks at the substance of what Dr. Smith had to say beyond his claims about the advisory panel’s reports, the only thing he could add is, "Dr. Rodney Smith has my prayers because when you read that very carefully I think, to me, there is evidence of the value of prayer."


Mr. Wilson refused to confirm whether the Council had asked Dr. Smith to resign.  He said the Council will first address this whole matter before it makes a formal statement in response to Dr. Smith.


"There is a whole lot of things [in that statement and] since he has chosen to go on the record, Council has an obligation to correct the record and we will do that," he said.  "I don’t wish to characterize [his statement] in any particularly way.  All I would wish to say is that it is not a balanced record of the circumstances."


The Council Chairman said he doubted the statement would negatively impact the college community.


He again assured Bahamians that the College of The Bahamas is not void of leadership.


"There are a lot of good things happening and it’s unfortunate that these personality things keep overshadowing that.  I also draw to the public’s attention the fact that Dr. Smith in his letter to the college community upon his resignation pointed to the fact that the College of The Bahamas has a plan," Mr. Wilson said.


"We are not without a plan; we are not adrift.  I strongly believe that if you take plan and passion which we definitely have, those two things would put you a long way on the road to progress."


In his statement, Dr. Smith informed that the Council had agreed to pay him $296,000 to buy out his contract.


Mr. Wilson confirmed that Dr. Smith has been paid all of the money already.


Dr. Smith said that he had given all of the facts on the whole matter involving his resignation.


"Others might refute what I say, but I know beyond any doubt that this is precisely what happened," he said.


The former college president also questioned whether he landed in a "political quagmire" and became just another victim.


Asked whether the Council regretted hiring Dr. Smith in the first place, Mr. Wilson said it did not because he was the right man for the job when he was chosen.


Mr. Wilson was also asked what Dr. Smith’s legacy has been as college president.


"It was different 24 hours ago than it is today," he said yesterday morning.  "The actions of [Monday] have coloured it, but the fact is that yes, he came and brought some energy.  He brought some enthusiasm.  He reflected the fact that he had the experience and that showed in terms of the way in which we were able to get some projects moving.


"In the long run, I believe he showed others another way that the job can be done and I think that whoever succeeds him would likely learn from that."

Thursday, August 25, 2005

Bahamian Voters Call for Answers and Updates on Issues of National Importance in The Bahamas

Even Supporters of The Ruling Progressive Liberal Party - PLP are Also Conceding that The PLP Government of Prime Minister, Perry Christie has to Do More to Improve its PR



Bahamas: Voters Want Answers 

 

 

By Candia Dames

Nassau, The Bahamas

25 August 2005


 


Many Bahamians are anxious to hear from Prime Minister Perry Christie on a number of issues of concern, including the much discussed Petrocaribe oil deal, the liquefied natural gas proposals, the decision to remove Sir Stafford Sands from the $10 bill, and the government’s progress in establishing a national health insurance scheme.


But his illness, which struck back in May, coupled with the traditionally slow summer period means that the Prime Minister has been off the front pages for weeks.


In January 2004, Mr. Christie started what he promised would be a quarterly ‘meet the press’ event where reporters could pose questions to him on a variety of issues.  But it was an initiative that was short lived.  In fact, nearly six quarters have passed without the event taking place again.


Mr. Christie also has made no national addresses for the year.


The Prime Minister had promised after returning to work nearly two months after his slight stroke that he would hold a press conference soon to address a number of issues of national importance that arose during his illness.  But that too has not happened as yet.


There are other issues that some people want an update on.  For instance, after much talk about the redevelopment of Bay Street, the transformation has still not started, leaving some merchants asking why.


Speaking about the planned downtown overhaul at his party’s last convention in November 2003, the Prime Minister said, "We have to change and we have to do so without delay."


But that was nearly two years ago.


At that same convention, he also announced that work on the Heads of Agreement for the $2.5 billion Ginn investment project for West Grand Bahama was being finalized.


"I have assured the Ginn group that my government is committed to bringing the project on line as speedily as possible," Prime Minister Christie said at the time.  "We have therefore agreed to complete a Heads of Agreement as quickly as possible so that this project can be underway early in the New Year."


But the New Year of 2004 came and left, but there has still not been any Ginn deal sealed.


The need for better public relations on such matters is something some Bahamians pointed to on Wednesday.


PLP’s are also conceding that the government has to do more to improve its PR.

 

Only recently PLP Chairman Raynard Rigby said that it’s a shortcoming the government needs to address.


For Bahamians waiting to hear from the Prime Minister, the concerns are varied.


"I would like to see [the Prime Minister] report on the Petrocaribe oil deal because I am not getting sufficient information from [Minister of Trade and Industry] Leslie Miller," said Jacob Rolle, a teacher at Central Andros High School who was on Bay Street on Wednesday.


"Another point is I am very apprehensive about the dealing with the president of Venezuela and his connection with Cuba.  I don’t think the U.S. would like us to be involved with those two dictators so we have to be very careful how we move ahead with friendly relations with those two countries."


Ricardo Mackey, who also teaches at the Central Andros High School, said rising oil prices continue to be a major concern and he too would like to hear what the Prime Minister has to say about Venezuela’s plan to sell fuel to the region at significantly lower costs.


"Right now there’s a concern about gas prices in Nassau…something needs to be done about that because gas only goes up in the Family Islands, it never goes down whereas gas fluctuates in New Providence," Mr. Mackey said.


He added that civil servants also want to hear specifics from the Prime Minister on planned salary increases given that the cost of living continues to increase.


"I think we need to find out what’s going on," he said.


If he could hear from the Prime Minister, Mr. Mackey said he would also like him to report on the status of the national health insurance scheme, something that was a part of the PLP’s platform when it was elected to office in 2002.


"I think it would be good if we have this kind of medical plan," the Andros schoolteacher added.


Darnell Finlayson, a straw vendor, has something closer to home on her mind.  She said that she would like the Prime Minister to speak directly to straw vendors about when a new straw market will be built on Bay Street.


The old market was destroyed by fire in September 2001, nearly four years ago.


"We need our straw market back because [the makeshift one] is in a bad condition," Ms. Finlayson said as the rain poured around her.


"The floors are flooding.  The tourists can’t walk inside.  They’re getting all wet.  It needs to be in a better position for the tourists.


Four years is enough time to build our market and I don’t know why we don’t have our market back, but Prime Minister, we really need a market back for our guests."


Across the street, Anthony Gibson, a manager at Diamonds International, said he too would like to hear from the Prime Minister as it relates to a timetable for a new straw market.


"I know there have been many promises made to the [vendors].  I have been in [the market] and I have seen the conditions these people have worked under.  Right now, this is the rainy season, only God one knows how they make it in there," Mr. Gibson said.


Mr. Gibson also raised the issue of Petrocaribe.


"What I really think we need to look at right now is this gas situation," he said.  "What I think is that we need to go full force ahead and get this thing on the run."


Allan Whyley, a retired Bahamian, also has Petrocaribe on his mind.  He said that it’s one issue he too would like to hear the Prime Minister speak about.


"The Petrocaribe accord has been so politicized.  To comment on it intelligently, you have to know more about it and we don’t have that," Mr. Whyley said.


He also noted that the Prime Minister earlier in the year announced that the government would have approved one of the liquefied natural gas projects before the end of January.  But that never happened.


Mr. Whyley said Bahamians want to know from the government what it intends to do about the proposals on the table.  He hopes that the Christie Administration rejects them.


"I really don’t want the government to approve LNG," he said. "I think [Mr. Christie] needs to make a statement about LNG.  These are issues that need to be addressed, but there are more immediate things happening with the small man that need to address. The government needs to say exactly what is reserved for Bahamians in this economy because I see foreigners coming in here and doing everything."


Lionel Carey, who said he was one of the chairmen of the former Vanguard party, said he like many Bahamians would like to hear an update on LNG.


"In the U.S. if they don’t want that in their own country, I think that’s a lesson for us.  We have tourism and we have to be sensitive about anything that could affect it in a negative way," said Mr. Carey, who now works in the Ministry of Housing.


Mr. Whyley, meanwhile, said that the immigration issue is also one that many people are concerned about.


"That’s something that really needs to be addressed seriously," he noted.  "What is happening?  Don’t the people deserve to be brought up to date?"


But not everyone thinks the Prime Minister is being too quiet on issues of national importance.


Mark Symonette, a law student, said various Ministers have been doing a good job at reporting on what has been going on in their individual portfolios.


"There are a number of issues that are outstanding," Mr. Symonette said.  "But I feel that the Prime Minister is doing an excellent job given the economic and social climate that we are in.  I think we must remember that the Ministers of the government are appointed to handle their portfolios and I think they are doing an excellent job also.


"They are reporting on their particular portfolios so I don’t see a need for the Prime Minister to get involved in every issue."


While a guest on the Love 97 Programme "Jones and Company" nearly two weeks ago, former Deputy Prime Minister Sir Clement Maynard said that the government appeared to be falling down in reporting to the public on what it is doing.


It’s something he indicated needed to be addressed.

Wednesday, August 24, 2005

The Bahamas National Debt Increases

Fiscal experts have warned repeatedly that government debt exceeding 40 percent would signal danger as The Bahamas government may be forced into a mode of borrowing that could be fiscally unhealthy 


Bahamas: $2.54 Billion In National Debt


By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

24 August 2005


The National Debt rose from $2.54 billion to $2.63 billion in the second quarter of 2005, the Central Bank of The Bahamas says in its newly released statistical digest.


In the second quarter of 2004, the National Debt stood at $2.39 billion, but has continued to see a steady rise, according to the figures.


The report reveals that the government’s contingent liabilities continued to grow, jumping from $438.4 million in the first quarter of 2005 to $454.13 million in the second quarter of the year.


The National Debt takes into consideration the government guaranteed borrowings of public corporations and other public entities.


These contingent liabilities include the $24 million in bonds issued by the Clifton Heritage Authority; $40.7 million in loans taken up by the Education Loan Authority; and $111.7 million in Bahamas Mortgage Corporation loans.


At the end of this fiscal year, government debt as a percentage of GDP is projected to be 37.5 or $2.330 billion.


Fiscal experts have warned repeatedly that government debt exceeding 40 percent would signal danger as the government may be forced into a mode of borrowing that could be fiscally unhealthy.


In the notes attached to the 2004/2005-budget communication, the government explains that growth in the debt is justified if it supports increases in the productive capacity within the economy, and if the servicing burden from principal repayment and interest costs does not unduly constrain the economy’s access to foreign exchange for other beneficial purposes.


It’s a point Minister of State for Finance James Smith – who is presently in the U.S. convalescing after what was termed a successful surgery – has made repeatedly.


He has also noted that the economy is projected to grow by 3.5 percent this year and the foreign component of the National Debt is "extremely low."


In an earlier interview, Minister Smith explained that, "If the $2 billion were held by a foreign bank, at anytime [that bank] could demand payment and you’re virtually bankrupt.  You can’t even go and negotiate with them for whatever reason.  So that means your risk is much higher."


The government has also noted that international observers closely monitor the total foreign currency debt of the government and public corporations, as on the repayment side it represents a required use of foreign exchange earnings.


The International Monetary Fund recommended in its June 2005 report on The Bahamas "a further strengthening of the 2005/2006 fiscal stance relative to the budget proposal and closer monitoring of budgetary developments to help ensure that the more stringent objective [of government debt-to-GDP ratio of 30 percent] is achieved."


In the upcoming fiscal year, the government intends to spend $1.214 billion, an increase of $39 million, or three percent over the 2004/2005 budget.


The government projects it will collect $1.145 billion, an increase of $93 million, or nine percent in revenues.