Thursday, June 21, 2012

....the Bahamian government's failure to prosecute a single human trafficking case – has led the Bahamas to be classified as a “Tier 2 Watch List” on the State Department’s 2012 Trafficking in Persons Report for the second year in a row

Us Alert On Trafficking



By DANA SMITH



THE alleged lack of “freedom of movement” for Chinese workers is an indication that human trafficking may be taking place at a large-scale construction site in the Bahamas, according to a new report from the US State Department.

This, among other factors – including the government failure to prosecute a single human trafficking case – has led the Bahamas to be classified as a “Tier 2 Watch List” on the State Department’s 2012 Trafficking in Persons Report for the second year in a row.

“Media outlets have reported that Chinese workers in a large-scale Chinese construction project in The Bahamas do not have freedom of movement – a human trafficking indicator,” the report said.

It does not specify what “large-scale Chinese construction project” it is referring to, but the Thomas A Robinson national stadium, the Baha Mar resort, the Chinese Embassy, and various road projects in the family islands could all be described as large-scale construction projects with employed Chinese workers.

When reached for comment, Baha Mar senior vice president of administration and external affairs, Robert Sands firmly stated that the US could not be referring to their project.

“It doesn’t apply to us because our persons have freedom of movement,” Mr Sands said, before pointing out: “Baha Mar is not the only construction project going on in The Bahamas where Chinese workers are employed.”

Representatives for the Chinese Embassy, meanwhile, could not be reached for comment up to press time.

The State Department’s report continued to describe the Bahamas as “a destination, source, and transit country for men, women, and children subjected to forced labour and sex trafficking”.

“Undocumented migrants, particularly the estimated 30,000 Haitians who largely arrive in The Bahamas voluntarily, are vulnerable to forced labour, especially in domestic servitude and in the agriculture sector,” it read. “Experts also have raised concerns that some workers from Jamaica could be vulnerable to involuntary servitude.”

Groups “especially vulnerable” to sex trafficking in the Bahamas include foreign citizens in prostitution and “local children engaging in sex with men” for basics such as food, transportation, or material goods, the State Department stated.

“The Government of The Bahamas does not comply fully with the minimum standards for the elimination of trafficking; however, it is making significant efforts to do so,” the report said. “Despite these efforts – most notably the establishment of a high-level interagency committee and continued statements of commitment to address human trafficking – the government has not identified or assisted any victims of trafficking or initiated any forced labour or sex trafficking prosecutions; therefore, The Bahamas is placed on Tier 2 Watch List for a second consecutive year.”

However, the State Department did name a “positive development” as the government’s March announcement of the establishment of a “working level interagency task force” set to handle “specific allegations of human trafficking and a protocol to guide officials in handling trafficking cases.”

The State Department also praised the government for holding a trafficking awareness event in March.

The entire Trafficking in Persons Report can be read online at the State Department’s official website – www.state.gov.

June 20, 2012



Wednesday, June 20, 2012

Dr. Sandra Dean-Patterson - Director of the Bahamas Crisis Centre says: ... Convicted sex offenders, and pedophiles in particular, will likely reoffend once released ...if not subjected to targeted treatment while incarcerated

Call for treatment of sex offenders


By Royston Jones Jr.
Guardian Staff Reporter
royston@nasguard.com



Convicted sex offenders, and pedophiles in particular, will likely reoffend once released if not subjected to targeted treatment while incarcerated, said Director of the Bahamas Crisis Centre Dr. Sandra Dean-Patterson yesterday.

She told The Nassau Guardian that the Crisis Centre has been calling for such a program to be implemented for years, and it needs “to be taken seriously”.

According to Dean-Patterson, sex offenders are highly likely to pursue deviant behavior if the arousal connection is not changed, despite having served long sentences.

“We need to break through that connection so that they are no longer aroused by seeing a littler boy or girl in a swimsuit,” Dean-Patterson said. “Our mental health and prison agencies have to come to together to put a system in place.

“If someone goes to jail for five years, or even 10 years for sexual assault he is still highly, highly likely to do so again.”

However, she admitted that research shows that many perpetrators benefit from this kind of treatment, but some do not.

Dean-Patterson said the low conviction rate in sexual offense and domestic violence cases contributes to offenders thinking they can rape, molest and batter without consequence.

Dean-Patterson added that in order for the Crisis Center to expand its services and become more involved in aiding victims of abuse, its annual $30,000 government grant needs to be increased to around $200,000.

This would facilitate more permanent administrators and advocates, as the non-profit organization relies upon volunteers, she said.

Jun 20, 2012

thenassauguardian

Tuesday, June 19, 2012

Rev. Fr. Sebastian Campbell - Chairman of the National Heroes Committee says: ...parliamentarians are “lazy” in the naming of national heroes in The Bahamas throughout the years

Campbell: Parliament “lazy” in naming nat’l heroes


Travis Cartwright-Carroll
Guardian Staff Reporter
travis@nasguard.com


Chairman of the National Heroes Committee Rev. Fr. Sebastian Campbell blasted parliamentarians for being “lazy” in the naming of national heroes in The Bahamas throughout the years.

Campbell spoke at a state-recognized funeral for Progressive Liberal Party (PLP) co-founder William ‘Bill’ Cartwright at St. Gregory’s Anglican Church on Carmichael Road yesterday.

Campbell said he met with the Cabinet last week to discuss the funeral and proposed that Cartwright be referred to as the “honorable William Wilton Jose Cartwright, national hero”.

“Some around the table almost had my head,” he said.  “I was told that only Parliament could give such a designation. I told them under my breath ‘that’s nonsense’.

“On the January 10, 2007, the National Heroes Committee designated William ‘Bill’ Cartwright as honorable for life on behalf of the Bahamian people who are the true sovereign of any country.

“Parliament of The Bahamas has been extremely lazy in this regard. To date only one person, I believe, the late Sir Milo B. Butler, has been declared a national hero by Parliament.

“We wait patiently for people of the stature of ‘Bill’ Cartwright to die then we flirt with the term national hero of the first order. This is our national character on which we seem not to be ashamed.”

Campbell noted that people of “lesser pedigree” than Cartwright overshadow him in accolades.

“Those who sacrificed nothing, gave up nothing, now have roadways and superstructures named in their honor,” Campbell said.

He continued: “And many of today’s players in the political platform know nothing about William ‘Bill’ Cartwright, Cyril Stevenson and [Sir] H.M. Taylor. No wonder tributes paid in recent days to Cartwright lack so much substance.”

The men founded the PLP in 1953.

Cartwright died at 89.

He spent the last two years of his life in an old folks home, before being taken to hospital in the days before his death.

Cartwright, a native of Long Island, represented Cat Island in Parliament for seven of the 20 years he devoted to public life.

PLP Deputy Leader Philip Brave Davis said at Cartwright’s memorial on Friday that The Bahamas failed Cartwright.

At the funeral yesterday, Prime Minister Perry Christie agreed with Campbell that Cartwright deserves special recognition.

Christie said the government would allow The College of The Bahamas to begin immediately to record the history of the country to “fill in the gaps that have been left by those who have offered their own experiences”.

“We have an obligation as a country to do something about this deficit that the Rev Fr. spoke about, and quickly,” Christie said.

“To the family...I have indicated as the leader of the PLP on the one hand that I would move to ensure the upliftment of the names of those who are a part of the original visionaries and [their] name in the annals of our party, so that henceforth we will no longer have to guess, but will be properly lifted and institutionalized.

“So from a party perspective the history will be complete.”

Jun 19, 2012

thenassauguardian

The Bahamas nears " the ranks of 'Third World' nations via the rapid rise in the national debt... ...with an International Monetary Fund (IMF) report warning that our nation's 57.6 per cent debt-to-GDP ratio has passed the threshold at which it will act as "a drag" on its economic growth

Debt 'Pushing Bahamas' Deeper Into Third World


By NEIL HARTNELL
Tribune Business Editor

THE Bahamas has "pushed ourselves further into" the ranks of 'Third World' nations via the rapid rise in the national debt, with an International Monetary Fund (IMF) report warning this nation's 57.6 per cent debt-to-GDP ratio has passed the threshold at which it will act as "a drag" on its economic growth.

James Smith, a former Central Bank governor and now-Ministry of Finance consultant, told Tribune Business that the Bahamas had "dug ourselves a hole" with a national debt projected to hit $4.613 billion by end-June 2012, adding that its fiscal woes were begin to resemble "more and more" those of its many troubled Caribbean neighbours.

As he acknowledged that it would be "very difficult" to get the Bahamas' fiscal deficit and national debt back on to a sustainable trajectory, Mr Smith's comments were given further credence by an IMF paper, published on Friday, which showed this nation's debt-to-GDP ratio was now likely to 'drag down' its economic growth.

The paper, Threshold Effects of Sovereign Debt: Evidence from the Caribbean, analysed the Bahamas and 12 other regional nations, and found that above a 55-56 per cent debt-to-GDP level, any further increase in that ratio would impede economic growth.

The Bahamas, which is projected to have a total debt-to-GDP ratio of 57.6 per cent by month's end, according to government statistics, has already breached that barrier.

"The main finding is that there exists a threshold debt to GDP (GDP) ratio of 55-56 per cent," the four authors of the IMF paper found. "Moreover, the debt dynamics begin changing well before this threshold is reached.

"Specifically, at debt levels lower than 30 per cent of GDP, increases in the debt-to-GDP ratio are associated with faster economic growth. However, as debt rises beyond 30 per cent, the effects on economic growth diminish rapidly.

"And, at debt levels reaching 55-56 per cent of GDP, the growth impacts switch from positive to negative. Thus, beyond this threshold, the debt becomes a drag on growth."

Tackling the rapid rate of increase in the Bahamas' fiscal deficit, projected to hit a record $550 million under the GFS measurement during the 2012-2013 fiscal year, and the national debt could arguably be the Christie administration's greatest challenge over the next five years.

But, beyond some revenue enhancement measures largely left in place by the former Ingraham administration, pledges of tax reform and efforts to get the private sector going, it has yet to lay out a clear strategy for containing the fiscal deficit and national debt.

"The trend is still very worrisome," Mr Smith conceded, "because it's very difficult once you've let the horse out of the barn. It's very difficult to get it back".

He argued that the projected $550 million fiscal deficit for 2012-2013 was largely "a catch up from all the expenditure that has taken place", meaning it has resulted from extra debt servicing and spending commitments made by the former Ingraham administration.

"You couldn't even roll it back," Mr Smith added. "If you stopped everything, it would be more costly and would put a brake on what little growth there is.

"There's going to be no quick turnaround, as the world economy is still sluggish. By and large we have dug a hole for ourselves."

The former finance minister and Central Bank governor told Tribune Business that it was "a fair assessment" to argue that the Bahamas' fiscal predicament was due more to spending increases, particularly on the Government's recurrent or fixed costs, as opposed to the revenue side of the equation.

"In the last year or so we seemingly outspent the fall off in revenues, and from a policy perspective we should have been holding back when we realised we were not emerging from recession, at least not at the pace the US was," Mr Smith said.

A report by the United Nations' Economic Commission for Latin America and Caribbean (ECLAC), released on Friday, blamed the Bahamas' 2010-2011 nominal fiscal deficit of 4.7 per cent on spending increases that outstripped a 10 per cent rise in revenues to a sum equivalent to 17.7 per cent of GDP.

"The improved revenue was offset by a substantial nominal rise in expenditure to 22.9 per cent of GDP," the ECLAC report noted.

"Current expenditure reflected a sharp increase in payments for goods and services, and higher debt interest payments as government borrowing mounted. Growth in capital expenditure more than doubled with major investments in road infrastructure and in the airport expansion project."

Mr Smith, meanwhile, told Tribune Business that the Bahamas effectively needed an 'out of the box' game changer, something not associated with its traditional industries, to reverse the decline.

"We need some kind of external something we didn't plan for to get us quickly out of this," he added. "The things that we can predict, nothing seems to give us the sufficient impetus that we need in the short-medium term.

"We're beginning to look more and more like the rest of the Caribbean," Mr Smith told Tribune Business, referring to the likes of Barbados, Jamaica and St Lucia, all with debt-to-GDP ratios of around - or above - 100 per cent.

"We've been trying to pull ourselves so hard out of the Third World, but seem to have pushed ourselves further in. It's really going to take a combined effort - the labour has got to become more productive, the investment support machinery has got to be more efficient. We've simply got to work a lot harder as a country. It's not business as usual."

The bulk of Bahamian GDP was derived from tourist spending, but Mr Smith questioned whether US visitors - who still account for over 80 per cent of stopovers - would return to pre-recession spending levels even if there was recovery at home.

"We don't have the level of tourist expenditure needed to support increased GDP growth," he added. "To the extent that we are using subsidies to the tourism sector in terms of assisting the hotel industry, the likes of Companion Fly Free, we are actually getting less spending per tourist dollar, as we are actually paying to get them here. We're not getting the same bang for the buck."

The authors of the IMF paper urged the Bahamas and others above the 55 per cent debt-to-GDP mark to "adopt policies that do not impede growth" by setting the ratio on a downward trend.

Acknowledging that it was difficult for the Caribbean to embark on fiscal consolidation, given the recession's hangover and high unemployment levels, the IMF paper urged governments to combine with the private sector to "present more innovative ideas, and rehash some of the current policies for the region:".

The authors, for instance, called for "greater progress" in sectors such as information technology and renewable energy.

June 18, 2012

Sunday, June 17, 2012

We all agree that Bahamians with qualifications should not be overlooked... but we also agree with Mr Chester Cooper of the Chamber of Commerce that "'Bahamian First' must not mean 'Bahamian First at any cost' ...We clearly need to perform at international standards to keep the Bahamas competitive"

Bahamians First, 'But Not At Any Cost'

Tribune242




IN THIS column yesterday, we published a warning from the World Bank that fears about the eurozone had reduced investors' tolerance for risk. The bank urged poorer economies -- and this includes the Bahamas - to protect themselves by reducing their debts.

The world's fear of a prolonged -- much longer than originally predicted -- economic crisis greatly threatens our islands because of the nature of our two major industries -- tourism and finance. Of course, to hear the blustering of the PLP on the campaign trail, the Bahamas' unique economy has in no way been affected by this crisis. Although on one occasion Prime Minister Christie, while still in opposition, did concede that even if it had, during Prime Minister Ingraham's administration, Mr Ingraham had made the situation worse. Despite the fact that Mr Ingraham was doing a yeoman's job of managing the Bahamas' affairs so that the suffering here has not been as great as in other countries, the PLP refused to give him any credit. And so, during their five years, we hope never to hear any of them blame the difficult times that we might still have to face on the world's economy -- as far as they are concerned it does not exist. Too many Bahamians believed them -- so for them whatever goes wrong will be the fault of the new government - don't look outside for excuses.

However, like it or not, the stark facts are: The Bahamas' bread and butter comes from tourism and investment. Tourists travel when they have a small nest egg set aside for their vacations. To hear the world's economists talk, in the next year or so this will be greatly curtailed because that nest egg will have to go to pay mortgages, school fees, etc -- savings, savings and more savings will be the name of the game.

Therefore, a place like the Bahamas, which has almost priced itself out of the market with, among other things, its high utility costs, will have to cater to the rich who will be the only ones with the surplus cash to live like kings -- and travel to places like the Bahamas.

Mr Ingraham, in trying to create jobs during this difficult period, decided to improve the country's infrastructure to raise standards that would attract the wealthy -- at the same time putting Bahamians to work. He was criticised for this. But, like it or not, the Bahamas has to have a standard that would encourage a wealthy man -- as happened a few weeks ago -- to take over an entire hotel, turn the centre court into a tropical pool and create on the remaining courts an Arabian Nights setting for his daughter's multi-million dollar wedding. These are the people that this country will need for their survival -- the average citizen will no longer be able to afford "a short trip over". So whatever, the new government is thinking, we hope they will widen their vision and continue the improvement of the island's infrastructure now under contract.

As for the financial side of our economy and the need for investors, the attitude -- that we heard expressed on the floor of the House many years ago -- of "bring 'em in, suck 'em dry, and throw away the husks" just will not work. Just as Shane Gibson's blustering over work permits certainly will close the door to many potential investors.

We all agree that no Bahamian should be without a job if his credentials -- and work ethic -- fully qualifies him for a position.

However, what Mr Gibson must accept is that it is the owner of the business who decides the standard of the person he wants on his staff -- not Mr Gibson's Immigration Department.

Any investor coming in will want around him persons who have worked with him for years -- one of whom will be his accountant. If they are not given some consideration, then they just won't invest.

Many are concerned by Mr Gibson's putting employer's "on notice" that the issuing of labour certificates will no longer be "business as usual."

He said companies that hire foreigners must send "justification" for every employee that they have on work permits to the government.

Employers, who The Tribune interviewed, want to know what his plans are as they already justify every work permit application. These employers maintain that they have measured up to all of Immigration's requirements. They now want to know what Mr Gibson is planning.

At a time when we need all the foreign investment that we can get, Mr Gibson's intemperate threats will certainly not bring them in.

We all agree that Bahamians with qualifications should not be overlooked, but we also agree with Mr Chester Cooper of the Chamber of Commerce that "'Bahamian First' must not mean 'Bahamian First at any cost'. We clearly need to perform at international standards to keep the Bahamas competitive".

June 14, 2012


Friday, June 15, 2012

...if the Bahamian economy were to grow at a level of six to eight percent ...we would not be talking about government debt... ...The reason why we should prioritize economic growth over debt reduction is because greater economic activity generates greater revenue for government... ...Greater revenue reduces reliance on borrowing and so, debt would fall over time... ...Further, higher levels of growth usually lead to lower levels of unemployment, more opportunities for individuals to make money in order to pay their mortgages, to pay for college, or to start new businesses... ...But, in order to achieve such levels of growth, we need a plan

A call for a national economic plan


By David Frazer


In the 1960s, Germany experienced one of the world’s most impressive examples of economic growth and development that raised the standard of living for the Germans exponentially.  Its success was due to a number of factors, not least of which was its ability to organize its industries, plan for the future and engage stakeholders at all levels in the work of economic growth.  If one posed the question today where is the economy of The Bahamas headed in the next five to 25 years, it would be difficult to provide a viable answer partly because of the lack of direction in state policy.

The recently published budget and budgets of past governments confirm this notion.  The 2012-2013 budget proposes short-term bandages on an economic wound that runs deep through society, addressing symptoms of a much larger structural problem.  It is now time to focus our energies and resources on a cure to our economic illness.  It is time for a national economic plan.

Highlights of the government’s 2012-2013 budget

• Expanding the role of the Bahamas Development Bank and the Bahamas Agricultural and Industrial Corporation to go beyond lending money to provide equity, credit guarantees and marketing/accounting support is a promising move to support small business and Bahamian entrepreneurship.

• Tax reform was four pronged.  The government will establish a central tax agency to improve its ability to collect taxes.  It will reform the property tax system including a cap on property taxes.  It will look to reducing leakages in the tax system and to charge international fees for aircraft passing through the country’s airspace.  This effort to raise government revenue is commendable but insufficient; the expected revenue which incorporates these ideas would still leave the country with a massive expenditure-revenue gap of nearly $300 million.

• A debt management committee will be developed to implement a debt management strategy.

• A plan to rescue Grand Bahama includes tax reduction and a Ministry of Grand Bahama.

• The jobs program of the previous government has not been continued.  Described by the current government as “lacking focus”, the jobs program attempted to alleviate the unemployment situation particularly for youth.  The problem is that the new government has not proposed an alternative to reducing youth unemployment.

• A mortgage relief effort aimed at reducing loan payments for distressed mortgage holders has received scathing international criticism.  Standard & Poor’s, a reputable rating agency, responded to the government’s promise to help mortgage holders by suggesting that the government may face lower credit ratings if it continues to spend more than it earns.

• Tax concessions laced the budget and there was an explicit promise not to raise taxes for Bahamians.  This combination of tax reduction and mortgage relief spending has cast doubt on the “government priority” to reduce national debt.

Let’s be smart about debt reduction: Focus on growth

Given the extent of the global economic recession, the government has been forced to play a greater role in economic activity.  As in the United States, government spending grew to supplant the lost economic activity after the recession.  While we must reduce the level of government debt, we must be careful not to damage the economy while doing so.  One can look to Europe for an example of how austerity soon after a recession can be detrimental to economic growth.

At the same time, government must not be frivolous in its spending.  Promises in the budget to help individuals make home repairs on top of aforementioned mortgage relief may be politically successful but do not spur further economic growth.

We hope that political leaders will go through the budget, line by line, and re-allocate/reduce unnecessary expenditure.  As much as is possible, government spending should be guided by the principle that every dollar spent directly increases the Bahamian GDP by more than a dollar and/or increases productivity.  Under this principle, unnecessary spending may be brought to light.

Hypothetically speaking, if the Bahamian economy were to grow at a level of six to eight percent, we would not be talking about government debt.  The reason why we should prioritize economic growth over debt reduction is because greater economic activity generates greater revenue for government.  Greater revenue reduces reliance on borrowing and so, debt would fall over time.  Further, higher levels of growth usually lead to lower levels of unemployment, more opportunities for individuals to make money in order to pay their mortgages, to pay for college, or to start new businesses.   But, in order to achieve such levels of growth, we need a plan.

The need for a national economic plan

Just over 26,000 Bahamians searching for work are unable to find it; thousands more have given up and left the labor force; unimpressive growth levels in the U.S. may dampen growth of tourist arrivals in the foreseeable future, and our own growth projection is stifled at less than three percent for the next few years.  These facts underscore a structural issue in the economy.  In essence, overreliance on tourism has limited the scope of economic growth.  We have failed to use the resources tourism has afforded us to develop other industries as a means to secure future growth.

We should get the largest stakeholders and experts in one room – business leaders, academics, government officials and local/international investors – to search for and implement a national economic plan with an aim to secure high levels of growth into the future.  Such a plan should be medium to long-term in focus and grounded in rigorous research on the potential for local business expansion, export of Bahamian franchises, products and services, and diversification within and across industries.

A plan of such magnitude is important because it provides an industrial framework for growth and will provide a sense of security for local business owners who would be able to plan the development of their own enterprises as a result.  A plan could create a momentum for the growth of certain projects and industries.  Finally, it would enable government to plan other areas of society such as new education and training initiatives, infrastructural projects and immigration policies that correspond with the national plan.

Our current economic realities call on us to make big decisions to secure a prosperous future.  Let us plan our way to economic vitality and growth.

 

• David Geraldo Frazer is a master’s degree candidate at Johns Hopkins University studying international economics and international relations with a bachelor’s degree in economics and business.  He is also a free lance consultant and can be contacted at: dfrazer1@johnhopkins.edu

Jun 13, 2012

thenassauguardian

Thursday, June 14, 2012

Opposition Leader - Dr Hubert Minnis says: ...senior police officers are alarmed at the appointment of newly sworn in State Minister for National Security Keith Bell and fear operational interference


Police Alarm Over Bell Appointment



By KHRISNA VIRGIL



A NUMBER of senior police officers are alarmed at the appointment of newly sworn in State Minister for National Security Keith Bell and fear operational interference, Opposition Leader Dr Hubert Minnis said yesterday.

Dr Minnis made the remarks during his House of Assembly contribution.

The session not only rehashed the previous Ingraham administration's work while in office, but continued with proposals for the 2012/2013 budget.

Speaking of the reform brought to the Royal Bahamas Police Force by the FNM, Dr Minnis said his government had worked hard to revitalise the force from 2007 until the PLP won the general election on May 7.

"As I speak," he said, "a former officer who acted in an extraordinary and partisan political manner during the election campaign is now Minister of State in National Security. I hope we do not see one of the worst periods of politicisation of the police force in its history.

"I understand that a number of senior officers are alarmed at the appointment and fear operational interference."

Dr Minnis pointed out that when in opposition the PLP blamed every criminal incident on former National Security Minister Tommy Turnquest.

But, he said, this was unfair as crime is a societal problem and politicians on both sides are "in this together".

For this reason, Dr Minnis said, the FNM will not blame every criminal act on the new Minister of National Security, Dr Bernard Nottage.

However, he did warn that the Bahamian people will not forget the PLP's promise that Urban Renewal 2.0 will be the cure for all crime.

The public is watching the new government, he said.

"We in the FNM support any crime fighting initiatives that are constructive and curb the senseless bloodshed, but, Mr Speaker, we want accountability. We want to see the logic and tangibles that come with launching such a programme."

From the opposite end of the spectrum, Dr Minnis urged the government to return to the basics of crime fighting on the streets of New Providence.

"We can't talk about zero tolerance when individuals are breaking the traffic laws; when individuals in the west have problems sleeping because of noise pollution, because of licenses given to homes and business that have excessive noise.

"When we close an eye to that we close an eye to the criminals who feel that they have the right to proceed," Dr Minnis said.

June 13, 2012