Showing posts with label Bahamas government. Show all posts
Showing posts with label Bahamas government. Show all posts

Wednesday, January 4, 2023

Bahamians are Suffering in The Bahamas, Prime Minister Davis!

An Open Letter to Prime Minister Davis on Bahamian Suffering 


The cost of running The Bahamas is placed entirely on the backs of those least able to afford it, the wage earners, the poorest of us.


Dear Mr. Davis, 


The Bahamas Prime Minister, The Hon Philip Davis ignores poor Bahamians
You have spent much time lately talking about inflation impacting the high cost of living here in The Bahamas.  It is striking to me that for the most part, you and the majority of your class are completely immune from the realities facing MOST Bahamians. 

Most Bahamians do not have the luxuries you do.  Perhaps you have earned these luxuries.  Yet, I would argue that living paycheck to paycheck, uncertain of what tomorrow will bring economically, should not be the fate of most Bahamians in 2023, in a relatively rich country. 

Yet, these are our realities, Mr. Davis, not yours.  So, how can you say you and your party truly “represent” us?  How can you say we are all in this together? 

Even more important, is what you are not saying regarding the dire situation The Bahamas faces as a whole; in the collapse of our standard of living, rising crime, a 100% debt to GDP ratio, millions of dollars leaving our coffers on a daily basis to pay off loans which were taken out solely to cover up the corruption, theft, inefficiency and incompetency of our political class. 

This is before we confront the very real and near term costs associated with climate change mitigation.  Let me be direct here, Mr. Davis, most of our social problems stem directly from the regressive and odious taxation policies here at home. 

I am claiming that, above all else that is going on in the world, our own taxation scheme is what is causing the pain and suffering here in The Bahamas.  You have not mentioned this, as far as I know. 

Instead, you focus on things we can do nothing about.  There are things we can do here and now that would be game changers for our standard of living and hopes for our children's future. 

All this talk of Duty, VAT, NIB contributions, rising fuel and electricity costs, business licenses, of hiring people to go around as “price controllers”, is utter nonsense.  These are diversionary tactics to hide the real villain. 

Trickle down economics, upon which the premise of our taxation scheme is predicated, has proven to be an utter intellectual fallacy.  This experiment has failed everywhere in the world.  Why do we still cling to this lie that if we don't tax the rich our economy will prosper and everyone will be better off? 

The cost of running The Bahamas is placed entirely on the backs of those least able to afford it, the wage earners, the poorest of us.  Here in The Bahamas, we have taxation exactly backwards.  Rich people can come to the Disney World of the Caribbean, our Bahamas, and live virtually tax free.  No tax on their income.  No tax on their business gains, no real property tax, to speak of.  Is this fair? 

All taxes placed on businesses, are passed along to the consumer, the poorest of us.  With this recent FTX scandal, what stood out to me was not the level of criminality involved.  What really struck me was how willing we were to take Sam Bankman Fried's ill-gotten money and use it for frivolous political contributions, sports stadiums, high end real estate, yet not use a penny of it to ease the burdens of most Bahamians. 

Before a Bahamian wage earner's money is touched by the Bahamian government, we need to agree upon and implement a fair, reasonable and Christian way of taxing our people.  A progressive income tax is one way.  Taxing those best able to pay. 

Arguing against this is can only work with those uneducated and ignorant of fiscal and Christian thinking.  Regressive taxation, as we have here, is in the same category as defending marital rape.  

Smart, educated Christian people simply can't defend these policies anymore.  To ignore the very real social costs of our present taxation system is unacceptable. 

Our rising crime is economic in nature.  Poverty, homelessness, poor nutrition, poor educational outcomes, mental health issues, and suicide are all directly tied to our declining financial security. 

I maintain that it is not just poor household decisions which are at the root of these ills, rather they are a direct result of our unchristian, and unfair taxation of our people, by the political ruling class.  Until you are honest Mr. Davis, about the true causes of human suffering here in The Bahamas, you will only be a politician, never a leader. 

A true leader of the people would wish for the best possible outcome for all of us, and speak the truth.  A true leader would not support policies that benefit a select few, as you do now, who get richer by the day. 

If we are all truly in this together, the present status quo is unacceptable. Period.  You do not have to be a PhD. in economics to see what is going on here. 

That you do not have in your administration, even one bold, moral and intellectually honest member willing to speak to this matter, says wonders.  From my perspective, neither the PLP or the FNM, nor any other fringe party, has any hope of leading our country into the future. 

For all the talk of Christianity in this country, I find it absolutely incredible that we continue, in a methodical and calculating way, to place such unchristian burdens on the backs of those the bible refers to as, the least of us.  We are not behaving as a Christian country. 

Let's quit pretending, and claiming that we are a Christian nation, until we get our odious taxation system in line with Christian values.  Mr. Davis, the Bahamian people are only asking for fairness and decency. 

For too long we have accepted the short end of the stick, all for the benefit of the well-to-do and rich class, whom we refuse to tax adequately and fairly.  Until we make this substantial change of how we raise taxes to run this country, and pay our politicians, I can see no progress in our country that benefits the majority of the Bahamian people.  Until we fix our broken tax scheme, our social and fiscal ills will continue to get worse. 

Porcupine

Friday, June 20, 2014

The one thing that is clear to me ...is that a government has five years to govern ...if the prime minister does not call early elections

The government must govern


Having watched the budget debate over the past few weeks, I was encouraged by the fact that there was some discussion which created dialogue not only amongst the parliamentarians, but also the citizenry. It was interesting to see issues such as the proposed web shop gaming regulation, value-added tax, concerns about transparency in the budget presentation, freedom of information, crime, etc., thoroughly ventilated by government and opposition parliamentarians.

Contrary to what some may think, it is healthy for parliamentarians to constructively comment on matters that may appear contentious even if the view put forward is divergent from the political party they support. What were even more interesting were the political innuendos that were generated from the rousing discourse.

I am extremely pleased as a Bahamian to see that our democracy is alive and well. We are evolving as a young, independent country to a point where the next generation is being vocal in all aspects of society. For the generations born post-independence, it should be recognized that protesting, arguments and divergent views did not just come into existence in the past few years. It was because of a generation of young people in the 1950s that was the catalyst for independence in 1973. The key issue here is that when we understand our history, the adage, “the more things change, the more they remain the same”, is so true in our little Bahamas.

Like any other developing country, The Bahamas has its fair share of challenges. It also has an electorate that expects instant solutions to all the problems. Quite frankly that forms the basis of a potentially disappointed electorate that wants things to happen, and to happen right now. Surely, that is a recipe for disaster as there has to be a methodical and deliberate approach to governance that affects solutions that will be meaningful and truly beneficial.

This is not just a theoretical view, but one grounded in reality. Regardless of what each of us thinks should be done with respect to every government decision that is made, it is our collective efforts that elected the government to do the job that they are doing and it is our responsibility to make our views known to them in a respectable and articulate manner.

We cannot justly criticize the government for decisions that are being made which will ultimately result in a better way forward for us, simply because we lack the intellectual capacity to suggest alternatives that are better than the decisions they are making.

The level of ignorance that some have with regard to good governance and informed decision making reaches a point that is higher than the all the dung the wild donkeys of Inagua can produce. The electorate has an obligation to make rational and reasonable recommendations to its members of Parliament.

It cannot be right that we elect our members of Parliament to make decisions on our behalf, criticize them, yet offer no logical set of solutions for consideration that is equal to or better than the positions they are taking.

Shared responsibility is what can occur when the citizens and the elected officials work to address the challenges and problems of a society.

While we may argue about the manner and form in which policies are implemented, the substance of the matter is equally important. Isn’t it ironic that the electorate, which enjoys the nice roads of New Providence today, is the same electorate that criticized the former administration and resoundingly voted them out of office in the 2012 elections?

Likewise the same electorate voted overwhelmingly in support of the current administration, yet many are quick to condemn the government for decisions it has made.

The one thing that is clear to me is that a government has five years to govern if the prime minister does not call early elections. If it is the case that the government has five years to govern, the electorate in all fairness must give the government a chance to govern so as to lawfully fulfill the promises as set out in their commitment on election day.

To take a critical approach before the government is able to achieve its objectives is not only illogical, but suggests that the electorate does not expect the government to fulfill its promises or it believes the government is disingenuous. Either way, it is not helpful for good governance. It should be clear that I am not advocating that we not have critical reviews and/or thoughts over decisions made or contemplated by the government. I am suggesting that we ought to be forward thinking and frank in our expectations and support of a government to govern.

In The Bahamas it is neither rational nor necessary to complain about the government when citizens do not advocate and speak to their members of Parliament. What part are you going to play in the struggles of our country? How are you going to assist the government to make a difference? If it is that you are of the view that just being opposite to every policy decision or administrative action will make for a better democracy, then that may be a role citizens may wish to take on. However, if you want to make a lasting impact by affecting policy today, ensure you communicate with members of Parliament. Citizen action is an essential component of a robust democracy.

The government was elected by the people with a clear and focused agenda. The budget debate always gives citizens and residents an opportunity to critically analyze the direction that the government intends for the country. Are there always areas of focus which can be better aligned to the needs of the country? Will the decisions taken be in our best interest? The answers to these questions are arguably subjective. Objectively, this is a little past the second year of the current administration and in spite of the various views, they must govern.

• John Carey served as a member of Parliament from 2002 to 2007.

June 20, 2014

thenassauguardian

Sunday, June 3, 2012

The Government's own projections show its direct debt standing at 50.6 per cent of GDP, or $4.057 billion, as at end-June 2012... ...then increasing to $4.607 billion, or 54.5 per cent of GDP, by the close of the 2012-2013 fiscal year

National Debt To Exceed $5bn By Mid-2013



By NEIL HARTNELL
Tribune Business Editor


THE Bahamas' national debt will breach the $5 billion mark before the end of the upcoming 2012-2013 fiscal year, the Government's Budget projections disclosed yesterday, with the debt-to-gross domestic product (GDP) ratio also surpassing the 60 per cent threshold.

Unveiling what fiscal conservatives would likely describe as 'a horror show', Prime Minister Perry Christie unveiled a projected $550 million GFS deficit for the 2012-2013 fiscal year, a sum equivalent to 6.5 per cent of Bahamian GDP.

Together with the projected $504 million deficit for the 2011-2012 fiscal year, which is set to close on June 30, this means the Government will have to borrow more than $1 billion in just two years to cover both its recurrent and capital deficits.

And the $1.054 billion financing gap does not include debt principal redemption, which is set to total $66 million and $121 million, respectively, for the fiscal years 2011-2012 and 2012-2013. Together, that adds a further $187 million to the fiscal deficits, taking the gap between revenues and spending over the two years to $1.241 billion.

The Government's own projections show its direct debt standing at 50.6 per cent of GDP, or $4.057 billion, as at end-June 2012, then increasing to $4.607 billion, or 54.5 per cent of GDP, by the close of the 2012-2013 fiscal year.

Yet this masks the extent of the overall problem, because it does not factor in the $551 million worth of debt the Government has guaranteed on behalf of state-owned Corporations and agencies.

That sum was equivalent to 7 per cent of GDP at year-end 2011. Placed on top of the Government's direct charge, that takes the Bahamas' total national debt to $4.608 billion, or 57.6 per cent of GDP, at June 30, 2012.

And, when added to the projected $4.607 billion direct charge on government at the end of the 2012-2013 fiscal year, the Bahamas' total national debt will hit $5.158 billion - a sum equivalent to 61.5 per cent of national GDP.

And, if the Government's medium-term Budget projections are correct, GFS deficits of $357 million and $272 million in 2013-2014 and 2014-2015, respectively, will take the direct charge to $5.215 billion at the end of the latter period.

Assuming the $551 million in government guaranteed debt remains relatively unchanged, the total Bahamas' national debt will hit $5.766 billion by June 30, 2015, a sum equivalent to 63.3 per cent of GDP.

That indicates the fiscal position will likely continue to weaken despite the improvement generated by positive GDP and economic growth, and also suggests the Bahamas will hit the $5.5 billion debt mark more than a year earlier than the International Monetary Fund's (IMF) 2016 forecast. It also appears that the Government is again relying on economic growth to keep the debt-to-GDP ratio below the 70 per cent the IMF has classified as a 'danger' threshold.

The toll this will exact on the Government's finances, and its ability to fund spending priorities and areas such as education and health, was brought into sharp relief by the Prime Minister yesterday, when he said debt servicing (interests) and debt principal requirements would collectively total $328 million for the 2012-2013 fiscal year - a sum equivalent to 18 per cent of recurrent spending.

Overall, the Budget was pretty much what observers expected, with Mr Christie, as Minister of Finance, performing a delicate balancing act between conveying a message of fiscal prudence and 'holding the line' on the deficit on one hand, while trying to stimulate the private sector and deliver on pre-election campaign promises with the other.

The main 'political battleground' themes surrounding the 2012-2013 Budget were also well-defined yesterday, with the Prime Minister describing the Government's deficit and debt levels, and overall fiscal position, as "much worse than we had anticipated".

Michael Halkitis, his minister of state for finance, went further in castigating the former Ingraham administration for "reckless" spending, particularly during the final months of its term.

He added that the previous government's fiscal policies had "severely constrained our room to manoevere", a signal that the PLP administration will likely lack the financial headroom to implement at least some of its pre-election manifesto promises.

The Opposition Free National Movement (FNM), though, will likely retort that the Government already knew the extent of the Bahamas' fiscal woes, having been fully briefed on the New Providence Road Improvement Project cost overruns and voted on all borrowing/spending resolutions brought to Parliament by the former administration.

It will argue that the Government is simply looking to blame the Ingraham administration, and in doing so, provide a cover for why it is unable to deliver on pre-election promises that the FNM has branded unrealistic.

Still, whichever way it is sliced and diced, the Bahamas' fiscal situation is dire. "The fiscal accounts are in much worse shape than we had expected as we came into office," Mr Christie warned yesterday.

"Indeed, this year's projected GFS deficit outturn is significantly higher than had been forecast by the previous administration last year's Budget communication. The GFS deficit in 2011-2012 is now projected at $504 million, up by a full $256 million from the previous government's estimate of $248 million."

The $256 million overshoot on the GFS deficit is 103 per cent, or more than double, the FNM's 2011-2012 Budget forecast, with the total $504 million deficit equivalent to 6.3 per cent of GDP - an unsustainable level more than double the 3 per cent estimate.

As a result, the Government's direct debt-to-GDP ratio will hit 50.6 per cent at June 30, 2012, as opposed to the 46.2 per cent level projected in last year's Budget.

Mr Christie's presentation, though, indicated that the majority of the GFS deficit overshoot for 2011-2012 was attributable to capital spending set to come in $119 million, or "almost 43 per cent", above target at $399 million - compared to the forecast $280 million.

The Prime Minister said the capital spending overshoot was "due in substantial part to a considerable increase in spending on the New Providence Road Improvement Project".

While faring a little better, the FNM administration also seems set to exceed its recurrent deficit estimates by 54.8 per cent, the projected outturn for 2011-2012 being $257 million as opposed to $166 million.

This, Mr Christie said, was the result of a combination of recurrent revenues "underperforming relative to the forecast" and recurrent spending beating projections at $27 million to hit $1.707 billion. Recurrent revenues for 2011-2012, he added, were set to come in at $1.45 billion, off target by $64 million.

Moving forward, Mr Christie pledged that the Government would move to "redress the unsustainable balance in our recurrent account" through a two-pronged strategy.

This, he said, would involve constraining recurrent spending so it grew in line with the Bahamian economy's growth, and "engineering a transformation of recurrent revenue to bring it to a more appropriate level relative to the size of the economy".

Promising to "hold the line" on recurrent spending in 2012-2013 "to the maximum extent possible", Mr Christie said it was still projected to rise by 6.7 per cent or $114 million to $1.821 billion, compared to $1.707 billion in the last fiscal year.

He added that $55 million of the recurrent spending rise was due "to the increased requirements for debt redemption in the coming period".

As for recurrent revenues, Mr Christie said they were projected to improve to 18.3 per cent of GDP in 2012-2013, up from 18.1 per cent in the current fiscal year. The Government is forecasting an increase from $1.45 billion to $1.55 billion, due to improved collections from Excise Tax and real property tax reforms.

As for capital spending, the Prime Minister said this would remain flat at $400 million in 2012-2013, attributing this to "a large inventory of ongoing projects" - including the $77 million borrowing for the New Providence Road Improvement Project.

May 31, 2012


Monday, May 14, 2012

And so the torch has been passed once again... and Perry Christie has been given a second chance to rectify some of the missteps of his last term... ...We are confident that he is aware that there is a very thin line between love and hate... that the electorate is impatient... and that there is a very high expectation that his new government will lead The Bahamas to greater heights in the days ahead...

The voice of the people


By Philip C. Galanis


“The voice of the people is the voice of God.” – Sir Lynden Pindling


What a difference a day makes.  Monday, May 7, 2012 will be recorded in Bahamian history as a day when the Bahamian people spoke loudly and unequivocally, although their behavior was anything but.  In fact, when Bahamians went to the polls, they quietly exercised their constitutionally guaranteed democratic right, emphatically asserting their displeasure with the Free National Movement (FNM) government.  The outcome of the election was a resounding rejection of the leadership of Hubert Ingraham and his government’s management of the country from 2007 to 2012.  This week, we would like to Consider This...what really happened on Election Day, 2012 and what lessons, if any, are to be learned about governance and the will of the people?

A macro-analysis

The results of the elections, as confirmed by the parliamentary registrar, indicate that the majority of the nearly 156,000 persons who cast their votes — a turnout of 91 percent of the registered voters — rejected Ingraham’s belligerent behavior that bordered on tyranny, representing a leadership style that was not to be tolerated and had to be terminated.

Nearly 76,000, or 49 percent, of the voters supported the Progressive Liberal Party (PLP) and another 13,422, or nine percent, supported the fledgling Democratic National Alliance (DNA), making a combined total of nearly 58 percent of the voters who rejected the Free National Movement (FNM).  Of the 38 seats that were contested, the PLP won 29 seats; the FNM won nine seats with 65,651 votes; and the DNA did not win any.

The professional pollsters predicted that the election results would be close and no one publically forecasted the resounding landslide.  There were two seats where the victor won with a razor-slim margin of less than 25 votes, six seats where the winner edged out by less than 100 votes, and 11 seats where the winner won by less than 200 votes.

The FNM won only three of the 23 seats in New Providence, both seats in Abaco, two of the five seats in Grand Bahama, and two of the eight seats in the other Family Islands.  Only four of Ingraham’s 17 Cabinet ministers survived the contest, with notable losses by veteran politicians Tommy Turnquest, Zhivargo Laing, Desmond Bannister, Charles Maynard and Carl Bethel.

The most difficult call in the election was the effect that the DNA would have on the outcome, but its presence was impactful.  In fact, there were several seats where, but for the presence of the DNA, the PLP would have likely taken the seats that the FNM wound up winning.  This was most evident in Montagu and Central Grand Bahama where the combined votes of the PLP and the DNA outnumbered those cast for the FNM.  This suggestion is supported by the hypothesis that the DNA votes were in fact anti-FNM votes.

Lessons learned

There are at least four lessons that can be learned from the election results.  First, we are a two-party system and, once again, these elections confirmed that the presence of a third party in the body politic is largely irrelevant and inconsequential as regards its ability to form a government, although its existence affected the election outcome.

The second lesson was that when Bahamians have lost faith in a political party, they will unceremoniously and decisively vote them out.  We saw this in 1992, 2002, 2007 and again in 2012.

The third lesson is that Bahamians fully comprehend the power of their votes and that the social contract between politicians and the people has a five-year life span, sometimes less as was the case in the Elizabeth by-election, but certainly not longer than five years.  Ingraham has now joined Perry Christie in being booted out of office after just one term.  Bahamians have proven that they will not tolerate arrogance, negligence, scandals, despotism or corruption.

The fourth lesson is that Grand Bahama is no longer FNM country, precipitated by the government’s gross neglect of the pain and suffering of the residents of that island over the last five years.  For the first time in decades, the PLP has won the majority of seats on Grand Bahama, proving once again that if the social contract is unfulfilled, there will be consequences.

Sore losers

It was amazing and disappointing to note the reaction of both the press and the vanquished.  In a Tribune editorial of Tuesday, May 8, the day after the general election, the editor of that tabloid noted: “Bahamians went to the polls yesterday and showed the depth of their ingratitude to a man who had dedicated 35 selfless years to their service.”

What drivel, what arrogance, what utter rubbish.  The editor, more than many, should appreciate that the mandate that is given to any politician and any government is for five years, and to reject them for whatever reason is the voters’ constitutional right.  We invite the editor to join us in the 21st century and recognize that that kind of patronizing plantation posturing offends the inalienable right and civic obligation to tell any leader — PLP, FNM, DNA or otherwise — that we have had enough of you, your policies and bullying tactics and that we invite you to leave and leave now.

We also observed Ingraham’s ungracious reaction to his thorough trouncing by the Bahamian people.  In an interview with the press days after being completely rejected, Ingraham “hinted” that bribery was involved in the PLP’s win on Monday.  How can he make such a claim with a straight face?  What did the former prime minister think he was doing when he embarked upon a massive contract signing marathon after calling the elections; or when he offered temporary jobs to voters in order to win their support at the polls; or when he approved last-minute citizenship for countless applicants who had been awaiting such approval for years; or when he increased public servants’ salaries on the eve of elections and extended other such political patronage that he doled out days before the elections?

Bribery comes in many forms, shapes and sizes and is fully recognizable even when incognito, camouflaged as a contract, a job, citizenship or otherwise.  If Ingraham would seriously reflect on this matter, perhaps he might appreciate that the Bahamian people told him and his ministers on May 7 that they were tired of him, and his bully tactics, his belligerent behavior, his one-man band approach to governance, his Pied Piper complex, his arrogance and that of some of his colleagues.  As loudly as Bahamians spoke on Monday, you would have expected him to get the message that just maybe, “he is simply not the best”.

Conclusion

And so the torch has been passed once again and Christie has been given a second chance to rectify some of the missteps of his last term.  We are confident that he is aware that there is a very thin line between love and hate, that the electorate is impatient, and that there is a very high expectation that his new government will lead the country to greater heights in the days ahead.  Christie has first-hand knowledge that hard earned political currency, which often takes many years to amass, will be quickly spent if those expectations are not satisfied within a reasonable period of time.  Most importantly, Christie, like the rest of the new government, has clearly heard the voice of the people; we can but hope they are acutely aware that it is also the voice of God.

 

• Philip C. Galanis is the managing partner of HLB Galanis & Co., Chartered Accountants, Forensic & Litigation Support Services. He served 15 years in Parliament. Please send your comments to: pgalanis@gmail.com

May 14, 2012

thenassauguardian

Friday, March 9, 2012

...four years after the ‘Great Recession’ commenced, the Bahamian economy continues to struggle... ...the government is challenged with reduced revenues, soaring energy and food prices, high unemployment, rising crime levels and social ills... ...with unemployment at its highest in years and individuals on reduced pay... it seems fair to state that the mortgage sector and housing market in The Bahamas are in a crisis...

Confronting the Bahamian debt crisis pt. 1


By Arinthia S. Komolafe



In the aftermath of the worst recession since the Great Depression, the government is challenged with reduced revenues, soaring energy and food prices, high unemployment, rising crime levels and social ills.  In response to these challenges and in order to stay afloat, the government has resorted to borrowing.  The reality is that imprudent borrowing practices prior to and during the economic downtown have exacerbated the economic soundness of our government.

The story of the sub-prime mortgage crisis and the lessons learned are well documented.  However, four years after the ‘Great Recession’ commenced, the Bahamian economy continues to struggle.  It was reported that the Bahamian banking system was resilient to the crisis and to some extent the economic downturn because of our credit policies as administered by the Central Bank of The Bahamas (CBB).  However, was this assertion truth or fallacy?  One wonders if based upon the facts and looking back in hindsight whether the current mortgage and ultimately debt crisis was an accident waiting to happen.  Could it be that the economic downturn exposed flaws in our monetary policy and credit risk management framework?

Background

A journey down memory lane and history, will show that the CBB in August 2004 in an attempt to ensure that credit expansion was consistent with economic growth, advised banks to monitor borrowers’ creditworthiness by limiting the debt service ratio (DSR) on loans to a range of 40 percent to 45 percent of ordinary income and require a minimum of 15 percent equity contribution on all personal loans with exceptions to those secured with mortgage indemnity insurance.  A short one month later, the CBB temporarily relaxed those policies by eliminating the 15 percent equity requirement and raised the DSR threshold to 55 percent.  It is noteworthy to state that the reason given for this change was to aid in relief due to the effects of Hurricane Frances.  It is unclear, however, how many banks took advantage of this flexibility, the immediate impact on the economy and how long these policies actually remained in effect.

However, some four months later, the CBB reduced its discount rate (DR) from 5.75 percent to 5.25 percent and the prime rate (PR) was consequently reduced by 50 basis points to 5.5 percent.  It is imperative that we examine the aforementioned policy decisions made by the CBB in the context of the Bahamian economy which is primarily consumer driven.

In the absence of an established credit bureau, it is difficult to assess the creditworthiness of Bahamian consumers and almost impossible to assess whether a consumer’s DSR truly falls within the 40 percent to 45 percent range.  Taking a conservative hypothetical approach (and I must emphasize that this may be extremely conservative) and assuming that a majority of consumers had a ‘real’ maximum DSR of 55 percent as opposed to the required maximum 45 percent, it follows that an increase of the DSR to 55 percent would increase the ‘real’ DSR to 65 percent, leaving the consumer with an ultimate disposable income rate of only 35 percent.

In addition to the scenario painted above, a decrease in the DR and PR all things being equal, should further encourage borrowing and expand credit.  This brings into question whether the objective of ensuring that credit expansion was consistent with economic growth was achieved.  In 2004, with the CBB’s policy to restrict credit expansion, the amount of mortgages for new construction of single dwelling homes stood at a mere 894.  To highlight the effect the aforementioned policy change had on the mortgage market, in 2005 and 2006 government revenue on stamp tax for mortgages almost doubled in 2005 compared to 2004 and increased significantly in 2006.

Further, residential mortgages for new construction of single dwelling homes stood at 1,428 and 1,137 in 2005 and 2006 respectively.  The total processed value amounted to approximately $300 million for these years.  It is uncertain how many persons painted a true picture of their DSR and the real question is whether the majority of persons who obtained mortgages during this period should have actually qualified for those mortgages. This is bearing in mind that as at December 31, 2011 mortgage delinquencies stood at approximately $650 million.

Mortgage sector and housing market in crisis

Today with unemployment at its highest in years and individuals on reduced pay, it seems fair to state that the mortgage sector and housing market are in a crisis.  It is not surprising that many Bahamians have defaulted on their mortgage obligations with mortgage delinquencies standing at approximately $650 million in arrears for the entire Bahamas.  In order to appreciate the extent of this debacle, a look in the newspapers will reveal a fraction of the number of foreclosed properties advertised for sale.  It has been argued that the reduction of the DR and PR by 75 basis points in June 2011, although welcomed came too late and that the reduction was inadequate.

The government is being called upon to provide mortgage assistance for those who are losing their homes.  Proponents of this relief effort cite the millions of dollars expended on capital infrastructure by the government in justifying this move as the right action required.  They submit that if the government could spend such exorbitant amounts on infrastructure and the purchase of shares, it is only fair that the government would provide relief to struggling homeowners.  Opponents of any form of mortgage relief efforts by the government argue that in a capitalistic society, the government should not interfere with private enterprise.  After all, opponents submit the free market economy is designed to have minimal government intervention and market forces must be left to control the market.

In the final analysis, there is enough blame to go around; starting with the government, the lending institutions and the consumer.  In the years leading up to the financial and economic downturn, the government benefitted from the credit expansion as a result of monetary policy in the form of increased stamp tax revenue, the lending institutions turned over record profits and consumers benefitted from unprecedented access to credit facilities.

It is only fitting, therefore, that the aforementioned benefactors should come together to bring resolution to this crisis.  In order to avoid further deepening of this crisis, the government on its part, should explore establishing a fund to assist eligible homeowners in retaining their homes.  Adjustments to the DR and PR by the CBB should be stalled until a credit bureau and robust consumer protection agency as a matter of urgency have been established.  The lending institutions should take significant steps to refinance mortgages on more favorable terms for consumers and more importantly consumers should exercise increased prudence in the management of their finances.

 

•Arinthia S. Komolafe is an attorney-at-law.  Comments can be directed at: arinthia.komolafe@komolafelaw.com

Confronting the Bahamian debt crisis pt. 2

Mar 09, 2012

thenassauguardian

Tuesday, January 3, 2012

What all Bahamians must remember is anything is possible at election time if the people are interested and open to making the change they desire... We vote in governments...We vote them out... No party or leader is guaranteed anything on election day... We must work hard during these upcoming weeks to ensure that the best government for The Bahamas is chosen

Voting time nears


thenassauguardian editorial




The parties are almost ready, and most of the country is too, for the next general election.  Though the prime minister has until May to call the vote, it is expected that he will do so before then.  Based on the work that has already been done, it would be reasonable to assume that an election will be held sometime between February and March.  If not, it would be soon after.  If you didn’t already know, we are now in election season.

Based on the registration numbers thus far, more Bahamians will be eligible to vote in 2012 than the 150,000 on the voting list in 2007.  Included in that eligible voter number are the bases of the Progressive Liberal Party (PLP) and Free National Movement (FNM).  For whatever reasons, these people will vote for the party they are aligned to regardless of who it selects as candidates and regardless of who leads it.

The swing voters, who change their minds from time to time, will largely determine the next government.

For the swing voters who are undecided or confused, we offer a few simple suggestions to help in your evaluation process.

It would be wise to initially define what you think are the biggest problems facing the country.  Once this is done, examine the records of the parties on those issues.  The leaders of the PLP and the FNM have been around a long time.  They have clear track records on issues such as job creation and crime management.  It does not take much thinking or research to evaluate the performance of each of the main parties, and their leaders, on issues of national concern.

What must then be analyzed is leadership itself.  In the Westminster system in developing countries, significant power is concentrated in the hands of prime ministers.  The man you elect would need to be competent, fair, energetic and enough of a visionary to help lift the country from its current malaise.

Does the leader inspire you?  Do you think he cares about the country, or does he just want to be prime minister?  Will he listen to the people once he is elected?  Is the team around him competent?  These are just some of the questions that should be considered.

Now, we mentioned the PLP and FNM.  There is also a ‘third party’ in the race – that is, the Democratic National Alliance (DNA).  Its leader is a one-term member of Parliament.  What must be considered here is whether he and the members of his party are ready to govern.

We have discussed the macro-level of voting thus far, but another approach can be taken.  There will be 38 constituency races.  While many Bahamians vote for party or leader, it is just as reasonable to vote for the person you think best to represent you, your community and your interests.

Voting for party, leader or candidate is fine once the decision is a considered one.  Voters should not just place their Xs next to candidates from particular parties because of, for example, family history.

To those who are disheartened by the choices before us this electoral cycle, do not become apathetic.  Look closely before you decide not to vote.  If none of the main players interest you, consider the lesser ones.  Not voting should always be a last option.

What all Bahamians must remember is anything is possible at election time if the people are interested and open to making the change they desire.  We vote in governments.  We vote them out.  No party or leader is guaranteed anything on election day.  We must work hard during these upcoming weeks to ensure that the best government for The Bahamas is chosen.  And when this is done, we must work just as hard to ensure that the people who make up that government do what they were elected to do.

Jan 03, 2012

thenassauguardian editorial

Sunday, October 23, 2011

All the pillars of society - the government, the opposition parties, the church, the judiciary, the security forces, the educational system, the family to name a few - must work cooperatively and congenially for the reduction of crime in our Bahamas ...The blame game is most dysfunctional and, at best, divisive...

IS THE SOLUTION TO CRIME TO CHOOSE ONE SIDE OR TO WORK TOGETHER?

By JOSEPH A WALKER
PhD, LLB (Hons) CLE



KINDLY allow me some space in your valuable column to make a few comments on the issue of crime in The Bahamas.

In recent times, it has become fashionable and convenient for those who were themselves at one point or the other, in one capacity or the other, in charge of our country to make public proclamations on the cause of crime and to point fingers at others for the same.

Nothing is wrong with this as it keeps focus on the problem but, in all of it, the proclamations appear to miss the real target. I will return to this point later.

One has heard the Leader of the Official Opposition pontificate about who is responsible for the crime wave we are experiencing and as to what he would do about it if he and his party were returned to political power.

It appears, however, that he has conveniently forgotten that he and his party had five years to deal with this said problem of crime but he and his party did little or nothing to solve the problem and they were removed leaving the problem to grow and fester.

When the crime, at the material time, touched personally, the Leader of the Official Opposition, there were many promises of what he was going to do to get to the bottom of it but, alas, nothing was done. The problem remained unabated.

The Leader of the DNA, like the Leader of the Opposition, has blamed the present government for the problem of crime going so far as to hold the Minister of National Security personally responsible for the problem, quite conveniently forgetting that he was a senior member and Cabinet Minister of the now governing party and therefore shares part of the blame.

While one acknowledges that the crime issue is one of grave concern, leaders as well as those aspiring to be political, religious and social leaders ought not to allow themselves to make pronouncements on this most serious issue based on emotions, spite, political pandering, personal, arbitrary and ascriptive criteria or on poorly understood facts or principles. To do so is to be divisive and it bodes no one well nor does it contribute to the solution of the problem which should be the aim of all those who engage in the debate on the issue.

With all the noise in the market place about crime, particularly crimes involving murder, the salient point that is being missed or ignored or not understood or factored in the analysis is that no one, not the government, not the Minister, not even the parent or spouse of the murderer can prevent a murder unless the murderer makes his intention known prior to carrying out the act.

Even so, one may articulate an intention and may not follow through on the expressed intention or follow through may be delayed.

Murder is ideally personal and, in most cases, private, even if it is committed in a public way. Some murders are spontaneous.

Thus, because murder and other violent crimes can only be prevented if one has prior knowledge of their impending incidence, it is shortsighted and, in many ways, unfair, in one's view, to hold any one personally responsible for them save the perpetrators.

It is for this reason that when the accused of a murder or other crime is convicted of his crime, not the government, the minister or his parents, is punished personally.

This is not to be construed to say crime cannot be prevented for surely certain measures can be put in place to discourage or reduce its incidence, but this will only be effective when we as a society have a clear understanding of the root causes of crime in our society.

Not the causes of crime in the US or other Caribbean territories as published in reports and textbooks, but those causes, if any, characteristic to The Bahamas.

The factors involved in causing crime are varied, multifaceted and, some cases, interrelated and, as such, any number of or any combination of them can synergise in any individual or group of individuals to result in the commission of a crime.

What we, as a society, need to do is to try through detailed and valid longitudinal scientific research, to identify, if we can, those factors, conditions, circumstances, community characteristics, family variables and even national linkages that are common among murderers and perpetrators of other violent crimes that may be trigger factors and therefore attempt to identify and develop and apply practical ameliorative strategies.

Even so, we may, at best, only make a small dent in the problem.

If we can, that would be a starting point from and on which we can build and learn. Crime is not a simple issue in any society.

There is no simple or easy solution therefore. If there were, other more developed and advanced societies would have solved it a long time ago because they have been grappling with it longer than we have.

All the pillars of society - the government, the opposition parties, the church, the judiciary, the security forces, the educational system, the family to name a few - must work cooperatively and congenially for the reduction of crime in our society. The blame game is most dysfunctional and, at best, divisive.

October 20, 2011

tribune242

Wednesday, October 5, 2011

Prime Minister Hubert Ingraham: ..."government and other institutions are no substitute for personal responsibility and family life."

PM Ingraham calls for volunteers

tribune242 editorial


IN HIS address to the nation last night on crime, Prime Minister Ingraham outlined his government's plans to introduce legislation in Parliament to "further aid in the shared battle we are waging against criminality." (See story page 1).

He also pointed out that "government and other institutions are no substitute for personal responsibility and family life."

To get the whole community involved in an attempt to recapture family and social values, he announced that on November 1 a National Volunteer Register will be launched. At this time members of the community will be invited to volunteer their time to mentor young men and women, assist in community centres with after school programmes and join outreach programmes into urban neighbourhoods to encourage parental and child involvement in school activities. Also needed are volunteers to work with existing youth organisations in their programmes and many other social activities that can help change a society.

He found distressing not only the high murder count, but "what those numbers represent".

"For all of our good fortune as a country," he said, "we have in significant ways lost a sense of ourselves and of what is essential." He quoted one writer as reminding us "that 'what is essential is invisible to the eye'."

He said that Bahamians longed for something more than the outer trappings of material success. They longed for the invisible that the eye cannot see -- community and fellowship; peace and well-being.

"Remember," he said, "when the old people used to tell us that all you have is your good name and your reputation and that you don't leave this Earth with any of your worldly goods."

"Our most precious possessions," he said, "are invisible to the eye like a good conscience or the service we give with no expectation of recognition or reward.

"This crisis of culture and community manifested in an unprecedented level of criminality requires us to deal with essentials invisible to the eye like values, attitudes, social trust and mutual respect.

"We will get the crime numbers down," the Prime Minister promised. "But most crimes are symptoms, not root causes.

"Even as we relentlessly combat the criminals, provide law enforcement and the judiciary with the tools and resources they require and modernize our laws, there is something else as urgent, as essential -- it is urgent and essential that we renew, restore and replenish our sense of community choosing a culture of life over a culture given over to deadly violence."

Mr Ingraham emphasised the fact that "poverty is not an excuse for crime" -- a rack on which many Bahamians today hang their hats as they shrug off all responsibilities.

Using himself as an example of one who fought against the odds of birth and won, he said: "I too grew up poor. A two-parent family is our ideal. I am the child of a single parent and I was raised by my Grandmother.

"Many children from two-parent families get caught up in crime while many children from single-parent households are good citizens and fine young people.

"In the end," he said, "it is the quality of parenting, not the quantity that is essential.

"I grew up," he continued, "in what was then a remote part of Abaco called Cooper's Town. I came up at a time when there were few opportunities for a poor boy like me born to a single parent. The first time I met my father was when I was 11 years old.

"Even though I didn't possess material wealth, I had wealth more everlasting: Mama, who instilled in me a sense of my own worth as belonging to her and as a child of God.

"She schooled me in the knowledge that the land of my birth, The Bahamas we all love, is a land of opportunity for anyone willing to work hard.

"As a boy, never in my wildest dreams could I ever imagine becoming an attorney, Member of Parliament or minister of government let alone prime minister. But having been given this great privilege I have dedicated my public life to providing every Bahamian boy and girl with opportunities I never had.

"This is why," he explained, "I have never stopped working to make sure that every Bahamian child on every island in every settlement in The Bahamas has decent schools and access to higher education. This is why my Government ensures that everyone meeting a certain criteria and academic standards can attend the College of The Bahamas at public expense. And that is why since coming to office in 2007 we increased scholarship funding from $400,000 to $7.75 million. And this does not include bonded scholarships, the All Bahamas Merit Scholarship or Bahamas Commonwealth Scholarships.

"I say to you, young Bahamians: While your country may give you a hand-up, you are not entitled to hand-outs."

"So, even while we have much to improve as a country including the quality of our public education system, young Bahamians, men and women, you have more opportunities than any generation in Bahamian history.

"And so we must not throw up our hands or find easy excuses; instead let us unite to help to restore law and order and civility and community by getting involved."

PM Ingraham pointed out that "unless more of us get involved, none of us is truly safe. In the end community engagement and service will be more effective in combating crime than iron bars and gated communities.

"Our task," he said, "is not only to stop criminals from breaking into our homes and businesses. As urgently we must stop them from wanting to do so in the first place."

And so, Bahamians, the task is ours. We hope that many will take up the Prime Minister's challenge and get actively involved - for our sake and that of the next generation.

October 04, 2011

tribune242 editorial

Friday, September 30, 2011

Former senior officers of the Royal Bahamas Police Force (RBPF) - Messrs Paul Thompson and Errington “Bumpy” Watkins blamed the government or the judiciary for the country’s overwhelming crime problems

Former policemen blame govt, judiciary for crime problem

By Chester Robards
Guardian Staff Reporter
chester@nasguard.com

Two former police officers who retired as top brass policemen have separately blamed the government or the judiciary for the country’s overwhelming crime problems.

Paul Thompson, who retired from the Royal Bahamas Police Force (RBPF) as an assistant commissioner of police, insisted that the long delays in The Bahamas’ court system are to blame for the delays in justice and therefore crime on the streets.

He said that during his time on the force the court system handled criminals much differently than it does today.

“If you were a hardened criminal and the magistrate knew you have convictions previously for the crime you are charged with, you weren’t getting bail,” Thompson said.

“The problem with the court is the long delays with cases taking three to four years to reach court.

“You are going to have a problem with witnesses remembering things, you are going to have problems finding the witnesses — they may have relocated — then you have given the accused people the opportunity to approach those witnesses over that period of time and there could be threats, intimidation and that kind of thing.”

Former police deputy superintendent and politician, Errington “Bumpy” Watkins, insisted that the government is to be blamed for the level of crime in the country. He lamented, however, that the police force is continuously blamed for crime.

“The crime, mind you, is due to the politicians,” he said.

“The poor policemen carry the blame. Police don’t get the appreciation they deserve from the public and this is a fact.

“While you guys are sleeping and enjoying yourselves at night we are out there with the criminals being shot at and being stoned and what not.”

Minister of National Security Tommy Turnquest recently suggested that some judges have contributed to the crime problem because they are too lenient in the granting of bail

The government is the constant target of political criticisms for the increasing crime problem.

Thompson insisted that during his time as a part of the RBPF, officers were faced with crimes involving knives, razors, shotguns and eventually sawed-off shotguns.

However, he said the criminal element has upped the level of violence with the consistent use of guns.

“Today it’s very violent,” he said.

“We didn’t have the technology they do today, but the men of (my) era had the courage, the integrity and the follow up. They never stopped looking and we benefitted a lot for the courts at that time.”

Sep 30, 2011

thenassauguardian

Monday, September 26, 2011

The government is expected to unveil changes to the Bail Act when the House of Assembly reconvenes... ... it is still hard for Bahamians to understand why so many dangerous criminals are out on bail, mocking our system of justice and terrorizing us in our homes and in our businesses

Bahamians want action on bail

thenassauguardian editorial




It would appear that a public spat has erupted between the Minister of National Security Tommy Turnquest and Chief Justice Sir Michael Barnett, over the effectiveness of the country’s judicial system.

Last week, Minister Turnquest repeated a statement he made in the past that criminals must be kept behind bars, and said that if judges were elected officials some of them would be run out of town.

Turnquest said that while he has no wish to encroach on the independence of the judicial system, in his opinion some judges have been far too “liberal” when it comes to granting bail to career criminals and those accused of serious offenses — and he believes the police and the public agree with him.

Sir Michael hit back hard. He described Turnquest’s criticisms as unfortunate. “I am always concerned when people attack the judiciary because persons have to be careful in what they say, so as not to undermine the public confidence in those of us who serve in judicial office,” Sir Michael said.

The Chief Justice stressed that judges are independent and do not make decisions based on public sentiment; and are aware of what goes on in society.

Sir Michael makes a good point, and perhaps Minister Turnquest should have chosen his words more carefully, but that does not erase the challenges faced by the judiciary and the impact those challenges are having on the country’s crime problem.

The government and Minister Turnquest should be commended for implementing the electronic monitoring bracelet system, which it is hoped will go a long way in preventing suspects from re-offending.

But it is still hard for Bahamians to understand why so many dangerous criminals are out on bail, mocking our system of justice and terrorizing us in our homes and in our businesses.

Our murder count - now over 100 - would have been lower over the past several years if a number of those out on bail were still in custody.

The country has now recorded four record-breaking murder counts in five years. And we are on pace to far outstrip last year’s record of 94.

The government is expected to unveil changes to the Bail Act when the House of Assembly reconvenes next month.

We hope these changes meet the needs of the country.

We are also eager to hear what Prime Minister Hubert Ingraham has to say in his upcoming national address on crime.

In addition to the questions over why so many dangerous criminals are out on bail, there is also still a great deal of confusion surrounding the rulings of the Privy Council and how they have impacted our judicial process.

A ruling by the Privy Council in which it held that it would be cruel and inhumane to execute someone under the sentence of death for more than five years has had unintended consequences, mostly arising from how unprepared our national leadership was to deal with such a momentous ruling.

Bahamians want and deserve a better explanation in terms of the various issues surrounding the matter of bail. But, more importantly, they are demanding action, arising out of fear for their very lives and livelihoods.

Sep 26, 2011

thenassauguardian editorial

Monday, August 22, 2011

Prime Minister Hubert Ingraham appeals to all Bahamians to assist in the crime fight... says the government is resolute in its effort to reduce the level of criminality

Ingraham: All Bahamians must assist in crime fight


By Krystel Rolle
Guardian Staff Reporter
krystel@nasguard.com



Acknowledging that crime is unacceptably high, Prime Minister Hubert Ingraham yesterday appealed to all Bahamians to assist in the crime fight, adding that the government is resolute in its effort to reduce the level of criminality.

“On the issue of violent crime I use this occasion to appeal to all citizens and sectors of society -- schools, churches, civic organizations, the business community and others -- to support efforts to combat crime and its causes,” Ingraham said during the Free National Movement’s Anniversary Service of Thanksgiving at the Cousin McPhee AME Church on Carmichael Road.

“And I appeal to all sectors of society, including those in politics, to refrain from associating with and from making statements that excuse criminality or give comfort to criminals.  Together we can defeat those who seek to destroy our peace, tranquillity and economic well-being.  They are a small minority and we must determine, as the majority, not to allow the small number of bad apples among us to poison our environment.”

Ingraham said statistics show that crimes are being committed by persons from all walks of life, including those who come from good family backgrounds.  He added that the country is “challenged” by violent crime and unemployment. “We are best able to tackle both,” he said.

Ingraham noted that his government brought the country out of troubles before and is prepared to do it again.

“By our deeds, we and others are known.  Others governed during a time with violent crime and murder spiralled to unprecedented levels, unchecked drug trafficking and related crime changed the mores and behavior of far too many of our people and unemployment reached historic highs.  We brought our country back from those terrible lows and we are working diligently now to stop and reverse the threats to the quality of life of our people,” he continued.

His statement came one day after the 92nd murder was committed in the country.  A Haitian man was killed in his store on Palm Tree Avenue on Saturday evening.  He was shot in his neck during what is believed to be an attempted robbery.

The unemployment rate in New Providence dropped slightly from 14 percent to 13.2 percent.  Grand Bahama’s unemployment rate dropped from 17.4 percent to 15.4 percent. However, the number of people who are no longer looking for work (discouraged workers) also dramatically increased by 34.8 percent.

But despite those challenges Ingraham said the country has much to celebrate. “We also have significant national accomplishments, and are nowadays respected the world over.  It is in our power, with God’s help, to raise levels of civility and common accord between citizens and to win greater peace in our communities,” he said.

Ingraham, who is serving his third non-consecutive year as prime minister, noted some of the national accomplishments his government made over the years.

He said his government improved and extended telephone services, including cellular phone service to the most remote settlements of the country, and made the introduction of cable television and internet services throughout the country possible.

Additionally, he said the government made it possible for the further expansion of the broadcast industry.

“Now every Tom, Dick, and Harry can call radio stations and say what the Lord put in their hearts or what the devil put in their heads,” Ingraham said.

Meantime Dr. Ranford Patterson, pastor of Cousin McPhee Church, called on FNM’s to help restore the nation. He said it will take people who are willing to stand for righteousness.

“This is still the greatest nation,” he said, adding that Bahamians must return to the ideals of the past.

“We must become caring again,” Patterson added.

Aug 22, 2011

thenassauguardian

Friday, August 12, 2011

Although the public is clamouring for government to start hanging those now on death row, the law has to be followed and so far the Privy Council rulings are almost cutting down the hangman's noose

tribune242 editorial



WE AGREE with Security Minister Tommy Turnquest that it is going to become increasingly more difficult to hang convicted murderers.

Although the public is clamouring for government to start hanging those now on death row, the law has to be followed and so far Privy Council rulings are almost cutting down the hangman's noose.

In 1993 the Bahamas discovered that a hanging could not be carried out because the Privy Council had earlier ruled in a Jamaican case that it was inhumane for a prisoner to wait more than five years on death row for their sentences to be carried out. After five years a death sentence was commuted to life imprisonment. Ever since then clever lawyers have protected their clients by court delays stretching past the five year limit.

Then in 2006 the Privy Council ruled that mandatory death sentences were unconstitutional. Each case had to be considered on its individual merits before sentence could be passed.

However, the Privy Council decision in the Max Tido case, in which 16-year-old Donnell Conover was brutally murdered, has almost ended capital punishment in the Bahamas. The Privy Council sent Tido's case back to the Bahamas appeals court saying that it was not a murder that warranted the most extreme punishment of death. It was returned "for the imposition of an appropriate sentence." The angry reaction here from both religious and civic organisations was to give the boot to the Privy Council, and do it our way -- "hang 'em high."

However, despite the Privy Council ruling the government is working on draft legislation that will target prolific and repeat offenders and outline specific categories of murders.

Nevertheless, it was Mr Turnquest's view that whether it be the Privy Council in London or the judges in the Caribbean "more and more jurists are going to find more and more obstacles to put in the way of governments from carrying out capital punishment." That, he added, is the "reality of life."

Therefore, he said, the concentration should be to get "those prolific killers, those prolific offenders, behind bars and off our streets." In the case of murderers, life imprisonment should mean "life until death do us part."

As we have already suggested in this column those who have a life sentence should be turned into useful citizens -- even though they are behind prison walls. A large acreage of Crown land should be opened for them to farm, thus allowing them to make a contribution to this country's food supply. Between our local farmers and the prisoners this country could be almost self sufficient in fruits and vegetables. This would certainly take some of the burden off our foreign reserves.

However, there has recently been a turn of events in England with regard to capital punishment that is worth watching. And it will probably get more traction now that young hoodlums are thumbing their noses at police and setting London and other regions on fire just for the hell of it. The British are fed up with lax laws and are demanding more punishment for law breakers.

The British government -- in a move to bring democracy directly to the people -- has installed a new site for e-petitions allowing the public to have their issues debated in Parliament provided they get enough support online to do so. Restoration of the death penalty is now a burning issue. The traffic on the site was so high on this subject -- more than 1,000 people a minute -- that the site broke down. It was not designed for such heavy traffic.

"We are getting 1000 unique visits a minute - this is equivalent to nearly 1.5 million visits a day and is far more than the old ePetitions site on Number 10 ever received," said a government spokesman in apologising for the breakdown.

The restoration of capital punishment now looks as though it is going to be one of the first items for debate on the Commons' agenda. It will be the first Commons vote on capital punishment since 1998. The last hangings in Britain were in 1964.

Although British Prime Minister David Cameron does not think that "in a civilised society like ours that you can have the death penalty any more," Priti Patel, MP for Witham in Essex, felt that such a debate would "provide a good opportunity to talk about the failings of our existing criminal justice system." So many victims of the "most horrendous and heinous crimes," he said, "have no sense of justice."

He echoes the words of Donnell Conover's father who on hearing the Privy Council's decision on Tido's future said: "It is really sickening -- I feel as if there is no justice in the world for a victim's family."

August 10, 2011

tribune242 editorial

Tuesday, August 2, 2011

The Bahamas Government should have a clear policy that is announced both here and in Haiti that no child born in the Bahamas to an illegal immigrant after a certain date will be entitled to apply for citizenship

tribune242 editorial




WE HAVE been accused of wanting to open the floodgates to homeless Haitians. Nothing can be further from the truth.

We recognise that the Bahamas is a small group of islands that cannot accommodate all the Haitians whose lives have been disrupted by political upheavals in Haiti or made homeless by the devastation of their recent earthquake. Nor can our social services carry the increasing burden forced on them by illegal immigrants. But in dealing with this problem, we have to recognise that these are suffering human beings who have to be treated humanely. They have to be treated with dignity and cannot be made scapegoats for everything that goes wrong in this country.

All of us recognise that we have a major immigrant problem that is growing daily -- only yesterday a boat attempted to land a group of immigrants off the eastern end of the island. Some reports estimated that there were about 200 persons on board. As we write this article police, defence force and immigration officers are trying to round them up to take them to the Detention Centre from where they will eventually be repatriated to Haiti.

Yes, this country has a problem -- a major problem. But we agree with the Bahamian who said that this problem cannot be made a political football to win an election. "To do so," he said, "would be inhumane and immoral and destructive to both the immigrant and to this country." To fan the anger of a people already upset by shanty towns in their areas would be to unleash a destructive force that would build and eventually explode, taking this country down with it.

An immigration policy has to be formulated for all to understand. It has to be decided how many immigrants this country can accommodate and those that it cannot will have to be treated with consideration as attempts are made to relocate them to other lands.

No one is certain of our illegal immigrant population. The Immigration Department will know how many persons hold work permits, are permanent residents or citizens. Farmers and landscape businesses depend upon Haitian labour to function. There should be a period of amnesty to give all employers of Haitians without status time to submit applications and regularise their businesses.

In 2006 we wrote a series of articles about the cries of Bahamian farmers who claimed they could not maintained their farms without their Haitian workers.

"Most farmers' frustrations," complained one of them, "come from work permits." He went on to say how generous the Pindling administration was to him when he landed his Haitians at the Coral Harbour base. "You weren't frustrated with a renewal work permit or a new permit," he complained as the FNM struggled to get immigration problems under control and introduce a system of documentation. He said he had 200 acres of farmland. Although he declined to say how many Haitians he had during the Pindling regime, at the time of his complaint (2006) he admitted to having 55. What he failed to say was that he was among the favoured few. This was the way the PLP rewarded their loyal supporters. Non-PLP farmers were not treated with the same consideration.

Many Bahamian farmers complained of how their produce was rotting on the ground because they could not get their Haitians. Bahamians, they said, refused to do the work.

It is obvious that in deciding a policy, government will not cripple such enterprises as farming, construction and landscaping that rely on Haitian labour. In other words, Haitians who have employment and whose work is essential to their employers should be documented with a work permit. This, of course, will mean an increase in revenue for the country.

Under our constitution every person born in the Bahamas before July 9, 1973 is a citizen. Therefore, all children born of Haitian parents -- whether here legally or illegally -- is a Bahamian and should be regularised. Any person born in the Bahamas after that date, neither of whose parents is Bahamian, shall be entitled - upon making an application on attaining the age of 18 and up to the age of 19 - "to be registered as a citizen of the Bahamas."

This group, knowing no other country but the Bahamas, should also be registered.

But now there is talk that Haitian women come to the Bahamas to give birth here so that their children can become citizens. Because of the size of our nation and its limited social services, if this is so, it cannot continue.

Government should have a clear policy that is announced both here and in Haiti that no child born in the Bahamas to an illegal immigrant after a certain date will be entitled to apply for citizenship.

This is no time for political scapegoating, but it is time for clear cut immigration policies that are fair to all -- and are known to all.

August 02, 2011

tribune242 editorial

Thursday, July 21, 2011

Focus is needed on reforming our parliamentary process... The legislature is one of three branches of government... Let’s start with a simple thing: schedule questions to the prime minister

Prime Minister's Questions needed in Parliament

thenassauguardian editorial



The phone hacking scandal in the United Kingdom involving the now closed tabloid News of the World (NoW) has dominated world news the past few weeks. It’s really the perfect scandal. It involves money, power, the media and politics. The only thing missing is sex. And who knows, as fast as this scandal is evolving, that may come too, soon.

The actions of NoW have led to police investigations, criminal charges and parliamentary inquires. British Prime Minister David Cameron has been under fire because he hired a former NoW editor, Andy Coulson, to be his director of communications. Coulson has stepped down from this post because of questions about his role regarding the scandal while at NoW.

The opposition Labour Party has questioned Cameron’s judgment in hiring Coulson. Opposition Leader Ed Milliband has challenged Cameron for weeks in the House of Commons on the issue at Prime Minister’s Questions.

The weekly question period is a delight, and an important part of the democratic process. Every Wednesday the prime minister answers questions from the dispatch box beginning with questions from the opposition leader. These are wars during which the PM takes heat from his constitutional rival, giving the same back in return.

The questions are usually topical and the PM is pressed to answer even when he prefers not to. After the leader of the opposition is finished other MPs ask their questions. The question period lasts for about 30 minutes.

In the Westminster system PMs are the country’s CEO. As chairman of the cabinet, he is charged with ultimate responsibility for the actions of the government. Therefore, via Questions to the Prime Minister the government is held in the dock to account in Parliament for decisions made every week Parliament meets.

Alas, there is no system of questions to the prime minister in our parliament. There is almost no question system at all in practice. Opposition day is supposed to be every second Wednesday in the month when the House of Assembly meets.

On this occasion, the opposition is supposed to be able to pose questions. However, clever governing sides simply do not meet on this day and if the opposition does not push, there could be no opposition day for a long time.

It is sad that many of our politicians are so Third World in their mentality that a governing side would attempt not to have to answer questions and an opposition would be so pathetic that it would let its rights be violated.

Rules need to be adopted in Parliament to ensure that the PM has to take questions on a weekly basis as is done in the UK. If that is too much for our politicians then we could adopt a hybrid system through which questions are posed to the government in general on a weekly basis. The member most capable could answer those questions.

For this to work, though, both sides would have to respect the sacrosanctity of Parliament, its rules and conventions. Leaders should want to answer questions. Why? Well, because it proves that they are tough enough, smart enough and in charge enough to withstand any assault from rivals.

Conversely, the opposition should want to ask questions to prove it is better able to run the affairs of state and to weaken the position of the governing side.

The contrast of these two positions should create beautiful intellectual wars in the legislature. It is still a joy to watch old clips from Margaret Thatcher at the dispatch box taking questions from her rivals.

When independence was granted by the British to its colonies, there was a fear that many were not ready for self-governance. The concern was that an elite segment of some of these native societies simply wanted to be in charge knowing little of, and having even less respect for, the traditions and conventions of Westminster governance.

Our parliamentary process needs improvement. We simply touch on one thing that needs reform in this piece. Other problems include the non-existent committee system; members reading from texts they did not write rather than debating issues they studied; and the slow process of relevant legislation coming forward.

We condemn in the strongest terms the myopia of all of the majority rule and post-independence governments for not building a new parliament. The inadequate buildings currently being used are more than 200 years old. We need not explain again why they are inadequate. One needs only to visit to see why.

Focus is needed on reforming our parliamentary process. The legislature is one of three branches of government. Let’s start with a simple thing: schedule questions to the prime minister. If they can’t figure out how to do it, our politicians should just go online and print out a copy of the British process. It’s been going on for quite a while.

Jul 21, 2011

thenassauguardian editorial

Thursday, March 3, 2011

The Gun Court is still a pie in the sky

When will the gun court be ready?
thenassauguardian editorial


Late in January of this year, the government made a big announcement that in conjunction with the judiciary it had set up a gun court in a move to ensure that those found in possession of illegal firearms are quickly prosecuted.

Attorney General John Delaney, Minister of National Security Tommy Turnquest,Commissioner of Police Ellison Greenslade and senior officers from the Royal Bahamas Police Force all attended the news conference, which was held after a meeting with Prime Minister Hubert Ingraham on gun crime.

According to police data, guns were used in 69 out of the 94 homicides recorded in 2010. Out of 17 homicides recorded so far for the year, 14 involved guns. Also last year, 351 illegal firearms and 6,224 rounds of ammunition were seized – an increase over the year before.

That announcement was made on Friday, January 28. Turnquest said that they expected suspects to appear before the court on that following Monday.

Just over four weeks later, The Nassau Guardian reported that while a magistrate had been designated for the speciality court, it still did not have a prosecutor.

And the magistrate who had been hearing the new gun cases has yet to complete any of those new gun cases.

In this space, following the announcement of the gun court, we commended the government for the court’s establishment as part of an overall strategy of driving down the high crime rate in the country.

Today we must ask if the news conference was simply a public relations exercise designed to help quiet the public’s outcry against the country’s troubling crime trends.

We saw a record-breaking murder count last year, and so far we are on pace to repeat that trend.

More than one month after the announcement, the new court is still not functioning in the way that it should.

The government is obviously making an effort to attack the problem of crime and the fear that it has created in our society; however, big news conferences attended by big names in the judiciary and the government need to be followed through with action and results.

There are a lot of illegal guns in this country.

And we still think that a gun court, if run properly and given the necessary resources, could help ensure that suspects are quickly prosecuted. This is an important part of any crime fighting strategy.

Results are not expected overnight, especially in a system that is beset with a significant case backlog. However, announcing the establishment of a court and that suspects would start appearing in a matter of days gives the distinct impression that the facility is ready to function.

This was obviously not the case.

The people deserve more than just lip service.

3/2/2011

thenassauguardian editorial

Wednesday, March 2, 2011

The Odd Protest against the Sale of the Bahamas Telecommunications Company (BTC)

Protest against the sale of the BTC is odd
By RICK LOWE



ACCORDING to news reports, 800 to 1,000 people blocked Bay Street last week to protest the sale of BTC to Cable and Wireless/LIME and it all seems odd.

Some people were saying that rights are being violated by selling BTC. But what rights are being violated?

Yes, sometimes Mr. Ingraham can be brash, but does that mean he is uncaring, a dictator, or corrupt, or violating rights as alleged? It's doubtful.

Using emotive language and trying to rile people up as some are doing could violate rights for sure.

What the protesters are missing is BTC is not owned by Bahamians. That's an illusion. A political construct. It is owned by the Bahamas Government.

Over the years successive governments have led us down the garden path by wasting and borrowing beyond the country's ability to sustain, and the sale of BTC might help keep the Bahamian dollar stable and reduce some of the debt that we all have to pay one way or the other.

The Opposition seems shameless on this one, after trying to sell BTC themselves under similar circumstances to a company called Bluewater, now it would seem that some are trying to incite people.

Another turnabout by the Opposition was the Constitutional Referendum of 2002. Both parties agreed in principle in the House of Assembly, then one campaigned against it, confusing the electorate.

The latest reason not to sell is there are complaints about LIME posted on the Internet.

If you research every company in the world online it seems you will find bad comments. We survey some of our clients, and last quarter we had an 84 per cent approval rating (our goal is 85 per cent), but the one client that complained, really complained, bringing the results of all the good comments lower. Is that what is happening with CWC? We also find that often it's people with complaints that fill the survey out. Those that had no issues, do not take the time to respond.

Are there similar complaints about BTC going around on the Internet?

Could the government have been more open? No doubt. Both the FNM or PLP governments over the years could have been more open. Promises of a Freedom of Information Act have been made by each of them. Let's see who passes it into law. That might help with government transparency in the future.

There were apparently no dissenenters before BTC was sold, at least publicly. So why the dissent now? The government corporations should be sold if for nothing more than to get politics and politicians out of it.

All this protesting is odd. When you dig a little deeper unseemly politics appear to be at work?

March 01, 2011

tribune242

Wednesday, February 16, 2011

The opposition Progressive Liberal Party (PLP) cries shame on The Bahamas government for accepting an offer that is clearly below market value for the Bahamas Telecommunications Company (BTC)

BTC political row worsens
By CANDIA DAMES
The Nassau Guardian News Editor
candia@nasguard.com


Parties hit out over $210M deal


The sparring over the government’s decision to sell 51 percent of the Bahamas Telecommunications Company (BTC) to Cable and Wireless Communications (CWC) has intensified, with the two major political parties arguing over whether the majority of Bahamians support the deal.

The Progressive Liberal Party (PLP) said yesterday that its parliamentary caucus has embarked on a thorough and comprehensive review of the BTC and CWC transaction, and will be releasing regular positions on each component of the transaction.

“The PLP has clear and unequivocal objections to the commercial terms of this transaction, and more specifically the purchase price and consideration the government, and the Bahamian people, will realize from the sale of this prized national asset,” the party said in a statement.

The government has agreed to sell 51 percent of the shares of BTC to CWC for $210 million plus taxes.

“However, when one looks more closely at the terms of the transaction as set out in the share purchase agreement, it is clear The Bahamas government is receiving far less than $210 million, and it is equally clear that whatever the government eventually receives is far less than the value of 51 percent of BTC,” the PLP claimed.

“The Bahamas government is obligated to leave at least $15 million in cash in the company. Furthermore, The Bahamas government is obligated to fund pension liabilities in the amount of $39 million. Taking into account these obligations of the Bahamian government, the most the government will receive is $156 million for 51 percent of BTC.

“The PLP objects to this and cries shame on the government for accepting an offer that is clearly below market value for BTC. In fact, the Financial Times pointed out that the $210 million purchase price was below the industry average; certainly $156 million is significantly below market price for 51 percent of BTC.”

Meanwhile, an argument has intensified over the level of support the government has on the privatization issue.

An earlier statement released by Elizabeth MP Ryan Pinder on behalf of the PLP said the party takes exception to the Free National Movement’s practice of “misleading the Bahamian public on the support for the BTC sale to Cable and Wireless.”

“The PLP proposes that the majority of Bahamians are against this specific sale of BTC. The PLP has committed itself to a series of statements and position pieces that will clearly note our objections to the BTC sale, focused on different objections,” Pinder said.

“The PLP is also committed in these releases to educating Bahamians as to the shortfalls of this proposed sale of BTC. The PLP demands that the FNM be honest and straightforward with the Bahamian people on this give away of the people's asset, BTC.”

But the FNM shot back in a statement last night, saying as support for the opposition’s position on the partnership to create a new BTC with Cable and Wireless continues to erode, it has begun to panic and continues to ignore the voices of the majority of Bahamians.

“The opposition says that it ‘proposes that the majority of Bahamians are against this specific sale of BTC’. Rather than proposing, the FNM has taken note of two surveys over the past two weeks which have shown the surge of support for the creation of a new BTC. One survey was conducted by a private group (Consumer Voices Bahamas) the other by one of the dailies,” the FNM said.

The FNM noted that in The Nassau Guardian’s online survey 4,563 people responded. The question was whether respondents supported the PLP’s decision to reject the deal.

“It appears that the voices of these thousands of Bahamians and many others are of no consequence to the PLP, which now seeks to substitute its own faltering position for that of the majority of Bahamians,” the FNM said.

But Pinder said in his statement that a previous FNM release and associated polls “misrepresented” the views of Bahamians.

“The unscientific polls focused on whether privatization was a good idea, and not [the] real issue that concerns the majority of Bahamians, which is whether this sale to Cable and Wireless under the proposed terms tabled in the House of Assembly last week is a good deal,” he said.

The FNM insisted however that support for the deal continues to grow among Bahamians.

“We believe that after the House of Assembly debate on BTC’s future, that many more Bahamians will support the new partnership, as misinformation and incorrect information are countered with the facts, which will shed more light on the fiction promoted by certain narrow interests,” the FNM said.

2/16/2011

thenassauguardian

Thursday, February 10, 2011

I'm delighted that Bahamas Telecommunications Company (BTC) will be out of the government's hands and looking forward to great things to come

I'm just delighted that BTC is sold
By Rick Lowe



If there is one policy I agree with the FNM on is their intention to divest the public corporations.

I am also glad that there does not appear to be any cronyism in their decision.

The comments like we're being re-colonised as a result of the big white bogeyman buying BTC or the government caused BTC to be like it is, or the union president being quoted as threatening to turn "The Bahamas into a small Egypt" and bear with us as we interrupt your phone service for example are simply out of step with the real world.

The racist comments aside, on the one hand the government is the problem with BTC, but they want the government to hold on to it. For what? So they can continue to interfere and hand string the corporation?

Now let's look at the third comment for a moment. Saying,'We'll turn country into small Egypt' is most inappropriate. The Bahamas is a parliamentary democracy and Bahamians do not wish to turn to a dictatorship for an example of how a country should be.

The fourth comment that Bahamians should bear with them as they disrupt the phone services that people rely on for emergencies or to make a living is nothing short of disrespectful to hard working, law abiding Bahamians throughout the country.

If I were able to bend the ear of those opposed to CWC/LIME buying a 51% stake in BTC, I would suggest that they re-group and start putting their resources and business plans together to enter the market as a cellular provider when the market is liberalised in three years.

Few of us want to resort to violence to achieve our ends in tis day and age, and besides didn't Sir Lynden figuratively lead us out of Egypt in 1967?

That's intended to be funny of course, but The Bahamas has come too far to be set back with that behaviour.

In the final, I'm delighted BTC will be out of governments hands and look forward to great things to come.

February 10, 2011

weblogbahamas

Friday, January 21, 2011

Allow Bahamians To Buy 100% of the Bahamas Telecommunications Company Limited (BTC) and Let Competition Reign!

By Dennis Dames


About eleven years ago, my wife, along with hundreds of BaTelCo employees, accepted the company’s severance package; the deal was, according to my understanding, to prepare the entity for privatization.

That was sometime in 1999. This is now 2011, and the people’s government of the day has selected a candidate to purchase a 51% stake in the ailing BTC. The masses should be delighted about the good news; but ruckus has clouded the issue at hand and the nation has become bitterly divided over this simple matter.

Okay, let Bahamians buy the entire BTC (100%) and liberalize the market forthwith. Let competition reign!

No one in this 21st century Bahamas should have a problem with that. After selling BTC to Bahamians and giving other Bahamians a chance to compete with it, I wonder what the noise in the market would be then.

Let’s go that route, and give the consumers an immediate choice as to which telecommunication company that they would prefer doing business with; just like the local radio stations that we choose to patronize.

We have had a fax-line problem at our office lately, and it took five different technicians from BTC, on five separate visits to remedy the problem. What a national disgrace!

This is what the unions are fighting to keep; pure incompetence alive at the public’s expense.

It’s time for The Bahamas government to divorce itself of this ineptitude 100% as far as BTC is concerned. So, sell it to Bahamians with money to burn and liberalize the market simultaneously for other Bahamians to capitalize on BTC’s uselessness.

I can’t wait to see the unions demonstrate against Bahamians and competition. Then we shall see their real motives clearly; and that is to protect their lot of backward comrades.

Bahamas Blog International