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TUESDAY, APRIL 11, 2017
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Grow GDP six times faster to ‘salvage ship’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net The Bahamian economy has to grow “six times’ faster than it is today” to solve the country’s debt and unemployment woes, a governance reform campaigner yesterday questioning whether it was still “a salvageable ship”. Robert Myers, a principal with the Organisation for Responsible Governance (ORG), told Tribune Business that the Bahamas needed to achieve Chinese-style GDP growth rates to pull out of its current stagnation. Questioning where such growth would come from, Mr Myers argued that the $4.2 billion Baha Mar project “doesn’t move the nee-
Reformer: Bahamas needs China-style numbers Would take ‘four to five Baha Mars’ Warns Govt ‘spending us into oblivion’ Robert Myers dle enough”, suggesting the Bahamas needed four-five investment projects of similar scale. And he reiterated warnings that the Government was “spending the Bahamas into oblivion” through its ever-increasing expenditure, with the still-rising $7
Web shop loses injunction bid against GBPA By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A web shop operator is appealing the Supreme Court’s refusal to prevent the Grand Bahama Port Authority (GBPA) from potentially cancelling its license to operate in Freeport. Carlson Shurland, attorney for Jarol Investment, which operates as Chances Games, confirmed to Tribune Business that “the appeal is filed” after Justice Petra Hanna-Weekes declined to grant the company’s application for an injunction against the GBPA. Chances had sought an injunction to prevent the GBPA “from interfering with and/or cancelling” its business license, and increasing its license fee, until the Supreme Court determined the main issue between the parties - who has regulatory authority for web shop gaming in Freeport. Mr Shurland and Chances moved for an injunction after Fred Smith QC, the GBPA’s attorney, warned in December 2016 that the quasi-governmental authority planned to act against Freeport-based web shops “operating in breach” of their business licenses. He told Tribune Business
Chances exposed to possible license cancellation Files appeal against Supreme Court verdict Judge finds ‘no issue to be tried’, as letter withdrawn this action could involve the GBPA cancelling the licenses of all Freeportbased web shops, unless they agreed to amend them and pay significantly higher fees. Mr Smith argued that his client had little choice but to “bring some order” to a chaotic situation where Freeport-based web shops are not currently licensed by the GBPA to conduct gaming activities. Chances is now exposed should the GBPA choose to act on Mr Smith’s warning, after Justice Hanna-Weekes, in a March 27, 2017, ruling, declined to grant the injunction sought. She ruled that there was “no serious issue to be tried”, as the entire basis for Chances’ injunction application was a letter whose See pg b5
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billion national debt becoming a “deeper and deeper hole” to get out of. “I think people are fed up,” Mr Myers told Tribune Business. “They see the nation digging itself deeper and deeper into a hole and, soon enough, if not already, it will be too deep to dig
ourselves out of. “It’s already too deep to get out of because we can’t grow fast enough to make that happen. GDP growth is hovering around 1 per cent; we need to have GDP growth of 6 per cent to deal with unemployment and the debt.” The Bahamas’ annual GDP growth has averaged just 0.2 per cent over the past four years, placing it far away from this target. It endured two years of negative GDP growth in 20142015, with projected growth for 2016 around 0.3-0.5 per cent. The IMF and the international credit rating agencies are forecasting GDP growth of around 1.2-1.5 per cent for 2017 and 2018, with See pg b4
Exporter targets live China lobster approval by Xmas By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net
A Bahamian seafood exporter yesterday said it expects to receive approval to export live lobsters by air to China before Christmas, adding that this market could ultimately surpass the US as its largest. Glen Pritchard, Tropic Seafood’s presiden, told Tribune Business the company has had an “excellent” success rate with flying live lobsters into Hong Kong. “The Asian market is all about fresh seafood. We’re flying lobsters into Hong Kong right now. The success rate has been excellent. We have a better record than the Americans in terms of the numbers that survive,” said Mr Pritchard. Prime Minister Perry Christie revealed last week,
Tropic wants to expand air supply past Hong Kong Believes mainland may become top export market Also spawning Grouper, yellowtail at the launch of the Bahamas Trade Information Services Portal, that Tropic Seafood was engaged in “major research” on farming lobsters and exporting them via air to China. This nation exports between $55-$80 million annually in lobster. Mr Pritchard said: “We are working on a couple of See pg b6
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Bahamas Realty hopes 15% growth not hit by election By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net Bahamas Realty’s chief executive yesterday expressed hope the imminent general election will not stall the 10-15 per cent year-to-date growth in business, which comes on top of 2016’s 60 per cent gross sales rise. Larry Roberts told Tribune Business that the real estate market was in “wait and see mode”, with highend Bahamian buyers watching for the election’s outcome and to gain a sense of policy direction from the new administration. Speaking after Bahamas Realty unveiled an 80 per cent year-over-year increase in gross commissions for 2016, Mr Roberts said: “What we’re finding right now with the current market is that everyone’s wait and see. “We’re seeing that the wealthy Bahamian has his See pg b5
Increase comes on top of 60% gross sales rise in 2016 Wealthy buyers ‘not doing anything’ before vote CEO can’t recall deal that ‘closed in required time’
Larry Roberts
DNA proposes 3% health payroll tax By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net The Democratic National Alliance’s (DNA) leader yesterday pledged that the party will “bring the economy back” so that Bahamians could afford its proposed 3 per cent payroll tax for financing universal health coverage (UHC). Branville McCartney told Tribune Business that unlike the Christie administration’s National Health Insurance (NHI) scheme, a DNA government would partner with the private sector and offer Bahamians choice when it came to healthcare reform. The party’s Vision2017
Party will ‘bring economy back’ to make affordable Pledges role for private insurers, consumer choice Contrasts transparency with Govt’s NHI plan platform, formally released yesterday, promised to amend the NHI Act within one year of taking government office to allow true participation by private See pg b4