05252018 business

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FRIDAY, MAY 25, 2018

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IDB: 20% NIB rate needed to avoid a pension crisis

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

N

ATIONAL Insurance Board (NIB) contribution rates must more than double to over 20 percent to prevent a long-term Bahamian pension crisis, it was revealed yesterday.

The warning, which will likely be greeted with dismay by workers and employers alike, was delivered in the Inter-American Development Bank’s (IDB) latest Bahamas country strategy, which projected that the Government’s total pension liabilities - including those owed to the civil service and public corporation workers - will ultimately grow to 160 percent of GDP. Pointing out that all Government pension commitments are

33,000 real property defaulters sanctioned

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Government sanctioned around 33,000 real property tax delinquents in both 2015 and 2016, an OECD report revealing the scale of its struggles to collect all due revenue.

The Organisation for Economic Co-Operation and Development’s (OECD) “peer review” of The Bahamas’ ability to meet beneficial ownership and tax information standards, obtained by Tribune Business, also discloses that penalties for Value-Added Tax (VAT) non-compliance more than tripled in number in 2016 compared to the tax’s first year.

They increased from 507 in 2015 to 1,558 the following year, with the OECD report revealing that most of the penalties levied by the Department of Inland Revenue (DIR) related to late VAT return filings or payments.

It also disclosed that VAT “adjustments”, meaning changes to the amount of tax paid by the 6,000-plus registrants, rose nearly sixfold in number- jumping from 117 to 672 year-overyear as the Government’s inspection and enforcement initiatives moved into high gear.

No dollar figures were provided on the penalties collected by the Government, nor was any culprit named, but the real property tax data provided shows this continues to be the revenue stream most plagued by compliance deficiencies.

The OECD report noted that penalties were imposed on 33,295 real property taxpayers in 2015, with that number staying fairly constant at 32,940 the following year. The “penalties” likely refer to the surcharge that is typically added to a

* IDB urges 107% rise - more than doubling * Major hit for workers and employers * FDI inflows near halved during 2012-2016

“underfunded”, the IDB’s 2018-2022 strategy said eliminating this deficit will require NIB contribution rates to rise from the present 9.8 percent to 20.3 percent.

“Beyond the medium term, pension liabilities for which the Government is directly responsible – including social security commitments, pensions and public entity pensions – amount to 160 percent of GDP and are underfunded,” the IDB said. “Fully funding these pensions would require increasing the social security payroll tax from 9.8 percent to 20.3 per cent – a 107 per cent increase.”

NIB contributions, which take the form of a payroll

tax, are currently split 3.9 percent/5.9 percent between employee and employer, respectively. Should the IDB’s forecast prove accurate, The Bahamas’ 200,000-plus workforce will all take a hit from reduced “take home pay” and suffer a loss of disposable income, leading to reduced living standards.

And the corresponding increase in employer contributions will cut into corporate profits and cash flow, acting as a significant drag on economic growth by deterring job-creating investment and expansion. With the Government’s pension liabilities projected to exceed Bahamian economic output

(GDP), the issue effectively represents an “iceberg” that can sink the economy long-term.

The IDB’s projection thus emphasises the need for The Bahamas to urgently enact NIB reforms, which successive governments have elected to “kick down the road” to the next administration, despite knowing the social security system’s $1.6bn reserve fund will be exhausted by 2030 without fundamental change.

The 2018-2022 “country strategy” added that demographics were also working against The Bahamas, with the number of retirees

SEE PAGE 5

IDB: High ‘petty’ corruption endangers public services

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net HIGH levels of “petty” corruption are undermining trust in public services, the IDB said yesterday, drawing on findings that 20 percent of Bahamians have been solicited for bribes.

The Inter-American Development Bank (IDB), in its just-published 20182022 country strategy for The Bahamas, based its assertion on a 2014 study by US-based Vanderbilt University, which ranked this nation 12th out of 34 countries in Latin America and the Caribbean (LAC) for “corruption victimisation”.

* Study: 20% of Bahamians asked for bribes * Nation’s “governance score” falls 25% * “Major” falls on rule of law, corruption, regulation “A relatively high incidence of ‘petty’ corruption in the provision of public services jeopardises public confidence in the rule of law,” the IDB report said of The Bahamas.

“According to the 2014 Vanderbilt University Latin America Public Opinion Survey (LAPOP), The Bahamas is 12th of 34 countries in the LAC region for corruption victimisation, with 19.9 percent of interviewees

reporting having been asked to pay a bribe over the previous year.”

The assertion is likely to provoke controversy, but the IDB/Vanderbilt University findings back up the results from Transparency International’s recent Global Corruption Barometer survey of The Bahamas.

It found that despite “one in ten Bahamians” disclosing they had paid a bribe within the past year to obtain public

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services, just six per cent of such incidents were reported to law enforcement. And zero action was seemingly taken over this alleged corruption.

The Corruption Barometer findings, based on a survey of 1,000 Bahamians conducted in October 2017 by the Public Domain research firm, asked Bahamian adults whether they

SEE PAGE 4

* VAT PENALTIES TRIPLE IN 2016 * AND ‘ADJUSTMENTS’ UP SIX-FOLD * OECD CONCERN ON REGISTRAR GENERAL taxpayer’s bill the following year when they fail to make due payment, and are unlikely to represent an indication of collection success.

On-site inspections of companies to confirm Business Licence and VAT compliance also increased four-fold over the two-year period assessed, rising from 1,500 in 2015 to 6,248 in 2016.

The OECD report was especially appreciative of the Government’s decision to introduce VAT from January 1, 2015, given that it would improved business record-keeping - the access to accounting information being one of the benchmarks by which The Bahamas and other countries are assessed.

“Almost all penalties imposed by the Department of Inland Revenue were related to late filing or payment of taxes, although a check of the accounting records has led to VAT adjustments also,” the OECD “peer review” said.

“The Department of Inland Revenue indicated that more detailed audits of the accounting records commenced in September 2016. This should lead to more accurate accounting records being kept by those Bahamian businesses subject to the above [Business] Licence and taxes going forward.”

But, elsewhere, the OECD “peer review” expressed concern that the Registrar General’s

SEE PAGE 5

FREEPORT ‘GETS SHORT END OF STICK AGAIN’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net AN OUTSPOKEN QC yesterday pronounced himself “discouraged” by Wynn Group’s ability to make progress in Nassau rather than Freeport, blasting: “We’ve got the short end of the stick again.”

Fred Smith QC, the Freeport-based Callenders & Co managing partner, queried whether reviving Grand Bahama’s struggling economy remained a Government priority after the

* QC ‘DISCOURAGED’

BY WYNN’S NASSAU PROGRESS * FEELS ‘ABANDONED; WITH TOURISM IN NEAR COLLAPSE’ * PORT LUCAYA TENANTS ‘HANGING ON BY THREAD’

A BAHAMIAN renewable energy provider yesterday called for “real forward momentum” on achieving the National Energy Policy goals, saying: “We’ve been giving it lip service.”

Guilden Gilbert, vicepresident of Alternative Power Solutions (APS), told Tribune Business he questioned whether this nation’s energy policy goals were still achievable.

“As a company, we would

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SEE PAGE 6

RENEWABLE PROVIDER BLASTS ‘LIP SERVICE’

By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net

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SEE PAGE 6

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PAGE 2, Friday, May 25, 2018

THE TRIBUNE

QUALITY COACHING KEY TO WORKFORCE GROWTH

C

OACHING is the process of equipping people with the tools, knowledge and opportunities they need to fully develop themselves at their company and work. Many companies, researchers and leaders have identified coaching as a critical leadership and management competency. Some argue that the most successful leaders are good coaches themselves.

We define workplace coaching as the skills, processes and knowledge through which people involve themselves in making the maximum impact, and are constantly renewing themselves and their organisations as they experience continuous change.

Coaching deals with employee growth, development and achievement by removing roadblocks to performance and enhancing creativity. This differs significantly from management, which deals with supervision, evaluation and meeting objectives.

Workplace coaching is not therapy or counselling, although coaching uses some of the same communication processes. Coaching is about creativity, performance and action, while therapy deals with resolution and healing of the past.

Coaching is not mentoring or consulting, although coaches will use their experience, diagnose situations and give opinions or advice at times. Coaching uses all of

one’s knowledge and experience to enable the person being coached to create and develop their own best practices, connections and resources.

Additionally, coaches give information, but they support those they coach in developing their own skills and knowledge. They may or may not be trainers.

Coaching is designed to give companies a competitive edge, and an effective way to flow and operate within an environment of continuous change. Successful companies have recognised that managers must be able to coach their employees and each other, and have included coaching in their management/leadership development.

Companies are discovering that the traditional “command and control” style management is no longer effective in today’s environment. Retention is critical, and coaching supports employee career/ professional development and satisfaction, which keeps valued employees.

Employees who are coached to performance, rather than managed to performance, are more committed to - and invested in - the outcomes of their work and the achievement of organisational goals.

Successful companies have also discovered that ongoing workforce training is necessary to remain competitive. However, without coaching, training loses its

effectiveness rapidly, and often fails to achieve the lasting behavioural changes needed. While training is an “event”, coaching is a process that is a valuable next step to training, ensuring that the new knowledge imparted actually becomes learned behaviour.

• NB: Ian R. Ferguson is a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has served organsations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at tcconsultants@ coralwave.com.

IAN FERGUSON BY

Price inspectors in Long Island Visit A TEAM of price inspectors descended on Long Island for a three-day visit

that saw them inspect every grocery store and gasoline station.

The group, led by Prices Commission chairman, Synida Dorsett, were

present on the island from May 16-18. She was accompanied by Huel Robins, commissioner of the Prices Commission and vicechairman of the Bahamas Bureau of Standards and Quality; Jason Johnson, price inspector at the Consumer Welfare Unit; Deron Strachan, metrologist and inspector at the Bahamas Bureau of Standards and Quality; Arielle Braynen, metrologist with the Bahamas Bureau of Standards and Quality; and Anastasia Stubbs from the Ministry of Labour.

“We are pleased with our visit to Long Island, and we plan to visit the other Family Islands and conduct the same exercise we did here in Long Island,” said Ms Dorsett. “Also, we want to bring awareness to our Family Islands as to the role of the Bureau of Standards and Quality.

“It goes back to consumer education, and we are going to embark upon letting the consumers know exactly what their rights are as it relates to the cost of food items that are regulated by

SYNIDA DORSETT, Prices Commission chairman (centre), led a team of price inspectors and metrologists to Long Island. From L: Huel Robins, commissioner of the Prices Commission and vicechairman of the Bahamas Bureau of Standards and Quality; Jason Johnson, price inspector at the Consumer Welfare Unit; Ms Dorsett; Deron Strachan, metrologist and inspector at the Bahamas Bureau of Standards and Quality; and Arielle Braynen, metrologist with the Bahamas Bureau of Standards and Quality. the Government; that is breadbasket items.”

Long Island business owners such as Basil Fox, who has been in the gasoline sector for more than 50 years, were receptive to the visit by price inspectors and metrologists.

“I think it’s a good thing,” said Mr Fox of the inspections.

“Ain’t everyone [business persons] honest.”

Ms Dorsett was also

invited to address Long Islanders at a special town meeting organised by the local MP, Adrian Gibson, and the minister of works, Desmond Bannister.

The Prices Commission plans to visit Exuma next. The Commission, together with the Consumer Welfare Unit and the Bahamas Bureau of Standards and Qualit, all come under the Ministry of Labour.

THE TRIBUNE

Friday, May 25, 2018, PAGE 3

‘FEET TO THE FIRE’ ON HOTEL UNION’S FUTURE

By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net

THE incoming hotel union president is targeting a new industrial agreement as priority, amid calls by one defeated rival to hold the leadership’s “feet to the fire”.

Darren Woods, whose “Team Phoenix” won this week’s election, yesterday acknowledged the need also amend the Bahamas Hotel, Catering and Allied Workers Union’s (BHCAWU) constitution to “bring it in line with today’s reality”.

He told Tribune Business he intends to move “swiftly” to start negotiations on a new industrial agreement with hotel employers, saying: “We have deal with the industrial agreement. That is at

the top of the list. We have to engage the Employers Association and/or the employers to start the discussion, taking into consideration legislation enacted under the previous government.”

Both the Bahamas Hotel and Restaurant Employers Association and the union have previously confirmed they are behaving as if the terms of the industrial agreement that expired in January 2013 are still in effect. The previous union leadership, led by Nicole Martin, failed to submit a new industrial agreement at least 90 days’ prior to that deal’s expiry, leading to the current situation.

Mr Woods added: “We also want to amend our constitution. We had a lot of challenges to the constitution and the way the executive council would apply or execute it, and

just to bring it in line with today’s reality. This year the union is going to be 60 years-old.”

While congratulating Mr Woods and his team on their victory, Dave Beckford, a long-time contender for the union leadership and head of “Team Destiny”, said there is “a lot of work to do” and urged members to hold the new leadership’s “feet to the fire”.

“I think that our electrical process has to change.

I think there needs to be a set date for nomination and elections. There needs to be a set date for an annual general meeting (AGM),” Mr Beckford said. “Members were still not properly informed about the financial state of the union.

“I also question how is it, for the past nine years, no one from the other

teams were able to win any position? This has been happening now for the past nine years. I congratulate the Phoenix Team but there is a lot of work to be done. We still don’t know the union’s finances, we don’t have a contract.

The union is very divided, and the school and the washhouse are in disrepair. When you’re paying $10 a week you’re paying for representation and you have to see the benefits.”

Mr Woods told Tribune Business the union is looking to roll-out more benefits for its membership. “We want to establish an assistance programme for our membership because we believe that in times of crisis our members should receive a benefit from the union at some point,” he added.

“How we fund it is another thing. We want

to make the union more accessible to our membership, and that’s why a part of what we want to do is take the union fully digital, where there will be apps and/or web pages in a controlled social media environment where our members will be able to reach the union at various times and receive a response.”

Four teams fought for the hotel union’s leadership after the Supreme Court earlier this month removed an injunction preventing candidate nominations and voting.

That ruling by the court removed an injunction, previously obtained by Mr Beckford and his Team Destiny election candidates, which blocked a nomination process originally scheduled for Tuesday, May 8.

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BLOCKCHAIN SUMMIT TARGETS 500 FIRMS

By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net

THE Government is targeting 500 international companies with next month’s Blockchain and cryptocurrency conference, the next step in its drive to establish Grand Bahama as a “technology hub”.

Kwasi Thompson, pictured, minister of state for Grand Bahama, said yesterday that the Minnis administration believes

Grand Bahama can become an internationally-recognised technology and innovation centre, and has set the goal of becoming the Caribbean’s “Silicon Valley”.

The Blockchain and Cryptocurrency conference, set for June 20-22 at the Grand Lucayan Convention Centre, is “designed to attract

investors, entrepreneurs, and service providers and tech companies from all over the world who are focused on making investments, starting and developing companies, and building business relationships with Blockchain technology companies”.

Mr Thompson added: “The Government believes that it is critical to not only

talk about Grand Bahama and all we have to offer, but to open our doors and welcome the global community to see for themselves and dialogue with our local business community.

“It is also expected that the conference will have a significant immediate economic

impact, as we intend to fill hotel rooms, taxis, restaurants and tours. However, it is anticipated that these international companies that come - and our target is 500 - that we show them what the Bahamas has to offer and why Grand Bahama is the right place to invest.”

According to Mr Thompson, the conference will feature a series of high-calibre international speakers and panellists, including Brock Pierce and Anthony Di lorio, who have been featured on Forbes Magazine’s Cryptocurrency Billionaires list.

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PAGE 4, Friday, May 25, 2018

THE TRIBUNE

IDB: HIGH ‘PETTY’ CORRUPTION ENDANGERS PUBLIC SERVICES FROM PAGE ONE

had paid a bribe within the past year to access six different types of public service - the police, ID documents, utility providers, the courts, healthcare and the courts.

The results showed that one in eight Bahamians, some 13 percent, who had contact with the police in the year prior to October 2017 “had paid a bribe in order to get the services they need”.

While “rent seeking” was most prevalent in the public’s dealings with the police, the Transparency International report found that illicit payments to agencies such as Immigration (work permits, residency permits), the Road Traffic Department (driver’s licences) and Passport Office, plus publicly-owned utilities, were not far behind.

“Utility providers and the process of obtaining identity documents, such as passports and driver’s licences, were also affected by bribery, with one in nine people who came into contact with these public service providers in the previous 12 months paying a bribe in order to get the services they needed (11 percent for each),” the Corruption Barometer survey found.

“Bribery in the courts was also reported, with one in tenpeople who came into contact with the courts having paid a bribe in the previous 12 months, demonstrating that there is still an acute corruption risk in this key law and order institution (ten percent).”

Critics of the Corruption Barometer findings pointed to The Bahamas’ relatively high 28th ranking in the earlier 2017 Corruption Perceptions Index produced by the same Transparency International, suggesting the latter was effectively contradicting itself and ignoring evidence that this nation was relatively “clean”.

However, the IDB’s revelation of the Vanderbilt University findings backs both the Corruption Barometer and Dr Hubert Minnis’s concerns that such practices could be costing the Bahamian economy some $200m per year - and possibly as much as $500m, based on global average estimates.

The IDB’s “corruption” comments came as it identified “enhancing public sector effectiveness” as one of the three key priorities, along with growth-enhancing infrastructure and an “enabling environment” to boost private sector competitiveness, as its three key priorities in working with The Bahamas between 2018-2022.

Based on an average of the six key indicators used by the Worldwide Governance index to measure

a country’s performance, the IDB report said The Bahamas “has decreased its overall score by more than 25 percent” in the decade to 2016.

“Governance indicators for The Bahamas indicate a decline in public sector performance during the past decade,” the IDB country strategy found. “According to the World Governance Indicators, government effectiveness in The Bahamas – which among other things captures perceptions of the quality of public services, the quality of the civil service, and the degree of that service’s independence from political pressures – fell from the 84th to the 74th percentile between 2006 and 2016, with significant rates of decline in the regulatory quality, rule of law, and control of corruption.

“Over the period 2006 to 2016, regulatory quality fell from the 81st to 63rd percentile; the rule of law declined from the 86th to 60th percentile; and control of corruption declined from the 90th to the 83rd percentile.”

The IDB report blamed this decline on multiple deficiencies, including a stillinadequate fiscal framework and public financial management systems, coupled with the Government’s continued reliance on paper-based mechanisms that feature a lack of information and communications technology (ICT) and absence of crossdepartmental connections.

It warned that the planned centralisation of the Government’s revenue and tax collection functions into the Department of Inland Revenue was no guarantee of success, adding: “Efforts are currently under way to centralise the functions of over 30 disparate revenue authorities and departments.

“However, many of the difficulties that existed prior to the establishment of a centralised revenue authority – such as long taxpayer waits, lack of tools for electronic filing and payment, difficulties in intra-revenue communication and human resources management, and poor enforcement or promotion of compliance – may still exist once centralisation is completed.”

And, despite efforts to restrain spending, the IDB strategy warned that the taxpayer was receiving minimal value from government expenditure. “Public sector operation expenditures average between 20 percent (15-year average) and 23 percent of GDP (five-year average), but only account for six percent of gross value added in the economy,” the report said.

“State-owned enterprises (SOEs) represent a significant portion of these expenditures, due to

large workforces and inefficiencies, as they require transfers equivalent to three percent of GDP to maintain their operational capacity.”

Pointing out that The Bahamas “has lost some ground in recent years” on both the e-Government Development Index and the e-Participation Index, the IDB strategy added that the Government’s systems need a complete overhaul.

“Information management across the public service shows limited levels of automation, with a large number of procedures and internal communications based on paper; outdated ICT infrastructure; and limited levels of interoperability among agencies and connectivity with the Family Islands,” the report said.

“The absence of an ICT institutional framework to manage digital government, an ICT Roadmap for public sector transformation, and sufficient investment in ICTrelated projects reduces the capacity for implementation of ICT policies and management of ICT projects; inhibits timely data-sharing, planning, co-ordination and innovation across government activities; and distances the government from dynamic, responsive, and productive engagement with citizens and the business community, particularly in the Family Islands.

“Many government branches, particularly in smaller Family Islands, lack the equipment and connectivity for digital government.

These government branches continue to depend on centralised government offices in Nassau to provide critical and necessary government services. The unique geography and population displacement proves a clear case for the need to use ICT in offering government services to other islands in The Bahamas.”

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THE TRIBUNE

Friday, May 25, 2018, PAGE 5

33,000 real property defaulters sanctioned FROM PAGE ONE

Department was “inconsistent” in ensuring companies maintain current information on their ultimate legal owners because it is more focused on collecting fees.

Noting that the Department has more than 80 staff, the report found there was “no automated system of monitoring and application of penalties” for Companies Act companies that failed to file the necessary ownership details and meet other legal obligations.

Some 158 Companies Act entities, and 5,901 International Business Companies (IBCs), were struck off during the 20132017 review period. The OECD report said the

latter related mostly to non-payment of fees, while the Companies Act strikeoffs were linked to “the failure to file required documents”, such as changes to registered details and annual statements.

“The Registrar General’s Department has not performed systematic monitoring of compliance with filing obligations (such as the obligation for companies incorporated under the Companies Act to file an annual return, including a list of the current members of the company),” the OECD report said.

It added that this was blamed on the Department’s restructuring, and adoption of electronic registration and recordkeeping, but the report continued: “No monitoring

IDB: 20% NIB RATE NEEDED TO AVOID A PENSION CRISIS

FROM PAGE ONE

projected to increase as a proportion of the population due to persons living longer.

At the same time, there will be fewer working-age Bahamians to support them.

“Pension liabilities are also projected to increase faster as a percentage of GDP in The Bahamas compared to the United States by 2060, reaching 41.6 retired Bahamians per 100 workers (from a current 1:10 ratio) compared to 36.8 per 100 workers in the United States,” the IDB country strategy said.

All this highlights the need for wide-ranging pension reform if The Bahamas is to escape what some have described as a “ticking timebomb”, which will add to the current fiscal crisis and further burden future generations of Bahamians with large liabilities.

Besides NIB, the International Monetary Fund’s (IMF) recent Article IV report warned that the unfunded civil service pension liabilities alone are projected to hit $3.7bn by 2030 if no corrective action is taken.

It warned that the current system - where civil servants contribute nothing to funding their retirement - is “unsustainable”. The IMF said: “Government employees draw pensions at retirement without contributing to the system while employed.

“Staff analysis in the 2016 Article IV Staff report noted that accrued government pension liabilities totaled B$1.5bn in 2012, and would rise to B$3.7bn by 2030 as the population ages.”

The IMF called for reforms that involve “moving to a contributory regime in the near term, and to a defined-contribution scheme in the mediumterm”. This would require civil servants to contribute a portion of their salary to funding their retirement, rather than having this financed 100 percent by the taxpayer through the Budget - as is done currently.

Meanwhile, the IDB warned that the Government will find it “challenging” to “pursue a pro-growth path” in the medium-term due to a combination of fiscal constraints and reduced Bahamian economic competitiveness.

Its report blamed “low total factor productivity”, which measures how efficiently inputs to the production process are used, for creating “a key obstacle” to faster GDP growth that would impact more Bahamians.

Pegging The Bahamas’ annual average GDP growth at a sluggish 0.53 percent for the past ten years, the IDB said the country’s two main industries - tourism and financial services - faced growing headwinds.

“The Bahamas, a small, open archipelagic economy dependent on its services sector, has continued to

experience suboptimal growth rates and rising debt levels since the global financial crisis,” the IDB said.

“The tourism sector appears to be approaching maturity in its destination life cycle, while the financial sector is challenged to maintain its compliance with rigorous international regulatory standards.

“Fiscal results and national debt levels are deteriorating, and fiscal space is limited.

Additionally, overstaffing and other operational losses of state-owned enterprises (SOEs) increase requirements for transfers that amount to seven percent of GDP or 33 percent of annual government spending.”

The IDB report said the liabilities of the Government’s 35 SOE corporations and agencies equalled almost nine percent of GDP, a sum greater than $900m based on the recently-revised national accounts statistics. It said seven percent was associated with debt incurred by their operations, while the two percent balance related to unfunded pension liabilities.

The Government will likely challenge the IDB’s assertion of tourism “maturity”, given this week’s completion of Baha Mar’s full opening, and additional room inventory that has come online via the Warwick, Courtyard by Marriott, and recent renovations at the RIU and Atlantis.

However, the IDB report revealed that foreign direct investment (FDI) inflows as a proportion of GDP had almost halved over the period 2012-2016 compared to the previous five years.

“FDI inflows for 2013– 2017 represented on average 2.6 percent of GDP less than the previous average of five percent of GDP for the period from 2008–2012,” the country strategy said. “Pursuing a pro-growth path for the medium term will be a challenge, especially in an environment of declining fiscal space and weakened external competitiveness.

“Low total factor productivity (TFP) is a key obstacle to Bahamian prospects of achieving a higher, more inclusive growth trajectory. Negative productivity growth and declining contributions from labour and capital have reduced the economy’s growth potential for the past decade, as the archipelago has seen average growth levels fall below its regional neighbours.”

The IDB report said The Bahamas’ TFP score had declined by around one percent when measured against a group of rival Caribbean economies, with “deteriorating potential growth influenced by weak TFP growth”.

It added that “targeted investment” in technological innovation by both the Bahamian private and public sectors can reverse the decline in TFP, but warned that “Government efforts at improving productivity and growth-inducing policy measures will be challenged” by structural obstacles.

of record-keeping obligations, such as the obligation for all companies to keep a register of members, was conducted.

“As a result, no direct penalties have been imposed during the peer review period for failing to keep a register of members, or for not filing an annual statement. The only time the Registrar General’s Department would actively check whether filing requirements are met is when a company requests a Certificate of Good Standing, which will not be issued without up-to-date documentation having been filed with the Registrar General’s Department.”

While the Business Licence Department provided a further “check” on beneficial ownership

information’s provision, the OECD report noted that just 4,145 companies were licensed in 2016 as compared to the more than 70,000 companies registered with the Registrar General’s Department.

And that figure corresponds to only ten per cent of firms incorporated under the Companies Act. The OECD report said The Bahamas explained this by pointing out that the other Companies Act companies were likely used for activities that do not need a Business Licence, such as estate planning and family holding companies.

Still, the report said: “monitoring by the authorities of the requirements to keep legal ownership information for companies does not consistently take place.

The Registrar General’s Department is the primary responsible authority for monitoring compliance with these requirements, and its focus has been on the payment of registration fees by IBCs. “Some monitoring is also taking place with respect

to companies incorporated under the Companies Act because they must file annual returns with an up-todate list of members, but the Registrar General’s Department has not been able to produce any compliance and enforcement statistics in this regard.”

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PAGE 6, Friday, May 25, 2018

THE TRIBUNE

RENEWABLE PROVIDER BLASTS ‘LIP SERVICE FREEPORT ‘GETS SHORT END OF STICK AGAIN’ FROM PAGE ONE

said Mr Gilbert. The National Energy Policy sets a goal of 30 percent renewable energy use by 2030.

Mr Gilbert agreed that the lack of legislative support was limiting investments in the renewable energy sector.

His comments come after the Utilities Regulation and Competition Authority (URCA), in its draft order and initial findings, said Bahamas Power and Light (BPL) had failed to meet its legal obligation to produce a Renewable Energy Plan (REP), featuring timetables and performance benchmarks, within six months of the Electricity Act taking effect.

While BPL did submit an REP on April 28, 2016, URCA said this failed to

meet the Act’s requirements. It is alleging that the state-owned monopoly has subsequently failed to remedy these deficiencies, which has also left it in breach of its licence obligations as well as the Act. URCA also expressed concern that BPL’s continued delay was jeopardising the National Energy Policy (NEP) goals. It added that BPL’s failure to produce an acceptable REP was also delaying plans “by several commercial entities” to introduce renewable selfgeneration projects that will generate between one megawatt (MW) to 2.5 MW of energy, with any excess sold to the utility’s grid.

“We have a client who wants to do a megawatt of solar and they can’t do it,” Mr Gilbert said. “We have successive governments

talking about the energy mix, and putting more solar into the energy mix. What we are seeing is talk; we’re not seeing anything happen in practice.

“When you have commercial clients ready to make the investment, and they are told they can’t, you have to question whether it is just lip service. We’re now in 2018 and the goal is 30 percent by 2030. To be honest, I don’t see us getting there. If we don’t start now I don’t see us getting there.”

Mr Gilbert added: “The question is whether the will is there. We hear a lot about it but we don’t see anything to support it. You have clients willing to make the investments but they can’t because the legislative support to do it is not in place.”

FROM PAGE ONE Goodman’s Bay condo-hotel/ residences project.

Suggesting that the development was taking place “in the wrong city”, Mr Smith said he felt “abandoned” by the Minnis administration and described Freeport’s tourism economy as being in a state of “near collapse”.

“I am discouraged to see that even though the Government made resurrecting the Freeport economy a priority, the major investor it has proffered as potentially coming to a deal on the Lucayan Strip has instead embarked on a $120m project in Nassau,” he told Tribune Business.

“Once again Freeport gets the short end of the stick, even with the investor supposed to be interested in Freeport. So many deals should be happening in Freeport, with its amazing tourism industry infrastructure, and instead we have Nassau keep stealing the show.”

Mr Smith’s comments show that efforts by Paul Wynn, the Wynn Group’s chief executive, to reassure Freeport residents he still remains interested in the Grand Lucayan - and that the deal is getting near “to the finish line” - have not had the desired effect on everybody.

Acknowledging concerns that Wynn Group might retreat from its $65m all-cash offer if the deal did not close soon, Mr Wynn said: “It’s been a concern but it’s one of these things. There’s the vendors, the tenants, myself and the Government. There is a lot of work and the Government is doing all the heavy lifting here.

“It’s very complex, and a very difficult project for the country, but I think we’re almost at the finish line now. It’s been very hard... There are just so many moving parts.

We’re near the finish line.”

Mr Wynn, though, gave no specific details on his plans for the Grand Lucayan, or a likely timeline for when the purchase from Cheung Kong (CK) Property Holdings will close. The latter company is the entity that holds all real estate and resort assets formerly belonging to Hutchison Whampoa.

Most of the Grand Lucayan has now been closed for 19 months, following the devastation inflicted by Hurricane Matthew in October 2016. It has effectively deprived Grand Bahama of a “mass market” stopover tourism industry, with around 1,000 direct jobs lost, and 1,100 rooms - amounting to 59 percent of the island’s inventory placed out of service.

A dispute over hurricane restoration with CK Property Holdings prompted the departure of Memories, the hotel brand operating one of the three Grand Lucayan properties. While Memories’ affiliate, Vacation Express, resumed its summer airlift programme yesterday, Mr Smith said the Government should have refused to provide a 20-year renewal of all CK Property Holdings’ tax breaks until it financed repairs to, and the re-opening of, the Grand Lucayan.

“I am very discouraged as a Freeporter,” he told Tribune Business. “I feel abandoned by my government. As a licensee and citizen of Freeport, I am very discouraged by the lack of attention by the Port Authority, Hutchison and the Government. I hate to be the harbinger of doom and gloom, but it’s [Freeport’s tourism economy] near collapse.”

Carey Leonard, Mr Smith’s colleague at Callenders & Co, yesterday said his conversations with Cabinet ministers indicated the Government was “working hard” to resolve the Grand Lucayan situation.

Yet without positive news within the next two months, he warned that many Port Lucaya Marketplace tenants currently “hanging on by a thread” were likely to close their doors. “I do not know how the businesses are holding on,” Mr Leonard told Tribune Business.

“I know a number of them are really hurting at the moment. Those businesses are really feeling it, and holding on by a thread. A number of them have already laid people off. I think some businesses are going to need an answer within a month or two. I really believe that.”

While Freeport’s cruise business has been maintained, Mr Leonard said per capita spending yields were much lower in comparison to stopover visitors. “At the moment we may as well say Freeport’s tourism product is dead,” he added.

“It’s that hotel guest that goes to Port Lucaya, has a drink and goes to a nightclub and restaurant; that’s what we need. They spend a couple hundred dollars in an evening. The cruise passenger does not do that. They get some tour package on the boat, the cruise ship takes a great chunk out of that, and the guy here makes something - but not much - out of it. The air arrival is the critical one for us.”

Kwasi Thompson, minister of state for Grand Bahama, previously indicated that the Government is determined that the Grand Lucayan become self-sufficient and weaned off government subsidies that once amounted to $29m annually.

To achieve this, and build a sustainable tourism product in Freeport, it wants to transform the Lucayan strip into a true “destination” product. Mr Thompson described achieving this as a “jigsaw”, with the Government still trying to fit the many “pieces of the puzzle” - hotel brands, airlift and amenities - together.

THE TRIBUNE

Friday, May 25, 2018, PAGE 7

Dem, GOP leaders get classified briefings on Russia probe WASHINGTON Associated Press REPUBLICAN and Democratic lawmakers on yesterday huddled in classified briefings about the origins of the FBI investigation into Russia’s meddling in the 2016 presidential election, a highly unusual series of meetings prompted by partisan allegations that the bureau spied on the Trump campaign.

The extraordinary closeddoor sessions were sought by President Donald Trump’s allies and arranged by the White House, as the president has ramped up efforts to sow suspicions about the legitimacy of the FBI investigation that spawned a special counsel probe. Republican lawmakers have suggested the secret information would confirm unproved allegations that the bureau acted improperly when it launched the investigation into ties between Russia and Trump’s campaign.

Initially offered only to Republicans, the briefings were the latest piece of stagecraft meant to publicize and bolster such claims.

But they also highlighted the degree to which the president and his allies have used the levers of the federal government — in this case, intelligence agencies — to aide in Trump’s personal and political defense.

Under direct pressure from the president, Justice Department officials agreed to grant Republicans’ request for the briefing, and only later opened a second briefing to a bipartisan group. The invite list evolved up until hours before the meeting — a reflection of the partisan distrust and the political wrangling. A White House lawyer, Emmet Flood, and White House chief of staff John Kelly showed up for both briefings, although the White House had earlier said it would keep a distance.

The White House officials didn’t attend the full briefings, the White House said yesterday in a statement, but instead delivered brief remarks communicating the “president’s desire for as much openness as possible under the law” and relaying “the president’s understanding of the need to protect human intelligence services and the importance of communication between the

simmered for weeks.

Nunes, an ardent Trump supporter, had originally requested the information on an FBI source in the Russia investigation. The department rejected the request, writing in a letter in April that his request for information “regarding a specific individual” could have severe consequences, including potential loss of human life.

Negotiations restarted when Trump demanded Sunday that the Justice Department investigate “whether or not the FBI/ DOJ infiltrated or surveilled the Trump Campaign for FBI director Christopher Wray, right, leaves a classified briefing about the federal investigation into President Donald Trump’s 2016 campaign, on Capitol Hill in Washington on yesterday.

Photo: Jacquelyn Martin/AP branches of government.”

It was unclear how much information was revealed to lawmakers. House speaker Paul Ryan, who attended the first briefing, said he wouldn’t discuss what was said. The House Intelligence Committee’s top Democrat, Adam Schiff, also would not comment.

Trump has zeroed in on, and at times embellished, reports that a longtime US government informant approached members of his campaign in a possible bid to glean intelligence on Russian efforts to sway the election.

The president intensified his attacks this week, tweeting yesterday that it was “Starting to look like one of the biggest political scandals in US history.”

Republicans already eager to discredit special counsel Robert Mueller’s Russia investigation used Trump’s complaints of “spygate” to press for answers from the Justice Department, whose leaders have tried for months to balance demands from congressional overseers against their obligation to protect an ongoing investigation into ties between the Kremlin and the Trump campaign.

The Justice Department on Sunday asked its inspector general to expand its ongoing investigation to look into whether there was any politically motivated surveillance of the campaign and later agreed to reveal classified information to key lawmakers.

Though originally scheduled for just two Republican

House members, Intelligence Committee chairman Devin Nunes and Oversight and Government Reform chairman Trey Gowdy, Democrats strongly objected that a GOP-only intelligence briefing was inappropriate.

The Justice Department late Wednesday scheduled a second briefing for congressional leaders from both parties and the same intelligence officials.

That meeting on Capitol Hill was expected to include Senate majority leader Mitch McConnell, Senate Democratic leader Chuck Schumer and House Democratic leader Nancy Pelosi.

Senate Intelligence Committee Chairman Richard Burr was also invited, as was the top Democrat on the Senate intelligence panel, Sen Mark Warner, and Schiff, who at the last minute joined the first meeting.

Also attending both meetings were Kelly, deputy attorney general Rod Rosenstein, FBI director Christopher Wray and National Intelligence Director Dan Coats.

Ryan defended the plan to have two meetings, saying they were the “same briefing”. He said he had advised the administration to include Democrats but downplayed Trump’s attacks, saying he doesn’t worry that the criticism will do lasting damage.

“We have strong institutions in this country,” Ryan said. “They’re going to endure any kind of test.”

The back and forth between Congress and the Justice Department has

Political Purposes”.

It remained unclear what, if any, spying was done. The White House gave no evidence to support Trump’s claim that the Obama administration was trying to spy on his 2016 campaign for political reasons.

It’s long been known that the FBI was looking into Russian meddling during the campaign and that part of that inquiry touched on the Trump campaign’s contacts with Russian figures. Mueller took over the investigation when he was appointed special counsel in May 2017.

PAGE 8, Friday, May 25, 2018

THE TRIBUNE

Trump cancels summit, citing ‘open hostility’ by North Korea

WASHINGTON Associated Press IN A dramatic diplomatic turn, President Donald Trump on yesterday called off next month’s summit with North Korea’s Kim Jong Un, calling the cancellation a “tremendous setback” for peace and stressing that the US military was ready to respond to any “foolish or reckless acts” by the North.

Trump first announced his decision in a letter to Kim released by the White House, in which he cited “tremendous anger and open hostility” in a recent statement by the North, adding that it was “inappropriate, at this time, to have this long-planned meeting”.

Speaking at the White House later, Trump said a “maximum pressure campaign” will continue against North Korea and that he was “waiting” should Kim choose to engage in “constructive” actions.

He added that it was “possible that the existing summit could take place or a summit at some later date.”

The abrupt cancellation of the June 12 meeting withdraws the US for now from an unprecedented summit that offered the prospect of a historic nuclear peace treaty or an epic diplomatic failure. No sitting American president has ever met with a North Korea leader.

PRESIDENT Donald Trump with Vice President Mike Pence (left).

In the North Korean statement that Trump cited, a top Foreign Ministry official referred to Vice President Mike Pence as a “political dummy” for his comments on the North and said it was up to the US whether they will “meet us at a meeting room or encounter us at nuclear-tonuclear showdown”.

Trump said the world was losing a “great opportunity for lasting peace and great prosperity and wealth”.

But he left the door open to the chance that the summit could yet be rescheduled: “If you change your mind having to do with this most important summit, please do not hesitate to call me or write.”

The question now is how the message will be

received. The letter could possibly make the situation worse in a culture where saving face can be pivotal.

Kim has both international and internal respect to maintain, and could take offense at Trump making this move after he released American detainees and destroyed a nuclear site.

The North Korean leader is positioned by the North Korean system as the pinnacle of his nation and the venerated heir to the House of Kim. One US official said the decision to call off the summit was made yesterday morning in response to the statement disparaging Pence and threatening nuclear war. A White House official said it was incorrect to focus solely on the

NOTICE

NOTICE is hereby given that LENNY OSCAR of Edward’s Avenue,P.O. Box N-3442, New Providence, The Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twentyeight days from the 18th day of May, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

“dummy” comment, saying that the nuclear threats meant that no summit could be successful under such circumstances. The officials spoke on condition of anonymity to discuss internal deliberations.

Secretary of State Mike Pompeo, testifying on Capitol Hill, said North Korea had not responded to repeated requests from US officials to discuss logistics for the summit. He told the Senate Foreign Relations Committee the lack of responses was an additional reason for Trump’s decision.

Pompeo said the North’s attitude had changed markedly since he returned from a trip to Pyongyang earlier this month during which he met with Kim and oversaw

PUBLIC NOTICE

The Public is hereby advised that I, ENNA MERLIZE FITZGERALD, ENNA MERLIZE HENFIELD, EUNA ORLEAN GAITOR, EUNA MERLIZE HENFIELD, EUNA FITZGERALD, EUNA ORLEAN HENFIELD and EUNA ORLEAN FITZGERALD of Nassau, Bahamas, C/o P.O. Box N-10095, Nassau, Bahamas date of birth 5 July, 1955, intend to change my name to EUNA MERLIZE FITZGERALD. If there are any objections to this change of name by Deed Poll, you may write such objections to rhe Chief Passport Officer, P.O. Box N-792, Nassau, Bahamas no later than thirty (30) days after the date of the publication of this notice.

MARKET REPORT 52WK HI 4.40 19.17 7.50 3.76 1.64 0.19 4.05 8.90 6.60 5.30 11.50 2.71 1.61 8.21 6.10 11.48 7.29 13.67 12.51

52WK LOW 3.50 17.43 7.50 3.32 0.90 0.12 3.30 8.40 6.00 3.15 9.00 2.30 1.40 7.25 6.00 8.78 5.67 3.35 12.01

1050.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

PREFERENCE SHARES

1.00 103.00 100.00 106.00 105.00 103.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 105.00 100.00 100.00 10.00 1.00

SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank Finco Focol J. S. Johnson

t. 242.323.2330 | f. 242.323.2320 | www.bisxbahamas.com

Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class E Commonwealth Bank Class J Commonwealth Bank Class K Commonwealth Bank Class L Commonwealth Bank Class M Commonwealth Bank Class N Fidelity Bank Class A Focol Class B

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00 100.00

52WK LOW 100.00 100.00

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS EMAB FAM FBB FIN FCL JSJ CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

SECURITY Fidelity Bank Note 18 (Series E) + Fidelity Bank Note 22 (Series B) +

SYMBOL FBB18 FBB22

Bahamas Note 6.95 (2029) BGS: 2015-1-3Y BGS: 2014-12-5Y BGS: 2015-1-5Y BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-3Y BGS: 2015-6-5Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-3Y BGS: 2015-10-5Y BGS: 2015-10-7Y

BAH29 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407

BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

MUTUAL FUNDS 52WK HI 2.13 4.14 1.99 178.69 157.58 1.55 1.70 1.62 1.10 6.99 8.54 6.15 10.52 11.46 10.46

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.48 1.62 1.57 1.04 6.41 7.62 5.66 8.65 10.54 9.57

LAST CLOSE 4.40 17.43 9.09 3.35 1.00 0.18 3.35 8.89 6.12 3.85 10.05 2.57 1.61 7.68 6.10 10.60 6.43 4.05 12.51

CLOSE 4.40 17.43 9.09 3.35 1.00 0.18 3.35 8.89 6.12 4.10 10.05 2.60 1.61 7.68 6.10 10.60 6.43 4.05 12.51

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.25 0.00 0.03 0.00 0.00 0.00 0.00 0.00 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

CLOSE 100.00 100.00

CHANGE 0.00 0.00

108.26 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

LAST SALE 100.00 100.00 108.26 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund FG Financial Preferred Income Fund FG Financial Growth Fund FG Financial Diversified Fund FG Financial Global USD Bond Fund Royal Fidelity Bahamas Opportunities Fund - Secured Balanced Fund Royal Fidelity Bahamas Opportunities Fund - Targeted Equity Fund Royal Fidelity Bahamas Opportunities Fund - Prime Income Fund Royal Fidelity Int'l Fund - Equities Sub Fund Royal Fidelity Int'l Fund - High Yield Fund Royal Fidelity Int'l Fund - Alternative Strategies Fund

VOLUME

115,117 421

170

VOLUME

EPS$ 0.361 0.932 -0.306 0.281 -0.973 0.000 -1.465 0.638 0.573 0.171 0.627 0.102 0.330 0.000 1.129 0.679 0.610 0.293 0.543

DIV$ 0.080 1.130 0.000 0.230 0.000 0.000 0.000 0.320 0.220 0.120 0.620 0.060 0.050 0.084 0.320 0.500 0.200 0.120 0.580

P/E 12.2 18.7 N/M 11.9 N/M N/M -2.3 13.9 10.7 24.0 16.0 25.5 4.9 N/M 5.4 15.6 10.5 13.8 23.0

YIELD 1.82% 6.48% 0.00% 6.87% 0.00% 0.00% 0.00% 3.60% 3.59% 2.93% 6.17% 2.31% 3.11% 1.09% 5.25% 4.72% 3.11% 2.96% 4.64%

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

0.00% 0.00% 0.00% 0.00% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 7.00% 6.50%

INTEREST 6.00% Prime + 1.75%

NOTICE is hereby given that MERLINE DENIS of Highbury Park off Marathon Road, P.O.Box CB-12627, New Providence, The Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 18th day of May, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000)

GLOBAL CONSULTANTS LIMITED In Voluntary liquidation

“Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000). GLOBAL CONSULTANTS LIMITED, is in Dissolution.”

6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25% NAV 2.14 4.13 2.00 179.39 153.02 1.55 1.68 1.63 1.09 7.15 8.14 6.41 11.26 11.68 10.24

YTD% 12 MTH% 0.31% 4.30% 0.16% 5.93% 0.17% 2.36% 4.66% 3.89% -0.25% 4.57% 1.04% 4.26% -1.06% 2.15% 0.58% 3.61% -0.48% 4.84% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69%

Mr. Daniel Hainsworth, 15 Esplanade, St. Helier, Jersey, JE1 1RB Liquidator

MATURITY 31-May-2018 19-Oct-2022 20-Nov-2029 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022 NAV Date 31-Mar-2018 31-Mar-2018 30-Mar-2018 31-Mar-2018 31-Mar-2018 31-Mar-2018 31-Mar-2018 31-Mar-2018 31-Mar-2018 30-Apr-2018 30-Apr-2018 30-Apr-2018 30-Apr-2018 30-Apr-2018 30-Apr-2018

MARKET TERMS BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00 52wk-Hi - Highest closing price in last 52 weeks 52wk-Low - Lowest closing price in last 52 weeks Previous Close - Previous day's weighted price for daily volume Today's Close - Current day's weighted price for daily volume Change - Change in closing price from day to day Daily Vol. - Number of total shares traded today DIV $ - Dividends per share paid in the last 12 months P/E - Closing price divided by the last 12 month earnings

NOTICE

The date of commencement of dissolution is the 18th day of May, 2018.

BISX ALL SHARE INDEX: CLOSE 1,967.25 | CHG 32.61 | %CHG 1.69 | YTD -96.32 | YTD% -4.67 BISX LISTED & TRADED SECURITIES

supposed to build confidence ahead of the summit.

However, the closing of the site is not an irreversible move and would need to be followed by many more significant measures to meet the demand for real denuclearisation.

The president had agreed to the historic sit-down in March after months of trading insults and nuclear threats with the North Korean leader. But after criticism from North Korea, Trump cast doubt this week on whether the meeting would happen.

White House officials have privately predicted for weeks that the summit could be cancelled once or twice before actually taking place, owing to the hard-nosed style of the two leaders. Trump has seemed to welcome chatter of a Nobel Peace Prize, but that has yielded in recent weeks to the sobering prospect of ensuring a successful outcome with the Kim.

Legal Notice

INTENT TO CHANGE NAME BY DEED POLL

THURSDAY, 24 MAY 2018

the release of three Americans being held there.

South Korean President Moon Jae-in played a major role in planning for the summit and sought to keep it on the rails in a visit to the White House this week.

His office said on yesterday that it was trying to figure out Trump’s intentions in cancelling the summit.

Pompeo, asked about a report that the South had not been informed before the president’s letter was made public, said simply, “We are locked in to the Republic of Korea. We are in lockstep with them.”

The cancellation came shortly after Kim made good on his promise to demolish his country’s nuclear test site, which was formally closed in a series of huge explosions yesterday as a group of foreign journalists looked on. The explosions at the test site deep in the mountains of the North’s sparsely populated northeast were

YIELD - last 12 month dividends divided by closing price Bid $ - Buying price of Colina and Fidelity Ask $ - Selling price of Colina and fidelity Last Price - Last traded over-the-counter price Weekly Vol. - Trading volume of the prior week EPS $ - A company's reported earnings per share for the last 12 mths NAV - Net Asset Value N/M - Not Meaningful

TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225

NOTICE CLOVERING HOLDINGS LIMITED In Voluntary Liquidation Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, CLOVERING HOLDINGS LIMITED is in dissolution as of May 18th, 2018.

International Liquidator Services Inc. situated at 3rd Floor Withfield Tower, 4792 Coney Drive, Belize City, Belize is the Liquidator.

LIQUIDATOR ______________________

THE TRIBUNE

Friday, May 25, 2018, PAGE 9

Cancellation of Korea summit sends stocks on bumpy ride NEW YORK Associated Press US stocks finished mostly lower yesterday as energy companies skidded along with oil prices. The market dropped after President Donald Trump said he cancelled a meeting with North Korean leader Kim Jong Un, but recovered most of those losses.

Crude oil futures and energy companies fell as investors reacted to reports that OPEC nations may start producing more oil.

Banks fell as interest rates edged lower, and car companies including Fiat Chrysler and Toyota dropped as the Trump administration considered tariffs on imported cars and car parts, a move that was criticised by the governments of China, Japan and the European Union.

The Dow Jones industrial average fell as much as 280 points in the morning, more than one percent, after Trump said the June meeting with Kim was off.

In a letter, Trump said he was cancelling the summit because of “tremendous anger and open hostility” in a recent statement by a North Korean official.

Technology companies, which have led the market in recent years, took some of the biggest losses and defense contractors climbed.

The market gradually recovered those losses, and Trump later told reporters that the meeting could still happen in June or later on.

Stocks finished only slightly lower than where they were before Trump’s initial announcement.

THE NEW York Stock Exchange.

Chris Zaccarelli, chief investment officer for the Independent Advisor Alliance, said investors were troubled at first by Trump and Kim’s statements about a possible nuclear war, but they’ve gotten used to it, which means the market doesn’t react as much to their statements.

“The first time the market hears these threats there’s a large reaction and after that there’s less reaction,” he said. “It’s just rhetoric right now and there’s no actual military conflict, (so) these moves are kind of short-lived.”

The S&P 500 index dropped 5.53 points, or 0.2

percent, to 2,727.76. The Dow Jones industrial average lost 75.05 points, or 0.3 percent, to 24,811.76. The Nasdaq composite dipped 1.53 points, less than 0.1 percent, to 7,424.43. The Russell 2000 index of smaller-company stocks edged up 0.61 points to 1,628.22.

Benchmark US crude lost 1.6 percent to $70.71 per barrel in New York. Brent crude, used to price international oils, fell 1.3 percent to $78.79 a barrel in London.

Various news outlets reported that the nations of the OPEC cartel might start producing more oil in response to reduced exports from Venezuela and Iran.

Greater supplies would send prices lower. Energy companies have slipped in recent days as investors anticipated that possibility. On yesterday Exxon Mobil lost 2.3 percent to $80.27 and Chevron dipped 1.6 percent to $126.61.

OPEC and a group of other major oil producers cut production last year in response to a steep drop in oil prices. US crude had fallen from more than $100 a barrel in mid-2014 to as little as $26 a barrel in early 2016. On Monday US crude peaked at $72.24 a barrel, its highest price since late 2014.

The two sides agreed in March after Trump and Kim

traded public insults and threats for months.

Still, defense companies fared better than the rest of the market. Raytheon rose 1.3 percent to $213.94 and Northrop Grumman gained 1.4 percent to $332.81.

Bond prices rose. The yield on the ten-year Treasury note fell to 2.97 percent from 2.99 percent, and banks traded lower. Metals prices also increased as the dollar weakened. Gold gained 1.1 percent to $1,304.40 an ounce and silver jumped 1.7 percent to $16.69 an ounce.

Copper picked up 0.8 percent to $3.10 a pound.

The Trump administration plans to conduct an

investigation into imported vehicles and automotive parts on national security grounds. A European Union official said the proposal would violate World Trade Organization rules and Japan and China also criticized the proposal. Those same grounds are the justification for proposed tariffs on imported aluminum and steel, and the US will decide

by June 1 whether to impose tariffs on steel and aluminum from Europe.

Fiat Chrysler lost 0.9 percent to $22.26 and Tata Motors fell 5.8 percent to $21.09. Toyota shares fell 1.8 percent to $132.44. U.S. rivals Ford rose 1.6 percent to $11.62 and General Motors added 1.4 percent to $38.39.

“I’m hoping that what they’re doing is trying to put a little pressure on the NAFTA negotiations and this will be a way to get Mexico and Canada to agree,” said Zaccarelli, of the Independent Advisor Alliance.

In other energy trading, wholesale gasoline fell 1.2 percent to $2.23 a gallon and heating oil lost one percent to $2.27 a gallon. Natural gas rose 0.9 percent to $2.94 per 1,000 cubic feet.

The dollar fell to 109.28 yen from 110.07 yen. The euro rose to $1.1727 from $1.1698.

Germany’s DAX lost 0.9 percent and the FTSE 100 in Britain fell 0.9 percent as well. The CAC 40 in France shed 0.3 percent. Japan’s Nikkei 225 index fell 1.1 percent and the Kospi in South Korea slipped 0.2 percent.

In Hong Kong, the Hang Seng gained 0.3 percent.

PAGE 10, Friday, May 25, 2018

PROTESTS WORLDWIDE AGAINST US IDEA OF AUTO IMPORT TARIFFS

THE TRIBUNE BEIJING Associated Press

CHINA, Japan and the European Union condemned yesterday the Trump administration’s decision to launch an investigation into whether tariffs are needed on imports of vehicles and automotive parts into the United States.

President Donald Trump invoked a provision authorising the president to restrict imports and impose unlimited tariffs on national security grounds.

The move is seen as an effort to gain a bargaining chip in stalled talks with Canada and Mexico over the North American Free Trade Agreement.

Mexico is the top exporter of passenger vehicles and light trucks to the US followed by Japan, Canada, Germany and South Korea, according to the Department of Commerce.

Japan’s minister of Economy, Trade and Industry, Hiroshige Seko, said Japan, which accounts for about 40 percent of US vehicle imports, will continue to remind US officials that any trade measures must conform to the rules of the World Trade Organization.

If such a measure is taken, “it would be an extremely far-reaching trade sanction that would put the global market into turmoil”, Seko said. “We are extremely concerned.”

Germany’s association of industry groups said auto tariffs would be a “provocation” and “another nasty blow to our economic relations” with the United States. The EU executive said it would be against the rules of global trade.

In Beijing, Commerce Ministry spokesman Gao Feng told reporters that abusing national security provisions would “undermine the multilateral trade system and disrupt the order of international trade”.

“China will pay close attention to the progress

of the US investigation, conduct a comprehensive assessment of the possible impact and firmly defend our legitimate rights and interests,” Gao told reporters at a news conference.

Japanese and European automakers did not issue individual comments but some referred to Global Automakers, based in Washington, an industry group of international automakers. Global Automakers chief executive John Bozzella said the move would merely hurt American consumers.

“The US auto industry is thriving and growing.

Thirteen, soon to be 14 companies, produced nearly 12 million cars and trucks in America last year. To our knowledge, no one is asking for this protection. This path leads inevitably to fewer choices and higher prices for cars and trucks in America,” he said in a statement.

Last week Japan went to the World Trade Organization to warn of possible retaliation for tariffs on steel and aluminum, which Trump imposed in March.

Japan is the only major US ally that was not granted a temporary exemption from the tariffs. Japan estimates they will cost it about 50bn yen ($450m) a year.

China is a relatively minor player in the US auto import market, ranked 10th in dollar terms, but its massive car industry is eager to expand abroad. In auto parts exports to the US, China was ranked second last year.

A person familiar with the discussions said the president has suggested seeking new tariffs of 20 to 25 percent on automobile imports.

Critics fear other countries will retaliate with trade sanctions of their own and question whether the move would ever be effective given the lengthy review required and legal challenges ahead.