business@tribunemedia.net
TUESDAY, JANUARY 30, 2024
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Wynn’s 300 building jobs to ‘far outweigh’ environment impacts By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A $100m, 14-storey Goodman’s Bay penthouse complex will create 300 construction jobs and generate benefits “that far outweigh” the touted limited environmental impact, it has been pledged. The Environmental Impact Assessment (EIA) for Wynn Development’s second phase expansion, unveiled yesterday as part of the consultation process ahead of a February 20 public
GOLDWYNN PENTHOUSES
hearing, asserted that the project will create “much-needed economic stimulus for New Providence” by also creating 30 permanent jobs and new tax earnings for the Government. The report, produced by Russell Craig & Associates, whose lead principal is Christopher Russell, former director of forestry in the Ministry of Environment and Natural Resources, described any “unavoidable negative environmental impact” from the development’s construction and operation as “limited” and said sufficient “mitigation measures”
will be employed to minmise any fall-out even further. “The project construction timeline for the GoldWynn Penthouses is anticipated to be some two years, with a total investment cost of some $100m [and] a far-reaching, long-term beneficial impact on the economy of New Providence,” the EIA said, arguing that it “will further contribute to the economic vibrancy of Cable Beach”. “This is particularly significant given the high-end residential market demands in the Cable Beach area, attracting wealthy
‘No fear of contradiction’ on Govt $500m loan use By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Ministry of Finance’s top official last night denied that a recent $500m loan was used to pay-off a maturing government bond as the Opposition raised renewed concerns over the financing. Simon Wilson, the financial secretary, told Tribune Business he “can say without fear of contradiction” that proceeds from a facility partially-guaranteed by the Inter-American Development Bank (IDB) were not employed to refinance a $300m US dollar bond
t 1SPDFFET AOPU VTFE UP SFQBZ NBUVSJOH N CPOE t #VU (PWFSOPS EFUBJMT ANBKPS 64 EPMMBS EFCU SPMMPWFS t 5PQ PGmDJBM #POE QBJE CFGPSF MPBO NPOJFT HBJOFE due to mature just days later on January 16. This confidence, he explained, came from the fact that the $300m bond’s investors were repaid prior to the Government receiving the monies from the half-a-billion dollar loan, which meant the latter could not have been
the regulator’s latest quarterly economic briefing that the Government had undertaken “refinancing operations” early in the New Year to “rollover significant US dollar debt”. Referring to a slight improvement in the country’s foreign currency reserves during the first weeks of 2024, Mr Rolle said: “Through the end of 2024, the most recent period, the external reserve balances showed a modest rebound from
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Gov’t launches solar ‘Decade of contraction’ ends bid for 100MW in with $50m credit expansion New Providence By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net THE Prime Minister yesterday hailed “a turning point” for the Bahamian energy sector as the Government launched its search for up to 100 Mega Watts (MW) of renewable power for JOBETH New Providence. COLEBY-DAVIS Speaking at the formal unveiling of the bidding process, where his administration will seek offers from independent power producers (IPPs) to supply Bahamas Power & Light (BPL) with electricity generated by solar and other renewable forms, Philip Davis KC reiterated previous pledges by saying: “We didn’t come here to defend the status quo but to change it. “And if there’s one area crying out for urgent and major change, it’s energy. For far too long, high prices and unreliability have hurt Bahamian families and businesses, undermining our progress and our prosperity. We are building a new energy reality for our country – one that is cleaner, more affordable and more reliable.” Promising to deliver on these ambitious goals, Mr Davis added: “Today, we are taking a very big step forward, with an
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By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
THE Central Bank’s governor yesterday revealed “a decade of steady contraction” in lending to the private sector was halted by 2023’s $50.3m credit expansion although mortgage activity remained “subdued”. John Rolle, addressing the regulator’s quarterly economic briefing, said last year saw further improvement in credit market conditions as non-performing loans declined by more than a full percentage point of outstanding credit and the ability of borrowers to service their debts also improved following the COVID-19 pandemic. “Lending to the private sector also expanded further, halting a decade of steady contraction, while the debt servicing capacity of private borrowers was further improved,” he said. “Meanwhile, the inflation rate eased in line with reduced price pressures on imported international goods and services.” The Central Bank revealed that outstanding credit advanced to private borrowers expanded by $50.3m in 2023 as compared to a $127.9m contraction the prior year. However, the growth was driven by
t N QFOUIPVTF UP CPPTU AFDPOPNJD WJCSBODZ t 1MFEHFT AMJNJUFE FGGFDU PO (PPENBO T #BZ BSFB t 3FHVMBUPST NBOEBUF MJHIUJOH UP BTTJTU BJSDSBGU local and foreign clients to purchase the penthouses, contributing to the increased and sustained flow in real property tax and VAT revenues to the Bahamas Government,” the report added.
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Bahamian overseas investments ‘didn’t quite hit’ $250m prediction SIMON WILSON
employed for refinancing this existing debt. Mr Wilson spoke out after the Opposition seized on comments by John Rolle, the Central Bank’s governor, who yesterday seemingly contradicted the position taken by both Mr Wilson and the Ministry of Finance by telling
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consumer (personal) and commercial (business) loans, which expanded by $19.1m and $76.4m, respectively. Mortgage loans, by contrast, contracted by $45.3m. The domestic housing market weakness was acknowledged by Mr Rolle, who also conceded that while the Central Bank’s abolition of the mandatory mortgage indemnity insurance requirement to qualify for a lower down payment would improve access to financing for some home buyers, the longterm solution is to improve jobs and income. “Stimulus to the domestic housing market and building activity through mortgage lending remain subdued,” he said. “With the Central Bank’s December 2023 relaxation of mortgage lending conditions, some added positive impacts are expected over the medium-term, although more significant expansion is more likely to be linked to downstream benefits of future employment and income growth that increase the pool of eligible homeowners.” With foreign exchange flows deemed “healthy”, Mr Rolle added that the Central Bank plans “to support faster growth in domestic credit over the
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By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net BAHAMIAN investments in international stocks, securities and real estate “didn’t quite hit” the predicted $250m mark for 2023 “but came close”, the Central Bank’s governor revealed yesterday. John Rolle, addressing the monetary policy regulator’s first quarter economic briefing, disclosed that overseas portfolio and property purchases via the investment currency market (ICM) exceeded $200m - sum higher that “we would have seen in any era before”. Responding to Tribune Business questions, he suggested that 2024 investment flows via the ICM may decline slightly year-overyear as 2023’s activity was boosted by investors taking advantage of a limited timeframe in which to acquire cut-price Bahamian government bonds denominated in US dollars.
“I think in 2024 the numbers might look a little bit more tempered only because last year there was also a significant amount of activity related to persons who took advantage of the under-priced debt of the Government in US dollars on the market,” Mr Rolle explained. “Last year we would have seen in the investment currency space numbers that look close to a quarter-ofa-billion dollars... We don’t think we quite hit the quarter-of-a-billion dollar mark, which we thought we would have hit, but we came close. We were above the $200m mark, and that would have been more than we would have seen in any era before in the investment currency space.” The investment currency market is frequently used by Bahamians, acting individually or through broker/ dealers and financial advisers, as well as institutions to acquire overseas stocks, securities and real estate.
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PAGE 2, Tuesday, January 30, 2024
THE TRIBUNE
Arawak Cay gains $130k sewage system upgrade By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net A CABINET minister yesterday hailed the $130,000 upgrade of Arawak Cay’s sewerage and pipe infrastructure as a “celebration”. Jomo Campbell, minister of agriculture and marine resources, said the “monumental” achievement will provide for a
more “efficient and sustainable future” for vendors as contracts were signed to upgrade the Water & Sewerage Corporation’s systems at the popular ‘Fish Fry’ destination. “The infrastructure upgrade marks a new era of progress and prosperity for Arawak Cay. The new sewer system has been meticulously designed with longevity in mind. It is constructed using high quality materials that are capable of withstanding the test of
time and resisting corrosion,” the minister added. The lack of a proper sewerage system has impacted Arawak Cay for years, giving the destination an unattractive look and smell. The new sewer system will allow for “increased water flow” to meet peak demand times at the site. Mr Campbell said: “This upgrade reflects the unwavering commitment of this government to invest in the growth and development of Arawak Cay. It is a
testament to the significant role that this community plays in our economy and culture. “By prioritising this improvement, our government acknowledges the importance of fostering a thriving environment that supports business, enhances the quality of life of our residents and tourists alike, and strengthens the Cay’s position as an economic and cultural landmark in The Bahamas.”
Water conservation remains a concern given that many vendors still opt to clean produce in salt water, which makes it difficult to keep areas surrounding the stalls as sanitary as possible. “We hope that this will serve as a catalyst for the growth of businesses, enhance enjoyment at Arawak Cay and solidify the cay’s position as a cultural and economic landmark in The Bahamas,” Mr Campbell said.
JOMO CAMPBELL
QUAKER REMAINS ‘VERY ABACO CHAMBER CHIEF FEARS PORT PPP COSTS STRONG’ DESPITE RECALL By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net THE Quaker brand’s Bahamian wholesale distributor yesterday confirmed it will not drop its products despite recent recalls due to fears some may have become contaminated by salmonella tainting. Jeff Martinborough, Quaker’s brand manager at Thompson Trading, told Tribune Business it remains a “very strong brand” despite recent events. Quaker last week announced an international recall of several of its granola-based products, including the Chewy Yogurt, its Oops All Berries cereal and its Oatmeal Squares cereals. This is the second worldwide recall in as many months that Quaker has issued. The first recall was on December 20, 2023, but Mr Martinborough explained that this latest recall related to one of Quaker’s production plants and does not reflect a serious issue with the entire chain.
“All of those things came from one particular plant and that’s why it’s kind of isolated,” he added. “They first recognised this problem in December. So this seems to be a continuation of what happened in December. They sent the second recall notification on January 10, but basically all of that stuff is off of the shelves. We are not dropping the band. It’s a really good brand.” Thompson Trading had to dispatch employees to ensure the impacted Quaker products were removed from Bahamian retail shelves, which Mr Martinborough described as a tedious process but “it had to be done”. He added: “We got to these stores every day, so when we go there to deliver, at the same time they pick them up. But it’s a lot of work for us because we have to go and get it destroyed, but at least it is a system that we have to do. We have to get refunded. “This is a solid brand. I just came from one of their factories and it’s amazing. They do a lot of stuff to make sure things are safe and there are proper products with quality. So it was amazing.”
By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net
ABACO’S Chamber of Commerce president yesterday voiced concerns that outsourcing the Marsh
Harbour port’s redevelopment to private investors will increase the cost of living on the island. Daphne DeGregory-Miaoulis told Tribune Business that while an upgraded commercial shopping port is essential to
Abaco’s economy it should not come at the expense of local businesses and residents having to pay higher fees to cover the transformation costs. “The lack of a port is not really hindering business, but it’s definitely not
making it convenient or comfortable for freight collection and everything,” she said. “Also, the fact that it’s really not up to international standards, we could be at risk of being shut
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Standards Council holds Board retreat THE Standards Council that governs the Bahamas Bureau of Standards and Quality participated in a one-day Board retreat last Thursday at the Margaritaville Beach Resort. The event was held under the theme, ‘SEE in 2024 strategise, execute, elevate’. Its purpose was to set the Council and Bureau’s direction for 2024 through training and various discussions. In attendance were Dr Renae Ferguson-Bufford, the Bureau’s executive director (third right); Pauline V. Curry, Standards Council (BBSQ) chairwoman ((centre); Cadrington Coleby, deputy chairman; Angela Rolle, recording secretary; Simone Bethell, councilwoman; Arnaldo Basden, councilman; A. Sherrell Knowles, executive assistant; and Corlette Deveaux Photo:Mark Ford/BIS
THE TRIBUNE
Tuesday, January 30, 2024, PAGE 3
Bahamas to grow ‘in low 2% range’ in ‘24 By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net IMPROVEMENTS to workforce productivity and the ease of doing business are critical to boosting economic output with Bahamian GDP forecast to expand in "the low 2 percent range" in 2024. John Rolle, the Central Bank's governor, yesterday said better performance in those two areas is essential "to increase the economy's growth potential" as The Bahamas slowly reverts to the annual average 1-2 percent gross domestic product (GDP) growth it had become used to prior to the COVID-19 pandemic. With the economy having "recovered beyond its pre-pandemic levels" in 2023, driven by surging tourism and foreign direct investment, he told the regulator's quarterly economic briefing: "In 2023, it is estimated that the economy grew in the 4 percent range, which is a levelling off from the significant post-pandemic recovery of around 14 percent in 2022. "This captured a very robust boost in the cruise sector’s contribution, a
JOHN ROLLE completion of the occupancy recovery in the stopover sector and healthy appreciation in the average pricing for stopover accommodations among both hotels and vacation rental properties. "In 2024, the growth is expected to be within the low 2 percent range - still moderately above the estimate of the economy’s medium-term potential. In this regard, along with sustained marketing efforts, the momentum in the hotel sector, where room availability is still temporarily reduced, remains contingent on how occupancy rates and pricing strengthen.
"The vacation rental segment, meanwhile, has more growth headroom from both occupancy and pricing gains, and cruise market prospects remain robust." Mr Rolle's GDP growth estimate sits squarely between, and in line with, the recent 2.3 percent and 1.8 percent projections by the International Monetary Fund (IMF) and the World Bank, respectively. And he suggested that The Bahamas could still enjoy a period of "accelerated" growth in the future once hotel industry room inventories are restored to full capacity so that they can fully accommodate high visitor demand. "The Central Bank expects that growth in 2024 and beyond will settle further to more closely resemble The Bahamas’ longer term potential, although a future period of acceleration could occur after hotel capacity is replenished in New Providence," the Governor added. "With credit expansion likely strengthened, the external reserves and bank liquidity levels could moderate, though both remaining very robust. In the meantime, the
environment is also supportive of continued reduction in the fiscal deficit and of more local currency sourcing of the residual net financing needs "While the Central Bank's monetary policy stance is to continue to accommodate firmer credit growth, there is still room for vigilance given the downside risks to the international economy - most notably in the form of the the wars in Eastern Europe and the Middle East, which could impede tourism and lead to a protracted fight against inflation." Meanwhile, the Central Bank yesterday said approval had been given by the Government for "the revised master plan" for Royal Caribbean's beach club on Paradise Island, which is now valued at $165m. Walker's Cay Landholding, meanwhile, has been given approval for a $200m phase two expansion that will employ 300 workers with another 150 added as the project progresses. The project's location was not identified, but it is likely Walker's Cay, the property owned by investor and underwater treasure explorer, Carl Allen. The
development will feature condo cottages, glamping facilities and other amenities. As for tourism's 2023 performance, the Central Bank said: "The most recent data provided by the Nassau Airport Development Company (NAD) indicated that total departures in December, net of domestic passengers, increased by 12.9 percent to 140,000 compared to the same period last year. "Notably, US departures [through Lynden Pindling International Airport] grew by 12.6 percent to 120,000 visitors, while non-US departures advanced by 14.2 percent to 20,000 relative to the previous year. On an annual basis, total outbound traffic expanded by 22.9 percent to approximately 1.6m passengers. "In particular, US departures rose by 23 percent to 1.38m visitors vis-a-vis the same period in 2022. Likewise, non-US departures trended upward by 21.7 percent to 220,000 visitors relative to the comparative period last year." Elsewhere, the Central Bank added: "In the short-term vacation rental market, however, provisional data provided by
AirDNA showed that in December total room nights sold fell by 4.4 percent to 163,172 from 170,701 in December 2022. "Underpinning this outturn, the occupancy rates for both entire place and hotel comparable listings reduced to 50.1 percent and 50.3 percent, respectively, when compared to 59.6 percent and 58.1 percent in the previous year. "Similarly, price indicators revealed that year-over-year, the average daily room rate (ADR) for entire place listings decreased by 3.5 percent to $536.69. In a slight offset, the ADR for hotel comparable listings increased by 2.5 percent to $192.49." The regulator continued: "For the full year, total room nights sold grew by 23.8 percent, reflective of a 28.5 percent growth in hotel comparable bookings and a 23.3 percent gain in entire place bookings. Further, the ADR for respective entire place and hotel comparable listings rose by 6.8 percent and by 4.7 percent. "In addition, occupancy rates for hotel comparable listing and entire place listings improved by 7.7 percent and by 6 percent, respectively."
‘Decade of contraction’ ends with $50m credit expansion FROM PAGE B1 medium-term, particularly in the private sector. “The domestic environment will also support more increased net financing of the Government’s deficit in local currency. As a result, it is projected that the increased spending stimulated by credit could lead to additional reduction in the external reserves, although not to any levels that would endanger the level of reserves needed to support the currency peg,” he said. The Central Bank governor said evidence that The Bahamas’ economic recovery has reached “a more mature state”, with GDP output recovering beyond pre-COVID levels, lay in the minimal increases in foreign exchange inflows and outflows experienced through the banking sector in 2023. “Total foreign currency inflows through the banking sector rose very mildly by only half a percentage point to an estimated $7.2bn in 2023,” Mr Rolle said. “The recovery pace of such inflows in 2022 was 34 percent. “Although these measured flows can understate the actual volume of activities, due to leakages and potential diversion of some private revenues that never reach the local economy, the recorded transactions still significantly reveal the domestic impact though expenses, including wages taxes other costs that sustain the local presence of business enterprises. “On the outflows side, foreign currency demand also strengthened at a sharply moderated pace of about 1.5 percent to an estimated level close to $7.1bn in 2023. Extending private sector transactions
to their impact on reserves, the commercial banks’ net purchase of foreign exchange from the public was significantly reduced in 2023, and consequently commercial banks’ net sale of foreign exchange to the Central Bank was almost unchanged from 2022,” the Governor added. “The Central Bank’s external reserves, however, decreased by almost $250m in 2023 because of a strong reversal in net transactions with the public sector to net sale of $360m as opposed to a net purchase of $206m in 2022. “The reason for this difference was that the Government was able to reduce its net reliance on foreign currency borrowing, which had contributed to the net foreign exchange sales to the Central Bank in 2022, and there is nothing that is concerning or upsetting about such trends.” As for credit, Mr Rolle added: “Commercial banks’ lending to the private sector recovered further in 2023. This is a sign that conditions for lending have become more favourable, with more strengthening expected in 2024. That said, the increase in 2023 was for only consumers loans and business lending, with a reduction still seen for residential mortgages. “The credit delinquency rates also continued to fall. In particular, the proportion of total private sector loans that were three months or longer past due with payments decreased to 6.6 percent by December 2023 from 7.7 percent at the end of 2022. Those are typically what we refer to as the non-performing loans ratio. This pattern of reduction is expected to continue in 2024.”
DPM Hon. I. Chester Cooper speaks to BAMSI Graduates during their graduation ceremony.
DPM urges nature guides to use sustainable trends THE deputy prime minister yesterday urged graduating fishing guides to exploit the fact that up to 76 percent of visitors show an interest in sustainable tourism. Chester Cooper, minister of tourism, investments and aviation, speaking at the Bahamas Agricultural and Marine Science Institute's (BAMSI) graduation ceremony for nature guides also pointed to data showing that the Bahamian flats fishing industry generated a $169m impact in 2021. “As of 2021, researcher Justin Lewis, affiliated with the Bonefish and Tarpon Trust and The Bahamas Initiative, estimated that the
revenue derived from flats fishing across The Bahamas amounted to an impressive $169m. Additionally, data from the Ministry of Tourism, Investments & Aviation shows that in 2022 flats fishermen in Andros alone made a direct contribution of around $25m to the economy," he said. “Our studies indicate that 76 percent of our visitors are interested in sustainable tourism – exploring, enjoying, and studying the flora and fauna, exploration and adventure in our creeks, blue holes and waterways, snorkelling, farm-to-thetable, catch-n-release, flats fishing and game-fishing.”
The graduates were the first the attain the National Guide Certification to become licensed nature tour operators. Mr Cooper said more than 95 percent of the graduates were from Andros, and that the certification will allow them to "carve out a distinctive niche" in the nature tourism industry. He said: “Graduates, I note that 95 percent of you are from Andros and the remainder of you are from as far as Inagua, and also Abaco, Long Island and Harbour Island. “Your attainment of national certification as flats fishing and nature tour guides means you now have
the capacity to carve out a distinctive niche within the nature-based tourism arena.” The National Guide Certification was a collaborative effort between BAMSI, the Ministry of Agriculture and Marine Resources and the Ministry of Tourism. Mr Cooper said as nature-based tourism is in high demand the certification will allow graduates to become entrepreneurs while developing the tourism product. He said: “You can not only now better protect the environment, but you can also grow our tourism industry. The nature-based sector is seeing high demand from visitors. This certification gives you the capacity to create businesses of your own and contribute to the development of your communities and country.”
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THE TRIBUNE
WYNN’S 300 BUILDING JOBS TO ‘FAR OUTWEIGH’ ENVIRONMENT IMPACTS FROM PAGE B1 “The projected construction jobs are estimated at 300 persons. A projection of 30 permanent jobs for the operations of the penthouses will have a multiplier effect on the workforce by reducing unemployment rates on New Providence.” The scale of that unemployment reduction was not specified, but the EIA study added further: “The GoldWynn Penthouses project site, situated on the pristine beach in the vicinity of Goodman’s Bay, offers an excellent opportunity for sustainable development of a residential penthouses’ investment. “The project, with its investment of some $100m, is expected to generate much-needed economic stimulus for New Providence - construction jobs, permanent jobs and entrepreneurial activities. The project benefits far outweigh any limited unavoidable negative environmental impact identified. “Employment of best management practices, having regard to national environmental legislation and international conventions and standards,
will ensure the project is developed and becomes operational in a sustainable manner. Utilising the mitigation measures will guarantee that any negative impacts identified are reduced/ or are mitigated and are sustained.” The environmental approvals process, which is overseen by the Department of Environmental Planning and Protection (DEPP), and the obtaining of a certificate of environmental clearance (CEC) is - for the moment at least - likely to be the last regulatory and permitting hurdle for Wynn to overcome before it can proceed with construction work. The developer obtained the necessary go-ahead from the Town Planning Committee in early November 2023, which resolved to grant it site plan application approval after it “satisfied” long-standing parking concerns in the Goodman’s Bay area. However, Ed Hoffer, whose property will border Wynn’s penthouses on the eastern boundary, was among the project’s most vocal opponents at the Town Planning hearing and he is likely to appeal the Committee’s decision to the
Planning and Subdivision Appeals Board. Meanwhile, a notice announcing the EIA consultation revealed that the February 20 public hearing will take place in a meeting room at Wynn’s existing GoldWynn resort at Goodman’s Bay, which is adjacent to the development site. One observer, speaking on condition of anonymity, yesterday queried the venue choice on the basis that other EIA hearings have had to find neutral locations such as schools. Detailing the specifics of Wynn’s plans, the EIA said: “The Penthouses envisage a 14-storey edifice (210 feet height) comprising 40 spacious penthouse units. The ground first floor will be a parking lot for 38 parking slots – 1.5 per person - and 14 slots in the front of building, and an infinity pool, reflecting a much lower overall density and footprint than the original building to the west. “Moreover, the penthouses will be strictly residential, with no hotel, commercial or food and beverage elements. There will be a buffer of at least 25 feet between the subject property development and
that of the property owner to the east [Mr Hoffer]. “On site there is an existing residential building constructed in 1984. The penthouse development plans call for the demolition of this building..... With respect to parking issues, there will be off-site parking for construction workers during the construction phase,” the report added. “Despite parking spaces being less than what is usually required, the prospective owners will be predominately second home owners, so it is not anticipated that there will ever be full occupancy at the complex [with] a maximum of 40 parking spaces.” A new seawall will be constructed to prevent coastal erosion during tropical storms and hurricanes, and the EIA added: “In accordance with Civil Aviation Authority Regulations 2021, the building will have intensity obstacle roof top lighting during construction. The Civil Aviation Authority Bahamas offered ‘no objections’ to the construction of the building subject to compliance with the 2021 regulations.” Alexander Ferguson, the Civil Aviation Authority
Bahamas director-general, in that ‘no objection’ letter of October 10, 2023, disclosed that the Government’s Investments Board (really the Cabinet or a Cabinet sub-committee) had given the GoldWynn penthouse project an approval letter on August 31, 2022. “We have reviewed the information provided and determined that, as the proposed development has a height of 210 feet (64 metres) it will require obstacle roof-top lighting in accordance with the Civil Aviation Regulations 2021,” Mr Ferguson told Randy Hart, Wynn’s vice-president. “The distance from the airport is just at the limitations of the Obstacle Limitation Surface (OLS) for a non-instrument runway. Therefore, the lighting requirement is mandatory. The Civil Aviation Authority Bahamas has no objection to the construction of the building, but Wynn Development must provide the Authority with the assurance that they will include the required intensity obstacle lighting during construction and diagrams/plans confirming compliance.”
The EIA also pledged that Wynn will contribute to further improvements to the Goodman’s Bay area. “The developer has also demonstrated its commitment as a responsible developer by providing voluntary routine cleaning of the public beach at Goodman’s Bay Park,” it added. “Moreover, the developer is in ongoing discussions with the Ministry of Public Works and Bahamas Public Parks and Public Beaches Authority to enhance the road median, verges, roundabout at Goodman’s Bay neighbourhood at its expense with ambitious beautification, landscaping and improvement projects, which includes beautification of road verges near to the Office of the Prime Minister. “This activity will offset the removal of vegetation on the lots subject to development of the penthouses..... As there will be no construction on the coastal/ marine environment, it is projected that there will be no negative impact on these ecosystems in the medium to long-term - no marina development, no sediment and run-off.”
to structure a lendBahamian overseas investments ‘didn’t quite hit’ $250m prediction want ing agreement even if they are not traditional financial
FROM PAGE B1 The premium on investment currency market purchases of foreign currency was previously lowered to 5 percent, and has remained there for several years, helping to encourage activity. Mr Rolle, meanwhile foreshadowed further liberalisation and easing of the administrative functions surrounding The Bahamas’ foreign exchange regime, with a focus on “defining limits” for how much overseas currency individuals can access via commercial banks without having to obtain the Central Bank’s approval first.
“The Central Bank is also taking a very cautious and measured approach to further liberalisation of exchange control measures. After the forthcoming consultation with the Government, we anticipate a further shift in delegated responsibility for investment currency market transactions to commercial banks, and some increased delegation for commercial banks to approve other foreign exchange transactions,” the Governor explained. Responding to further Tribune Business questions on the issue, Mr Rolle added: “The emphasis is on shifting the system even more in the direction
of individuals being able to go directly to commercial banks to complete transactions without getting initial approval from the Central Bank. “We are going to look at how we can define limits even for investment currency that the commercial banks can facilitate for individuals, and there are certain categories of noninvestment transactions - what we typically refer to as current account transactions - where there’s room to allow commercial banks to operate with higher approval limits. “Again, the intention there would be there’s less need for individuals to
come to the Central Bank for prior approvals.” Elsewhere, Mr Rolle said “very good progress has been made” in advancing plans to establish a Bahamian mobile collateral assets registry, with recent “tidying up” revolving around the roles and ownership interest that both the Central Bank and the Government will have. “We’ve had very good progress on the mobile collateral asset registry,” he added. “We are at the stage where very soon we should be able to have a public consultation on the draft legislation. A part of the tidying up to this point was continuing to define the role of the Central Bank in a future registry against some of the other registries that exist in The Bahamas under the Government’s purview. “We have been having these conversations with the Registrar General’s Department and the Attorney General’s Office, and we believe we have arrived at a good medium in terms of how the Government can also play a role in what the structure and ownership of the register looks like. That’s ahead of us. “We should be progressing beyond this point with the Government’s involvement into how we specify the build-out of the registry as well as how the Government and the Central Bank look to identify who can provide the technology.”
The effort to develop a mobile collateral asset registry in The Bahamas is now into its fourth year given that the project was initially unveiled in December 2020. Its creation would enable businesses and individuals to pledge “moveable assets” as security for bank loans and other forms of credit, while lenders could record and secure their interest over vehicles and any assets pledged as loan collateral. Asked by Tribune Business about the benefits a mobile collateral asset registry would bring, Mr Rolle replied: “It’s almost impossible to quantify, but the prospects are very positive because it does not limit the kind of assets or collateral that individuals can use as long as they are quantifiable and can be registered and secured. “Most people think about accounts receivables, but even with categories of intellectual property or anywhere there is a structure with revenue potential there is going to be a means to register those assets and collateralise them where necessary to obtain credit. “In addition, a collateral assets register would allow even certain categories of financial assets - even investment instruments - to be tabled as security for credit, so it does really expand the range of possibilities and it affords that access both to traditional lenders and also to any two parties that might
institutions.” Elsewhere, Mr Rolle said the credit bureau has “been making progress in terms of getting the credit unions up to standard to begin to provide data” on borrowers in the format that is required. While there “are some residual pockets of stakeholders where the credit bureau is working to get them fully on board”, the Governor added that the major lenders - the banks - are all providing the necessary data and also starting to use the reports provided to them to assess borrower creditworthiness. Mr Rolle said the Central Bank also plans to start “deepening the interaction with commercial banks” over the roll-out of the Bahamian digital dollar, the Sand Dollar, as it starts “to set targets to improve the overall experience in terms of the speed and timeliness of retail payments”. While conceding that the process was “slightly off schedule”, he added that Central Bank expects to complete application upgrades during the 2024 first quarter that will allow persons to “more directly onboard” to Sand Dollar via their mobile wallet accounts. And individual payment providers still have to enable their systems to accommodate the “two-way flow” in and out of mobile wallets.
THE TRIBUNE
Tuesday, January 30, 2024, PAGE 5
‘No fear of contradiction’ on Govt $500m loan use FROM PAGE B1 the end of 2023 to close at about $2.75bn. “This was mainly due to the timing in the Government’s recent US dollar refinancing operations since December, which paid off some overdraft balances with local lenders and which helped to rollover significant US dollar debt.” Mr Rolle did not identify the nature of the “US dollar refinancing” he was referring to but the only such “operation” that has been made public was the $500m, ten-year loan that is partially backed by the IDB’s policy-based loan guarantee. Thus the Opposition immediately challenged whether the Governor has contradicted the Ministry of Finance over how the loan proceeds have been used. Kwasi Thompson, the Opposition’s finance spokesman, in a statement said: “The Opposition notes the assessment today by the governor of the Central Bank regarding the Bahamian economic, monetary and fiscal performance for 2023, and his comments regarding government debt financing for the month of January 2024. “The Governor indicated that the foreign reserves for the month of January have been buoyed through what he described as the
Government’s US dollar financing operations (borrowings), which were used to pay off bank overdrafts and to help ‘rollover significant US dollar debt’. “As far as the Opposition is aware, and the Government has publicly disclosed, the only major foreign currency financing done by the Government in January was the $500m IDB-supported loan. However, we recall that the financial secretary emphasised in a Tribune Business story of January 18 that the funds ‘could not be used’ for refinancing or to roll over debt,” Mr Thompson added. “Was there any other major external financing obtained by the Government this month? If not, how were the funds used to roll over debt when it was stated that these funds could not be used this way? “The Opposition has previously called on the Government, and the leader of the Opposition, Michael Pintard, has written to the Prime Minister to request the terms and conditions of this $500m loan including the interest rates, the limitations on the use of funds and the policy conditions that the Government agreed to in order to obtain the IDB support.” Mr Wilson, though, last night stuck to his and the Ministry of Finance’s
position that it was impossible for the $500m loan proceeds to be used to repay the $300m bond as the latter had already matured prior to receiving the monies from the new ten-year facility. “Let me put it this way. The proceeds were not used to refinance debt,” Mr Wilson told Tribune Business. “We paid the debt [the $300m bond] prior to receiving the loan proceeds. That was paid out prior to receiving the proceeds of the loan. I can say that without any fear of contradiction. It wasn’t used to repay that debt.” Asked how the Government repaid bond investors, the financial secretary added: “We had funds available. We had set aside funds to retire the bond, partly from our sinking funds and we had other lines of credit we could pull down.” The Ministry of Finance issued its release on the $500m loan, up to 40 percent of which is “initially” covered by the IDB’s policy-based guarantee for both principal and interest payments, on Friday, January 12. The Government’s $300m US dollar bond was due to mature just four days later, and the timing has likely raised suspicions that one is to refinance the other.
Mr Pintard, the Opposition’s leader, also yesterday returned to the attack by demanding that the Government provide full disclosure on the $500m loan’s terms and costs, including the attached interest rates, as well as the policy actions that The Bahamas has agreed to implement in return for the IDB guarantee. “We understand that this facility is a ten-year loan that is underwritten by one or more private banks supported by a partial guarantee from the IDB through a policy-based guarantee,” Mr Pintard wrote in a January 29, 2024, letter to Prime Minister Philip Davis that he shared with the media. “In your press release, and in subsequent follow up queries by the press, you and your ministry failed to provide the full terms of the loan. We do not know the interest rates and costs. We also do not know what policy measures the Government was required to fulfill or commit to as a condition of IDB support. “We remind you that you are committing the Bahamian people to pay the interest and principal on a half a billion dollars worth of loans. The Bahamian people must know the terms.” And Mr Pintard also called for the Government to provide clear
details on how the $500m loan proceeds will be used. “We also require full disclosure on the use of these proceeds. The financial secretary has insisted in the press that none of these funds can be and will be used for debt financing or debt rollover,” the Free National Movement (FNM) leader said. “Yet the press release from the Ministry of Finance pointed to the facility being used to extend loan maturities and improve financing costs. “The release also mentioned that these proceeds represented over half of the external financing requirements. A review of your administration’s annual borrowing plan shows that more than 85 percent of all external financing for the fiscal year is solely to roll over existing debts. These statements and obligations suggest that these IDBsupported loan funds were intended to be used in rolling over existing debts. “Thus, given the apparent contradictory positions offered by the Ministry of Finance, we do require that the ministry provide clarification on the full use of the loan proceeds as well as how the ministry intends to obtain funding to roll over the $800m-plus in external debt that comes due this fiscal year beginning this month.”
Gov’t launches solar bid for 100MW in New Providence FROM PAGE B1 are taking a very big step forward, with an RFP (request for proposal) for significant solar energy infrastructure - up to 100 MW - in New Providence. “This request for proposal is a very important component of our larger reforms to the energy sector, which feature massive investments and upgrades in how we generate and store energy. Along with new solar energy in New Providence, we are significantly expanding the use of solar energy on our Family Islands. “I don’t think it’s an exaggeration to say that these energy reforms represent
a turning point for The Bahamas. We are showing that in The Bahamas, yes, we can harness the sun’s abundant energy, reduce our reliance on imported fuels and take charge of our energy future. Powering more of our energy needs with the sun aligns with our values, our economic needs, and our environmental responsibilities.” Mr Davis also pledged that, when it came to The Bahamas’ renewable energy roll-out, “Bahamian opportunities come first”. He added: “We’re committed to ensuring these developments bring jobs, technology and skills training to our shores.”
Jobeth Coleby Davis, minister of energy and transport, said the Government is seeking bids that will generate between 60 MW to 100 MW of renewable energy throughout New Providence. Unveiling similar goals to the previously announced Family Islands renewable energy tender, she said: “With this RFP, the Government is working alongside Bahamas Power & Light to explore responsible energy generation and usage within the domestic energy sector through this major and unprecedented RFP. “Our RFP invites IPPs, independent power
producers, to propose renewable energy projects on New Providence. The total capacity of the project shall be a minimum of 60 MW to a maximum of 100 MW. The Government has earmarked several potential locations for these projects. The locations are Blue Hills, CV Bethel, Carmichael Village, Coral Harbour and Gladstone Road Freight Terminal.” Mrs Coleby Davis explained that the RFP will allow New Providence to have a more resilient and sustainable energy supply, and invited experienced firms to participate in the bidding process.
She added: “The goal of the RFP is to create more independence in energy generation on New Providence utilising clean fuel and renewables. “To fulfill this objective the Government is calling on stakeholders to join hands and help us to keep building a more resilient and sustainable nature. We invite world-class firms with proven experience to participate in the bidding process to provide our people with better and more affordable connectivity. “This RFP represents an historic opportunity for The Bahamas to lead in sustainable energy generation, reduce carbon emissions
The Ministry of Finance’s reference to “extending loan maturities and improving financing costs” could mean the impact of the $500m loan, rather than a refinancing of existing debt. The same release, issued on January 12, also pledged that the proceeds would be used “to fund eligible budgetary expenses, such as infrastructure, education and social welfare projects”. This suggests the monies represent net new debt, and both Mr Wilson and the Ministry of Finance have stuck to this position subsequently. This, too, is consistent with typical IDB loan covenant requirements in that policy-based guarantees are not used to support refinancings or debt rollovers. “This is a policy-based loan,” one source, speaking on condition of anonymity, said of the IDB-backed financing. What are the policy commitments that the Government has pledged to to gain access to the funding? We have to meet the policy commitments. Did we, for example, have to pass the Ombudsman Bill? That’s an open question. We still don’t know the terms.” and secure a brighter future for its citizens.” Mrs Coleby Davis added that bidders must meet certain experience and qualification standards to be eligible to participate. She said: “To be eligible for evaluation all firms must meet specific experience and qualification standards including microgrid renewable energy facility construction capability, and a clear warranty policy is essential for ensuring the performance of proposed equipment.” Site tours for the proposed locations will run from February 12-18. Bidder questions are due by February 23, and the deadline to submit proposals is March 28, 2024.
Abaco Chamber chief US GOVERNMENT PULLS SOME OF VENEZUELA'S SANCTIONS RELIEF AFTER fears port PPP costs COURT BLOCKS OPPOSITION CANDIDATE FROM PAGE B2
By REGINA GARCIA CANO Associated Press THE U.S. government on Monday pulled back part of the sanctions relief it granted Venezuela last year, following through on its threat after the South American country's highest court blocked the presidential candidacy of an opposition leader. The Department of the Treasury gave companies transacting with Venezuela's state-owned mining company until Feb. 13 to wind down operations. The department had allowed transactions with the mining company in October after President Nicolás Maduro's government agreed to level the playing field ahead of this year's presidential election. On Friday, however, the prospect of a free presidential election was dealt a heavy blow when the country's highest court upheld a ban on the candidacy of María Corina Machado, a
longtime government foe and winner of the primary held by the U.S.-backed opposition faction. Machado, a former lawmaker, won the opposition's independently run presidential primary with more than 90% of the votes. Her victory came despite the government announcing a 15-year ban on her running for office just days after she formally entered the race in June. The longtime government foe was able to participate because the primary was organized by a commission independent of Venezuela's electoral authorities. Machado insisted throughout the campaign that she never received official notification of the ban. In December, Machado filed a claim with the tribunal, Venezuela's highest court, arguing the ban was null and void and seeking an injunction to protect her political rights. Instead, the court on Friday upheld the ban, which alleges fraud and tax violations and
accuses her of seeking the economic sanctions the U.S. imposed on Venezuela in the last decade. Machado on Monday called the court ruling blocking her presidential candidacy last week "judicial criminality" and vowed to stay in the race, declaring that the decision embodies the ruling party's fear of having to face her at the polls. Machado, surrounded by supporters and other opposition leaders, told reporters she expects government repression to increase against her and her team, because it is "the only tool they have left" to stop adversaries. But, she said, "the best option" for Maduro and his allies is "to negotiate with us a peaceful transition."
down. I would think if we’re not compliant with proper security, and that sort of thing, it could present a problem.” The Government last year launched a formal bidding process, via a Request for Proposals (RFPs), seeking qualified companies and investor groups willing to finance the redevelopment, operation and management of both the Marsh Harbour and North Abaco ports through public-private partnership arrangements. The Marsh Harbour port, the main gateway for seaborne freight and imports, has yet to recover from the devastation inflicted by Hurricane Dorian in September 2019. Mrs DeGregory-Miaoulis said: “I would think over four years is too long, but then there are lots of things to consider. I wouldn’t want
NOTICE EYRE LIMITED NOTICE IS HEREBY GIVEN that pursuant to section 138 (8) of the International Business Companies Act 2000 the dissolution of Eyre Limited has been completed and the company has been struck from the Register on the 29th day of December, 2023.
OPPOSITION coalition presidential hopeful Maria Corina Machado gives a press conference outside her campaign headquarters in Caracas, Venezuela, Monday, Jan. 29, 2024, days after the country’s highest court upheld a ban on her presidential candidacy. Photo:Ariana Cubillos/AP
Delco Investments Ltd. Liquidator
to have to build it and make revisions because they don’t meet the standards. It’s a big, big contract.” The Abaco Chamber president said she is concerned Abaco could end up with a “frightening” PPP deal that may be too expensive for residents and businesses to maintain especially if the investors seek to recover their costs, and generate a profit return, by raising fees and charges levied on port users. “Abaco businesses are concerned about the rise in cost that will inevitably be pushed on us to repay the PPP,” she added. “We cannot afford to absorb any further taxation of any kind. The cost of materials has already skyrocketed and the rebuild is far from over for Abaco. “We are dependent, as are all the islands in The Bahamas, on imports. So
to think that we’re going to have to absorb another increase added to our already expensive cost of production and the cost of materials and supplies, that is frightening. “So I’m hoping that this repayment schedule that is negotiated is longterm enough that they’re not looking to recoup this money in any short-term period that puts a heavy burden on an already heavily-taxed situation. Any additional taxation will only “slow down an already slow rebuild process” as many Abaconians are “still struggling” post Dorian,” Mrs DeGregory-Miaoulis said.
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THE TRIBUNE
INVESTIGATORS DETAIL HOW AN AMERICAN AIRLINES JET CROSSED A RUNWAY IN FRONT OF A DELTA PLANE AT JFK A VEHICLE stops at Terminal 1 at John F. Kennedy International Airport in New York, Feb. 17, 2023. The pilots of an American Airlines plane taxied across the wrong runway last year in New York — into the path of another jetliner that was taking off — after the captain became distracted and confused about takeoff instructions and the co-pilot lost track of their plane’s location, according to documents released Monday, Jan. 29, 2024. Photo:Seth Wenig/AP
By DAVID KOENIG and TOM KRISHER Associated Press The pilots of an American Airlines plane taxied across the wrong runway last year in New York — into the path of another jetliner that was taking off — after the captain became distracted and confused about takeoff instructions and the co-pilot lost track of their plane’s location, according to documents released Monday. Disaster was averted because an air traffic controller — using an expletive — shouted at pilots of the other plane, a Delta Air Lines flight, to abort their takeoff. The National Transportation Safety Board released documents related to its investigation of the Jan. 13, 2023, incident at John F. Kennedy International Airport. The investigation is continuing, and the board said it has not yet determined a probable cause for the close call. The nighttime incident was among several close calls at U.S. airports that alarmed the public and lawmakers and led the Federal Aviation Administration to hold a “safety summit” last year. The pilots of the Londonbound American Airlines
Boeing 777 took a wrong turn on a taxiway alongside two perpendicular runways. The crew had first planned for a takeoff from runway 31L. However, they later got instructions from a controller and a message on their cockpit computer telling them to taxi across 31L and take off from runway 4L. In later interviews, “all three pilots (on the American Airlines plane) said they understood at that time that (the flight) would be departing runway 4L,” according to the NTSB. Instead, they crossed 4L just as a Delta Boeing 737
began its takeoff roll down the same runway. The captain, Michael Graber, said that as the plane crossed the middle of runway 4L, he saw red runway lights turn on — the lights warn pilots when it’s not safe to be on the runway. “All of a sudden I saw that red glow and I just — right away I said something — that ain’t right,” he told investigators. “I didn’t know what was happening, but I was thinking something’s wrong.” The captain added power to speed across.
Graber told investigators that he heard and understood the directions from the controller but got distracted by a heavy workload and, in his mind, might have gone back to thinking they were taking off from the other runway. The co-pilot, Traci Gonzalez, said she knew the entire time that they were supposed to cross runway 31L, “but she was unaware of the airplane’s position when the captain taxied onto runway 4L,” investigators wrote. “She knew they were approaching a runway, but she did not realize they
NOTICE
NOTICE
NOTICE is hereby given that ANGELA DREKE SALGADO of P.O Box N-8940 Old Fort Bay, Charlotte Island, Nassau, The Bahamas 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 23th day of January 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.
NOTICE is hereby given that INODY CATY of P.O Box CR56501 Gibbs Corner off East Street, Forbes Street, Nassau, The Bahamas 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 23th day of January 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.
were approaching runway 4L.” The co-pilot also blamed distractions, including an unusually high number of weather alerts. The third person in the cockpit, Jeffrey Wagner, a relief pilot for the long international flight, said he was “heads down” and didn’t know where the plane was as it taxied on to the runway. He said that when they crossed the wrong runway and he saw a plane to his right, he initially thought it might be taxiing behind them. The Delta pilots, warned by the air traffic controller, were able to brake to a stop. The planes were never closer than about 1,000 feet (300 meters) apart — not a
comforting margin in aviation-safety terms. A controller warned the American crew about a “possible pilot deviation,” and gave them a phone number to call, which the captain did. After a delay, they took off for London — this time on runway 31L. The crew did not report the incident to American Airlines before taking off. The cockpit voice recording from inside the American plane was taped over during the six-hour flight to London and lost forever. Investigators said they tried several times to interview the American pilots, but the pilots refused on advice of their union, which objected to the NTSB recording the interviews.
PUBLIC NOTICE INTENT TO CHANGE NAME BY DEED POLL The Public is hereby advised that I, BYRAN TYREKE HEADLEY, of P.O. Box GT-2370 #10 Porkfish Road off Soldier Road, Paradise Island, Nassau, The Bahamas, intend to change my name to BYRAN TYREKE KNOWLES. If there are any objections to this change of name by Deed Poll, you may write such objections to the Chief Passport Officer, P.O.Box N-742, Nassau, The Bahamas no later than thirty (30) days after the date of publication of this notice.
NOTICE NOTICE is hereby given that SHAKAN CAMEIL NANNO of P. O. Box GT-2428, King Street, Market Street, 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 30th day of January, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.
NOTICE NOTICE is hereby given that BENNCE PIERRE of P. O. Box SS-19175, Farrington Road, 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 23rd day of January, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.
NOTICE NOTICE is hereby given that SASHANA BEANIKA SMITH of Marshall Road, 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 30th day of January, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.
NOTICE NOTICE is hereby given that NICKAYLA JANEEL RODNEY of P.O Box SB-52803 Nassau Village, Forbes Street, Nassau, The Bahamas 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 23th day of January 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.