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50% fear or pay bribes for building and import permits

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

FIFTY percent of Bahamian companies seeking construction and import-related permits say they have either been asked, or expect, to pay a bribe to obtain the required approvals, it has been revealed.

The Inter-American Development Bank’s (IDB) newly-released 2024-2028 country strategy for The Bahamas, which has been obtained by Tribune Business, said the results from a survey of the private sector showed actual graft as well as corruption perceptions continue to undermine the cost and integrity associated with conducting business in this nation.

The strategy document, warning that the quality and enforcement of regulations is still endangering the ease of doing business in The Bahamas, added that the findings

of its Innovation Firm Performance Gender (IFPG) survey showed some 49 percent of firms applying for construction permits either parted with, or expected to make, “an informal gift or payment” to obtain the approval. For companies seeking import-related licences, the IDB country strategy said the percentage either paying, or believing they would have to pay, bribes increased to 56 percent or more than half the respondents. “Support for an improved business climate

could improve competitiveness and spur innovation in both the traditional tourism sector and potential new sectors,” the strategy report said.

“The quality and enforcement of regulations represent obstacles to conducting business. Bahamian firms participating in the IFPG survey reported on average that obtaining a construction-related permit took them 56 days, an operating licence, 21 days, and an import licence, 16 days.

“When asked if an informal gift or payment in exchange for the permit was expected or requested, for operating licences only 8 percent responded ‘“yes’. However, in the case of construction permits and import licences, 49 percent and 56 percent of surveyed firms, respectively, reported such payments being expected/requested.” These results have never publicly been disclosed before.

The IDB country strategy for The Bahamas argued that “the ongoing adoption of digital government services will go a long way towards reducing inefficiencies and narrowing the window of opportunities for corruption and bribery”. However, while Customs and trade are key revenue generators for the Public Treasury, the report also described them as “a major obstacle to business operations”.

Top KC sounds ‘dark side of Bahamianisation’ alarm

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

A PROMINENT KC yesterday sounded the alarm over the “dark side of Bahamianisation” for breeding mediocrity based on “a sense of entitlement”.

Sean McWeeney, the former attorney general and now Graham, Thompson &

Company partner, told attendees at the Society of Trust and Estate Practitioners (STEP) Bahamas conference to “drop it in the nearest garbage can” if they believe they are entitled to high-paying jobs simply because of their nationality.

Demanding that Bahamians “set the bar higher”, and no longer depend on “protectionist crutches” to guarantee them a job, he warned that

this nation needs “to up our game” and “be the best at what we do” if it is to successfully compete with the likes of Bermuda, Cayman Islands and Singapore in the provision of financial services.

Mr McWeeney, emphasising that Bahamanisation was “an absolutely necessary thing” when introduced 50 years ago at the time of Independence

SEE

BPL prices double world rates even at ‘below cost’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

Freeport poised to be ‘fastest growing Caribbean economy’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

FREEPORT needs Nassau-based investors to help build “critical mass” in a city “poised to be the fastest-growing economy in the Caribbean”, a Port Authority executive asserted yesterday.

Derek Newbold, the Grand Bahama Port Authority’s (GBPA) chief investment officer, told Tribune Business that its opening this week of a Nassau satellite office aims to capitalise on the momentum generated by Freeport’s $2bn investment pipeline through enticing entrepreneurs from elsewhere in The Bahamas to actively participate in the city’s anticipated expansion.

With Freeport’s infrastructure currently servicing just 20 percent of the 250,000 people it was designed to accommodate, he explained that the office will function as a first pointof-contact to help educate Nassau-based businesses on how The Bahamas’ second city functions and the tax benefits/concessions available to them under the Hawksbill Creek Agreement.

Agreeing that Freeport is “not fully understood by all” persons living outside Grand Bahama, Mr Newbold said encouraging investment and business start-ups from other islands - especially New Providence - would be of “mutual benefit” to all and work in The Bahamas’ overall favour.

Many observers have long held the view that getting Freeport’s economy moving is key to reducing population pressures and overcrowding on New Providence, and the GBPA executive told this newspaper that he is now “the most confident about the future prospects for Grand Bahama” than at any point in his 14-year career at the quasi-governmental authority.

(IDB)

olies that supply water and electricity services.

The report strengthens the Government’s case for

urgent reform of Bahamas Power & Light (BPL) by further revealing that technical losses from the latter’s system, representing power that never makes it to the consumer because it is lost from the cables, overhead lines, transformers and substations that form the utility’s transmission and distribution network, exceed industry averages at 12.3 percent. And it also discloses that almost 10 percent of electricity generated “is reportedly unbilled”, meaning that consumers are not being charged for its use. The Bahamas’ country strategy added that this country’s electricity costs

SEE PAGE B4

‘Specialist skills dearth’ hurts financial services

By NEIL HARTNELL Tribune Business Editor

A “DEARTH of specialist skills” in the legal and other professions is undermining the Bahamian financial services industry’s competitiveness, a prominent KC warned yesterday.

Sean McWeeney KC, the Graham, Thompson & Company partner, told the Society of Trust and Estate Practitioners (STEP) Bahamas conference that such weakness had made the jurisdiction “heavily dependent” on specialist foreign trust attorneys despite this and other estate planning services forming the jurisdiction’s core product. Calling on young Bahamian attorneys, in particular, to develop expertise in a particular legal field, he argued that “the extinction of the generalists cannot be far off” due to the ever-growing expansion of downloadable “do it yourself” templates for products such as will and conveyances.

Noting that The Bahamas has around 1,500 attorneys, which works out to one for every 267 of this country’s 400,000 residents, Mr McWeeney warned that many “can kiss those big legal fees” associated

SEAN MCWEENEY KC

STRATEGIES FOR RESOLVING CUSTOMER SERVICE FAILURE

Dealing with customer service failure is an inevitable part of running a business. It is how you handle these situations that can make all the difference in maintaining customer satisfaction.

This week’s column addresses the important steps to take when facing a customer service failure.

From acknowledging and apologising for the issue, to listening and understanding the customer’s concerns, to offering a solution and following up to ensure resolution, the skills shared are not optional for businesses seeking to remain relevant.

1. Acknowledge and Apologise

* Promptly acknowledge the mistake and offer a sincere apology to the customer.

* Show empathy and understanding towards the customer’s experience.

* Take full responsibility for the error without making excuses.

MINISTER URGES DATA DRIVEN POLICIES FOR CLIMATE BATTLE ROYE II KEITH

A CABINET minister says The Bahamas must battle climate change at the highest level as he called for policy decisions to be better-driven by data and science.

Vaughn Miller, minister of the environment and natural resources, speaking at the opening session of the Bahamas Capacity Building Increased Transparency Workshop (CBIT), said: “We must endure and we will succeed, with your help, expertise and the help of almighty God.

* Assure the customer that their feedback is highly valued and that steps will be taken to prevent a similar occurrence in the future.

2. Listen to and understand the customer’s concerns

* Listen attentively: Pay full attention to the customer without interrupting.

* Empathise with the customer: Understand their concerns and show genuine concern.

* Ask clarifying questions: Seek detailed explanations to comprehend the issue thoroughly.

* Paraphrase the concerns: Repeat the problem in your own words to ensure mutual understanding.

* Validate their feelings: Acknowledge their frustrations and reassure them.

3. Offer a solution

* Analyse the customer’s issue thoroughly to understand the root cause.

* Provide multiple resolution options, allowing the customer to choose.

* Ensure that the proposed solution aligns with the customer’s needs and expectations.

* Offer a timely and effective solution to prevent further dissatisfaction.

* Follow up to confirm the success of the resolution and the customer’s satisfaction.

4. Follow up and ensure resolution

* After providing a solution, be sure to follow up with the customer to confirm that the issue has been resolved to their satisfaction.

* Take proactive measures to prevent similar issues in the future by implementing changes

based on customer feedback.

* Maintain open communication with the customer to address any concerns and restore their satisfaction.

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

Mr Miller added that the CBIT project also promotes “establishing a sustainable system, reporting to the UN on climate change and other environmental matters and, finally, documenting the evidence that will drive a science-based policymaking agenda”.

He is looking to the Department of Environmental Planning and Protection (DEPP), coordinator of the workshop, to do its part to assist in the development of data-based policy. The training focuses on the Low Emissions Analysis Platform (LEAP) modelling tool, the software for which was developed by the Stockholm Environment Institute (SEI). The four-day workshop was held earlier this week.

“The Government of The Bahamas, through the Department of Environmental Planning and Protection (DEPP), is implementing this first CBIT project with the primary objective of improving our data collection for greenhouse gas inventory, nationally determined contributions (NDC) tracking, climate change mitigation assessments, determining support needed and accounting for support received.”

“We can only do [this] when we have built the capacity among our stakeholders to provide the relevant information,” Mr Miller said. “We have reporting requirements under the Paris Agreement.

DEPP, the Government needs your co-operation to ensure that we are able to meet our commitments on time.

“This transparent reporting will continue to make the case for a global emissions reduction strategy getting us to net zero by 2050. It will also strengthen the basis for a Vulnerability Index to be used instead of relying on the skewed per capita assessments to determine access to funding.

“We all have a horse in this race and I wish you every success for these four days.... I applaud the efforts of the DEPP and SEI in assisting us.”

50% fear or pay bribes for building and import permits

And, while implementation of Customs’ Electronic Single Window (ESW) known as ‘Click2Clear’ was likely to have helped crack down on fraud, tax evasion and other abuses as well as opportunities for corruption and rent seeking, the IDB document said other agencies involved with The Bahamas’ import and export trade were still lagging behind on digitisation and technology.

“Digitisation is an important instrument to improve the efficiency of government services and revenue collection, but additional administrative and policy measures are necessary,” the IDB country strategy said.

“For example, trade and Customs continues to be one of the key sources of government revenues. However, close to twothirds of Bahamian firms participating in the IFPG survey conducted in 2020 answered that Customs and trade regulations are a major obstacle to business operations.

“Although performance is likely to improve following the recent completion of the foreign trade single window (ESW), other agencies involved in export and import processes (sanitary and phytosanitary clearance) lag behind with respect to digitisation and connectivity with the single window,” it continued.

“With respect to the provision of public services, the pandemic has evidenced the need for connectivity and the value of being able to provide public services digitally. As an example, registering property takes an average of 122 days......

“Insufficient investment in ICT-related projects has resulted in outdated or limited ICT (information and communications technology) infrastructure, with many government branches, particularly on smaller islands, lacking the equipment and connectivity

for digital government. The country’s unique geography and scattered population make a clear case for the need to use ICT in offering government services to other islands.”

Elsewhere, The Bahamas’ country strategy said the data shows this nation’s workforce and economic productivity are being held back by “an excess of workers with not enough education”. It added that educational outcomes, meaning the qualifications that high school leavers and other students enter the workforce with, are “not up to the standards of other high income countries”.

Asserting that these woes have been worsened by the COVID-19 pandemic, which forced students into virtual learning for several years, the IDB country strategy said: “Another complex area that offers important opportunities is aligning workers’ skills with businesses’ needs.

“Half the companies interviewed in the IFPG survey considered that the workforce is not adequately educated and would benefit from strengthening education and skills, and that that represents an obstacle for business operations.”

The strategy document added that just 59 percent of Bahamian high school leavers, or just three of every five graduates, obtained a diploma in 2019-2020 - a figure that represented an improvement on the prior year’s 53 percent.

“The workforce with tertiary education represents 31 percent of the total, and the unemployment rate of that workforce segment is 4 percent. Those with complete secondary education account for 57 percent of the total workforce, and unemployment stands at 11 percent,” the IDB country strategy said.

“The remainder of the workforce, with incomplete secondary education at most, faces the highest unemployment rate at 18 percent. These figures point

to an excess of workers with not enough education. In addition, digital skill upgrading, on-the-job training and the resolution of information asymmetries could also improve labour market outcomes.”

And, taking a deeper look at The Bahamas’ education system, the country strategy added: “School enrollment for both primary and secondary education has decreased in the last decade. Net enrollment for primary education fell from 80.4 percent to 74.2 percent, while for secondary education it dropped even further, from 79.8 percent to 62.5 percent.

“Data from Bahamas General Certificate of Secondary Education (BGCSE) examinations in grade 12 show that many students from public secondary schools are failing to acquire the minimum expected competencies, including in the basic core disciplines of English and Math.

“This trend is also observed in earlier grades: The results of the Bahamas Junior Certificate (BJC) examinations in grade nine show that from 2016 to 2020, on average, more than 30 percent of the students sitting for the exams failed to achieve the expected competency level in the subjects,” the IDBauthored document adds.

“In addition, the extremely low level of learning in science and Math indicates that Bahamian students currently do not have the skills necessary to prepare themselves to be successful in the field of science and technology.

“Furthermore, the education system does not equip the students with 21st century skills. Academic shortcomings start showing up in primary school and are not effectively tackled early on, which has a cumulative effect through time. The Ministry of Education has a goal to increase the high school graduation rate to 85 percent by 2030.”

VAUGHN MILLER, minister of the environment and natural resources, is shown speaking.

VAUGHN MILLER, minister of the environment and natural resources, is pictured (seated centre) with participants and facilitators at the Bahamas Capacity Building Increased Transparency Workshop at Breezes Bahamas.

Photos:Samantha Black/ Ministry of Environment and Natural Resources

INFLATION RATE DROPS FOR THIRD SUCCESSIVE MONTH

BAHAMIAN inflation saw a third successive month-over-month decline in January to signal that post-COVID price pressures are continuing to slowly ease.

The Bahamas National Statistical Institute (BNSI), unveiling the consumer price index for January, also disclosed that the annual inflation rate had hit a three-year low of 1.3 percent. That rate, covering the trailing 12 months to early 2024, struck its lowest

point since reaching 0.8 percent in January 2021. “The monthly inflation rate in The Bahamas, which represents the overall change in prices, for January 2024 decreased by 0.6 percent when compared to December 2023,” the Institute said. “This decrease is reflected in the overall price of items purchased by the average consumer during this period.

“This January 2024 decrease followed a

0.5 percent decrease between the months of November 2023 and December 2023.” It also came after a 0.2 percent decline in inflation between the months of October and November 2023, thus signalling that the cost of living crisis which has battered many Bahamian families and businesses since the pandemic may be easing even though many may not be feeling it yet.

Breaking down the reduced inflationary

pressure into consumer groups, the Institute added: “The major decreases by group included transportation, health, furniture and furnishings, along with clothing and footwear, which saw decreases of 2.1 percent, 1.1 percent, 0.9 percent and 0.7 percent, respectively.

“Meanwhile, the major category of alcoholic beverages, tobacco and narcotics showed the most significant increase of 1.3 percent for the month of January

when compared to December 2023.” Turning to the annual inflation rate, the Institute added: “For January 2024 the CPI rose 1.3 percent over the same period last year in 2023.

“The major categories that contributed to this increase included health at 5.3 percent, along with furniture and household equipment furnishings at 4.9 percent, and electricity and gas and other fuels at 3.5 percent.

“For the month of January 2024, both diesel and gasoline prices decreased. Diesel declined by 12 percent, while gasoline decreased by 3.8 percent when compared to December 2023. Meanwhile, both gasoline and diesel prices continue to decline, as they saw decreases of 0.4 percent and 12.8 percent, respectively, when compared to this time last year.”

Freeport poised to be ‘fastest growing Caribbean economy’

Basing this on his close proximity to the multiple investment projects underway, or due to start, Mr Newbold said numerous entrepreneurial and business opportunities will flow from the combined five to six million cruise passengers that the Carnival and Royal Caribbean developments will attract to Grand Bahama annually.

“Freeport has come a long way since Hurricane Dorian,” he told Tribune Business. “Many of the projects we have been working on for years are coming to fruition. We have more than $2bn in investments underway or about to commence construction later this year.

“We want to make sure all Bahamians and residents, especially those in Nassau because it’s the capital; because there’s access there to a lot of resources, and they have the skills, expertise and financial talent, we want to make sure those people know what’s happening in Freeport and help us to grow the city because there’s going to be a lot of increased demand.”

With Carnival’s expanded $600m cruise port investment, Celebration Key, set to bring four million extra passengers to Grand Bahama by 2028, and the Royal Caribbean-led Freeport Harbour revamp generating a further 1.5m additional arrivals, Mr Newbold said these two projects alone will provide a huge customer base for new and existing Bahamian businesses.

“We’re also in the process of negotiating a deal with Royal Caribbean and some of its partners to upgrade the existing harbour,” he confirmed. “Once that deal is complete, Royal Caribbean and they have committed to another 250 cruise calls that will bring 1.5m passengers per year.

“You couple that with what’s happening in the east with Carnival, and Freeport is going to see in the region of five to six million cruise passengers a year. That is going to create significant entrepreneurial opportunities for Bahamians - more demand for shore excursions, capacity building for existing shore excursions, and opportunities in retail, food and beverage and entertainment.

“We’re really excited about what’s happening in Freeport, and want to make sure Bahamians from all walks of life are fully apprised of what’s happening. We welcome them to be participants in Freeport, which I believe will be the

most robust and fastestgrowing economy in the Caribbean in the next few years.”

Many Freeport residents have adopted an attitude that they will only believe in the city’s economic revival when they can touch and feel it, having grown weary with numerous false dawns in the past. However, Mr Newbold told Tribune Business he can say “with absolute confidence” that the city is now poised to start fulfilling its much and long talked-about potential.

“Since I joined the Port Authority, since I’ve been sitting in this seat, this is the most confident I’ve been about the future prospects for Freeport and Grand Bahama since I’ve been at the Port Authority,” he added of his 14-year tenure.

“The reason I’m able to say that is I’m close to a number of these projects, and I know with absolute certainty these projects are happening.... We’ve been close to this point in the past; actually, twice. The last time we were here, 2016, we were getting ready to make a number of major announcements and Hurricane Matthew showed up. We had to shift our focus to hurricane recovery from economic recovery.

“Three years later we started to build the economy again, got to the precipice, and in 2019 we had Hurricane Dorian. That knocked us way back. We had to shelve a number of projects we were working on. A number of construction projects were shelved by investors because Freeport was seen as a high-risk jurisdiction; everyone was waiting to see what would happen,” Mr Newbold continued.

“We stayed in touch with those companies, we kept calling, meeting with them on a consistent basis, apprising them of our progress, and a number of them have come back. They’re

now moving forward which is a good thing.”

Besides the cruise lines, Grand Bahama Shipyard has also initiated its $600m investment in two new dry docks, and other projects currently underway include Doctors Hospital’s new medical facility; the Western Atlantic University School of Medicine expansion; the Heroic Group’s new concrete plant; and the $12m investment in downtown Freeport by Milo B Butler & Sons.

The GBPA and its affiliate, Grand Bahama Development Company (DevCO), are now seeking to capitalise on this activity by attracting further investment from Bahamian entrepreneurs in Nassau and elsewhere to keep the momentum going. The new Nassau office, located in the ACCESS co-worker suites building at One West Plaza on Windsor Road, is designed to provide a focal point for this.

“This has been something we’ve been thinking about for a while, so we just made a decision to actually move forward,” Mr Newbold explained. “We’re going to start out with a satellite facility and, right now, we’re probably looking at one staff member to run the office and, as demand grows, we will scale up the services.

“But we’ll have executives flying in, back and forth, to facilitate meetings and consultations. When we thought about it we said Nassau is the financial and business hub of The Bahamas. It’s home to a number of stakeholders critically important to the success of this country.

“We’ve noticed in recent years, and in particular the past two years we’ve received increased interest from entrepreneurs and businesses in Nassau. We felt it was time to establish a business office in Nassau to educate the business

community on opportunities in Freeport,” he added.

“We’ll be facilitating one-on-one meetings on investment opportunities, how to establish a business in Freeport and how people can take advantage of the incredible land offerings for residential and commercial development.”

Asked whether Freeport was fully, and properly, understood by those residing elsewhere in The Bahamas, Mr Newbold replied: “You’re absolutely correct. A big part of this campaign is really to educate the business community on Freeport; the way the city functions so they clearly understand the Hawksbill Creek Agreement.

“A lot of people have this concept or perception that Freeport is only for foreign investors when, in actuality, more than 90 percent of our licensees and businesses conducting operations in Freeport are Bahamian-owned.

“It’s important for Bahamians to understand the incentives and benefits created by virtue of the Hawksbill Creek Agreement; that they have access to those and can benefit from those just like any other business coming to Freeport. I think it’s not fully understood by all persons,” he added.

“Interest has been growing from the Nassau market. In fact, we have at least two particular investments currently underway from entrepreneurs based

in Nassau. The interest level has been growing. The more people hear about what is happening in Freeport, people are inquiring and finding out how they can participate in Freeport.”

Attracting investment and workers from elsewhere in The Bahamas is critical to Freeport’s prospects of creating critical population and economic mass. “We know Freeport has the infrastructure to comfortably accommodate a population of about

250,000 people,” Mr Newbold told Tribune Business. “Right now, we are only at roughly 20 percent of that capacity. Being able to attract Nassauvians or other Bahamians to Freeport will help us to create the critical mass we so need. Entrepreneurial opportunities, employment, come to Freeport, start a business, purchase some land, build a home. It’s just going to be great all around and will be of mutual benefit for us and Nassau.”

BPL prices double world rates even at ‘below cost’

“are twice the world average”, standing at 26 cents per kilowatt hour versus 13 cents for commercial and 14 cents for residential, further undermining the economy’s competitiveness.

The IDB report appeared not to account for BPL’s “glide path” strategy to regain under-recovered fuel costs, which is now coming to an end, yet last summer pushed all-in electricity costs to a total around 41 cents per KWh - three times’ higher than the average cited in the country strategy.

Bahamians are paying for these inefficiencies in their capacity as taxpayers, as well as consumers, with the IDB report revealing that transfers/subsidies to loss-making state-owned enterprises are near 30 percent of the Government’s non-interest recurrent

spending - a level that is some 50 percent higher, in percentage terms, than the 20 percent typical of other high income small states. Total SOE subsidies are forecast at $455.229m for the 2023-2024 fiscal year, and the IDB country strategy said: “Total transfers as a share of non-interest expenditure are close to 30 percent, far higher than the average for small high income countries, which is around 20 percent.

“The providers of water and electricity charge rates that are below cost but, despite this, electricity prices are among the highest in the Caribbean. Insufficient maintenance and investment coupled with high overhead result in inefficiencies, lack of competitiveness and reliance on central government transfers.”

BPL bills consist of two elements - the fuel charge,

N O T I C E

which is supposed to be a 100 percent pass through to the consumer of only the utility’s fuel costs, and the base tariff that is intended to cover all its other expenses such as labour and maintenance, as well as generate a small profit.

However, BPL’s base tariff was cut below the cost of actually providing the service during the first Christie administration and no longer fully covers these operating expenses, despite being partially increased under the subsequent Ingraham administration.

As for the Water & Sewerage Corporation, it has long been acknowledged its tariffs are set below cost with the last increase occurring in 1999.

“Investment in key infrastructure is another element to improve competitiveness, and PPPs (public-private partnerships) could play an important facilitating role. Like many small island developing states, The Bahamas is almost 100 percent reliant on imported fossil fuels and subject to fluctuations in international oil prices, which impacts the cost of generating electricity,” the IDB country strategy said.

“At 26 cents per kWh for both commercial and residential, average electricity

prices are twice the world average of 13 cents per kWh for commercial and 14 cents per kWh for residential. Power plants are partly outdated and face weather shocks and, thus, technical losses amount to 12.3 percent, while reportedly 9.6 percent of electricity is unbilled.

“Of firms surveyed... in The Bahamas, half saw electricity as a major obstacle and 83 percent reported suffering from power interruptions. In a typical month they experienced on average 2.5 outages that lasted 2.7 hours.”

The Government is currently in negotiations that could lead to a three-way break-up of BPL into separate generation, transmission and distribution and back office functions, with these responsibilities outsourced to private operating/management partners who would also raise the collective $500m investment that the state-owned utility is said to require in its network and infrastructure.

However, the IDB country strategy argued that the Government must “strengthen institutional capacity” to manage such PPP arrangements and called for the introduction of a “consistent and transparent” process for doing

so. This would build upon the PPP policy that was outlined under the Minnis administration.

“Access to affordable and good quality basic services, such as electricity, water and transport, has important impacts on development. Conducting a consumer-centred full review of operations of the state-owned enterprises that provide these services is necessary to understand where there are inefficiencies, and therefore opportunities for improvement,” the IDB country strategy added.

“Higher investment is required, and greater use of PPPs or creative approaches involving cooperatives could be paths to attract resources. Although the Government of The Bahamas implemented its first formal policy to identify, structure and manage PPP projects across sectors in 2018, it still needs to strengthen institutional capacity to manage PPPs through a consistent and transparent process.

“Other creative approaches, especially in the water and sanitation space, include the use of performance-based contracts, which have been implemented in the water space in The Bahamas, and

the incorporation of circular economy practices,” the strategy report continued.

“Access to reliable and affordable electricity, to clean water and sanitation infrastructure, and to efficient and low-carbon urban and digitally enabled, climate-resilient, inclusive and safe and inter-island transportation and services are basic elements that will allow for faster and more equitable development for the population.”

The IDB country strategy, though, warned that PPPs may not work as a tool to facilitate Family Island infrastructure development because the relatively thin populations in those locations would be unable to generate the revenues and returns to make such projects attractive and profitable for the private capital relied on to finance them.

“PPPs could be a solution in New Providence, but in the Family Islands other solutions might be needed given the low population density. Such density typically requires substantial public provisioning, as private investment returns are generally too small or negative,” the report added.

NEW BIPARTISAN BILL WOULD REQUIRE ONLINE IDENTIFICATION, LABELING OF

By DAVID KLEPPER

Associated Press

AI-GENERATED VIDEOS AND AUDIO

BIPARTISAN legislation introduced in the House Thursday would require the identification and labeling of online images, videos and audio generated using artificial intelligence, the latest effort to rein in rapidly developing technologies that, if misused, could easily deceive and mislead.

In the Estate of MICHAEL ANDREW DAVIS, late of Seabreeze Subdivision in the Eastern District on the Island of New Providence one of the Islands of the Commonwealth of The Bahamas, deceased.

NOTICE is hereby given that all persons having any claim or demand against the above Estate are required to send the same duly certifed in writing to the undersigned on or before the 22nd April, 2024 after which date the Administratrix will proceed to distribute the assets having regard only to the claims of which she shall then have had notice of.

AND NOTICE is hereby also given that all persons indebted to the said Estate are requested to make full settlement on or before the date hereinbefore mentioned.

BowePartners & Associates, Attorneys for the Administratrix, Caves Village, Suite 1, Building 4, Nassau, The Bahamas

So-called deepfakes created by artificial intelligence can be hard or even impossible to tell from the real thing. AI has already been used to mimic President Joe Biden's voice, exploit the likenesses of celebrities and impersonate world leaders, prompting fears it could lead to greater misinformation, sexual exploitation, consumer scams and a widespread loss of trust. Key provisions in the legislation would require AI developers to identify content created using their products with digital watermarks or metadata, similar to how photo metadata records the location, time and settings of a picture. Online platforms like TikTok, YouTube or Facebook would then be required to label the content in a way that would notify users. Final details of the proposed rules would be crafted by the Federal Trade Commission based on input

from the National Institute of Standards and Technology, a small agency within the U.S. Department of Commerce. Violators of the proposed rule would be subject to civil lawsuits.

"We've seen so many examples already, whether it's voice manipulation or a video deepfake. I think the American people deserve to know whether something is a deepfake or not," said Rep. Anna Eshoo, a Democrat who represents part of California's Silicon Valley. Eshoo co-sponsored the bill with Republican Rep. Neal Dunn of Florida. "To me, the whole issue of deepfakes stands out like a sore thumb. It needs to be addressed, and in my view the sooner we do it the better."

If passed, the bill would complement voluntary commitments by tech companies as well as an executive order on AI signed by Biden last fall that directed NIST and other federal agencies to set guidelines for AI products. That order also required AI developers to submit

information about their product's risks. Eshoo's bill is one of a few proposals put forward to address concerns about the risks posed by AI, worries shared by members of both parties. Many say they support regulation that would protect citizens while also ensuring that a rapidly growing field can continue to develop in ways that benefit a long list of industries like health care and education.

The bill will now be considered by lawmakers, who likely won't be able to pass any meaningful rules for AI in time for them to take effect before the 2024 election.

"The rise of innovation in the world of artificial intelligence is exciting; however, it has potential to do some major harm if left in the wrong hands," Dunn said in a statement announcing the legislation. Requiring the identification of deepfakes, he said, is a "simple safeguard" that would benefit consumers, children and national security.

‘Specialist skills dearth’ hurts financial services

with conveyancing work - normally around 2.5 percent of the purchase price - goodbye if the Government’s ambitions to create a system of registered land are ever realised.

Urging The Bahamas to focus on what it can control in relation to its financial services industry, he argued that this nation needed to develop more specialists both within the sector itself and in the supporting professions such as law.

“We all want to play in the big leagues but far too few of us want to make the sacrifices involved in acquiring specialist knowledge and skills,” Mr McWeeney said.

“To illustrate the problem, we boast of being one of the top jurisdictions for trusts in the offshore world and, indeed, we are according to most of the metrics, but how many trust lawyers do you think we actually have in The Bahamas?

“I mean, lawyers who really know trust law, rather than just bits and pieces they pick up from time to time when they happen upon a matter with trust elements. We have something like 1,500 lawyers in the Bahamas. That’s made up of 1,327 lawyers, to be exact, who were called to the bar plus another 200 lawyers, give or take, who have completed the academic requirements but have not bothered to complete the professional examinations but who are nonetheless working in various capacities in the industry involving the application of their legal knowledge.”

Out of this number, Mr McWeeney argued that the number of specialist trust attorneys “in this hallowed

trust jurisdiction” is not more than ten. These were attorneys, he added, that can be relied on to craft complex trust structures, develop legal opinions, and advise on restructurings.

“There’s a lot of business out there for Bahamian trust lawyers if only there were more of them. We have, I believe, the best trust law in the whole of the offshore world and it is this reality that accounts for the still healthy volume of trust business for lawyers in The Bahamas,” Mr McWeeney said.

“One very compelling proof of this is that even when trust companies fold up here and export all their trust business to another jurisdiction, more often than not, they retain the Bahamian law as the governing law of the exported trusts...” He described the Trustee Act 1998 and associated laws as having placed The Bahamas “in a best in class” position when it comes to this estate planning product.

“Once the Bahamian law continues to be the governing law, the advice of the Bahamian lawyers is going to be needed, even during periods such as we now have [where] the influx of new trust business is about a shadow of its former self,” Mr McWeeney said.

“But the larger point is this. While there will always be a place of a need for generalists in the legal profession, and in other branches of the industry as well, the more profitable outcomes of the personal professional level in the years ahead are going to be achieved by the specialists not the generalists.”

Citing conveyancing, or real estate transaction work, as an example, the

Graham, Thompson & Company partner added: “Conveyancing, which still accounts for the lion’s share of the most lucrative legal work in this country, is definitely living on borrowed time, especially now that the Government has committed itself.... to an accelerated timetable for the introduction of a system of registered land.

“The initial registrants are likely to be the higherend subdivisions where the title is already comparatively clear, and where title insurance in any case is now the thing to have. Be that as it may, once registered land comes in, you can kiss those big legal fees goodbye.

“So, you young lawyers out there, it behooves you to hearken to the advice to invest in your own future by becoming specialists in trusts and estates, in foundations, in mutual funds, in company law or an insurance law, or pensions law, or regulatory compliance law, or data protection and privacy law. In digital assets law. In tax revenue law.

“That’s already a very big growth area here in The Bahamas, in white collar criminal law, or in any of the other half dozen or so areas of relevance to our industry, all of which will be crying out for specialists in the years ahead. “

Mr McWeeney, noting that he was “tarred and feathered by many of my colleagues at the Bar when he last made this call, again urged that The Bahamas must remain open to foreign legal expertise where required from an Immigration policy perspective.

“But there is, I believe, a maturing sensibility in this regard. Our jurisdiction needs to keep pace with other trust jurisdictions

How Europe’s regulatory battle with Apple could signal what’s to come for American consumers

By KELVIN CHAN AP Business Writer

IT'LL likely take years before the U.S. government's massive antitrust lawsuit against Apple is resolved — but the iPhone maker's troubles with European regulators offer a glimpse of what changes American customers may see down the line.

like Cayman and Bermuda in ensuring that trust litigants and their professional advisors are able to recruit and deploy the best available specialist legal talent wherever it is to be found, without being unduly hamstrung by xenophobic insecurities or a false sense of one’s own fitness for the task here at home,” he added.

“I hasten to add that this is not to say that the Bahamian bar does not have lawyers who can go, and indeed do often go, toe-totoe with top drawer lawyers from abroad and with the most commendable results to show for their efforts as well.

“It’s just that we do not have such lawyers in sufficient quantity to spread around to meet the demand, especially given how extremely busy most top-level Bahamian lawyers are. So the point is this: If the specialist expertise is not available here, clients should not have to settle for second best or third best because of allegiance to protectionist doctrines.”

Mr McWeeney said The Bahamas also needs specialists in particular financial services niches, such as investment funds. And he also urged relationship managers, and those who deal directly with foreign high net worth clients and their intermediary advisers, to learn languages such as Mandarin, Spanish and Portuguese given the industry’s focus on Central, South and Latin America and new markets such as China.

“There are so many things we have no control over in this industry. And, to be clear, when I speak of our industry I am including its support systems such

compete with its own Apple Music service.

as accountancy and law,” Mr McWeeney said. “We can’t control, for example, the relentless advance of disruptive phenomena like AI (Artificial Intelligence) technology. We have no control over that here.

“Nor do we have any control over the everexpanding phenomenon known to us as outsourcing. Certainly not as long as the wage levels and earning expectations of scores of other jurisdictions remain as low as they are in comparison to ours.

“Nor do we have any real control over the economic

aggression of the EU (European Union), and individual member states of the EU like France, when it comes to blacklisting that disrupts the transactional functionality of our industry while inflicting reputational harm upon us as well. We can’t control those things, but what we can control to a very large extent are things like our own personal development, albeit within the sometimes constraining environment in which we work.”

These are similar to themes that the European Commission, the bloc's executive arm and top antitrust enforcer, and Apple have been wrangling over for years. EU antitrust watchdogs have launched multiple antitrust cases accusing Apple of violating the 27-nation bloc's competition laws, while also imposing tough digital rules aimed at stopping tech companies from cornering digital markets.

The U.S. lawsuit seeks to stop Apple from undermining technologies that compete with its own apps in areas such as streaming, messaging and digital payments. The Department of Justice also wants to prevent the tech giant from building language into its contracts with developers, accessory makers and consumers that lets it obtain or keep a monopoly.

Brussels' efforts will soon start to have an impact on the way the company does business and the experience iPhone users have in Europe. And the changes could signal what's to come for U.S. Apple users — if the Justice Department has its way, at least. Music streaming users typically weren't able to pay for their Spotify subscriptions directly through their iPhone apps. They couldn't even be informed by email of subscription prices, promos and offers by Spotify or other music streaming services. That's because Apple puts tight restrictions on apps that

But when Spotify complained to the European Union, antitrust regulators opened a yearslong investigation that resulted in an order for Apple to stop such behavior and came with a whopping 1.8 billion euro ($2 billion) fine aimed at deterring the company from doing it again.

Margrethe Vestager, the European Commission's competition chief, said Apple's practices were "illegal" and "impacted millions of European consumers who were not able to make a free choice as to where, how and at what price to buy music streaming subscriptions."

Medicare can pay for obesity drugs like Wegovy in certain heart patients

By JONEL ALECCIA

AP Health Writer

MEDICARE can pay for the popular weight-loss drug Wegovy — as long as the patients using it also have heart disease and need to reduce the risk of future heart attacks, strokes and other serious problems, federal officials said Thursday.

The Centers for Medicare & Medicaid Services issued new guidance that says Medicare Part D drug benefit plans — which are offered through private insurers — could cover anti-obesity drugs that are approved for an additional use.

The move could pave the way for thousands of new prescriptions, resulting in billions of dollars in increased spending, analysts have said.

In practice, the guidance opens the door to wider coverage of Wegovy, the brand name of Novo Nordisk's obesity medication semaglutide. The U.S. Food and Drug Administration this month approved a label change that allows Wegovy to be used to reduce the risk of cardiovascular events in people who are overweight or have obesity and also have existing heart disease. Recent research showed that Wegovy cut the risk of heart attack, stroke and other problems by 20% versus a placebo, or dummy drug, in such patients. Cardiologists and other experts said use of semaglutide to reduce the risk of often fatal or disabling conditions could change the way heart patients are treated.

INTERNATIONAL BUSINESS COMPANIES ACT, 2000

GLEZCAL TWO LTD.

NOTICE is hereby given that in accordance with Section 138 (8) of The International Business Companies Act, 2000, the

a

Michael

NOTICE

NOTICE is hereby given that SIDNEY MITCHELL PAUL of P. O. Box SB-51627, Dignity Gardens, New Providence, 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 15th day of March 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

Wegovy carries a price tag of more than $1,300 a month, or $16,000 per year.

Part D plans could begin covering the drug "some time this year," said Tricia Neuman, a Medicare policy specialist at KFF, a nonprofit that researches health policy.

"Medicare plans may be reluctant to move quickly to cover Wegovy given its relatively high price, particularly because they won't be able to adjust premiums before next year," she said.

DONNA Cooper holds up a dosage of Wegovy, a drug used for weight loss, at her home, March 1, 2024, in Front Royal, Va. The popular weight-loss drug Wegovy may be paid for by Medicare — as long as patients using it also have heart disease and need to reduce the risk of future heart attacks, strokes and other serious problems, federal officials said Thursday, March 21.

NOTICE

Private insurers are evaluating the guidance — and the new indication for Wegovy — before making coverage decisions, said a spokesperson for AHIP, America's Health Insurance Plans, an industry trade group.

Drugmakers and obesity advocates have been pushing for expanded coverage, including legislation that would require Medicare to pay for the obesity drugs.

Even if plans do allow coverage, people who meet the criteria may still face other restrictions. Plans may require higher out-of-pocket fees, prior authorizations or step therapy, in which a patient is required to try a lower-cost drug before proceeding to the new treatment, Neuman said. Medicare Part D plans are prohibited by law from covering obesity medications used for chronic weight management alone, and that would not change, CMS officials said.

PUBLIC NOTICE

INTENT TO CHANGE NAME BY DEED POLL

The Public is hereby advised that I, CHRISTIEN ANTONIO ROLLE of Stella’s Drive, Black Point, Exuma, The Bahamas intend to change my name to CHRISTIEN ANTONIO STOVEL If there are any objections to this change of name by Deed Poll, you may write such objections to the Chief Passport Offcer, P.O.Box N-742, Nassau, Bahamas no later than thirty (30) days after the date of publication of this notice.

NOTICE

NOTICE is hereby given that JEANNETTE SON-DONFREID of Andros Avenue, 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 22th day of March 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE is hereby given that

ALEX JOSEPH of Golden Isles Road, 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 22th day of March 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that JEFFERY ALEX SCOTT of Marshall Road, Tayoo 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 15th day of March, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

Etsa CFI Ltd.

Incorporated under the International Business Companies Act, 2000 of the Commonwealth of The Bahamas. Registration number 209001 B (In Voluntary Liquidation)

Notice is hereby given that the above-named Company is in dissolution, commencing on the 20th day of March A.D. 2024. Articles of Dissolution have been duly registered by the Registrar. The Liquidator is Mr. Jonatas Castellari de Figueiredo, whose address is R DR. Oswaldo Cruz, 366AP 114, Boqueirao, CEP: 11045-100, Santos, Brazil. Any Persons having a Claim against the above-named Company are required on or before the 20th day of April A.D. 2024 to send their names, addresses and particulars of their debts or claims to the Liquidator of the Company, or in default thereof they may be excluded from the beneft of any distribution made before such claim is pro ed

Dated this 20th day of March A.D. 2024.

Jonatas Castellari de Figueiredo Liquidator

LEGAL NOTICE

CENSHIP

LIMITED (In Voluntary Liquidation)

Notice is hereby given in pursuance of Section 138(8) of The International Business Companies Act, 2000 (as amended), the Dissolution of the above-named company has been completed, a Certificate of Dissolution has been issued and the above-named company has therefore been struck off the Register. The date of the completion of the dissolution was the 5th day of March 2024.

Bennet R. Atkinson Liquidator

Photo:Amanda AndradeRhoades/AP