PM'S GBPA WARNING LEAVES INVESTORS 'HANGING OUT THERE'

By YOURI KEMP Tribune

PRIVATE sector executives yesterday voiced concern that the Prime Minister's "decisive action" warning to the Grand Bahama Port Authority (GBPA) and its principals will deter potential investment in Freeport.

James Carey, the Grand Bahama Chamber of Commerce's president, told Tribune Business that Philip Davis KC's Budget address has left existing businesses and possible investors "just hanging out there" because of the uncertainty it has created over Freeport's future governance and control.

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net

A CABINET minister yesterday said the Government "feels inclined" to expand price controls on food and medicines, after previous such initiatives ended earlier this year, as it takes a "stand for consumer rights".

Michael Halkitis, minister of economic affairs, speaking at the opening of the new Tonique Williams Highway offices for the Government's Consumer Affairs and Consumer

“If they are going to do something they should let us know, because things are just hanging out there now,"

Mr Carey said. “The GBPA said they have secured $1.5bn in investments. The Prime Minister then said to the GBPA to show him the investments because he said it was the Government who got those investments.”

Mr Davis used the platform provided by the 2023-2024 Budget address to assert that Freeport's founding treaty, the Hawksbill Creek Agreement, "does not work" and that the GBPA's governance model "must change" if the city is to "realise the promise, growth and prosperity" it aspires to. However, he provided no specifics as to the Government's actual plans

Protection units, said the administration is constantly seeking to balance the need for businesses to earn a profit with protecting consumers from price gouging.

“A strong consumer protection regime ensures that the rights of consumers are firstly known, and secondly respected and adhered to, by all local businesses," he said. "What we want is to ensure that buyers of goods and services are safeguarded against unfair practices in the marketplace.

"It is critical that the ecosystem of supply and demand, price and and intentions, creating a vacuum that has since been filled with speculation and uncertainty - neither of which are beneficial to economic growth and business/ investor confidence. Mr Davis said he would clarify the Government's next steps soon, possibly as early as the upcoming Budget debate that begins tomorrow, but until then Freeport residents are none the wiser as to the next move.

Mr Carey, meanwhile, yesterday called on all sides to work together and agree on a plan for Freeport and the GBPA. “Something is not right, and it may be time for them to sit around at the table," he added. "The Government is the Government, and they are at the top of the pile and they should invite profitability, works for both businesses and consumers to achieve economic growth, inclusivity and sustainable national development. There are also key areas, such as pharmaceuticals and food, where the Government feels inclined to offer protection against inflated prices for the good of the nation.”

Mr Halkitis maintained that price controls do not prohibit companies from making a profit but, rather, curtail how much profit can be made. “Price controls in The Bahamas do not stop a merchant from making a profit; they simply dictate the GPBA to sit down and have a discussion. Invite is a kind and generous term, and they can do a lot more if they wish, but we need them to have a discussion.

“I believe, after all of this back and forth, the only thing this would cause is for investors to look at this and say: 'Whoa! What’s going on here? Let’s wait and see what happens before we make any decisions on any investments because things may change'.

"The GBPA said that they are responsible for the $1.5bn worth of investments, and I can only go by what they have said, and they have continued to say that they have brought these investments, but they are not here yet," the Chamber chief added. “Some have started how much of a profit can be made on a particular item. Where businesses infringe upon the allowed mark-ups there are avenues for effective dispute resolution and potential redress for consumers and providers," he added.

Prime Minister Philip Davis KC, meanwhile, said his administration is committed to ensuring all Bahamians have access to basic goods and services as he aims to balance corporate profitability with consumer affordability.

He added: “As we inaugurate the consumer affairs building today, we are making a clear statement. We stand for consumer rights. We envision this building as a pillar of consumer protection, casting a shadow of security across every corner of our beloved