Nassau, Bahamas - The
governing Free National Movement’s (FNM) convention was a
disappointment to all Bahamians who were eagerly awaiting the
articulation of a visionary plan for how the Ingraham administration is
priming our economy to emerge out of this recession stronger than we
entered into it.
Instead
of hearing about what concrete steps are being undertaken to create a
new, diversified economy that extends beyond vacation tourism,
financial services and land sales, we heard a regurgitation of what The
Bahamas was like prior to 1992; what was done by the Ingraham
administration between 1992 and 2002; and what the Christie
administration did or did not do between 2002 and 2007. The decisions
being made today at the Cabinet level of governance are entirely being
made by the governing Ingraham administration. The FNM’s strategy of
deflecting focus away from what the Ingraham cabinet is doing, or not
doing, by asking people to imagine how much worse things would be if it
were a Christie-led cabinet is an absolute cop-out, pure and simple.
What
is the Ingraham administration doing today to create a new economy and
to protect and empower the Bahamian people? This is what we expected to
hear, but never heard at the FNM’s convention on the issues of the
economy, crime, land reform and the freedom of information act.
The Economy:
There
were no concrete plans for creating a new economic model that will
prime our economy to become more diversified and thereby minimize our
heavy dependence on vacation tourism. The economic policy of borrowing
for infrastructure spending and social welfare programs, as outlined by
both the Minister of State and Minister of Finance are neither
innovative, nor stimulative. They simply suggest a policy of deficit
spending to pick-up the slack until the tourism industry rebounds.
Constructing roads and government buildings creates temporary jobs.
This is not economic stimulus; this is economic relief. Unless tourism
rebounds fully, or unless new industries are developed that will absorb
these temporary workers when these infrastructural projects are
completed, then they will once again be among the unemployed seeking
unemployment benefits.
There
was no talk of any concrete plans to be implemented in the next 6
months to diversify the economy through efforts to launch new
industries such as fish farming and processing; medical research and
tourism; or any other industry that could be developed by making it
more attractive for banks to reinvest loan profits in business projects
that would facilitate the growth of these types of industries, rather
than wholly repatriating them to enrich foreign jurisdictions. A Bank
Reinvestment Act as proposed by our party, whereby a percentage of bank
profits are set aside for reinvestment in new loans earmarked for these
critical development sectors, would stimulate the emergence of these
new industries.
Moody’s
October economic report for The Bahamas cites the country’s lack of
economic diversification as being a major threat to the country’s
ability to withstand external shocks. It stated that tourist arrivals
have been falling since 2005, predating this current crisis. Many in
the tourism business will tell you that visitors constantly complain
that there is very little for them to do in Nassau and Freeport. Yet
the Minister of Tourism and Aviation, The Hon. Vincent
Vanderpool-Wallace, and others tout efforts to dredge the Nassau
Harbour and increase the airlift to Grand Bahama. What is being done to
give them something to do once they get here Mr. Minister?
The
FNM continued to boast at their convention of the $60 million being
spent to dredge the harbour for Genesis Class cruise ships that have
more to do and sell on board than any class of cruise ship ever in
service. We know that cruise ship passengers to The Bahamas, on cruise
ships that offered far less on-board amenities, only spend an average
of $50 per person when they come ashore. This administration’s policy
of selling out to the cruise ship companies makes no economic sense.
Three million (3,000,000) cruise ship passengers at an average per
passenger spend rate of $50 per person is $150,000,000, but one hundred
and thirty thousand (130,000) overnight hotel visitors at an average
per overnight guest spend rate of $1150 amounts to the same
$150,000,000. The FNM convention offered no justification for spending
scarce financial resources on low-yield cruise passengers, when the
monies would be more effectively spent on producing onshore activities
and attractions that would cause both high-yield hotel guests and
low-yield cruise ship passengers on smaller cruise vessels to spend
more vacation dollars in our local economy.
Minister
Vanderpool-Wallace did not seek to justify the Ingraham
administration’s rationale behind investing these millions in and
giving concessions to foreign entities such as the cruise lines, while
further permitting these economic fat cats to control the estimated
$250 million on-shore tour business through greedy, monopolistic
practices which deny Bahamian tour operators the opportunity to earn a
fair share of this tourism business. While the cruise lines have been
permitted to ride roughshod over these local tour operators and stifle
fair competition in the process, there were no suggestions by the
minister about what is being done to create a fair marketplace that
will enable these Bahamian small businesses to profit from this major
pillar of our economy. Does the FNM care more about further empowering
wealthy cruise lines, than it does about beginning to empower Bahamian
small businesses?
What
incentive does the government have to give unfair advantages to these
cruise lines which help to destroy Bahamian small businessmen? The
National Development Party believes that anti-trust legislation, which
would make such anti-competition practices illegal, is urgently needed.
Such legislation would also ensure that the Over-the-Hill community in
New Providence, and other less developed communities around the
country, would receive the same economic incentives as provided for in
legislation such as the City of Nassau Revitalization Act in a bid to
create a more vibrant experience for visitors to our shores.
The
Minister of State for Finance mentioned that the cabinet would move “as
quickly as possible” to reduce the country’s debt to GDP ratio to the
30-35% range, once local economic conditions improve. Moody’s estimates
that the local debt/GDP ratio will be 50% by next year, notwithstanding
the more conservative estimate of 38.9% as at June of this year,
purported by the Prime Minister in his recent budget communication. Any
plan to reduce this ratio will involve either increasing customs
duties, decreasing government spending, increasing taxation, or any
combination of the three. What is the plan if the pre-recession tourism
decline continues even after the U.S. economy shows stronger signs of
recovery? In an economy based predominantly on tourism, it will be near
impossible to increase customs duties or taxes in the midst of a poor
tourism market. Furthermore, Minister Laing alluded to the fact that
long-term deficit spending for infrastructure and social service
programs is unsustainable. This speaks to the danger inherent in an
economic approach of continuing to depend so heavily on a single
revenue stream, such as this administration seems intent on doing with
tourism.
Minister
Laing also mentioned efforts to make The Bahamas an easier place in
which to do business, but he failed to mention any concrete plans to
make energy cheaper for Bahamian households or local businesses. The
high cost of energy is unsustainable, with new reports that BEC spent
just under $1 billion for oil imports/electricity generation in 2008,
and begs a plan that provides a cheaper alternative to the current
reliance on fossil fuels. Regrettably, there was no talk at the
convention of incentives being introduced for businesses seeking to
provide less expensive alternative energy sources. Rather than
articulating a plan to diversify the nation’s energy supply, the Prime
Minister thought it would be more impressive to talk about creating a
payment plan for those BEC consumers now in arrears. The FNM’s answer
is not a new energy plan, but a new payment plan. This economic
approach is neither visionary nor innovative, it is business as usual.
Answering any test with the same failed approaches of the past is
nothing short of failure on the part of this Ingraham administration.
Crime:
Our
country is under siege by a criminal element that has no fear of the
law. Bahamians were optimistic that Minister of National Security, The
Hon. Tommy Turnquest would speak to new measures that his
administration is taking to deal forcefully with the rampant
lawlessness that appears will lead to the highest number of homicides
ever recorded in a single year in this nation’s history. Minister
Turnquest’s remarks seemed to place full blame for the out-of-control
crime problem on the breakdown of the family in our society and said
that crime is not a political problem, notwithstanding the fact that
his party made crime a political issue when the Hon. Cynthia Pratt was
Minister of National Security under the former administration. We, the
National Development Party, believe that it is unfortunate that there
seem to be two rules according to Minister Turnquest: One set of rules
when you’re in opposition and another set of rules when you’re in
governance. It is even more unfortunate and ironic quite frankly, that
the minister sought to shirk responsibility at a convention whose
slogan was: “Tough Times. Tested Leadership.”
The
Minister is right, crime is not a political issue; crime is a
governance issue. Instead of using his national convention platform to
address critical issues that have made crime more acute, such as the
illegal gun trade and the steps being taken by the government to get
the guns off of our streets, he ignored these issues entirely. Crime
will always thrive in any society where there is no respect for the
Rule of Law or for those on the frontlines of the fight against crime.
Unfortunately, the majority of Bahamians see Minister Turnquest as
being a weak politician who does not possess the gravitas to head a
ministry as challenging as the Ministry of National Security (MoNS).
While
we, the National Development Party, acknowledge the challenges posed by
a myriad of social problems facing our country and their impact on
crime, we believe that this is no excuse for Minister Turnquest’s
failure to implement law enforcement policies and strategies to combat
criminal behavior. One of the measures that he has failed to implement
is a ‘zero-tolerance’ crime policy that would cause criminals to fear
and respect the Rule of Law. When there is a level of contempt for the
law, whereby persons shoot at, injure or kill law enforcement personnel
serving in the line of duty, it is no wonder that so many civilians are
today the targets and victims of violent crime.
Instead
of ‘zero-tolerance’, several criminals have been granted bail after
committing brazen acts of violence using firearms against law
enforcement personnel and endangering public safety in the process. If
criminals can so easily receive bail after being charged with taking
the lives or attempting to take the lives of those charged with
enforcing the law, the state is guilty of encouraging criminals to lose
all fear of breaking the law, and this leads to the creation of a
culture of anarchy. Contrary to the excuse used by the Minister, it
wasn’t the families that granted these men bail, it was the judicial
system guided by a weak penal code – a penal code that Minister
Turnquest has failed to strengthen in his two and a half years
governing the MoNS.
We
believe that in order to successfully overcome these tough times of
rampant crime, the task requires a tough leader in the MoNS. We believe
that the lack of an innovative ‘zero-tolerance’ approach by this
ministry has been the primary reason for its dismal performance in
being unable to curb the escalation of crime in our country. We,
therefore, call on the Prime Minister to quickly replace Minister
Turnquest with someone who has the vision and political will to succeed
in this critical position of governance.
Land Reform:
The
FNM tabled a Planning and Subdivisions Bill just prior to their
convention and Prime Minister Ingraham spoke about his party’s interest
in using this bill to protect investment by Bahamians in real property
and to protect them from unscrupulous land developers. At no time,
however, during the convention did Prime Minister Ingraham or Minister
for the Environment, the Hon. Earl Deveaux, explain why they did not
see fit to use this “Planning” bill to repeal the abused Quieting
Titles Act and to codify a proper land registration system into the
act. Investments by Bahamians in real property will always be risky
until these changes are made. Unfortunately, for all the talk about how
tough the Ingraham administration is, the absence of such political
will to use this land planning legislation to comprehensively deal with
land reform shows that this administration is not truly interested in
protecting and empowering Bahamian land owners. The National
Development Party calls on this administration to demonstrate its true
concern for Bahamian land owners by amending the Planning and
Subdivisions bill with provisions that will permit a proper system of
land registration and the repeal of the Quieting Titles Act.
The Media and Freedom of Information:
The
FNM’s convention started with media controversy that begs these
questions: Did certain FNM party officers try to control media coverage
of their convention? In exchange for payment to the various privately
owned radio and television stations, did the party seek to dictate
which media commentators or analysts would be permitted to provide
commentary at their convention? Why were political
commentators/analysts such as Mr. Ortland Bodie and Mr. Godfrey Eneas
not performing the roles they performed at the political convention
held by another political party two (2) weeks prior? Persons in the
media claimed that the party’s position was that it was paying for the
airtime and as such it had the right to choose who could or could not
be used on radio or television broadcasts of the convention. Is this
true?
Against
this backdrop of apparent attempts at media control, not once during
the FNM’s convention were the words freedom of information act used
together in a sentence. You cannot believe in freedom of information if
you do not believe in freedom of the media. Ironically, in these tough
times, the FNM’s apparent move to control media coverage of its
convention, show clearly that they are thin-skinned and not tough
enough to handle criticism by certain members of the media.
The
National Development Party expects that going forward, in an effort to
promote mature and healthy political discourse, media houses will be
allowed to promote fair and balanced political commentary by having
persons representing other political parties serve as on-air
commentators/analysts throughout the parties respective conventions. To
this end, we join all freedom loving Bahamians in calling on the
governing Ingraham administration to immediately implement a genuine
Freedom of Information Act entailing provisions that will provide true
empowerment and freedom of the media.