EDITORIAL: What the Budget did not say

WHEN taking the time to sit down and examine yesterday’s Budget communication by Prime Minister Philip “Brave” Davis, it is as important to look at what was not said as much as what was.

After all the talk about a decision having been made over the ever-diminishing National Insurance Board fund, whether that decision being increasing contributions, cutting costs or a combination of both, the initials NIB did not even pass Mr Davis’ lips.

That leaves either the black hole getting ever larger at NIB or a significant unfunded cost to be dealt with outside of the Budget process.

The FNM felt the government was not doing enough to address the NIB situation – but then again we could do with seeing the FNM’s plan to resolve that conundrum too.

Meanwhile, Mr Davis did mention the words “Hawksbill Creek Agreement” as he declared that the model “does not work”. However, he did not specify what the government intended to do about it.

He did say that “the time has come for decisive action”, but that action will come in a “separate detailed announcement”.

We may not have to wait too long for that – it may even come during the Budget debate, he hinted, but again it comes as an item separate from the Budget process. Whatever that action is, perhaps it might carry significant costs, so it is curious that it may be absent from the budgetary discussion.

The debate over the Hawksbill Creek Agreement has certainly stirred up interest – with some echoing government sentiments that it is not suited for purpose, while others are wary of what might replace it, especially if that means influence from a government centred in Nassau rather than focused on the needs of Grand Bahama. Some have pointed out the issues with inefficient governance in New Providence too. Anyone who has called a ministry repeatedly only to seemingly never have a phone answered can attest to that.

But beyond those two items, what was actually in the Budget?

It largely seems to have been a Budget seeking not to disturb things too much. Mr Davis noted that the economy seems to be on the right course, and does not seem to want to meddle with that direction. No new taxes in a range of areas – though a number of fees and charges have increased, such as the passenger tax along with an environment levy to go with it, and a tourism enhancement levy. Given the number of tourists we have, that will bring some significant revenue – as long as the rise in fees does not put off those visitors, of course.

There are some interesting additions too – such as a new national organ transplant programme, funding for a school for the creative and performing arts, funding for a women’s shelter, and a new 50m swimming pool in Grand Bahama.

There was also considerable discussion online after the Prime Minister observed that 80 percent of the graduating class at the University of The Bahamas were women this year, and said it was “noteworthy and disappointing” that more young men were not taking advantage of the opportunity to learn.

Little more was said by Mr Davis, but that is a much larger subject that deserves a more thorough explanation – one we shall return to in this column another time. The many factors that lead to young men choosing other paths deserve a full explanation. Some of those paths, such as preferring to divert into learning trades at institutions such as BTVI, are positive, as they find the route that suits them. Some, as we see too often in crime reports of young men being gunned down, are the opposite.

Overall, this was a Budget that seemed to seek not to disturb the status quo too much. Things are going well, it seems, so just keep on flying.

But the devil will of course be in the details – and there will be plenty of room to analyse that through the course of the coming debate.

Comments

JokeyJack says...

Bahamians love being poor, so it don't matter.

Posted 3 June 2023, 11:03 a.m. Suggest removal

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