May be the centralized powers can now diversify the economy away from big box tourism, oil exploration, oil storage and big diesel fossil fuel energy as the country will be fully indebted to the IMF.
Can we try solar energy, agriculture, poultry, light manufacturing, family island development, micro guest cottages for tourism?
So when Dorian II comes along at least we are a little more self sufficient?
Very thoughtful and considered Newcitizen. I never thought I would come out and agree with anything the government has to say but with zero tourist arrivals the strain on reserves will decline dramatically.
Secondly in the “balance of payments” reserve reconciliation there is in major developing countries an entry called “errors and omissions” which in our case would be residence importing goods and paying for it in hard currency they have outside of the Bahamas which doesn’t put a strain on reserves.
However we are overlooking hurricane seasons which starts in less than 3 months.
Our government is reactive. They are not proactive or visionary. This crisis I suspect will force a change in our economic models and possibly a disruptive and painful change in our political structure as unemployment escalates to 30% in Nassau within a month.
I can now use the money I saved from not paying for light and water and use it in the web shop, after that I go to the liquor store to get tune up, then church on Sunday and I hear dey legalizing marry Jane.
Wit all dis free stuff who needs to work?
All I know how to do is my safe government job. Where I don’t have to do anything anymore because we need to close down.
Clamshell this would be useful to know if she worked in a public place (hotel, restaurat or bar). Immediately with this information her colleagues could self quarantine. But with zero information the risk of spread continues unabated.
I agree Newcitizen. This will be an "economic catastrophe" bigger than Dorian for the Bahamas.
As usual, our leaders are not addressing the fast moving events nor have they diversified the economy away for big box tourism projects...which are now "dead in the water". With Dorian knocking out Abaco and Grand Bahama and CoVID 19 knocking out Nassau is this the black swan we were praying never comes?
1.Just under 50% of all persons in The Bahamas are directly employed in tourism.
2. If you add those who are indirectly employed in tourism, the percentage increases to 70%.
3. Tourism provides foreign exchange (US dollars) which allows the government to pay bills
4. Approximately 1.5 million stopover visitors and 3.5 million cruise visitors per annum. (Canada has advised its citizens to stop non essential travel abroad and to self quarantine for 14 days when you return).
“The cruise ships currently pay $18 per passenger “head tax” to the Public Treasury, now that rebates ceased from June 30 last year, plus an estimated $3-$4 per head in docking fees. This takes the total levy imposed on them to around $21-$22 per passenger.“ The Tribune.
So the government gets $21 per passenger, the average passenger spends $15 in port. Total $36 per passenger x 10,000 x 365 days per year = $131,400,000 in loss taxes and retail business. Using an economic multiplier of 4 and considering the loss of hard currency to the Bahamas then the impact is $500,000,000.
Assuming a $10 billion economy this will equate to a 5% shrinkage in GDP.
As Well muddo says the business model of these sea monster is to pack as many ppl on each cruise, clean to the minimum standards and dump as much garbage in the ocean where no one is watching and there is zero penalties compared to the recycling.
I would be shocked if the CDC comes out even after CoVID 19 passes in a couple of months and says it is now safe to put 3,500 on a cramp dirty boat.
If these monsters stop operation it will put a dent in sea pollution and global warming.
This story is a bunch of nonsense. The headline should read: "Royal Caribbean suspends US cruise operations after national emergency declared". The Verge.com
Rest assured if Royal Caribbean was a black Bahamian over the hill business god knows they would get such gracious treatment.
So Mr. Tribune please do a little more investigation and answer the questions or interview somoe one who has the answers:
1. What is the governments reaction? Are they going to help business ppl by lowering taxes. 2. What is Bay St's merchant's reactions? 3. What is the financial impact of not having 10,000 visitors a day paying the Cruise ship per head tax to the government?
Its almost as if the newspaper it tip toeing around this storey.
observer2 says...
May be the centralized powers can now diversify the economy away from big box tourism, oil exploration, oil storage and big diesel fossil fuel energy as the country will be fully indebted to the IMF.
Can we try solar energy, agriculture, poultry, light manufacturing, family island development, micro guest cottages for tourism?
So when Dorian II comes along at least we are a little more self sufficient?
On Baha Mar to close on March 25 until further notice – temporary layoffs for nonessential staff
Posted 21 March 2020, 8:55 p.m. Suggest removal
observer2 says...
Very thoughtful and considered Newcitizen. I never thought I would come out and agree with anything the government has to say but with zero tourist arrivals the strain on reserves will decline dramatically.
Secondly in the “balance of payments” reserve reconciliation there is in major developing countries an entry called “errors and omissions” which in our case would be residence importing goods and paying for it in hard currency they have outside of the Bahamas which doesn’t put a strain on reserves.
However we are overlooking hurricane seasons which starts in less than 3 months.
Our government is reactive. They are not proactive or visionary. This crisis I suspect will force a change in our economic models and possibly a disruptive and painful change in our political structure as unemployment escalates to 30% in Nassau within a month.
On Governor: $2bn reserves enough to overcome virus
Posted 17 March 2020, 8:53 p.m. Suggest removal
observer2 says...
I can now use the money I saved from not paying for light and water and use it in the web shop, after that I go to the liquor store to get tune up, then church on Sunday and I hear dey legalizing marry Jane.
Wit all dis free stuff who needs to work?
All I know how to do is my safe government job. Where I don’t have to do anything anymore because we need to close down.
On BPL Board to consider disconnection suspend
Posted 17 March 2020, 7:03 p.m. Suggest removal
observer2 says...
What happen wit de $600 million rate reduction bond from Wall Street. Stock market done crash so I guess ain no money comin in.
And Ain no use me payin my bill after 40 years because ain no body else ga pay.
I broke broke.
On BPL Board to consider disconnection suspend
Posted 17 March 2020, 3:34 p.m. Suggest removal
observer2 says...
Clamshell this would be useful to know if she worked in a public place (hotel, restaurat or bar). Immediately with this information her colleagues could self quarantine. But with zero information the risk of spread continues unabated.
On UPDATED: 61-year-old woman is the first confirmed case of COVID-19 in The Bahamas
Posted 15 March 2020, 2:43 p.m. Suggest removal
observer2 says...
As usual the news is incomplete.
Did the lady travel travel in the last 21 days or the last month? Did any member of her family travel? Did any of her working colleagues travel.
She has been in the hospital since Friday, at least we could have gotten more clarity.
The lack of information from the government is causing the panic.
And why is the minister of education giving updates when he is no medical credentials.
On UPDATED: 61-year-old woman is the first confirmed case of COVID-19 in The Bahamas
Posted 15 March 2020, 1:39 p.m. Suggest removal
observer2 says...
Also, Spain just closed it boarders.
Catholic Church in New York cancelled mass tomorrow.
On President Trump says top cruise ship companies stopping trips from the US
Posted 14 March 2020, 4:02 p.m. Suggest removal
observer2 says...
I agree Newcitizen. This will be an "economic catastrophe" bigger than Dorian for the Bahamas.
As usual, our leaders are not addressing the fast moving events nor have they diversified the economy away for big box tourism projects...which are now "dead in the water". With Dorian knocking out Abaco and Grand Bahama and CoVID 19 knocking out Nassau is this the black swan we were praying never comes?
Some statistics about tourism found on the www.tourismtoday.com website:
1.Just under 50% of all persons in The Bahamas are directly employed in tourism.
2. If you add those who are indirectly employed in tourism, the percentage increases to 70%.
3. Tourism provides foreign exchange (US dollars) which allows the government to pay bills
4. Approximately 1.5 million stopover visitors and 3.5 million cruise visitors per annum. (Canada has advised its citizens to stop non essential travel abroad and to self quarantine for 14 days when you return).
On President Trump says top cruise ship companies stopping trips from the US
Posted 14 March 2020, 10:41 a.m. Suggest removal
observer2 says...
Excellent analysis Well muddo.
“The cruise ships currently pay $18 per passenger “head tax” to the Public Treasury, now that rebates ceased from June 30 last year, plus an estimated $3-$4 per head in docking fees. This takes the total levy imposed on them to around $21-$22 per passenger.“ The Tribune.
So the government gets $21 per passenger, the average passenger spends $15 in port. Total $36 per passenger x 10,000 x 365 days per year = $131,400,000 in loss taxes and retail business. Using an economic multiplier of 4 and considering the loss of hard currency to the Bahamas then the impact is $500,000,000.
Assuming a $10 billion economy this will equate to a 5% shrinkage in GDP.
As Well muddo says the business model of these sea monster is to pack as many ppl on each cruise, clean to the minimum standards and dump as much garbage in the ocean where no one is watching and there is zero penalties compared to the recycling.
I would be shocked if the CDC comes out even after CoVID 19 passes in a couple of months and says it is now safe to put 3,500 on a cramp dirty boat.
If these monsters stop operation it will put a dent in sea pollution and global warming.
On President Trump says top cruise ship companies stopping trips from the US
Posted 14 March 2020, 9:15 a.m. Suggest removal
observer2 says...
This story is a bunch of nonsense. The headline should read: "Royal Caribbean suspends US cruise operations after national emergency declared". The Verge.com
Rest assured if Royal Caribbean was a black Bahamian over the hill business god knows they would get such gracious treatment.
So Mr. Tribune please do a little more investigation and answer the questions or interview somoe one who has the answers:
1. What is the governments reaction? Are they going to help business ppl by lowering taxes.
2. What is Bay St's merchant's reactions?
3. What is the financial impact of not having 10,000 visitors a day paying the Cruise ship per head tax to the government?
Its almost as if the newspaper it tip toeing around this storey.
I wonder why?
On Cruise line hopeful it can handle 'challenging' times
Posted 13 March 2020, 7:59 p.m. Suggest removal