MadHatter

http://bisxbahamas.com/wp-content/uploa…

Count yourself lucky that the offering is only for high net worth individuals and institutional investors. Take a look at the financial on the above link and you will see that the company lost $15 million last quarter and had capital outlays of $21 million.

It also had total liabilities of $557 million...yes, that half a billion dollars!!! The entire Bahamas government, with all of their mis management only has 8 billion of debt.

Also, they only have $6 million in net revenues to service the half a billion of debts.

Now they are borrowing another $15 million and just got a loan of $50 million from its Chinese Vendors, Huawei. The debt is going to be so high that Huawei/Chinese will need to come in and be their savior. In the meantime the bond holds will be wiped out, just like the equity holders have already been wiped out.

I give it a couple of years. The Chinese are not going to pay the interest on all these loans forever. Baha Mar here we come!

Also, 5G is coming which will need another upgrade and I am sure Google will provide satellite internet to compete.

But no worries, I am sure National Insurance will subscribe to a bunch of Cable's bonds with what little is left of our retirement funds.

I am sure the both Knights have US$ bank account and access to the US capital markets which have provided greater returns than the Bahamas stock markets. These accounts have been outside of the Bahamas for decades.

I am also sure that both Knights have deep interest in monopolies (oil and gas) and cartels (banking, shipping etc) that provide them with unusually high returns in Bahamian dollars.

Us proletariat will just have to stay black and poor and fully shut out of the global markets like we have been for the last 200 years since the abolition of slavery.

I say let Bahamians do exactly what they want with their hard earned money. If they want to convert it to US dollars then let them. Why should only the rich have access to foreign capital.

Also, I say, let the damned Bahamian dollar float. Let it devalue. Most Bahamians have so little money that it wouldn't make a difference. The Knights don't want to devaluation because it acts as a natural mote to prop up the crony capitalistic endeavors.

On the other hand the Central Bank's relaxation of exchange control is laughable and will be ignored by the commercial banks (including those where the Knights have a big interest).

Essentially the Central Bank has put the burden of regulation of the new exchange control laws on the banks. The banks will now have to perform impossible fiduciary tasks. As the Knight said above, what is to prevent a business opening a US dollar account at every bank? To this I add, what happens when the balance goes above $100,000? Does the bank freeze the account because it is not in compliance with Central Bank regulations? Does it reject incoming wire transfers? What happens if a business man pays his child's school fees in Canada out of the account or runs his personal expense in Canada through the account? Is the bank suppose to regulate and inspect exactly what the payments are for? Suppose the business wires the funds out of the country to invest in the global capital markets and not use it to buy inventory? How are the banks going to police the accounts?

The answer is that the bank will not police the accounts, the banks will simply not open US dollar accounts for Bahamian businesses because during Central Bank inspections they will see that the accounts are not in compliance.

https://www.theglobeandmail.com/report-…

Don't you just hate it when racially biased foreigners come to the Bahamas and blame everything on black people, call us dumb, stupid and uneducated and our leaders just sit back and take it out of fear they may not get a loan or their $8 billion in government debts won't get renewed.

The above article in the Canadian Globe and Mail Newsaper point to a more systemic and regional issue related to banking in the Caribbean. The problem with banking in the Caribbean is that it is not scalable as the markets are too small. Who wants to role out a technology platform for 300,000 people when you can role out a platform for hundreds of millions in north america? Who wants to deal with a bunch of legislators who clearly don't have a clue.

The Bahamian government makes it even harder when the role out basically impossible legislation to administer (e.g. the Homeowner's Bill) and the Regulator proudly roles out exchange control relaxation (virtually instructing the banks to regulate US accounts for Bahamians - the work fiduciary not a service provider). The Canadian banks will simply not give house loans and will simply not open up US accounts for Bahamians. E.g. One of the more idiot exchange control relaxations is that a US dollar bank balance can't go over US$100,000! So what is the bank to do? Stop taking deposits? Reject incoming wire transfers? Or supposed a business man uses the account to pay their child's school fees? What is the bank to do? Ask them why they are sending money to a school in Canada? No, no...the banks will simple not do the business and try to shut down as quickly as possible.

Adrian. Can you please resign as Chair of the Water and Sewerage Corp and do the work you were elected to do by the great people of Long Island?

The banks in Long Island do not accept cash anymore and rumor has it that one of them is about to close.

Businesses cannot operate efficiently without banking.

With no international airport, no foreign investment and a web shop in every settlement the people of Long Island are hurting. No one ever sees you on the island. If the election was held today you would not win. Neither would the PLP.

I could care less about the length of reverse osmosis contracts when I can barely keep the lights on.

Good point SP. Any statistics on how many small businesses are closing because of government red tape? VAT and VAT reporting requirements are a real small business destroyer.

I buy all my cloths at Walmart and Costco. A polo shirt for $6 in Walmart would be $40 in Nassau plus VAT if you can find something of similar quality and the correct size in Nassau.

Oracle you are so so right. I detail the "thousand cuts (and bribes)" below. I could have gone on and on but had better things to do with my time.

Why would anyone want to open a business in the Bahamas...especially a small business with limited capital? With a national education level of "D", VAT on Customs duty, Business License fees regardless of if you make a profit or not, high shipping cost (due to Arawak port high fees and monopoly), high electrical costs - lots of stealing at that company, undrinkable water - stealing hear too, high gas prices - one importer/monopoly, inferior low octane gas - it can't meet US standards so its dumped in the Bahamas, oil monopoly, web shops on every corner and island settlement (anyone bin to West End lately? its a wasteland) liquor stores on every corner, crime, exchange controls, lousy banking, high bank charges, low tech baning, pot hole roads, crooked politicians, beggars everywhere, impossibly high construction costs, real property taxes very high on foreigners, foreign owned properties being "expropriated" with the nood of the government (Cable Beach), poor airlift to the family islands.

But no worries - the BTC marketing man will solve everything. Is this a joke or what.

Hmmm. I wonder who this intelisys is?

Its easy for PLP and FNM's to prey upon foreigners from the former owner of a couple of Cable Beach hotels straight down to foreign owned bush land with no utilities in the middle of no where on an barely developed family island.

But this is absolutely wrong.

Thanks Licks2.

The Government really needs to take a more careful look at aviation in the Bahamas to ensure we are safe as possible when flying around the family islands.