Bahamian fiscal, monitory and regulatory policy are not coordinated and are putting the country in line for further credit downgrades, economic contraction and added misery for the average Bahamian (if that's possible).
Under orthodox monetary policy, such as being followed by Argentina, in the face of credit downgrades, interest rates are increased to draw in more investors (foreign and domestic) into the local currency while at the same time fiscal policy is liberalized to stimulate investment (cutting the time to approve projects) and increased hope amongst the investment class (lower taxes, less regulation and reduced corruption) and government is contracted through privatizations (sell BTC, Port, W&S, Bamsi, outsource NI etc).
We are doing the exact opposite. Increasing interest rates (poor Bahamian who bought the govt bonds for retirement income), increasing taxes (RPT revaluations, poor Bahamians), growing government (Aliv, NHI, Bamsi, Baha Mar and the Port), ignoring corruption (e.g. BoB, Post Office Bank) and adding more bureaucracy (VAT accelerated payments) on an already weary business community.
Our foreign policy is also out of wack. Instead of warming up the west we are looking east. The Dow is almost at 20,000 in anticipation of a business friendly administration and being 1 of 3 countries bordering on America we should be poised to benefit. On the contrary our biggest investment is drowning in secrecy, state sponsored ownership and is doomed for failure (after the election, of course).
Normally I consider most of what Christie says is crap. However his comments on global warming and rising sea levels in the Bahamas are spot on. However the conclusions are all wrong.
He concludes that "acts of God" caused the downgrade and leaves it at that. My issue is that the flooding in the Southern Bahamas will continue and accelerate and become more severe each and every year as 80% of the Bahamas disappears underwater before the end of this century.
S&P realiaes this and is warning investors of the calamities to come and to consider the Bahamas a high risk area. Never mind the corruptions, weak money laundering control, lack of fiscal reforms...the flood is coming.
Like Noah we need to prepare for it by moving Bahamians out of the low lying Southern Bahamas.
The offshore financial services industry is now at risk. Who in their right minds would deposit their funds in a country that has a junk rating? You see, now that the government has squeezed the Bahamian consumer dry with VAT, who will they soak next? Foreign bank accounts, trust funds, mutual funds, second homes, income taxes, taxes on corporate dividends? What will they do next to raise money?
The real property tax bills have gone up so much they haven't even mailed them to the people. What are they going to do next? Start confiscating family homes for real property tax?
The Bahamas should not be selling permanent residency in exchange for the purchase of a home period.
Think about it. Once the foreigner buys the property, we, the government support the property and the permanent resident as the government runs a constant current account deficit to run the country. No government department makes money. So we are supporting the foreigners.
Probe BEC, Probe BPL, Probe BTC, Probe Bamsi, Probe BoB, Probe COB theft, Probe DMV theft, Probe POBox Bank theft, probe why no one register to vote, probe why people wait in hot sun for driver license, probe why people can't get passort, Probe Baha Mar, Probe why crime so high, Probe increase in RPT, Probe VAT theft, Probe all da Noli's, Probe illegal gambling again, Probe Dat and Probe Dat.
Boy ya'll Bahamian get swing bad bad. FNM/DNA ga to da same ting ta yinna. Only ting it ga be da UBP anf foreign gangstars mix wit dey negro fronts. Das if ya could get one a dem voters card. Better have ya passport first or ya ma ma's birth certificate. Ya pa don't count.
observer2 says...
Bahamian fiscal, monitory and regulatory policy are not coordinated and are putting the country in line for further credit downgrades, economic contraction and added misery for the average Bahamian (if that's possible).
Under orthodox monetary policy, such as being followed by Argentina, in the face of credit downgrades, interest rates are increased to draw in more investors (foreign and domestic) into the local currency while at the same time fiscal policy is liberalized to stimulate investment (cutting the time to approve projects) and increased hope amongst the investment class (lower taxes, less regulation and reduced corruption) and government is contracted through privatizations (sell BTC, Port, W&S, Bamsi, outsource NI etc).
We are doing the exact opposite. Increasing interest rates (poor Bahamian who bought the govt bonds for retirement income), increasing taxes (RPT revaluations, poor Bahamians), growing government (Aliv, NHI, Bamsi, Baha Mar and the Port), ignoring corruption (e.g. BoB, Post Office Bank) and adding more bureaucracy (VAT accelerated payments) on an already weary business community.
Our foreign policy is also out of wack. Instead of warming up the west we are looking east. The Dow is almost at 20,000 in anticipation of a business friendly administration and being 1 of 3 countries bordering on America we should be poised to benefit. On the contrary our biggest investment is drowning in secrecy, state sponsored ownership and is doomed for failure (after the election, of course).
On Rate cut can’t be ‘knee jerk’ S&P reaction
Posted 24 December 2016, 3:51 p.m. Suggest removal
observer2 says...
Normally I consider most of what Christie says is crap. However his comments on global warming and rising sea levels in the Bahamas are spot on. However the conclusions are all wrong.
He concludes that "acts of God" caused the downgrade and leaves it at that. My issue is that the flooding in the Southern Bahamas will continue and accelerate and become more severe each and every year as 80% of the Bahamas disappears underwater before the end of this century.
S&P realiaes this and is warning investors of the calamities to come and to consider the Bahamas a high risk area. Never mind the corruptions, weak money laundering control, lack of fiscal reforms...the flood is coming.
Like Noah we need to prepare for it by moving Bahamians out of the low lying Southern Bahamas.
On PM: Rivals are in ‘meltdown’
Posted 23 December 2016, 10:23 a.m. Suggest removal
observer2 says...
The offshore financial services industry is now at risk. Who in their right minds would deposit their funds in a country that has a junk rating? You see, now that the government has squeezed the Bahamian consumer dry with VAT, who will they soak next? Foreign bank accounts, trust funds, mutual funds, second homes, income taxes, taxes on corporate dividends? What will they do next to raise money?
The real property tax bills have gone up so much they haven't even mailed them to the people. What are they going to do next? Start confiscating family homes for real property tax?
On Standard & Poor’s downgrades Bahamas to 'junk' status
Posted 21 December 2016, 1:41 p.m. Suggest removal
observer2 says...
The Bahamas should not be selling permanent residency in exchange for the purchase of a home period.
Think about it. Once the foreigner buys the property, we, the government support the property and the permanent resident as the government runs a constant current account deficit to run the country. No government department makes money. So we are supporting the foreigners.
On Developer urges: Don’t ‘destabilise’ residency market via $1m mark
Posted 19 December 2016, 3:07 p.m. Suggest removal
observer2 says...
If I did what dey just do, I'd get da chills too.
Lord have mercy.
On Edison Key ‘doing fine’ after being taken into hospital
Posted 14 December 2016, 9 p.m. Suggest removal
observer2 says...
How much more naive and ignorant can you get.
Banks are not principals or fiduciaries but have a simple agency relationship with their clients.
To have the banks "bless" the web boys would be like the Pope condoning sin once he had reviewed it.
More correspondent banks will leave.
Seems like the web boys is all Rolle is interested in. Forget growing the economy.
On Central Bank sponsors web shop ‘interactions’
Posted 12 December 2016, 7:42 p.m. Suggest removal
observer2 says...
While fill out another central bank survey when nothing will happen.
Why regester to vote? When the FNM will be just as bad as the PLP.
Why vote in referendums when nothing will change.
On Private sector response ‘underwhelms’ C Bank
Posted 10 December 2016, 1:56 p.m. Suggest removal
observer2 says...
The government is too busy dealing with the Chinese and the opposition with political nonsense from Minnie and Loretta.
I guess we'll just loose more corespondent banking relationships.
Tank goodness for da Bahamian dollar.
On ‘No room for failure’ on auto tax exchange
Posted 10 December 2016, 1:52 p.m. Suggest removal
observer2 says...
I guess I'll just stay poor, black and uneducated.
On Bahamas not ready for exchange control end
Posted 10 December 2016, 1:35 p.m. Suggest removal
observer2 says...
Boy das a lot a probes.
Probe BEC, Probe BPL, Probe BTC, Probe Bamsi, Probe BoB, Probe COB theft, Probe DMV theft, Probe POBox Bank theft, probe why no one register to vote, probe why people wait in hot sun for driver license, probe why people can't get passort, Probe Baha Mar, Probe why crime so high, Probe increase in RPT, Probe VAT theft, Probe all da Noli's, Probe illegal gambling again, Probe Dat and Probe Dat.
Boy ya'll Bahamian get swing bad bad. FNM/DNA ga to da same ting ta yinna. Only ting it ga be da UBP anf foreign gangstars mix wit dey negro fronts. Das if ya could get one a dem voters card. Better have ya passport first or ya ma ma's birth certificate. Ya pa don't count.
On PM orders probe into blackouts
Posted 6 December 2016, 10:12 a.m. Suggest removal