The Bahamas is edging towards opening up its telecommunications sector, with the government's plans to sell off a controlling stake in state-owned Bahamas Telecommunications Company (BTC) having taken another step forward in late November. Having announced in January that it was opening a tender to sell off a minimum 51% stake in BTC, in July the government invited interested parties to register their…
Though the Bahamas is well established as one of the region's leading offshore financial centres and has an active domestic financial services industry, the insurance sector has lagged behind somewhat, a situation that may soon change. The insurance industry in the Bahamas is divided into the domestic and the captive segments, operating independent of each other and each governed under its own act…
With regulatory frameworks around the world undergoing intense scrutiny in the wake of the financial crisis, the Bahamas is well underway in enhancing the regulatory oversight of its own markets. The events of recent months have caused the authorities to consider the structure of a new super-regulator, which would extend the regulatory oversight of the existing Securities Commission, by bringing…
The Bahamas insurance sector is being given a major overhaul, with the passing of three key pieces of legislation to establish a new monitoring body that ensures both local and offshore practices meet international standards. The Bahamas has long been trying to become a major offshore insurance centre, as well as housing a strong domestic insurance market, the two acting independent of each other.…
The economy of the Bahamas is expected to face another lean year before embarking on a modest recovery and moderate but steady growth, though many of the problems are not of the country's own making. Most estimates put the contraction of the economy in 2009 at around 4%. While the rate is expected to ease this year, the IMF has forecast that the economy will contract by a further 0.5% in 2010,…
The Bahamas has scored well in a recent World Bank comparative study on ease of doing business internationally, ranking in the top third of the world's economies. However, the report did reveal some areas where the government needs to work on streamlining bureaucratic processes in order to further improve the economic climate. The World Bank's "Doing Business 2009" report ranks 181 world economies…
Tourism operators in the Bahamas and the country’s government will be hoping for a quick rebound from a poor year in 2009, which saw revenues and non-cruise arrivals fall sharply. Many predict the pick-up will come in 2011. With tourism directly or indirectly contributing well over 50% to the Bahamas’ GDP, any contraction of the industry has a tangible impact on the country. Overall, the economy…
Though the hurricane season is well and truly over, it is a storm of another kind that many Bahamians are bracing themselves for, with the deepening recession blowing a chill wind across the country's economy. Unemployment across the island nation is on the rise, hitting a 10-year high, while tourist arrivals are down and business confidence is sagging. Although there are some signs that the global…
The Bahamas, which has no proven reserves of oil or natural gas, is totally reliant on imports to meet its energy needs. A major upcoming development project, however, could change this situation in the foreseeable future. In mid-May BPC Limited, a local oil and gas firm, announced a joint venture with the Norwegian-based StatoilHydro Company to conduct a major research project for oil reserves off…
Recent plans announced by the US to crack down on its citizens making use of tax havens have raised concerns over the long-term viability of offshore financial services. This in addition to the Organisation for Economic Cooperation and Development (OECD) including the Bahamas on its list of countries that were not as yet in full compliance with the body's standards on fiscal transparency. However,…
