The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

PRIME Minister Perry Christie yesterday confirmed the Government had agreed to roll back the new and increased taxes levied on Freeport in the 2013-2014 Budget, stating that the decision would help create hundreds of new jobs on the island.

Speaking at a press conference yesterday afternoon, Mr Christie said: “In consideration of an agreement by major entities in Grand Bahama to expand their involvement in Grand Bahama, we have agreed to roll back the taxes.”

Mr Christie added: “It is a good decision that will produce hundreds of new jobs, where the Container Port and MSC will expand their involvement in the community, where Grand Bahama Shipyard and others will do the same, and I am very happy about that.”

The Prime Minister’s comments amount to a pre-emptive strike, as Tribune Business understands that the Grand Bahama Chamber of Commerce and Freeport business interests were today planning a press conference to announce the filing of their legal action challenging the Budget tax increases.

Back in April, while speaking at the National Conclave of Chambers of Commerce in the Bahamas, Mr Christie indicated then that the Government was looking to roll back the new and increased taxes levied on Freeport in the Budget, emphasising that his administration was “flexible” on the matter.

At the time, Mr Christie said the Government had been in discussions with Hutchison Whampoa, the Freeport Container Port’s majority owner, and the Grand Bahama Chamber of Commerce, on the issue, and acknowledged that a Memorandum of Understanding was being completed.

Mr Christie’s remarks yesterday effectively confirmed Tribune Business reports that the Government was would roll back the controversial 1 per cent Customs administrative processing fee in Freeport to help facilitate the long-proposed $250 million expansion at the Freeport Container Port.