By NEIL HARTNELL
Tribune Business Editor
nhartnell@tribunemedia.net
A Cabinet Minister yesterday described the Bahamas’ first World Trade Organisation (WTO) offer as “ludicrous”, as it effectively closed the Bahamas’ two largest industries - tourism and financial services - to foreign ownership.
Pointing out that this offer, which was made under the former Ingraham administration, failed to reflect the reality on the ground and were inconsistent with the National Investment Policy, Ryan Pinder, minister of financial services, questioned how that offer could have been “presented with a straight face”.
His comments came as Mr Pinder confirmed to Tribune Business that the Government wanted to submit a revised offer to the WTO by July, with input from all industries being sought by the end of this month.
This is the Bahamas’ latest offer on the extent to which it will liberalise its goods and services regime, and is scheduled to be presented before the third meeting with the Working Party that is negotiating the terms of the Bahamas’ accession to full WTO membership.
Acknowledging that the former Ingraham administration probably submitted an initial ‘low ball’ offer, with the intention of ‘negotiating towards the middle’, Mr Pinder told Tribune Business: “I personally wouldn’t have made the first offer in the context in which it was made. Some of the positions were ludicrous.”
He disclosed that the Bahamas’ initial WTO offer described hotels with more than 100 rooms as being closed to foreign ownership, which ignored the investments at Atlantis (Brookfield and Kerzner), Sandals, SuperClubs Breezes and numerous other properties.
Reiterating that this was “a ludicrous proposition”, Mr Pinder said the same happened to financial services, which was also said to be closed to foreign ownership.
“How can you present that with a straight face?” he asked. “Most of your commercial banks here are Canadian-owned, and most of your international banks are foreign-owned.
“I don’t understand how you can take some of the positions taken by the former government.”
Mr Pinder described the Government’s desire to submit a revised WTO offer by July, and have all local feedback in this months, as “accurate”.
The Bahamas’ WTO Working Party was currently scheduled to have its third meeting at the end of July, although this might be pushed back to August or September.
“We intend to put as thorough a presentation to the WTO as we can after thorough consultation,” Mr Pinder said.
Comments
SP 11 years, 6 months ago
The WTO initiative in it's entirety is a proven massive failure throughout the region. WTO is designed by big business conglomerates to benefit global conglomerates. It does nothing for for small Nations and small business's in those countries.
In fact in every instance WTO has proven to be a killer of small and medium size business in EVERY country.
Hubert Ingraham, as a good Uncle Tom, would sign off on anything put to him by a white smiling face regardless if it is good or bad for the country.
The record shows business failure and massive demonstrations against WTO throughout Latin America.
One needs to firstly consider WHO ARE THE PLAYERS behind WTO.
The answer to that question shows who stands to benefit from proposed policy's of WTO.
WTO is bad for local business and unquestionably bad for the Bahamas.
john33xyz 11 years, 6 months ago
So does this mean that so-called "shadow ministers" really have no access to actual information in a timely manner? How is it that he is only discussing this now instead of when it was first proposed? Perhaps because the reigning government is not required to inform "shadow ministers" of anything?
I guess anything is possible, because PMs are not even required to have Ministers of anything now - they can be the Minister of everything and make all their MPs be "Ministers of State" who have no actual power.
Fourty years of "independence" and we have only had 3 PMs. How can we say "our Bahamaland" when all the LAND belongs to the Crown ?
The_Oracle 11 years, 6 months ago
The Bahamas Negotiating team was reduced to two people, namely Zhivargo Laing and Raymond winder, as too much information was leaking out of the Negotiation team of a dozen or so people.(Zero private sector feedback/participation) Bear in mind most Caribbean countries have hundreds of personnel, and European countries literally thousands. Information on the Bahamas position is best learned by accessing the Barbados, Jamaican,Trinidadian and Guyanese government websites. Most Bahamians in the private sector are completely unprepared and really couldn't care less it appears. Non the less, we as a country are beholden to implement, comply and have been committed to this path predominantly by the FNM. The PLP, as always, are playing catch up, and are forced to implement things like VAT, courtesy of Ingraham and Laing. Who is on our current negotiation team? Where is the public discourse/participation? Weekly Statements from Mr. Pinder does not cut it! On the face of it, it looks like he is bouncing all over the place, but in reality every aspect of the Bahamian economy is having to comply and open up for direct foreign investment/participation.
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