The Tribune

The Bahamas Development Bank is aiming to expand its products and services using existing powers provided under its founding Act, its managing director says.

Dave Smith pledged that the institution is seeking to to incubate emerging or struggling industries to expand the economy, create opportunities and ensure that natural resources will continue to provide for future generations during his address to the annual Exuma Business Outlook conference.

He said: “These kinds of transformative programmes have a higher rate of success/sustainability because BDB is able to connect technical expertise, funding and governmental support through partnerships with international agencies such as IICA (Inter-American Institute for Co-operation on Agriculture, CARDI (Caribbean Agricultural Research and Development Institute), and various government ministries, departments and agencies such as the Ministry of Tourism and the Ministry of Agriculture and Marine Resources.”

Established in 1974, Mr Smith said the BDB - as a developmental finance institution - is driven by profit and the responsibility to support national development through economic investment.

BDB has extended credit to hundreds of entrepreneurs over the past four decades in sectors such as manufacturing, fishing, services, transportation and tourism. It has also played a significant role in building inter-island connectivity, acting as the principal funding agent for mailboat services and more.

“This kind of facilitation translates into wealth creation, job creation, increased exports and reduced imports, thus transforming and growing our economy,” Mr Smith added. The BDB is also providing loan funding for small and medium-sized Bahamian enterprises through partnerships with the Small Business Development Centre.

Mr Smith highlighted two examples of the bank’s investment in programmes and initiatives aimed at spurring economic activity across The Bahamas. He cited the industrialisation of Cascarilla in Acklins, Crooked Island and Samana Cay, and an Apiary initiative in Grand Bahama where more than 30 young persons were trained in “bee keeping”.

Turning to Hurricane Dorian’s impact, the BDB chief said: “As we look to rebuild, BDB will champion opportunities for Bahamians that will ultimately enhance our self-sufficiency. In the short term, we are proposing a poultry revitalisation project for Grand Bahama and a small ruminant programme for Long Island that will combine training, logistics, and market preparedness.

Bonefishing tours, fishing boats and equipment, vehicles and taxis, hotels and motels are among the industries that the BDB has extended loans for in Exuma. Mr Smith added that the BDB is working to strengthen partnerships with organisations such as the Chamber of Commerce.

“While our credit extension facilities have supported SME growth across the archipelago over the last four decades, we will increase our efficacy by expanding our activities to include those typically offered in our region by development financing institutions (capital leases, guarantees, equity positions) in concert with other local development institutions,” he said.

“Further, as BDB continues to be a catalyst for economic development we recognise stakeholder collaboration and partnership, service consistency and communication to raise awareness in the areas of access and opportunity as important axioms for BDB’s success. We intend to be transparent and inclusive as we craft and communicate our progress on specific programmes and policies.”