The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

A Cabinet minister has pledged that The Bahamas will address demands for a 15 percent minimum global corporate tax and greater transparency “in the near future”.

Michael Halkitis, minister of economic affairs, addressing a London-based event to market the Bahamian financial services sector, also affirmed that this nation has begun the process of reforming its Digital Assets and Registered Exchanges (DARE) Act and other legislation to ensure regulation keeps pace with emerging trends in this niche.

Asserting that The Bahamas “embraces change as an opportunity for growth”, he added: “Greater transparency measures for mandatory disclosures and the arrival of global minimum corporate taxes are issues that we are prepared to address in the near future. You can be sure that our response to these looming issues will be swift and maintain clearly articulated, balanced policy positions.”

Pointing to how The Bahamas met European Union (EU) demands for all entities operating in this nation to have a physical, or commercial presence, as well as eliminating so-called ‘ring fencing’ and preferential tax exemptions for corporate vehicles conducting business in the international economy, Mr Halkitis argued that no other nation can match this nation for its number of financial services professionals on “a per capita basis”.

“Investors in The Bahamas can be assured that we will never rest on our laurels. We are always scanning the horizon for opportunities to strengthen existing offerings and tap into emerging niches,” the minister said. “This is why leaders in the Fintech (financial technology) industry are now making moves to establish a foothold in The Bahamas.

“In our Digital Assets and Registered Exchanges legislation, we have a world-leading regime for the regulation and facilitation of the exchange of digital assets, digital payments, digital ledger technologies and the sale of digital assets. Our financial services sector has now been launched into a digital landscape that will open the door to a range of new service offerings as the world continues to embrace the Fintech revolution.

“True to our reputation for measured innovation, we have already begun the process of drafting amendments to the existing legislation in recognition of emerging trends, such as stable coins, non-fungible tokens (NFTs) and provisions for greater consumer protections in decentralised finance.”