The Tribune

By NEIL HARTNELL

Tribune Business Editor

nhartnell@tribunemedia.net

THE Democratic National Alliance’s (DNA) former leader says Bahamians have increasingly been obtaining “partial” as opposed to full prescriptions after VAT was reimposed on medicines with effect from January 1.

Branville McCartney, whose family own and operate Wilmac’s Pharmacy, told Tribune Business that while this trend has been evident prior to the tax change it had become even more noticeable after the Davis administration reimposed the 10 percent levy.

“Many of those medicines are a necessity. We would have seen, though, where persons would come in and, if they are on high blood pressure medication and it has been prescribed for three weeks, they’ll say: ‘Give me half a month’s supply and I’ll come back for the rest in 14 days’,” he revealed.

“Medication is a necessity in many instances. People normally get it. However, we do see where people have to break up their prescriptions in terms of not getting the full amount and get partial prescriptions. We see that more now that VAT has been put on medicines.

“It was there before, but even more now. It was there because of the way the economy was, but we see it more now when persons come in and say: ‘I cannot get a full prescription; can I get a partial prescription?’ It’s unfortunate. It’s very sad.” The Opposition have seized on the Government’s decision to reintroduce VAT on so-called “breadbasket” foods and medicines as an area to go on the offensive, accusing it of adopting an uncaring attitude towards vulnerable Bahamians who are grappling with a cost of living crisis and the continued fall-out from the COVID-19 pandemic.

Mr McCartney’s remarks are likely to reignite what has become a political controversy, although the Davis administration has retorted by accusing the Free National Movement (FNM) of using the issue as a “bully pulpit” from which to bash the Government. It has also consistently argued that medicines and “breadbasket” foods represent just a fraction of the goods and services that attract VAT, and that the rate cut from 12 percent to 10 percent on all other items creates a net effect that lowers - rather than increases - the overall tax burden for Bahamians. And, by eliminating the Minnis administration’s ‘zero ratings’ and ‘exemptions’, it has simplified VAT administration and boosted collections and compliance.

Mr McCartney, meanwhile, said improved tourism numbers and increased economic activity is not “trickling down to the average man on the street” yet. He told this newspaper: “We’re just hoping for the best and that the economy will start turning around and trickling down to the every-day man. “I see a lot of tourists in town, the numbers are looking good, but it’s not trickling down into the economy so to speak yet. Unemployment is still up there and, of course, the cost of living has increased with food prices together with gasoline. There are a lot of things to take into account.”

Mr McCartney said he still retains “a positive outlook” on The Bahamas’ post- COVID recovery prospects, and is “looking forward” to the turnaround eventually touching all parts of society as he described the Budget’s revenue numbers as “encouraging”.

“But from a business point of view, nothing has trickled down to the every day man in terms of the economy turning around,” he told Tribune Business. “We were in a recession from 2008 and, when we started to see some light at the end of the tunnel, Hurricane Dorian hit and knocked us back and, shortly after that, the pandemic.

“If you look at it from 2008, we’ve really been going through a rough time economically. We started to see some momentum in the economy, and then the hurricane hit and the pandemic. We need a break; we just really need a break in this country.”