The Tribune

By Fay Simmons

Tribune Business Reporter

jsimmons@tribunemedia.net

The Bahamas Development Bank’s (BDB) near two-decade funding “drought” will end through a $30m recapitalisation from the Africa Export-Import Bank.

Senator Quinton Lightbourne, the institution’s chairman, said the injection will end a “capital drought” that has endured since 2005 and which has “hindered” its ability to provide financing for start-ups, entrepreneurs and small businesses.

“It has been a long and arduous journey for the Bahamas Development Bank since the last capitalisation approval in 2005. For nearly two decades the institution has enjoyed a capital drought that has hindered its ability to fulfill its mandate in supporting development of our Bahamian economy,” Mr Lightbourne said.

“The Cabinet Office of The Bahamas has approved a $30m capitalisation from the Africa Export-Import Bank. The approval of this funding reflects the historic transformation of the Bahamas Development Bank.”

Mr Lightbourne added: “The funding we received today is a significant step towards bringing our economic prosperity to inclusion and touching the lives of every Bahamian. The impact of this capital infusion will reverberate throughout our beautiful country, not just within New Providence.

“The Bahamas Development Bank is a development bank for the entire nation...... The facility is open to all Bahamians operating businesses or projects in the sectors in which the bank operates. The standard interest rate between 6.75 to 8 percent will remain.”

Mr Lightbourne explained that the BDB should receive the funds from Africa Export-Import Bank next month, and that some companies have already been identified for assistance. “November, funds will be in hand, and we’ll be able to be in a position to disperse funding for local businesses,” he added. “We have a few businesses in the pipeline... [Once] the funding has hit our account then we’ll be able to disseminate.”

Mr Lightbourne added that BDB has been “rebuilt from the ground up”, and is now focused on Family Island development, food security, manufacturing, tourism and renewable energy.

He said: “We have essentially rebuilt this institution from the ground up, instilling best practices in our policies, operations and governance, complemented with the revitalisation vision and strategic plan.

“We are currently collaborating with partners to create real time opportunities for business growth, particularly focusing on Family Island development. We are dedicated to enhancing food security by investing in smart agricultural solutions, reducing our dependency on imports and increasing our exports by expanding the value-added manufacturing sector.

“We aim to diversify and expand our tourism product to unforgettable experiences for our visitors. I would like to say in addition to this, we are committed to preserving our cultural assets, ensuring that they remain the cornerstone of our tourism industry. Energy efficiency and renewable energy will be the focus for us going forward.”