The Tribune

By KEILE CAMPBELL

Tribune Staff Reporter

kcampbell@tribunemedia.net

PRIME Minister Philip “Brave” Davis clarified his comments on the high cost of living yesterday after sparking backlash for connecting the cost to people’s choices in an interview with reporters.

Responding to a recent University of The Bahamas study estimating that a middle-class family of four would need around $10,000 monthly to live comfortably in New Providence, Mr Davis acknowledged the high costs but noted in an interview yesterday morning that individual lifestyle choices also play a role.

In a later interview with reporters after his initial comments were published online, Mr Davis said: “What I was speaking to is that the report — which I have not read but I do have a copy of — mentions a middle-class family needing $10,000 a month to survive. I said then that I don’t know what data was used to inform that. I don’t know because I didn’t read the report.”

He said his comments on choices were not intended to suggest the cost of living is not a serious issue but rather to point out that spending patterns vary depending on one’s decisions.

“I might decide to live in Venetian West when I could live in Stapleton and still be a middle-class person,” he said. “Now, I also said that when we think about spending and the demographics you might’ve used, it could be a matter of choice because I might decide to live in Venetian West when I could live in Stapleton and still be a middle-class person, so that’s what I was talking about.”

He said “there’s no doubt” that Bahamians are still concerned about the high cost of living, a concern he shares.

He attributed rising prices to global factors, including inflation, pandemic-related supply disruptions, and the conflict in Ukraine, saying: “We are not in any way downplaying the cost of living, and we are doing what we can to ensure we work to defeat it. Now, inflation is levelling out, but what we are recognising is that it’s not reaching the Bahamian people, the consumers.”

“So when,” he said, “I speak about choices, it’s not to do with whether it’s demeaning the cost of living cause whatever you choose today is expensive when it comes down to how we live, but I may choose to eat a hamburger today as opposed to going and getting a steak, so that’s what I’m talking about.”

After giving these comments, the Office of the Prime Minister released a statement saying it is reviewing the University of the Bahamas’ report.

“From limited competition in essential industries to high shipping costs, monopolised sectors, and a housing market affected by high demand from vacation rentals, the cost of living has remained persistently high in The Bahamas,” the statement said. “In fact, The Bahamas ranks among the top six most expensive places in the world, a reflection of these entrenched issues.

“Monopolies and a lack of competition in key areas mean that Bahamians often have limited choices and pay higher prices for goods and services. Additionally, the growth of the short-term rental market has squeezed rental inventory, making it more challenging and costly for Bahamians to find affordable housing.”

The statement said the administration is addressing the lack of competition, increasing consumer protection, reforming the energy sector to reduce costs, supporting families and students, expanding local food production, increasing access to affordable housing and pursuing trade diversification and partnerships.