The Tribune

By FAY SIMMONS

TRIBUNE Business Reporter

jsimmons@tribunemedia.net

THE PROPOSED Bahamas National Productivity, Innovation and Competitiveness Council could cost an estimated $30m to form over its first five years, with digital transformation expected to account for the largest share of this investment.

Eddison Sumner, chairman of the Bahamas National Productivity Task Force, said the estimate covers the cost of establishing and operating the proposed Council through to 2031, although he cautioned that the final figure could be significantly lower.

“Out of transparency, we expect that the cost over a five-year period to manage this, put us all together, would be somewhere around $30m. That's an estimate. It could come back way, way less,” he told the Bahamas Institute of Chartered Accountants' (BICA) Accountants Week.

Mr Sumner said digital transformation would account for the largest portion of the projected expenditure, even exceeding the cost of staff. The Task Force is recommending investment in digital systems to improve data collection, productivity measurement, reporting and decision-making.

The proposed Council is intended to become a permanent institution responsible for co-ordinating national productivity efforts, establishing standards and measurements, advising the Government on policy reforms and promoting innovation and competitiveness across the economy.

Mr Sumner presented the Task Force's final report, which includes draft enabling legislation, a five-year strategic plan covering 2026 to 2031 and a phased road map for establishing and operationalising the Council.

The Task Force was established in September 2025 through the Ministry of Labour and Public Service, and completed its assigned work ahead of its eight-month deadline.

Mr Sumner said copies of the final report had been delivered to every Cabinet member, while Wayne Munroe KC, the attorney general, had also received the draft legislation and was consulting with other ministers.

However, the Council has not yet been established. Mr Sumner said passage of the proposed legislation is necessary before the initiative can move beyond the planning stage.

The Task Force is recommending that the Council be established as an independent statutory body, with a nine-member Board representing government, the private sector, labour, academia, civil society and the Family Islands. Its proposed governance framework includes annual audits and financial statements, conflict of interest disclosures and annual reporting to the minister.

Mr Sumner said the Council will initially rely on parliamentary appropriations, but that funding model will need to be supplemented by other revenue sources to ensure its long-term sustainability.

The Task Force is proposing fees for services provided to public and private organisations, including assistance with developing productivity standards and independent assessments of operational performance and efficiency.

Mr Sumner pointed to international examples, including Jamaica and St Lucia, where productivity councils remain operational. Barbados, however, discontinued its council after encountering funding difficulties, with its functions subsequently distributed among several government ministries.

Mr Sumner said the Task Force has studied several countries, including Mauritius, Botswana, Jamaica, South Africa, India and St Lucia, and found that independent institutions and collaboration among government, business and labour were important features of successful productivity initiatives.

He added that the private sector should be the Council's primary engagement stakeholder because much of its work would directly affect businesses and their workforce needs.

“Even though we're doing this work from the, as a government mandate, the fact is that a lot of what is being done will have an impact on the private sector, and it's important for us to understand the engagement of the private sector to help us craft how this council is going to look as we proceed,” Mr Sumner said.

The Council would also be expected to support workforce development, strengthen public-private sector collaboration, establish productivity benchmarks and encourage the adoption of innovation across industries.

Among the outcomes projected by the Task Force are an annual 2.5 per cent increase in GDP growth through the introduction of productivity standards, higher-quality and better-paying jobs, improved workforce readiness and a 15-point improvement in the country's global competitiveness ranking over five or more years.

Mr Sumner stressed that implementation will depend on the Government securing bipartisan support, passing the enabling legislation, recruiting skilled leadership and providing sustainable funding.

The proposed Council is also intended to complement The Bahamas’ Vision 2040 national development plan, including its objectives for improving public sector efficiency, developing the workforce, strengthening small and medium-sized businesses and supporting economic diversification.