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FRIDAY, DECEMBER 1, 2017

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Software developer: Tax woe drove us to Cayman By NEIL HARTNELL Business EDITOR nhartnell@tribunemedia.net

Bahamian software developer yesterday revealed he was forced to domicile in the Cayman Islands to prevent VAT and Business License fees “killing” his competitiveness. Bruce Raine, International Private Banking Systems (IPBS) principal, told Tribune Business that his company’s experience showed that the Government needed to enact multiple, far-reaching economic reforms that extend way beyond the Commercial Enterprises Bill. IPBS, which develops specialist software for the international financial services industry, straddles two

BAHAMIANS are too scared of foreign competition, a local businessman warned yesterday, adding: “We have to forget about being protectionist.” Bruce Raine, International Private Banking Systems (IPBS) principal, told Tribune Business that an increasingly globalised world economy meant Bahamians cannot rely upon the Government and its agencies to act as a barrier to foreign competition. Pointing out that he has competed against overseas rivals “all my career”, the specialist financial services software

tion and its ‘fast track’ work permit process as “a step in the right direction”, Mr Raine argued it was not enough by itself to attract foreign direct investment (FDI) from such sectors. He said “the bigger problem” was the Bahamas’ high costs for doing business, together with a tax structure that undermined the price competitiveness of companies such

developer said computer and Internet technology was continuing to break down boundaries and distances between countries. As a result, he warned that Bahamians had “to learn to compete” and be smarter than their rivals, adding that the Government’s ability to keep competition at bay via the National Investment Policy and National Economic Council (companies), and Immigration Department (work permits), was eroding on a daily basis while undermining economic growth. Mr Raine was speaking out amid fears that the Commercial Enterprises Bill, with its minimum $250,000

PLP ‘CRAZY’ TO OPPOSE BRAIN DRAIN REVERSAL By NEIL HARTNELL Business EDITOR nhartnell@tribunemedia.net A CABINET Minister yesterday slammed the PLP’s “crazy” opposition to the Government’s bid to halt the loss of the Bahamas’ “best and brightest”. Dionisio D’Aguilar, minister of tourism, told Tribune Business that the Minnis administration was trying to reverse “the brain drain” of college graduates and highly-skilled workers by using the Commercial Enterprises Bill to attract new industries. Describing this as “a more troubling

* ‘BIGGEST PROBLEM’ LOSS OF ‘BEST AND BRIGHTEST’ * MINISTER: FINANCIAL SERVICES DOWN TO 3% GDP * GOV’T MUST STEM ‘DECENT PAYING JOBS’ DECLINE problem” than the financial services industry’s decline, Mr D’Aguilar said the Government had no choice but to break the ‘status quo’

SEE PAGE 4

‘VERY IMPORTANT’ FOR ATLANTIS, BAHA MAR TO GET SEPARATION By NATARIO MCKENZIE Business Reporter nmckenzie@tribunemedia.net A FORMER tourism minister yesterday said it will be “very important” for Atlantis and Baha Mar to differentiate themselves and prevent visitor ‘cannibalisation’ Vincent Vanderpool Wallace, founder of the Bedford Baker Group consultancy, said the Bahamas has “no choice” but to grow both mega resorts given their importance to Bahamian economic growth and jobs. He added that their successful co-existence depended

CRAIG GOMEZ

* Bahamian moved to avoid VAT, Business Licence CLICO * Burden made firm uncompetitive with rivals LIQUIDATOR * ‘Bigger problem’ is cost, ease of business EYES BAF MANAGEMENT of the sectors targeted by the Bill as his when compared to interna- fees further undermining IPBS’s - financial services and technology. tional rivals. cost competitiveness. To escape DEAL But, while welcoming the legislaPointing out that IPBS was these pressures, Mr Raine said he involved in a high margin, valueadded sector, Mr Raine said it was at a competitive disadvantage versus overseas rivals when selling software to Bahamas-based financial services providers because it had to pay 7.5 per cent ValueAdded Tax (VAT) on the deal. Foreign competitors faced no such tax burden, he added, with the Bahamas’ Business License

was forced to establish a Cayman Islands-based company to own IPBS’ software, and handle all sales and licensing functions. IPBS’s development functions remain in the Bahamas, but Mr Raine said he “couldn’t see” how foreign-owned technology companies targeted by the Bill

SEE PAGE 7

BAHAMIANS TOLD: ‘FORGET ABOUT BEING PROTECTIONIST’ By NEIL HARTNELL Business EDITOR nhartnell@tribunemedia.net

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* EX-MINISTER: ‘NO CHOICE’ BUT TO GROW BOTH heavily on the extent to which the two resorts can “differentiate” their product offering and target different visitor markets. “I think Baha Mar has substantial potential,” Mr Vanderpool-Wallace said. “We can see there is noting wrong with the physical product; it’s just a matter of persuading the world that they ought to be

SEE PAGE 4

* Businessman says too scared of foreign rivals * ‘No boundaries, walls’ to keep world at bay * Urges: ‘We must learn to compete’ investment threshold for targeted industries and ‘fast track’ work permit approval, would result in foreign companies squeezing out Bahamian entrepreneurs and highlyskilled professionals. The IPBS chief, though, credited the Minnis administration for seeking to boost economic activity and productivity via innovative legislation that was similar to measures introduced by international financial centre (IFC) rivals. “Look around and we see

Cayman,” Mr Raine told Tribune Business. “I’ve seen Cayman with that Enterprise City..... I could go in there and would get work permits automatically, one, two or three, if you subscribed for a given level of investment. I think that’s what they’re trying to do here. “I don’t know I have a problem with that,” he added of the Bill’s provisions. “All of my career in this business I’m in I’ve had to compete in a global market. If you want to

sell software in Trinidad, Cayman, Bermuda or Turks & Caicos, I’ve always had to compete with foreigners.” Asked whether he thought Bahamian workers and companies are frightened of foreign competition, Mr Raine agreed. “I think we are and that’s not good,” he told Tribune Business. “It makes us lazy. We are in a global world now. There are no boundaries, no walls any more; the

SEE PAGE 6

By NEIL HARTNELL Business EDITOR nhartnell@tribunemedia.net CLICO (Bahamas) liquidator is aiming to secure a pre-Christmas deal to outsource management of its remaining insurance portfolio to BAF Financial. Basil Christie, head of the insolvent insurer’s creditors’ committee, yesterday confirmed to Tribune Business that the information it had received on the proposed management outsourcing was “correct”. This newspaper was informed by sources familiar with the transaction that Craig A ‘Tony’ Gomez, the Baker Tilly Gomez partner and CLICO (Bahamas) liquidator, had already agreed terms with BAF Financial, which is owned by Chester Cooper, the Exuma MP, and attorney John Wilson. The deal is now being reviewed by industry regulator, the Insurance Commission of the Bahamas, with further sign-offs required by the

SEE PAGE 5

PAGE 2, Friday, December 1, 2017

THE TRIBUNE

‘Incredible task’ to engage workforce PERHAPS the most resented, and often-hated, company department is the human resources (HR) division. HR is sometimes saddled with problems it alone cannot fix, such as improving a company’s culture or supporting a leader with low emotional intelligence. HR is often seen only as a compliance office, forcing the hamsters on the wheel to maintain order and keep the wheel spinning. Worst of all, HR executives can be given the task of maintaining the façade of a benevolent company when the power

rests with people who are focused on cutting costs and minimising head count to boost short-term results. If corporate social responsibility is not at the core of the senior management team, human resources usually comes out looking like the bad guy. Sometimes there is so much pressure for that company to deliver profitability that a sense of being humane to one another, and building relationships with one another, gets tossed to the side. Given these and many more circumstances, HR does not stand a chance.

Most people would argue that the real job of HR is down on the ground, and out on the street, with team members. The job requires them to listen and advise, talk and act, and to make companies amazing, vibrant and humane places to work. With a renewed focus on how our working environment can affect our health, the time has come to rethink the workplace with humans at its heart. Just as customer servicefocused environments are rethinking how they do business, and are reshaping the customer experience, HR professionals must also

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place greater emphasis on the employee experience. A key to future success will be ensuring workers are ‘engaged with the workplace’, enabling them to collaborate in better ways and become more productive. Gallup surveys reveal that we live in a world where 87 per cent of people are not engaged with their work. That represents an awful lot of wasted hours of productivity – hours that could have been better spent making a difference in the world. Human resources professionals have an incredible task ahead in addressing this real threat to the culture of the workplace.

The task, then, is to create and mobilise a workforce that will rise to a higher purpose and deliver change; a workforce that will work towards a better way of doing business for the well-being of employees, the wider community and the planet • NB: Ian R. Ferguson is a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has served organsations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at tcconsultants@coralwave.com

IAN FERGUSON

BISX ADDS MUTUAL FUND TO ITS LISTINGS THE Bahamas International Securities Exchange (BISX) has boosted its mutual fund listings with an addition facilitated by a Bahamian-owned administrator. The exchange yesterday confirmed that the Artisans of Value (SAC) Brick1 Cell Dubai fund had completed the listing process and been added to the exchange. Artisans of Value is an open-ended mutual fund incorporated as an International Business Company (IBC) under Bahamian law. It is registered as a Segregated Accounts Company (SAC) as defined by the 2004 Act of the same name. Keith Davies, BISX’s chief executive, said: “We are happy to welcome the first fund listing by Genesis Fund Services on to the exchange, and we are pleased to see financial services providers continuing to see the value in the BISX Mutual Fund Listing Facility. “Genesis Fund Services is an innovative Bahamian-owned mutual fund administrator, and we look forward to working with them in the future and continuing the growth of our mutual fund business.” CFAL Securities served as the BISX sponsor member that brought the Artisans of Value (SAC) Brick1 Cell Dubai fund to BISX. Genesis Fund Services serves as the fund’s administrator, and Mindful Wealth Pte is the investment manager. Ansbacher (Bahamas) serves as custodian.

TO ADVERTISE TODAY, CALL @ 502-2394

THE TRIBUNE

Friday, December 1, 2017, PAGE 3

Bahamas ‘missing out’ on evidencebased decisions By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net AN accounting firm yesterday launched a Centre for Excellence to boost the Bahamas’ reliance on data and anlaytics to drive evidence-based decision-making. Dennis Deveaux, KPMG (Bahamas) head of management consulting and data and analytics, said the firm’s Lighthouse concept - now being introduced in this nation - provides specialised talent and highcapacity delivery centres, using data and analytics, to help clients achieve rapid results. “The purpose of the launch is really to introduce some of the tools that help organisations in the public and private sectors make better decisions,” he said. “We believe that data is a core part of that. We hope that data and analytics is more than just something KPMG does because, ultimately, data-based decision making helps the Bahamas, and causes for all our

tax dollars to be more efficiently spent.” Mr Deveaux added: “As a nation our decision-making process is often-times informed by personal beliefs, instincts and experience, and while these things aren’t bad the key thing we are missing out on as a country is the cultural reliance on information to make decisions.” Mr Deveaux said the KPMG Lighthouse

concept, though new to the Bahamas, has been used by firms throughout the world. “We have several clients in the public sector space that we were actively advising, even in advance of the launch, and then in the private sector space there are some discussions we are having with retailers. There is one large retailer that want to look at how they make credit decisions,” said Mr Deveaux.

JACARANDA HOMEOWNERS ASSOCIATION

Will hold its rescheduled AGM on Sunday, December 10, 2017 at 3:00pm in the park. Members are urged to be in attendance and have their accounts up to date.

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NOTICE

TO ALL PENSIONERS OF THE BAHAMAS HOTEL AND ALLIED INDUSTRIES PENSION FUND VERIFICATION AND DISTRIBUTION OF HAM AND TURKEY VOUCHERS THE BAHAMAS HOTEL AND ALLIED INDUSTRIES PENSION FUND VERIFICATION TIMES

DECEMBER 11 through 22, 2017 Surnames

Dates

A-C

Monday & Tuesday December 11 & 12

D-F G-I J -L

Wednesday December 13, Thursday December 14 Friday December 15

Monday & Tuesday December 18 & 19

N-P Q-S T-Z

Wednesday December 20 Thursday December 21 Friday December 22

Please Present Your National Insurance Card for Verification.

PAGE 4, Friday, December 1, 2017

PLP ‘CRAZY’ FROM PAGE 1

given that it had inherited an economy “which hasn’t grown in 10 years”. He added that the intense global competition for foreign direct investment (FDI) and skilled human capital made it almost imperative that the Bahamas incentivise overseas firms and entrepreneurs to domicile here through innovative, ‘out-of-the-box’ thinking. “Right now we have an economy that hasn’t grown in 10 years,” Mr D’Aguilar told Tribune Business, “and so it behooves the Government of the day to try and come up with an innovative and different approach to solve that problem. “We are attempting to attract businesses to the country that, by and large, are not presently active in the jurisdiction. You will probably find one or two examples of businesses in operations in the fields

mentioned in the Bill, but not many.” The Commercial Enterprises Bill is targeting selected industries to come to the Bahamas by offering a ‘fast track’ work permit regime, where senior executives and specialist personnel can enter the country without first obtaining such permissions. They must apply for work permits within 30 days of arrival, and the Immigration Department will be mandated by law to approve such applications within 14 days or otherwise they will automatically be deemed to have given permission. The Bill thus seeks to eliminate the uncertainty associated with work permit approvals and timelines for select financial services sectors, plus other high margin, value-added industries that are knowledge and technology-based. All industries targeted are viewed as having economic growth, diversification and foreign exchange earning potential.

NOTICE

NOTICE is hereby given that DWAYNA COLEBROOKE of Avocado Street, Pinewood Gardens, New Providence, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 1st day of December, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

THE TRIBUNE The minimum investment threshold to qualify for the Bill’s incentives is $250,000, with the Government hoping it might attract the next Google or Microsoft, and Mr D’Aguilar said the Bahamas had no choice but to offer such incentives if it was to compete for, and win, significant FDI. The Minister, who declined to comment on terminations at the Gaming Board because he is currently outside the Bahamas, added: “If you are in the field of travelling and attending conferences, and seeing what is going on, every country is trying to attract foreign direct investment and human capital to their countries. “Many, many countries are trying to make it as easy as possible for companies to come to their country and attract human capital in areas where they have little expertise, thereby igniting the possibility of growing new industries. “To me, it makes sense to ask these people that move around the world and make

investments: What would attract you to the Bahamas, and it’s to make the process as expedient, transparent and open as possible. That’s what the Government’s trying to do,” Mr D’Aguilar continued. “When you look at the fact that financial services, which was one of the bedrocks and pillars of the economy, has declined from 25 per cent of GDP to roughly 3 per cent of GDP, then you can’t just keep doing what you’re doing. “You’ve then got to be innovative and creative to attract these businesses to the country, and then try and stop the more troubling problem: Brain drain. Our best and brightest are going away to college, see nothing to return to, and we’ve been losing them. That’s a bigger problem. “We’re trying to stem that and make a difference by attracting new businesses that, by and large, are not represented in our country in any significant way.”

NOTICE

NOTICE is hereby given that WALTO BATHELUS of Gibbs Corner New Providence, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 24th day of November, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that ALLEN BAPTISTE of Apple Street off Wulff Rd., P.O. Box SB-51470, New Providence, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 24th day of November, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that CAROL SINGH FERGUSON of South Beach, Bamboo Town, P.O. Box SB-52770, New Providence, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 1st day of December, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

The lack of economic diversification, and absence of many science-based and technology industries, has long been viewed as exacerbating the ‘brain drain’ that results in a high proportion of Bahamian college graduates remaining abroad and taking jobs overseas. This undermines workforce productivity and economic development, and the Government is desperate to counter this. The recent Grand Bahama Technology Summit had its roots in Bahamians, working abroad in Silicon Valley and for technology companies elsewhere, who want to return home to the Bahamas but feel there is nothing here for them. “Once you remove the politics, and what sounds good to the base, it’s crazy to me that the Opposition are opposing this,” Mr D’Aguilar told Tribune Business. “We’re not trying to take away opportunities from Bahamians. The Government will be coming up with proposals in the near term to make it easier to do business in the jurisdiction for local businesses that are frustrated by the bureaucracy and the processes. “We’re just trying to diversify the economy some more and create some highpaying jobs to replace those lost by the shrinkage of the financial services sector. It makes sense to me.” The Government this week emphasised that the Commercial Enterprises

Bill’s benefits also apply to Bahamian-owned firms, which do not have to meet the minimum $250,000 investment threshold. Carl Bethel, the attorney general, yesterday said work permits under the Bill would only be issued for a maximum of six years, or two three-year terms, with companies obligated to provide ‘knowledge transfer’ and train-up Bahamians. “The previous government tried to reduce unemployment by creating public sector jobs, and that’s a crazy position,” Mr D’Aguilar told Tribune Business. “We’ve got to grow and reinvigorate the private sector. We need to create new opportunities, new industries for Bahamians to participate in. “Many other jurisdictions are making it even easier than what was put in the Commercial Enterprises Bill. We’re not competing in a world by ourselves. For us to remain competitive we’ve got to do something. “The Commercial Enterprises Bill is an attempt to do just that: To stop the continuous degradation of middle income, decent paying jobs. At least we’ve ignited the discussion.” Mr D’Aguilar said that his “business background” meant he agreed that the Government needed to go further than the Commercial Enterprises Bill in liberalising and deregulating the economy, but it could only move as fast as society.

‘VERY IMPORTANT’ FOR ATLANTIS, BAHA MAR TO GET SEPARATION FROM PAGE 1 be able to choose Atlantis and Baha Mar. “It can’t be an ‘either or’ decision; it has to be both. I think the intent is to move it in that direction so that you can come today to Atlantis, and the next week come to Baha Mar if you are so inclined to make those types of decisions. It’s such a significant investment with such a significant potential that we have no choice but to grow both.” Mr Vanderpool-Wallace underscored the need for the two resorts to differentiate their offerings. “You have to begin to tell the customer that you are not making a choice between two similar entities, but you are making a choice between two separate kinds of experiences,” he explained. “I think it is going to be very important to both

sides to begin to figure out ways of how they are going to differentiate themselves; one from the other - if someone can see there is a reason to come to Atlantis this month and Baha Mar the next.” Mr Vanderpool Wallace added that there needed to be greater differentiation of the tourism offering within the Bahamas generally, arguing: “We have reduced the Bahamas to a singularity, meaning Nassau/Paradise Island as opposed to the islands of the Bahamas. “You cannot be the same thing every where for everybody. You have to be differentiated to give people reasons to choose other places to go. “As long as people begin to say ‘seen one, seen them all’, then you have a problem because people begin to see it as a single destination.”

THE TRIBUNE

Friday, December 1, 2017, PAGE 5

SANITATION SERVICES PLANS $500K SYSTEM UPGRADES By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net FREEPORT’S Sanitation Services is investing $500,000 to outfit its garbage trucks with ‘Tippers’ and bring operations into line with international trash collection standards. The waste collection and disposal company said it is introducing a new system to provide galvanised garbage bins for its 7,000 residential

* Will raise customer billings by one-two cents customers. “For years now customers have borne the responsibility of providing and maintaining their own trash receptacles,” said Sanitation’s general manager, Lou Carroll. “What we are proposing is that we, the company, take on that responsibility at a cost. “We would not only provide the bins but also

maintain them as well, and improve the standards of bins while changing bins that are damaged at our cost.” The garbage trucks would be outfitted with ‘Tippers’ to make collection easier and limit exposure to potentially harmful and toxic waste, which technicians are currently required to handle in the field.

CLICO LIQUIDATOR EYES BAF MANAGEMENT DEAL FROM PAGE 1

creditors committee and Supreme Court before it is consummated. “They’re aiming for the management of the portfolio to be transferred from the liquidator to BAF before year-end,” one source familiar with the deal told Tribune Business. “The parties have agreed to terms, they have a draft document, and it’s at the Insurance Commission. It then has to be shared with the creditors committee, and if there are no issues it will then be on its way to the Supreme Court.” This newspaper was also informed that previous plans to create a new insurer, Coral Insurance Company, had been abandoned by both the Government and liquidator. The proposal, conceived under the former Christie administration, was to establish Coral as a special purpose vehicle (SPV) that would have been licensed by the Insurance Commission and used to hold CLICO (Bahamas) remaining in-force insurance policies until they could be sold to a buyer. Coral was supposed to have been created by the second week of November 2016, but Tribune Business sources confirmed that the plan had been “shelved” in favour of the management outsourcing with BAF Financial. “That plan with Coral Insurance was cancelled, put on the shelf and will not be used any more,” one well-placed source told this

newspaper. However, Mr Gomez’s ultimate goal is to sell CLICO (Bahamas) remaining insurance portfolio to another Bahamian life and health insurer, which may not necessarily be BAF Financial. While that group is understood to be interested in an acquisition, Tribune Business was told that it has competition from BISX-listed rival, Family Guardian. “It could easily be Family Guardian, who have expressed an interest,” one contact said. “The liquidator will shortly be looking to sell, once the Government determines how they’re going to fund it and what type of instrument they’re going to use.” The Government has to facilitate the insurance portfolio’s sale by filling the ‘insolvency hole’, or deficiency of assets versus liabilities, which prompted the life and health insurer’s collapse into liquidation in early 2009. The options open to the Minnis administration include guarantees, promissory notes and bonds. Mr Gomez still remains ‘gagged’ by the Supreme Court from speaking publicly, even though it is now almost nine years since CLICO (Bahamas) was placed into liquidation under the latter’s supervision. However, Mr Christie confirmed the developments outlined to Tribune Business, including the management agreement talks with BAF Financial;

the abandoning of the Coral Insurance Company plan; and the end-goal of selling CLICO (Bahamas) remaining insurance policies. “There were three parties involved, Colina, BAF and Family Guardian, and negotiations were taking place,” he told this newspaper. “Government was to have taken over the portfolio initially and created Coral to manage it, but since then they’ve dismissed that. Right now, they’re looking for a company to manage that portfolio. “We’re encouraged. We feel the liquidators are doing their part satisfactorily, and the Government is co-operating to our expectations and satisfaction.” Mr Christie said the creditors committee also understood there was “a strong likelihood” that a third payout may be made to CLICO (Bahamas) former annuity and pension customers prior to year-end. “We understand there’s a strong likelihood there will be a third payout before the end of the year,” he added. “The contingency there is the availability of funds, and we understand the limits on the Government side, but the intention is there.” The Government was three months’ late making the second payout, which occurred in late October rather than July as originally intended. The third was due to be made last month in November, but the previous delay is likely to push this back.

“At present there are numerous hindrances to our collection efforts, and those issues have major implications for the health of our employees and for the environment as a whole,” said Mr Carroll. Sanitation Services said the plan requires an investment of nearly $500,000, which would require a monthly increase

of one-two cents on customer collections billings. “In these economic times we understand that for our customers every dollar counts, which is why our clients will be given the opportunity to weigh in on this proposal via an islandwide survey,” said Mr Carroll. The survey, which was released to the public via the online services of 242 New Bahamas, a subsidiary of Barefoot Marketing,

will determine customer satisfaction with Sanitation’s current services and the public’s willingness to pay for system upgrades. “Grand Bahama, especially Freeport, is known for its cleanliness,” said Mr Caroll. “We feel this upgrade will enhance the look of our garbage areas, reduce the costs of maintaining these by homeowners and keep our city clean and pristine,” he said.

PAGE 6, Friday, December 1, 2017

THE TRIBUNE

BAHAMIANS TOLD: ‘FORGET ABOUT BEING PROTECTIONIST’

FROM PAGE 1

computer and Internet make it so. We have to learn to compete and be as smart, or smarter, than the competition. “If they set up here we have certain advantages over that guy. That’s what we bring to the fore, and cannot rely on the Government to keep the competition out. We’ve got to fight in our own world.” Advocates of the Commercial Enterprises Bill will likely argue that the

‘protectionist’ measures fostered by the work permit and foreign investment regime have created a culture of ‘entitlement’ where Bahamians believe their nationality guarantees a job. Such notions are viewed as undermining productivity and work ethic, but proponents of ‘Bahamianisation’ will counter that it has safeguarded the development of the Bahamian entrepreneurial and middle classes through reserving certain industries and jobs for locals only.

The Commercial Enterprises Bill, though, is likely a reflection of the Government’s view that the Bahamas’ current economic model has taken the country as far as it can, and that a new one is desperately needed to modernise the economy and break a decade-long low-to-no growth/ high unemployment cycle. “They’re thinking in the right direction,” Mr Raine told Tribune Business of the Government. “What they want to do is increase the level of business activity

NOTICE

and productivity; that’s a good thing. “We’ve got work to do, no question about it, but we have to forget about being protectionist. We have to live in the world we’re in. This is the problem we have; we’ve got too much protection.” The Commercial Enterprises Bill is designed to liberalise the granting of work permits by allowing senior executives and specialist personnel in targeted industries to enter the Bahamas without first obtaining such approvals.

Legal Notice

NOTICE INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000)

Pursuant to the provisions of Section 138 (4) (a), (b) and (c) of the International Business Companies Act, 2000, notice is hereby given that:-

SCSC, INC.

In Voluntary liquidation

(a) KETTELY PURPLE LTD. is in dissolution;

Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000), SCSC, INC., has been dissolved and struck off the Register according to the Certificate of Dissolution issued by the Registrar General on the 8th day of November, 2017.

(b) The date of commencement of the dissolution is the 27th day of November A.D., 2017 and (c) the Liquidator is C.B. Strategy Ltd., of Sassoon House, Shirley & Victoria Streets.

Mr. Tewi Fauster, of 38 Ybbstrasse #13 Wien, 1020 Austria Liquidator

C.B. Strategy Ltd. LIQUIDATOR

NOTICE

Pursuant to the provisions of Section 138 (4) (a), (b) and (c) of the International Business Companies Act, 2000, notice is hereby given that:-

(a) TRANSMEDIALE SA is in dissolution;

(a) SLATEBATE SA is in dissolution;

(b) The date of commencement of the dissolution is the 27th day of November A.D., 2017 and

C.B. Strategy Ltd. LIQUIDATOR

Also listed in the Bill are technology-related industries such as computer programming; software design and writing; bioninformatics and analytics; nano technology; and biomedical health facilities. The Government has targeted Grand Bahama as a technology hub, and the inclusion of ‘boutique health facilities’ on the ‘fast track’ list adds to the focus on health. Data storage and warehousing are also present, as is aviation registration and ‘approved’ aviation maintenance operations - again sectors that have been identified by the Minnis administration as potential growth drivers. The list is concluded by ‘call centres’ and manufacturing and assembly/ logistics businesses.

NOTICE

NOTICE is hereby given that CRISTINA DAMARIS SAUNDERS of C.W. Saunders High Way, New Providence, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 1st day of December, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

Pursuant to the provisions of Section 138 (4) (a), (b) and (c) of the International Business Companies Act, 2000, notice is hereby given that:-

They must apply for the necessary work permits within 30 days of arriving, and the Bill mandates that if the Immigration Department fails to approve them within 14 days of application receipt they will be deemed as automatically approved. The legislation is also targeted at specific industries - chiefly foreign exchange earners, and those which have been cited by the Minnis administration as part of its economic growth and diversification strategy. Financial services leads the way with reinsurance; captive insurance; investment fund administration; arbitration; wealth management; international trade and international arbitrage included in the ‘fast track’ work permit sectors.

C.B. Strategy Ltd. LIQUIDATOR

NOTICE is hereby given that MARCKENSON VALCIN of Market St., New Providence, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 1st day of December, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE Pursuant to the provisions of Section 138 (4) (a), (b) and (c) of the International Business Companies Act, 2000, notice is hereby given that:(a) SWANNKSWAG SA is in dissolution; (b) The date of commencement of the dissolution is the 27th day of November A.D., 2017 and (c) the Liquidator is C.B. Strategy Ltd., of Sassoon House, Shirley & Victoria Streets.

MARKET REPORT THURSDAY, 30 NOVEMBER 2017

t. 242.323.2330 | f. 242.323.2320 | www.bisxbahamas.com

C.B. Strategy Ltd. LIQUIDATOR

BISX ALL SHARE INDEX: CLOSE 2,070.61 | CHG -0.82 | %CHG -0.04 | YTD 132.40 | YTD% 6.83 BISX LISTED & TRADED SECURITIES 52WK HI 4.38 19.17 9.09 3.70 1.77 0.16 5.60 8.60 6.30 5.30 13.50 2.59 1.60 6.01 10.55 11.00 4.50 7.25 12.51 11.00

52WK LOW 4.06 17.43 8.19 3.50 1.09 0.12 3.50 8.40 5.83 3.15 9.00 2.18 1.40 5.82 8.78 5.75 3.35 6.61 12.01 10.00

1000.00 1000.00 1000.00 1000.00

PREFERENCE SHARES

1.00 103.00 100.00 106.00 105.00 103.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 105.00 100.00 100.00 10.00 1.00

SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Famguard Fidelity Bank Finco Focol ICD Utilities J. S. Johnson Premier Real Estate Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Fidelity Bank Class A Focol Class B

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS FAM FBB FIN FCL ICD JSJ PRE

E J K L M N

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00 100.00 100.00

52WK LOW 100.00 100.00 100.00

CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

SECURITY Fidelity Bank Note 17 (Series A) + Fidelity Bank Note 18 (Series E) + Fidelity Bank Note 22 (Series B) +

SYMBOL FBB17 FBB18 FBB22

Bahamas Note 6.95 (2029) BGS: 2014-12-3Y BGS: 2015-1-3Y BGS: 2014-12-5Y BGS: 2015-1-5Y BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-3Y BGS: 2015-6-5Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-3Y BGS: 2015-10-5Y BGS: 2015-10-7Y

BAH29 BG0103 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407

BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

MUTUAL FUNDS 52WK HI 2.10 3.98 1.97 176.30 149.66 1.52 1.69 1.61 1.10 6.99 8.54 6.15 10.52 11.46 10.46

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.46 1.62 1.56 1.04 6.41 7.62 5.66 8.65 10.54 9.57

LAST CLOSE 4.31 17.43 9.09 3.70 1.21 0.15 3.70 8.60 6.10 4.93 9.01 2.72 1.51 6.01 10.55 6.29 4.49 7.01 12.50 10.00 1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00 LAST SALE 100.00 100.00 100.00 108.45 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

CLOSE 4.31 17.43 9.09 3.70 1.09 0.15 3.70 8.60 6.10 4.93 9.01 2.71 1.51 6.01 10.55 6.29 4.49 7.01 12.50 10.00

CHANGE 0.00 0.00 0.00 0.00 -0.12 0.00 0.00 0.00 0.00 0.00 0.00 -0.01 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

CLOSE 100.00 100.00 100.00

CHANGE 0.00 0.00 0.00

108.39 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

-0.06 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund FG Financial Preferred Income Fund FG Financial Growth Fund FG Financial Diversified Fund FG Financial Global USD Bond Fund Royal Fidelity Bahamas Opportunities Fund - Secured Balanced Fund Royal Fidelity Bahamas Opportunities Fund - Targeted Equity Fund Royal Fidelity Bahamas Opportunities Fund - Prime Income Fund Royal Fidelity Int'l Fund - Equities Sub Fund Royal Fidelity Int'l Fund - High Yield Fund Royal Fidelity Int'l Fund - Alternative Strategies Fund

VOLUME

1,000

VOLUME

NAV 2.10 3.98 1.97 176.30 149.66 1.52 1.69 1.61 1.09 6.97 8.00 6.25 10.96 11.60 10.08

EPS$ 0.444 0.932 -0.223 0.540 -1.220 0.000 -1.462 0.611 0.583 0.196 0.631 0.102 0.392 1.217 0.729 0.484 0.310 -0.668 0.543 0.000

DIV$ 0.080 1.130 0.000 0.230 0.000 0.000 0.000 0.300 0.220 0.120 0.570 0.060 0.050 0.290 0.500 0.000 0.120 0.140 0.580 0.000

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

P/E 9.7 18.7 N/M 6.9 N/M N/M -2.5 14.1 10.5 25.2 14.3 26.6 3.9 4.9 14.5 13.0 14.5 -10.5 23.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

0.00% 0.00% 0.00% 0.00% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 7.00% 6.50%

INTEREST 7.00% 6.00% Prime + 1.75%

MATURITY 19-Oct-2017 31-May-2018 19-Oct-2022

6.95% 4.00% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25%

20-Nov-2029 15-Dec-2017 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022

YTD% 12 MTH% 3.29% 4.48% 1.69% 2.22% 1.77% 2.42% 4.66% 3.89% 5.58% 6.65% 3.57% 4.29% 1.59% 2.22% 2.65% 3.25% 3.83% -1.09% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69%

NAV Date 30-Sep-2017 30-Sep-2017 30-Sep-2017 30-Sep-2017 30-Sep-2017 31-Oct-2017 31-Oct-2017 31-Oct-2017 31-Oct-2017 30-Sep-2017 30-Sep-2017 30-Sep-2017 30-Sep-2017 30-Sep-2017 30-Sep-2017

MARKET TERMS BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00 52wk-Hi - Highest closing price in last 52 weeks 52wk-Low - Lowest closing price in last 52 weeks Previous Close - Previous day's weighted price for daily volume Today's Close - Current day's weighted price for daily volume Change - Change in closing price from day to day Daily Vol. - Number of total shares traded today DIV $ - Dividends per share paid in the last 12 months P/E - Closing price divided by the last 12 month earnings

YIELD 1.86% 6.48% 0.00% 6.22% 0.00% 0.00% 0.00% 3.49% 3.61% 2.43% 6.33% 2.21% 3.31% 4.83% 4.74% 0.00% 2.67% 2.00% 4.64% 0.00%

YIELD - last 12 month dividends divided by closing price Bid $ - Buying price of Colina and Fidelity Ask $ - Selling price of Colina and fidelity Last Price - Last traded over-the-counter price Weekly Vol. - Trading volume of the prior week EPS $ - A company's reported earnings per share for the last 12 mths NAV - Net Asset Value N/M - Not Meaningful

NOTICE Pursuant to the provisions of Section 138 (4) (a), (b) and (c) of the International Business Companies Act, 2000, notice is hereby given that:(a) QATZING COMPANY LTD. is in dissolution; (b) The date of commencement of the dissolution is the 27th day of November A.D., 2017 and (c) the Liquidator is C.B. Strategy Ltd., of Sassoon House, Shirley & Victoria Streets. C.B. Strategy Ltd. LIQUIDATOR

NOTICE Pursuant to the provisions of Section 138 (4) (a), (b) and (c) of the International Business Companies Act, 2000, notice is hereby given that:(a) MOLDERS OF IRON LTD. is in dissolution; (b) The date of commencement of the dissolution is the 27th day of November A.D., 2017 and (c) the Liquidator is C.B. Strategy Ltd., of Sassoon House, Shirley & Victoria Streets. C.B. Strategy Ltd. LIQUIDATOR

TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225

THE TRIBUNE

Friday, December 1, 2017, PAGE 7

Software developer: Tax woe drove us to Cayman FROM PAGE 1 would be attracted here unless such issues were corrected. “What I had to do to get around VAT and Business License fees was to domicile a company in Cayman, and that company owns it [the software]. We license and sell it out of Cayman,” the IPBS chief told Tribune Business. “We develop it here, but can’t sell it as a Bahamian product to a Bahamian bank, asset manager or mutual fund companies. You would have to add VAT to it, and have had these huge Business License fees. Cayman has a flat Business License fee. “If I can’t see the competitiveness of being in the Bahamas as a Bahamian, I don’t know how foreigners are going to see it. If someone is coming here to develop and sell software, I can’t see how they’re going to do it unless they’re VAT ‘exempt’ or ‘zero rated’. These are the things that kill it.” Mr Raine said he had considered moving IPBS from Nassau to Freeport, but abandoned the plan when he realised VAT was also levied in the Port area. He pointed out that 7.5 per cent VAT on a $200,000 software system totalled $15,000 - a significant cost that foreign rivals did not have to charge to Bahamasbased financial institutions. “I looked at one time domiciling in Freeport, but some of the things the Government doesn’t understand, and never has,” Mr Raine told Tribune Business. “I thought I could do it up in Freeport, but it was not possible because you’ve still got VAT up there. “I’m in the business of developing software and selling it at a high price. Here’s my problem. My competitors around the world, if they want to sell a system to a bank or asset manager in the Bahamas, they don’t have to charge

VAT. I would have to charge VAT.” While praising the Government’s efforts to innovate via the Commercial Enterprises Bill, Mr Raine said it only fixed one aspect of the Bahamas’ ‘ease of doing business’ woes - certainty surrounding the granting of work permits. “I see the inherent problems for someone coming in to do business here,” he added. “We have high electricity costs, and Business License fees are a monster. We’ve got to reduce the cost of doing business. “These things have to happen, otherwise no one is going to come here if they have to pay for electricity, and pay for office space and staff. They’re [the Government] creating the mechanism, but whether we have the product to sell I don’t know. “It’s [the Commercial Enterprises Bill] the fundamental level of legislation for people to come in, or even think about coming in, but next we have to find out how to reduce the cost of doing business in this little country. That’s the bigger problem,” Mr Raine continued. “It’s a great idea, and hopefully people will come, but as soon as they come they’re going to say: ‘How much is it going to cost me to run this office for a month with security?’ All these little things are what’s killing this country, I’m sorry to say. There are other things we need to fix.” Mr Raine said exchange control liberalisation was vital to enabling Bahamian businesses to compete with foreign rivals when

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it came to the cost of, and access to, capital. He added that ‘quality of life’ issues

would also impact investor decisions on whether to invest in the Bahamas,

questioning whether any thought had been given to addressing Nassau’s ‘rush

hour’ traffic congestion that results in tremendous productivity losses.

PAGE 8, Friday, December 1, 2017

THE TRIBUNE