News & Resources
Financial Market Brief March 4 2016
Earlier this year, February 9, 2016, Bahamas Power and Light (BPL),formerly Bahamas Electricity Company Limited (BEC), signed a fiveyear Management Services Agreement with PowerSecure to provide management services for BPL for the next five years. Under the terms of the agreement, PowerSecure has committed to minimising the cost of electricity to consumers and providing a more reliable supply of energy. The management company also pledged to meet certain renewable energy targets and customer service initiatives for New Providence and the Family Islands. Given the deterioration in the generation, transmission and distribution of electricity in the Bahamas over the years it is imperative that the reforms planned for the sector, via the management company, stimulate the economy and boost the job market in the Bahamas. Weekly_Market_Recap_11-Mar-2016 Click here for full Weekly Market Recap
Financial Market Brief Feb 26 2016
On Thursday Jamaicans went to the polls and voted out the People’s National Party (PNP) led by 70 year old Portia Simpson, Jamaica’s first female prime minister. The opposition party, the Jamaica Labour Party (JLP), led by the 43 year old Andrew Holness was narrowly voted into office. According to the electoral polls, the PNP was projected to win the election. However, following a hard-fought election, the JLP eked out a win with promises of job creation, income tax cuts, accountable and responsive governance, economic growth and major improvements in education and healthcare. The PNP government was however credited for improvements in the country’s fiscal position which included debt reduction and the implementation of various economic and stock market reforms. Weekly_Market_Recap_26-Feb-2016 Click here for full Weekly Market Recap
Financial Market Brief Feb 19 2016
From all indications, it appears that the implementation of the National Health Insurance (NHI) scheme will be delayed. The Prime Minister indicated that it is more important to get the NHI process right than to adhere to a timeline that was outlined for the scheme. It is believed that the delay was mainly due to the slow pace in registration and the inability to get insurance companies and doctors to endorse the government’s version of the plan. This column believes in universal healthcare and that all citizens should have access to affordable, high-quality medical care. Weekly_Market_Recap_19-Feb-2016 Click here for full Weekly Market Recap
Financial Market Brief Feb 12 2016
Following the downgrade of the Bahamas’ local and foreign credit rating to BBB-/A-3 from BBB/A-2 on August 25, 2015, Standard and Poor’s (S&P) stated that there was a greater than one-inthree chance that it could cut the rating again within the next six to twenty-four months if the country’s short and long term economic vulnerabilities deteriorate further. Later this month, government officials will meet with S&P analysts for a continued assessment of the country’s ability and willingness to meet its debt obligations in full and on time. During this process, S&P will look at several economic, political and social factors to appraise the Bahamas’ overall creditworthiness. We identify some of the quantitative economic and financial variables below that may be used this month by S&P in determining the Bahamas’ sovereign credit rating. Weekly_Market_Recap_12-Feb-2016 Click here for full Weekly Market Recap
Financial Market Brief Feb 5 2016
One of the consequences of the 2008 global financial crisis was a substantial accumulation of public debt by governments in industrialized countries, including the Bahamas. To date, fixing public finances remains a challenge for these countries. Over the past seven years, the Bahamas has seen a sustained deterioration in its debt ratios. With the government continuously running deficits, the Bahamas’ total debt share will certainly continue to increase. In total, the Bahamas now owes $6.51B, which is equivalent to 76.51% of GDP. Less than a decade ago, in 2008, the debt to GDP ratio stood at a healthy 38.96%. This deterioration in public finances can be attributed to an equally substantial increase in the GFS deficit to GDP from 1.83% in 2008 to 4.49% in 2015, after peaking at 6.48% in 2013. Weekly_Market_Recap_5-Feb-2016 Click here for full Weekly Market Recap
Financial Market Brief Jan 29 2016
At the centre of the 2008 global financial crisis was the subprime mortgage crisis, which was caused by reckless borrowing standards and a lenient regulatory environment. Given the interconnectedness of the global economy, the financial crisis spilled over into other economies including the Bahamas. The economic growth rate declined, unemployment increased and the country’s national debt as a percentage of Gross Domestic Product (GDP) skyrocketed from 38.96% in 2008 to currently 76.51%. These factors, and others, resulted in the Bahamas’ own mortgage crisis. Up to November 2015, total private sector loan arrears stood at $1.2B or 20.0% of total loans. Of this amount, loans in default for 90 days or more, also referred to as nonperforming loans, totalled $890.3M or 14.8% of total private sector loans. Weekly_Market_Recap_29-Jan-2016 Click here for full Weekly Market Recap
Financial Market Brief Jan 22 2016
Following a brief cooling off period, the Universal Healthcare debate rages on as registration for the scheme began this week. What should have been a healthy national discussion, involving all stakeholders, about the design, costs, benefits, and implementation of the proposed Universal Healthcare scheme, has deteriorated into a heated and emotionally charged debate. For the good of the Bahamian people and the Bahamian economy, the government, along with all healthcare providers and administrators should be encouraged to set aside their individual agendas and devise a strategy that will truly reform the country’s healthcare system.. Weekly_Market_Recap_22-Jan-2016 Click here for full Weekly Market Recap
Financial Market Brief Jan 15 2016
An important economic indicator for assessing the Bahamian economy is tourism arrivals and expenditure. According to the latest statistics released by the Ministry of Tourism, the Bahamas welcomed 4,983,369 visitors to its shores up to October 2015. Air arrivals were up 4.5% and accounted for 23.54% or 1,172,820 visitors, while sea/cruise arrivals were down 5.3% and represented 76.46% or 4,022,713 visitors. Overall, visitor arrivals to the Bahamas declined by 3.1% through to October 2015. The hotel sector however, recorded robust growth during the period with occupancies up 3.1 percentage points to 70.7% and Average Daily Rates (ADR) growing 6.0% to $249.76. Weekly_Market_Recap_15-Jan-2016 Click here for full Weekly Market Recap
Financial Market Brief Jan 8 2016
As we enter the New Year, we are cautiously hopeful that the economic challenges we experienced in 2015 can be reversed,and policymakers are able to put the country on a path of improved economic growth. To assist in keeping you, our readers, informed throughout the year, we will be assessing a set of economic indicators that are essential in measuring the health of the Bahamian economy. These include macroeconomic statistics that are used by investors to analyse how well a country is doing economically and to predict future economic performance. Weekly_Market_Recap_08-Jan-2016 Click here for full Weekly Market Recap
Weekly Market Recap June 4
The local market ended this week with 31,460 shares crossing the exchange over 15 trades to accumulate a value of $194,143.50. The BISX All-Share Index gained 0.44 points or 0.026 percent to end the week at 1,704.71. Year to date the Index is up 45.41 points or 2.737 percent. This week’s volume and leader was Focol Holdings Limited (FCL) trading 28,610 shares 7 trades to accumulate a value of $171,660.00. Weekly_Market_Recap_June_5_2015 Click here for full Weekly Market Recap

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