Goodbye debt!

The Bahamas is expected to reduce its debt by another $80 million in the next year, the minister of state for finance told Tribune Business yesterday, while continuing to seek Technical Assistance Grants for economic and social development.

Zhivargo Laing said, though, that the amount of retired debt could be higher or lower as it is decreased every fiscal year.

"We have a line item in the budget for debt redemption. Almost every year we have an estimate for what debt redemption is, and every year you retire debt," said Mr Laing. "That's why we always talk about the net increase in our debt because while we are borrowing we are also paying back debt."

Mr Laing said the Bahamas can often have a difficult time borrowing from some international lending facilities because of the size of its gross domestic product (GDP), but can often always access technical assistance grants for projects dealing with poverty reduction or environmental sustainability.


Prime Minister Hubert Ingraham, addressing the body of the Governors of the Caribbean Development Bank, said the global recession had delayed planned infrastructure projects across the region.

But as the CDB recently acquired an historic $1 billion in extra funding facilities in the region, the Bahamas has already benefited, signing an agreement for $ 10.1 million loan from the bank on Tuesday.



I think it is very good or the economy that they are reducing their debt. I believe we all should do that to make our economies better. I think we would all benefit. I also think its pretty crazy that they are in so much debt, although I bet the US is worse than the Bahamas.

http://www.tribune242.com/business/05202010_Laing_business_Page3-Lead