PRESS STATEMENT
ECONOMIC SPIN DOESN’T PAY BILLS
The Opposition sharply criticizes the Davis administration’s response to recent economic updates as the government engages in a “PR campaign built on paper-thin numbers,” while Bahamians grapple with rising costs and stagnant growth.
The Prime Minister is making a big deal over a 0.1 percent tweak in growth forecasts and slight changes in ratings language, but the truth is, under the PLP, our economy is underperforming, and Bahamians are paying the price. While the PLP heaps praise on itself, Bahamians see higher prices at the grocery store, rising healthcare costs, and a lack of opportunity, especially for our young people.”
On the IMF’s Latest Forecasts
Although the IMF slightly revised its growth projection from 1.7% to 1.8%, this modest increase follows a significant downgrade from an earlier forecast of 2.3%. Rather than signaling improvement, this adjustment highlights a broader trend of sluggish economic momentum far below what is required to meet the pressing needs of Bahamian families and businesses.
At 1.8%, growth is inadequate to confront our nation’s structural challenges, ranging from high unemployment and rising inequality to unsustainable public debt and overdependence on tourism. In a time of global economic uncertainty, our economy demands bold and forward-looking leadership that can improve our prospects. Instead, the Davis-Cooper administration seems content treading water.
On Credit Ratings
Moody’s hasn’t upgraded our rating. A better outlook doesn’t change the fact that the PLP is missing its self-imposed debt reduction targets. The government is still borrowing heavily and not delivering enough return.”
Fitch confirmed their BB- rating and called out our low growth potential and high debt. Even the Central Bank is cautious its outlook for 2024 and 2025 remains ‘subdued.’ Simply put, we have stagnated.
On the Real Impact for Bahamians
While the PLP pushes out press releases, Bahamian families are struggling with inflation, high taxes, and fees. Health costs continue to rise. Food prices are up. Every week, life gets more and more expensive. And our young people are being hit hardest. Thousands of young Bahamians are without work.
In the PLP’s world, things are just fine, but in the real world, Bahamians can’t afford business as usual.
It is time for a government focused more on substance than spin.
J. Kwasi Thompson, MP
Shadow Minister for Finance
Free National Movement