The Bahamas

SPRING 2021

Governance and the Rule of Law

• The Bahamas began vaccinations in mid-March, after receiving 20,000 vaccine doses from the government of India. By mid-April, 15,000 doses were administered. 
• The Bahamas received their first shipment of approximately 34,000 vaccines from the COVID-19 Vaccines Global Access program at the end of March. The country is scheduled to receive 100,800 more vaccine doses from the program by the end of May.
• The Ministry of Health is assuring Bahamanians that the AstraZeneca vaccine is safe, following halted distribution in Europe. However, members of the public, including members of the Bahamas Hotel Catering and Allied Workers Union, are still concerned about possible side-effects.
• Curfews remain in place in New Providence, Abaco, Eleuthera, and Exuma. Curfew times differ across the islands.
• The Bahamian government faces the challenge of formulating different measures suitable for the various islands’ diverse situations.
• Despite rising cases following spring break and the Easter holiday, government officials have indicated that there are no plans to further tighten COVID-19 restrictions.
• The Director of the National HIV/AIDS and Infectious Disease Programme, Nikkiah Forbes, predicts that restrictions within the country will become more flexible as the number of vaccines increase.
• Visitors are required to submit COVID-19 test results: one taken in the week before their arrival and one rapid antigen test within the first 96 hours of their stay. Unless they receive a positive result, visitors are no longer expected to quarantine when entering the country. The cost of these tests is to be included in the cost of a visa.
• The Bahamas Food Commission’s cooperation with public institutions, the private sector, and civil society organizations may improve its ability to respond to COVID-19.

See Select Resources for Governance and the Rule of Law

---

Growth and Innovation

• Popular resorts and cruise lines are reopening as vaccinations and willingness to travel increases. This includes the Sandals resort, which opens at the end of March, and a Crystal Cruises ship that will set sail in July. 
• The IMF has praised The Bahamas’ economic response to the pandemic, including their decision to shift their fiscal policies towards providing relief for households and the business and health sectors. 
• Due to Hurricane Dorian and COVID-19, the Bahamas experienced a severe recession in 2020. Gross Domestic Product (GDP) contracted by almost 15% in 2020, but is projected to grow in 2021. 
• United Nations Representative Sidney Collie argued in front of the Organization of American States that international organizations must start to use other measures of economic strength than GDP in determining concessional financing to account for a country’s ability to respond to economic shocks like COVID-19.
• The CDB approved a loan US$40 million to The Bahamas to support economic recovery. The CDB believes that The Bahamanian economy will begin to recover in early 2021, likely led by increased tourism and construction activities. 
• The Bahamas is facing significant shocks to the balance of payments. Although falling international oil prices and reduced imports will help balance the trade, these effects have been interrupted by the sudden drop in tourism revenue.
• Financial support from the IDB and the Caribbean Development Bank (CDB) will be able to make up approximately 60% of the external financing demand gap.
• The Bahamas’ external debt increased significantly due to the pandemic and the nation’s vulnerability to future hurricanes.

See Select Resources for Growth and Innovation

---

Social and Cultural Inclusion

• More than 20% of the population of the Bahamas depends on existing humanitarian support from the government. During the pandemic, the government has attempted to maintain these services. 
• The Bahamas’ tourism practitioners have been hit particularly hard. The government supplemented the unemployment insurance fund to protect employees affected by COVID-19.
• Although all employees of the tourism industry have suffered due to COVID-19, the gender wage gap in The Bahamas leads to increased economic insecurity for female workers.
• The Bahamas has developed fiscal measures of about 4% of GDP to support the healthcare system, employment, and the most vulnerable populations.
• The sudden disruption of the global supply chain has left the Bahamas facing food security issues.
• Students without internet access will be expected to keep up with work through weekly, graded learning packets. 
• Public libraries have been equipped with more safety precautions so that they can become an alternative study space for students who lack internet access.
• A large number of Bahamians do not have access to the internet and equipment like computers for remote work or study. The improvement of technological infrastructure is needed.
• The National Food Distribution Task Force has provided food assistance throughout the pandemic, particularly in the wake of Hurricane Dorian. The Moore Bahamas Foundation has given a grant to the Task Force as a part of Hurricane Dorian recovery efforts. 

See Select Resources for Social and Cultural Inclusion

---

FALL 2020

Governance and the Rule of Law

COVID-19 made the Bahamian government aware of the importance of and lack of wireless network infrastructure on the islands. To improve government efficiency and responsiveness, the Bahamas is increasing investment in e-government infrastructure, strengthening digital governance, and establishing a legislative framework to respond to changes.

• The Bahamian government faces the challenge of formulating different measures suitable for the various islands’ diverse situations.
• The Bahamas was added to the United Kingdom’s coronavirus quarantine list on August 6th.
• The Bahamas has reversed course on a ban on U.S. travelers. However, all visitors should be prepared to quarantine for 14 days upon arrival.

• The Bahamas has limited medical capacity. Authorities are working to improve medical capabilities.
• The Bahamas is still recovering from the devastation caused by Hurricane Dorian. The government needs to improve its crisis response capacity in order to manage the upcoming hurricane season
• The Pan-American Health Organization (PAHO) is providing technical assistance for COVID-19 data management for the Bahamas Ministry of Health (MOH).
• The Bahamas Food Commission’s cooperation with public institutions, the private sector, and civil society organizations may improve its ability to respond to COVID-19.
• For small island countries like the Bahamas, international cooperation and aid from international organizations can enhance their abilities to respond to crises and safeguard food security.
• The American Red Cross helped the Bahamas rebuild from Hurricane Dorian and COVID-19, providing food and cash assistance and mitigating the spread of the virus through community-based health and hygiene information.

---

Growth and Innovation

Since the Bahamas has not fully recovered from the economic damage caused by Hurricane Dorian last fall, the global outbreak of COVID-19 has exacerbated the Bahamian economic crisis. International assistance may help the Bahamas alleviate unemployment and food security issues.

• Due to Hurricane Dorian and COVID-19, there will be a severe recession in 2020, and actual economic activity is expected to contract by 9% to 15% depending on when economic activity and tourism recover. 
• The Bahamas is facing significant shocks to the balance of payments. Although falling international oil prices and reduced imports will help balance the trade, these effects have been interrupted by the sudden drop in tourism revenue.
• The disruption of the international supply chain, tourism, and travel may have a deep impact on the Bahamian economy.
• To revitalize tourism, the Inter-American Development Bank (IDB) is launching innovation challenges, aimed at developing new digital skills.
• Foreign direct investment inflows are expected to be halved by the end of 2020.
• The fall in commodity prices provides a buffer for COVID-19’s economic shock.
• The Bahamian economy is seldom dependent on exports and is highly dependent on the imports of grains, meat and milk. Declining commodity prices are beneficial to the Bahamas.
• Financial support from the IDB and the Caribbean Development Bank (CDB) will be able to make up approximately 60% of the external financing demand gap.
• The Bahamas’ external debt increased significantly due to the pandemic and the nation’s vulnerability to future hurricanes.

---

Social and Cultural Inclusion

Since the Bahamas has not fully recovered from the economic damage caused by Hurricane Dorian last fall, the global outbreak of COVID-19 has exacerbated the Bahamian economic crisis. International assistance may help the Bahamas alleviate unemployment and food security issues.

• After being hit by a hurricane and COVID-19, the Bahamas needs a post-disaster response for mental health and psychosocial care.
• The Bahamas’ tourism practitioners have been hit particularly hard. The government supplemented the unemployment insurance fund to protect employees affected by COVID-19.
• The Bahamas has developed fiscal measures of about 4% of gross domestic product (GDP) to support the healthcare system, employment, and the most vulnerable populations.
•  The Bahamas’ social protection system is limited and the authorities need to strengthen measures for poverty eradication and social inclusion.
•  The sudden disruption of the global supply chain has left the Bahamas facing food security issues.
• School closures due to the global COVID-19 pandemic have created a huge learning gap in the Bahamas.
• A large number of Bahamians do not have access to the internet and equipment like computers for remote work or study. The improvement of technological infrastructure is needed.

---

Select resources for the Bahamas:

Governance and the Rule of Law:

Caribbean National Weekly. (2021, March 11). Bahamas to Roll out Vaccination Program Next Week. https://www.caribbeannationalweekly.com/caribbean-breaking-news-featured/bahamas-to-roll-out-vaccination-program-next-eeek/.

Caribbean Public Health Agency (CARPHA). (2020, June 5). CARPHA Situation Report No. 54.  https://www.carpha.org/Portals/0/Documents/COVID%20Situation%20Reports/Situation%20Report%2054%20-%20June%2005,%202020.pdf.

————. (2020, June 12). Caribbean Countries Reopening Plans and Initiatives. https://www.carpha.org/Portals/0/Documents/Caribbean%20Countries%20Reopening%20Plan/June12_Caribbean%20Countries%20Reopening%20Plans%20and%20Initiatives.pdf.

Charles, J. (2021, February 16). In Haiti, Carnival celebration goes on despite COVID-19. Nearby Bahamas isn’t happy. Miami Herald. https://www.miamiherald.com/news/nation-world/world/americas/haiti/article249283670.html.

Eyewitness News. (2021, April 12). KEEP IT ROLLING: Govt expands vaccine eligibility while insisting no evidence of blood clots. https://ewnews.com/keep-it-rolling-govt-expands-vaccine-eligibility-while-insisting-no-evidence-of-blood-clots.

Jones, R. (2021, March 10). WIGGLE ROOM: Bahamas could adopt more “flexible” COVID measures as vaccine rollout begins, Forbes suggests. Eyewitness News. https://ewnews.com/wiggle-room-bahamas-could-adopt-more-flexible-covid-measures-as-vaccine-rollout-begins-forbes-suggests.

Loop News. (2021, February 11). The Bahamas: COVID-19 vaccine to be administered to nationals over 18. https://www.loopnewscaribbean.com/content/bahamas-covid-19-vaccine-be-administered-nationals-over-18.

Ministry of Tourism & Aviation. (2020, July 20). Bahamas Ministry of Tourism & Aviation statement on border closure to the United States due to COVID-19. The Government of the Bahamas. https://www.bahamas.gov.bs/wps/portal/public/gov/government/news/bahamas%20ministry%20of%20tourism%20and%20aviation%20statement%20on%20border%20closure%20to%20the%20united%20states%20due%20to%20covid-19/!ut/p/b1/.

Pan American Health Organization. (2021, April 19). COVID-19 Bahamas and Turks and Caicos Islands Situation Report April 8th, 2021. https://www.paho.org/en/documents/covid-19-bahamas-and-turks-and-caicos-islands-situation-report-april-8th-2021.

Puhak, J. (2020, October 5). Bahamas to lift quarantine restrictions for visitors on Nov. 1. Fox News. https://www.foxnews.com/travel/bahamas-to-lift-quarantine-restrictions-for-visitors-on-nov-1.

Rolle, L. (2021, February 12). Union Wants Plan On School Reopening. The Tribune. http://www.tribune242.com/news/2021/feb/12/union-wants-plan-school-reopening/.

————. (2021, February 12). USands: We Have A Big Problem. The Tribune. http://www.tribune242.com/news/2021/apr/16/sands-we-have-big-problem/?news.

————. (2021, March 17). Updated: Medical Teams Are Ready As Vaccinations Begin. The Tribune. http://www.tribune242.com/news/2021/mar/17/medical-teams-are-ready-vaccinations-begin/.

U.S. Embassy in The Bahamas. (2021, April 6). COVID-19 Information for The Bahamas and Turks and Caicos Islands. Department of State. Western Hemisphere Affairs. https://bs.usembassy.gov/covid-19-information/?_ga=2.127691277.1620627425.1602003382-1303652006.1600803379.

Ward, J. (2021, March 12). Woods says many of his members are not in favor of taking vaccine. The Nassau Guardian. https://thenassauguardian.com/woods-says-many-of-his-members-are-not-in-favor-of-taking-vaccine/.

Growth and Innovation:

American Airlines. (2020, September 29). American Airlines Takes First Steps to Open International Markets to Travel with Preflight COVID-19 Testing. https://news.aa.com/news/news-details/2020/American-Airlines-Takes-First-Steps-to-Open-International-Markets-to-Travel-with-Preflight-COVID-19-Testing-OPS-DIS-09/default.aspx.

Britell, A. (2021). Sandals to Reopen Resorts in The Bahamas, Barbados and Grenada. Caribbean Journal. https://www.caribjournal.com/2021/02/17/bahamas-sandals-barbados-resorts-reopening/.

Campbell, F. (2020, September 17). Report to the Nation on COVID-19 Initiatives. Ministry of Social Services and Urban Development. http://www.thebahamasweekly.com/uploads/21/Minister_s_Remarks_on_COVID19_Interventions.pdf.

Caribbean News Now. (2021, February 1). IMF Affirms The Bahamas COVID-19 Response. https://thecaribbeannewsnow.com/imf-affirms-the-bahamas-covid-19-response/.

Caribbean National Weekly. (2021, January 28). CDC to Lower Travel Advisory for The Bahamas. https://www.caribbeannationalweekly.com/caribbean-breaking-news-featured/cdc-to-lower-travel-advisory-for-the-bahamas/.

Hernández, R. A. (2020, June). Covid-19 y América Latina y el Caribe: los efectos económicos diferenciales en la región. Documentos de Trabajo (IAES, Instituto Universitario de Análisis Económico y Social), (6), 1-50. http://www.iaes.es/uploads/2/0/8/6/20860996/dt_06_20.pdf.

International Monetary Fund. (2020, June 1). IMF Executive Board Approves a US$ 250 Million Disbursement to The Bahamas to Address the COVID-19 Pandemic. https://www.imf.org/en/News/Articles/2020/06/01/pr20231-bahamas-imf-executive-board-approves-disbursement-to-address-the-covid-19.

————. (2021). Policy Responses to COVID-19: The Bahamas. https://www.imf.org/en/Topics/imf-and-covid19/Policy-Responses-to-COVID-19.

Lloyds Bank. (2021). Bahamas: Economic Outline. https://www.lloydsbanktrade.com/en/market-potential/bahamas/economy.

The New York CaribNews. (2020, October 23). COVID has severely affected the tourism dependent economy says Bahamas. https://www.nycaribnews.com/articles/bahamas-covid-has-severely-affected-our-tourism-dependent-economy/.

Nurse, M. (2020, October 1). CDB to Lend US$70M to The Bahamas and Saint Lucia, Countering COVID-19 Fallout. CARICOM Today. https://today.caricom.org/2020/09/29/cdb-to-lend-us70m-to-the-bahamas-and-saint-lucia-countering-covid-19-fallout/.

Office of the Prime Minister. (2020). Who is eligible for assistance due to the COVID-19 economic fall out?. The Commonwealth of The Bahamas. http://www.bahamas.gov.bs/wps/wcm/connect/4c7cc60f-1403-4b1a-88b8-b2e33a7a3162/Public+Notice+for+Tourism+Workers+-+FINAL.pdf?MOD=AJPERES.

Puhak, J. (2021, March 12). Crystal Cruises to resume sailing in Bahamas in July, first from Americas since pandemic began. Fox News. https://www.foxnews.com/travel/crystal-cruises-resume-sailing-bahamas-july-first-americas.

Social and Cultural Inclusion:

American Red Cross. (2020, June 2). Red Cross Fights Hunger and COVID-19 in The Bahamas. https://www.redcross.org/about-us/news-and-events/news/2020/red-cross-fights-hunger-and-covid-19-in-the-bahamas.html.

Dunkley-Malcolm, J. (2020, September 2). The Bahamas Schools to reopen in October. CARICOM Today. https://today.caricom.org/2020/09/02/the-bahamas-schools-to-reopen-in-october/.

Eyewitness News. (2020, October 5). Moore Bahamas Foundation announces next round of grants. https://ewnews.com/moore-bahamas-foundation-announces-next-round-of-grants.

Food and Agriculture Organization of the United Nations. (2020, May 7). Food systems and COVID-19 in Latin America and the Caribbean: Risks threatening international trade. The United Nations Economic Commission for Latin America and the Caribbean. https://repositorio.cepal.org/bitstream/handle/11362/45578/ca8975_en.pdf?sequence=1&isAllowed=y.

International Monetary Fund. (2020, June 5). The Bahamas : Request for Purchase under the Rapid Financing Instrument-Press Release; Staff Report; and Statement by the Executive Director for The Bahamas. https://www.imf.org/en/Publications/CR/Issues/2020/06/04/The-Bahamas-Request-for-Purchase-under-the-Rapid-Financing-Instrument-Press-Release-Staff-49489.

PGA Tour. (2020, May 15). Lend a Hand Bahamas Receives $100,000 Donation from the Kate & Justin Rose Foundation to support COVID-19 Food Relief Efforts in Nassau, Bahamas. https://www.pgatour.com/impact/2020/05/15/lend-a-hand-bahamas-receives-donation-from-the-kate-justin-rose-foundation-to-support-covid-19-food-relief-efforts-in-nassau-bahamas.html.

The United Nations Economic Commission for Latin America and the Caribbean. (2020, May). Employment Situation in Latin America and the Caribbean. Work in times of pandemic: the challenges of the coronavirus disease (COVID-19). https://repositorio.cepal.org/bitstream/handle/11362/45582/4/S2000306_en.pdf.

————. (2020, May 12). The social challenge in times of COVID-19. https://repositorio.cepal.org/bitstream/handle/11362/45544/1/S2000324_en.pdf.

————. (2021). International Trade Outlook for Latin America and the Caribbean 2020: Regional integration is key to recovery after the crisis. https://www.cepal.org/sites/default/files/publication/files/46614/S2000804_en.pdf.

United Nations Women. (2020, May 31). Gender-transformative Hurricane Resilience During the COVID-19 Crisis. https://www2.unwomen.org/-/media/field%20office%20caribbean/attachments/publications/2020/20200531%20hurricane%20resilience%205.pdf?la=en&vs=1910.