As the Bahamas faces another possible economic downgrade, it would seem that the only problem that the previous administrations would have with it is that the governing party told the Bahamian people and thereby the world at large about the possible dire economic straits that The Bahamas faces.  Apparently, it would have been more prudent for them to ‘bluff’ their ways through it all, as did those before them – and we all saw how well that worked for the Progressive Liberal Party (PLP) government, under whom the country suffered four economic downgrades, despite assuring the country that ‘everything was good’ and ‘about to get better’.

“Downgrade threatened – Moody’s put Bahamas credit rating under review” – The Nassau Guardian

Excerpt from this article; “International ratings agency Moody’s has placed The Bahamas’ Baa3 credit rating on review for downgrade.

Moody’s said the review was prompted by statements from the Minnis administration, that The Bahamas’ fiscal position was weaker than previously estimated and that the government’s debt ratios will continue to worsen over the coming years’.

‘This diverged from Moody’s expectation that the government’s debt ratios would stabilize in fiscal 2017, thus supporting The Bahamas’ Baa3 rating and stable outlook,’ the ratings agency said in a statement.

‘Moody’s review will focus on evaluating the credit risks posed by ongoing economic and fiscal challenges, taking into consideration the recent revelations of fiscal deterioration as well as the new government’s proposal to arrest this deterioration.”

It seems that the only way for the present government to avoid a downgrade would be to present a viable proposal (plan), that shows that it indeed has a plan to slow and reverse the deterioration brought on by the previous Progressive Liberal Party (PLP) government but what does the former administration have to say about a possible economic downgrade?

“Davis blame FNM for downgrade threat” – The Nassau Guardian, July 11 2017

Excerpt from this article; “Opposition leader Philip Brave Davis said yesterday it is ‘troubling’ that international credit rating agency Moody’s has placed the Bahamas’ Baa3 credit rating on review for downgrade.

‘It is troubling because it confirms what my shadow minister for finance was saying, Chester Cooper, that he budget communication was the wrong speech at the wrong time,’ Davis said.

Moody’s said the review was promoted by statements from the Minnis administration, ‘that The Bahamas’ fiscal position was weaker than previously estimated and that the government’ debt ratios will continue to worsen over the coming years.’

‘It is rather troubling, because I look at the reason proffered by them when they downgraded us last year,’ Davis said.

‘The reasons seem to be grounded on two issues: One was the opening of Baha Mar, which they had little confidence would happen, and then secondly they recognized that Hurricane Matthew interrupted the economy in such a way that our recovery efforts plus the loss of revenue inspired them to downgrade us.

‘It is troubling that all of the issues raised form the downgrade last year have been, in my view, resolved and they are still foreshadowing a future downgrade.”

So wait, how did the Minnis administration cause this threat of a downgrade again?

By stating the facts as to how the previous administration left the economy of the country and why didn’t the debt ratio begin to stabilize under the Christie administration?

What is troubling is that the Leader of the Opposition, Philip Brave Davis, in all of his zeal to bash the current government that seeks to get out in front of this situation, seems to want to divert us from the road that his government took  to get us to this point in the first place.  While he points to the reasons for the last series of downgrades by Moody’s, he fails to mention the three previous downgrades by Moody’s and Standard and Poor’s (S&P) and what brought those about.

Then, Chester Cooper, whom Davis praises for being right about Prime Minister Minnis’ speech, this morning advises the Minnis administration to ‘hold off on borrowing an anticipated $320 million-plus for deficit and spending this fiscal year and formulate a strategy to get the economy growing again, rather than engage in risky ‘optics’ and blame casting’’, goes on to criticize the prime minister for the ‘reckless statement’ concerning the economy, I ask this ‘new’ economic czar where was he as the country was downgraded four times under the Progressive Liberal Party government and why did he do nothing as reckless actions were being taken by the former Progressive Liberal Party that undoubtedly brought us to the fiscal cliff that he are balancing at present?

The Progressive Liberal continues to fails for one reason, it is their nature.

END