Tuesday, September 22, 2020

Former M.P. Pierre Dupuch comments on the economy of The Bahamas

 

By Pierre V. L. Dupuch
September 18, 2020

The country’s broke. The Bahamas Minister of Finance says there’s lots of money. Some say that there will be a devaluation. Others say they’ll guarantee there will be no devaluation. Many say they’re taking a page about lying out of Trump’s playbook. You be the judge.

For those who are encouraging devaluation I hope they know what they are talking about. Talk is cheap. It looks as though facts these days are taking a back seat.

There are two types of economies, one made up of tangible assets and the other of intangible assets. Tangible assets, like bauxite, are consumed outside of a nation’s borders, the other, intangible assets, like sun, sea, beaches and relaxation, are consumed inside a nation’s borders.

The Bahamas’ assets are intangible, and devaluation of the money does not help the problem.  Read more >>