What The Bahamas should do about the China-backed hospital deal — especially in light of the recent comments by U.S. Ambassador Herschel Walker urging the government to reconsider.
🇧🇸 1. Clarify and Evaluate the Terms of the Deal
Why it matters:
• The current financing — a loan covering around $195 m of a ~$278 – $300 m project — is governed by Chinese law and may involve Chinese labour standards and jurisdiction for disputes, which raises sovereignty and legal concerns.
• The U.S. is suggesting alternative financing that adheres to international norms, potentially with fewer strings attached.
Best Action:
The Bahamian government should publish the full loan agreement and impact assessments (legal, financial, economic, social) so that Parliament and the public can understand:
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interest rates and repayment schedule
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clauses on employment and labour
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dispute resolution and governing law
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what happens if The Bahamas can’t meet repayments
This transparency will strengthen public trust and allow informed debate.
🇨🇳 2. Weigh Healthcare Needs Against Geopolitical Risks
A new hospital is widely seen as necessary: the last major hospital in New Providence is decades old, and the new facility would expand capacity and services. But borrowing on terms governed by another country’s law is a sovereignty risk that could limit The Bahamas’ control over the project.
Best Action:
Commission an independent healthcare and financing alternatives study to compare:
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financing through domestic or regional banks
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multilateral development lenders (World Bank/IDB)
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partnerships with other allied countries
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public-private models
That way, The Bahamas doesn’t depend on just one foreign partner.
🇺🇸 3. Engage with All Partners, Not Just China and the U.S.
U.S. officials (Ambassador Walker) have offered to help find “better deals” and see the U.S. as the “economic and security partner of choice.” China has pushed back, calling the hospital financing a livelihood project and warning against outside interference.
Best Action:
The Bahamas should broker a tri-lateral development dialogue — inviting China, the U.S., and international financial institutions to the table — so that:
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the project can be co-financed or restructured
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terms are more favourable
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The Bahamas avoids geopolitical competition driving decisions
This can reduce risk of being caught in a U.S-China rivalry, which the Bahamian government itself says it wants to avoid.
🧠 4. Safeguard National Interests and Long-Term Growth
Debt sustainability: Large loans should fit within The Bahamas’ fiscal capacities without crowding out spending on education, climate resilience, and social services.
Employment: Ensure Bahamian workers are prioritized in construction and ongoing operations rather than imported labour.
Healthcare staffing: Plan for long-term staffing (doctors, nurses, technicians) so the hospital doesn’t become under-utilized.
🏁 In Summary — Best Course of Action for The Bahamas:
✅ Publish and scrutinize the China hospital loan details publicly
✅ Evaluate alternative financing with multiple partners
✅ Engage China, the U.S., and multilateral lenders collaboratively
✅ Safeguard sovereignty, fiscal health, and local employment
By taking these steps, The Bahamas can get the hospital it needs — without locking itself into unfavourable terms or being drawn into great-power competition.
