By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.ne
The Government has decided it is “high time” that the Bahamas implement a policy requiring more citizens to assume top posts within the financial services industry, a Cabinet Minister said yesterday.
Hope Strachan, minister of financial services, addressing a STEP Bahamas luncheon, said: “The Government has determined that it is high time that we formalise and put into action the policy that even more Bahamians must be trained to ensure even more opportunities are created, and to assume more top positions within companies, firms and businesses which comprise the financial services sector.”
She added: “Therefore, we are reducing this policy to writing in order to ensure that proper consideration and justification is exercised in every instance where a Labour Certificate for a top position is applied for and is granted, only after it is proven that no Bahamian satisfies the hiring criteria, and only after a written strategy or plan - and an undertaking for training and advancement of Bahamians to fill such positions futuristically - is provided.”
Mrs Strachan’s affirmation of the Government’s further ‘Bahamianisation’ intentions towards the financial services is likely to be welcomed in many quarters, especially where there is a belief that Bahamians have the quality, training and expertise necessary to hold such posts.
However, her comments may create concerns elsewhere, given that Bahamas-based financial institutions, many of whom are foreign-owned, are used to selecting the top executives of their choice as the ‘owner’s representative’.
Mrs Strachan, meanwhile, said the Bahamas was on schedule to successfully implement the Common Reporting Standard (CRS) in 2018.
“With my Ministry as the coordinating Ministry of the Task Force created to facilitate the CRS implementation, comprising of the Ministry of Finance, the Attorney General’s Office, the Bahamas Financial Services Board (BFSB) and other industry participants, we have caused the Automatic Exchange of Financial Account Information in Tax Matters Act 2016 to be enacted, the enabling legislation for the implementation of the CRS, which came in to force on January 1, 2017,” Mrs Strachan said.
“We sent Letters of Intent to the initial 45 countries with whom we intend to exchange information with under the Act, and have since begun negotiations. The regulations and guidelines for the CRS have been drafted and are currently under review.
“The draft regulations are scheduled to be released before the end of January. The portal system that will be used for the exchange of information by the Competent Authority is under review to be modified for CRS. This is the system currently being used to facilitate the FATCA platform,” the Minister continued.
“And human resources are being increased to ensure we have the manpower to ensure our success in this endeavour. Ladies and gentlemen, I am confident based on our team and what we have accomplished so far, that despite the naysayers, we will successfully implement CRS and on time.”
Comments
banker 7 years, 2 months ago
Hope Strachan is way out of her league. I work in this industry, and she doesn't understand it. She is making the same mistake that unions make. She sees the top positions as placeholders just like unions see one worker as a unit replaceable with another.
First and foremost, it takes capital to provide financial services. It takes leadership and know-how. And the business owners, making the investment of their capital, want whoever they are most comfortable to run their field operations on foreign (Bahamian) soil.
I'm not saying that Bahamians can't do the top jobs. I am not saying that Bahamians are not qualified to do the top jobs. It is just that we aren't entitled to them as a matter of course. They can't be closed to us, and they aren't (hello Nat Beneby, Barry Malcolm et al). However if Hopeless Strachan goes ahead with "Bahamianization", it will be the death knell. The books of business have shrunk rapidly already. We are ill-suited with infrastructure to provide for the complete needs of high net worth individuals. Our financial services products are outdated. If we mandate who and who can't run their businesses, we will simply drive them out of town.
Bahamianisation doesn't work. I am reminded of Prime Minister Crisco Butt's first term when he created all of these committees and commissions to examine the state of the nation and Brian Moree suggested opening up financial services to foreigners en masse to re-vitalise our industry. He was excoriated, criticized and his recommendations went nowhere. It was the right course of action, but the PLPtards were more interested in lining their own pockets.
I would like to see our financial services world through Hope's eyes, but unfortunately I can't get my head that far up my rear end. She really does have a death wish for our industry.
Socrates 7 years, 2 months ago
you have to be qualified and experienced to fill some roles. we have not done a very good job in this area and this kind of talk, never mind how well intentioned, perpetuates the hand out mentality. even for the few who are book qualified, most lack global exposure due to our propensity to see the bahamas as the world, and hence not seeking overseas exposure to broaden and enhance the book learning...
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