The Tribune

By Fay Simmons

Tribune Business Reporter

jsimmons@tribunemedia.net

The Prime Minister’s spokesman last night said the $2 levy all Bahamian travellers must now pay will be used to finance further development of this nation’s tourism product for the benefit of all.

Latrae Rahming, the Prime Minister’s director of communications, said all revenue generated by the new tourism enhancement levy will be put into a fund managed by the Tourism Development Corporation.

Speaking on the Beyond the Headlines TV program, he explained that the Government chose to implement the levy on all travellers - Bahamian and foreign - to ensure there is sufficient funding available to maintain and expand the tourism product.

He said: “This is a separate fee that everyone will pay, whether you are visitor or resident or Bahamian, that will go to the Tourism Development Corporation. The rationale behind it is that the tourism industry has been the primary driver of our country, and ensuring that fee as a means to maintain and build on that.

“It’s something that we’ve seen work well in Barbados, work well in Jamaica, and so where there are solutions or approaches that have worked and been strategic and it benefits, we adopt it.”

Mr Rahming added that all revenue generated will be placed in a fund managed by the Tourism Development Corporation, and will be used to support stakeholders in the tourism sector while also developing and promoting industry growth.

He said: “We have a Tourism Development Corporation, and the fee goes into the consolidated fund through the Tourism Development Corporation. It goes back into the country so entrepreneurs will benefit from it, the redevelopment of tourism will benefit from it.

“That will go into the further enhancement and the development of The Bahamas’ touristic products. It will help entrepreneurs... whether it’s the look and feel of tourism, the linkages of tourism.”

Mr Rahming said the $29 air departure tax is unchanged, while the increases in cruise passenger departure taxes will not affect Bahamians as very few depart on cruises from this nation.

He said: “Let’s be very clear about the adjustments. So last summer, the Prime Minister would have indicated some changes in the Passenger Act, which manages the departure tax for cruise and air.

“The air departure tax is $29. It has been at that rate from 2014; that has not changed. What has changed is the cruise departure tax - it went from $18 to $23. That change is not something that’s going to impact most Bahamians. Most Bahamians do not depart for their cruises from The Bahamas.”

Chester Cooper, deputy prime minister and also minister of tourism, investments and aviation, said there are plans to strengthen the tourism product this year through the Tourism Development Corporation.

He said: “So for 2024, in addition to our work on Bay Street, in addition to our work on developing our product, we’re going to continue to enhance linkages working through the Tourism Development Corporation. We’re going to be doing some exciting things. Through the Tourism Development Corporation, we’ll be working actively with product development”