By JADE RUSSELL
Tribune Staff Reporter
jrussell@tribunemedia.net
THE Davis administration yesterday allocated $11.6m to build and upgrade Family Island clinics and committed an initial $20m to its proposed New Providence hospital, as it faces persistent scrutiny over poor conditions, manpower shortages and limited capacity in the public healthcare system.
Finance Minister Michael Halkitis announced the allocations while presenting the 2026/2027 Budget Communication, saying the government would invest in clinics in Abaco, Andros, Acklins, the Berry Islands, Crooked Island, Exuma, Eleuthera and Long Island.
The clinic programme is intended to expand access to primary healthcare and reduce the need for Family Island residents to travel elsewhere for treatment.
Mr Halkitis also said additional resources will be provided to the Public Hospitals Authority to improve service delivery, support the recruitment and retention of healthcare professionals amid manpower shortages and carry out targeted upgrades to key facilities, including mental health services.
The commitments come as the administration remains under pressure over conditions at Princess Margaret Hospital, where healthcare workers have repeatedly raised concerns about ageing infrastructure, limited resources and staff shortages. Patients have also complained about long waits and bed shortages.
The Free National Movement has repeatedly urged the government to prioritise comprehensive repairs to Princess Margaret Hospital rather than building a new facility.
Despite those calls, the government broke ground in April on the proposed $285.25m hospital project on a 50-acre site in the Prepall tract.
The facility is designed primarily for women and children and is expected to include a trauma centre, medical-surgical wards, maternal and child health services, diagnostic and treatment units, same-day surgical suites, intensive care units, advanced imaging and the country’s first reference morgue.
The project is also expected to include a 510-space parking facility and green spaces intended to support patient recovery.
It is backed by a $195m concessional loan from the Export-Import Bank of China at two per cent interest over 20 years, with a five-year grace period.
Mr Halkitis said the hospital project is supported by an initial investment of approximately $20m alongside international financing arrangements.
The National Health Insurance Authority is also expected to undergo several reforms, including expansion of the proposed Prescription Drug Programme, implementation of the Standard Health Benefit and improved data-sharing platforms intended to create a more connected healthcare system.
The government also announced proposed reforms affecting public officers, including a contributory pension fund under which employees would contribute three per cent and the government would contribute five per cent.
Mr Halkitis said the proposed system would feature individual accounts and additional protections for workers and their families.
“Our next steps in continuing this reform include finalizing the legal framework and tabling the White Paper today, marking another milestone in our shared journey toward progress and prosperity for all Bahamians,” he said.
The government is also introducing comprehensive health insurance plans for public officers, with three plan options intended to reflect differing healthcare needs and income levels.
Mr Halkitis said the government will cover a significant portion of the cost depending on the plan selected. The plans will also include vision and dental benefits, survivor benefits and options for family coverage.



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