Identifier
Created
Classification
Origin
07NASSAU611
2007-05-15 22:18:00
UNCLASSIFIED
Embassy Nassau
Cable title:
BAHAMAS HAS "NO INTEREST" IN CARIBBEAN SINGLE
how-toVZCZCXYZ0000 RR RUEHWEB DE RUEHBH #0611 1352218 ZNR UUUUU ZZH R 152218Z MAY 07 FM AMEMBASSY NASSAU TO RUEHC/SECSTATE WASHDC 4241 INFO RUEHBE/AMEMBASSY BELMOPAN 0086 RUEHWN/AMEMBASSY BRIDGETOWN 5601 RUEHGE/AMEMBASSY GEORGETOWN 3664 RUEHKG/AMEMBASSY KINGSTON 8532 RUEHPU/AMEMBASSY PORT AU PRINCE 3541 RUEHSP/AMEMBASSY PORT OF SPAIN 4702 RUEHDG/AMEMBASSY SANTO DOMINGO 2821 RUCPDOC/DEPT OF COMMERCE WASHDC RUEHUB/USINT HAVANA 0450
UNCLAS NASSAU 000611
SIPDIS
SIPDIS
STATE FOR WHA/CAR RCBUDDEN
E.O. 12958: N/A
TAGS: PREL ETRD ECIN BF
SUBJECT: BAHAMAS HAS "NO INTEREST" IN CARIBBEAN SINGLE
MARKET ECONOMY
UNCLAS NASSAU 000611
SIPDIS
SIPDIS
STATE FOR WHA/CAR RCBUDDEN
E.O. 12958: N/A
TAGS: PREL ETRD ECIN BF
SUBJECT: BAHAMAS HAS "NO INTEREST" IN CARIBBEAN SINGLE
MARKET ECONOMY
1. In a May 14 statement to local press, Prime Minister
Ingraham said that The Bahamas has no economic interest
"whatsoever" in the Caribbean Single Market Economy (CSME).
CSME integration had been heavily promoted in the face of
strong domestic opposition by former Foreign Minister Fred
Mitchell, with mixed support in the former Cabinet. Ingraham
said he had spoken with the Prime Minister of Barbados, who
is set to become the CSME chair in July, to convey this
change of Bahamian focus away from economic integration,
while maintaining the country's interest in cooperation on
regional social and cultural issues.
2. Ingraham's comments came the same day that new Minister
of State for Finance Zhivargo Laing also made a statement
regarding The Bahamas' anti-CSME stance. "It just does not
fit into the economic and fiscal objectives or regime of the
country at all," said Laing. Citing concerns over the freer
movement of labor and the potential to stifle Bahamian
economic growth, Laing was adamant about lack of Bahamian
participation. Like Ingraham, Laing left open participation
in non-economic aspects of CSME.
3. COMMENT: With ongoing immigration problems, essentially
no export market, and an economy stronger than its CARICOM
neighbors, The Bahamas stands to gain little though economic
integration within the framework of the CSME. Moreover, The
Bahamas has no sales or income tax, relying entirely on
import duties for its revenue, making any agreement to
eliminate import duties a tough sell. The push for
integration by former FM Mitchell was a political move based
upon his personal vision in favor of regional integration, a
goal not shared by the more pragmatic Ingraham government or
a majority of the Bahamian people.
HARDT
SIPDIS
SIPDIS
STATE FOR WHA/CAR RCBUDDEN
E.O. 12958: N/A
TAGS: PREL ETRD ECIN BF
SUBJECT: BAHAMAS HAS "NO INTEREST" IN CARIBBEAN SINGLE
MARKET ECONOMY
1. In a May 14 statement to local press, Prime Minister
Ingraham said that The Bahamas has no economic interest
"whatsoever" in the Caribbean Single Market Economy (CSME).
CSME integration had been heavily promoted in the face of
strong domestic opposition by former Foreign Minister Fred
Mitchell, with mixed support in the former Cabinet. Ingraham
said he had spoken with the Prime Minister of Barbados, who
is set to become the CSME chair in July, to convey this
change of Bahamian focus away from economic integration,
while maintaining the country's interest in cooperation on
regional social and cultural issues.
2. Ingraham's comments came the same day that new Minister
of State for Finance Zhivargo Laing also made a statement
regarding The Bahamas' anti-CSME stance. "It just does not
fit into the economic and fiscal objectives or regime of the
country at all," said Laing. Citing concerns over the freer
movement of labor and the potential to stifle Bahamian
economic growth, Laing was adamant about lack of Bahamian
participation. Like Ingraham, Laing left open participation
in non-economic aspects of CSME.
3. COMMENT: With ongoing immigration problems, essentially
no export market, and an economy stronger than its CARICOM
neighbors, The Bahamas stands to gain little though economic
integration within the framework of the CSME. Moreover, The
Bahamas has no sales or income tax, relying entirely on
import duties for its revenue, making any agreement to
eliminate import duties a tough sell. The push for
integration by former FM Mitchell was a political move based
upon his personal vision in favor of regional integration, a
goal not shared by the more pragmatic Ingraham government or
a majority of the Bahamian people.
HARDT