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No Public Sector Cutbacks Planned for 2009, Bahamas Prime Minister says

NASSAU, Bahamas – The Bahamian Government would continue to employ essential workers and continue its capital expenditure works during the downturn in the economy, Prime Minister the Rt Hon Hubert Ingraham of the Bahamas told the media during his “Meet the Press” conference on Sunday, November 30.

Responding to a question on whether Government departments might engage in cutbacks in 2009 due to the current economic downturn, Mr. Ingraham said, “No, not in terms of personnel. The Government is going to review some of the optional things that it does not have to do like some of the traveling, some of the conferences the Government holds, and some of the other expenditures that are not absolutely essential.

“As a general statement we will not have a cutback because the Government’s expenditure in the economy is an important element of economic activity,” the Prime Minister said during his nationally televised press conference held at the British Colonial Hilton.

The Government will continue to employ essential personnel, Mr. Ingraham said, having recently hired an additional 50 Customs Officers; 25 who should commence training in January 2009. Also to be hired are 18 to 20 Immigration Officers as well as land surveyors to deal with the backlog of Crown Land applications.

“We are hiring a host of people in the professional grades at Public Works and a good number of people at the Physical Planning Department to improve our planning and our management and in some other essential areas,” the Prime Minister said.

Mr. Ingraham also said the Government is undertaking a number of actions and accelerating the implementation of planned infrastructural development and expansion to help stimulate the economy.

One of the infrastructural projects is the $120 million contract for the New Providence Road Improvement Project, which will be signed before Christmas. Work is expected to commence during the second week in January 2009. The project is being funded by a loan approved by Parliament, from the Inter-American Development Bank.

The Prime Minister said contractor Jose Cartellone of Argentina has already hired 11 Bahamians and seven “expert” expatriates at the temporary office in the Town Centre Mall.

The first three road corridors to be constructed are: Robinson Road between Baillou Hill Road and Marathon; Bethel Avenue extension off Milo Butler Highway to J F Kennedy Drive and north to West Bay Street. This will also include road and beach access in the Saunders Beach area; and Baillou Hill Road from Dike Street to Robinson Road.

Other works include the first phase of the new US Pre-clearance Facility and associated land, terminal, and airside construction at the Lynden Pindling International Airport, which will commence during the second quarter of 2009.

“This $175 million will be funded by loans/bonds and serviced from the operating revenues of the airport,” the Prime Minister said.

“It is not expected that the borrowings by the Airport Authority will require a Government guarantee. However, to facilitate this construction the Government will assume responsibility for $50 million of the present outstanding debt of the Airport Authority,” he said.

The Prime Minister also disclosed that surveyors are scouting for a site for Government Office complexes in New Providence, Grand Bahama and Abaco. Other capital works underway include repair of the Supreme Court Building, and completion of Magistrate Court Complex at Nassau and Meeting Streets, the Mortgage Corporation on J F Kennedy Drive, and the T G Glover Primary School in Oakes Field.

Additionally, proposed national the stadium at the Queen Elizabeth Sports Centre in Oakes Field, a donation from the People’s Republic of China, is expected to commence during the first quarter of 2009, he said.

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