A special government appointed task force charged with the responsibility of chronicling the problems encountered by small and medium sized business persons is about to review a draft report in that regard, Parliamentary Secretary in the Ministry of Finance Michael Halkitis confirmed to the Bahama Journal.
Mr. Halkitis, who is also the chairman of that task force, explained that the research department at the College of The Bahamas compiled the findings as an essential step in the process.
The input was gleaned from various business sectors.
“We have already gotten a draft set of results which show some of the difficulties that some persons are having; it’s a combination of some people saying they experience delays at various government departments while others say they experience smooth sailing,” Mr. Halkitis said.
The task force is also expected to provide the government with recommendations about how to simplify the regulatory process for the establishment of small to medium enterprises.
Public consultation is regarded as key in that process.
The Minister of State in the Ministry of Finance James Smith reasoned that small businesses are of great importance in most developed economies as they generate sustainable employment.
Their importance is recognized to the point where they receive favourable treatment from their governments, he indicated, stressing that there is a lesson to be learnt for The Bahamas.
Mr. Halkitis said he expects the task force to complete its information gathering and submit recommendations to the government by the end of the summer.
“We might present recommendations to the government to streamline some of the processes and in our deliberations we may perhaps call for legislative amendments,” he said.
The appointment of the task force is not the only step that the government has taken to ease problems for smaller businesses. The Venture Capital Fund designed to improve access to capital for small businesspersons is up and running and the Business Advisory Unit of the Bahamas Agricultural and Industrial Corporation has been incorporated into the Bahamas Development Bank to enhance cohesion.
The Small Business Association and the Bahamas Chamber of Commerce are also being approached for their input into the challenges confronting the business community.
The former has already identified bureaucratic red tape and inadequate concessions as two fundamental problems that need to be addressed. The association had also recommended a $5 million injection into the venture capital fund rather than the current $2 million.
Earlier this year president Johnny Outten urged government officials and the private sector to also examine the issue of credit.
Some businesses he said, are starved for working capital and as a result end up failing.
He also called for a level playing field for Bahamian and foreign investors.
“We are not knocking the foreigner coming in because we realize the importance of their investment but also we want the government to realize the importance of our investment” Mr. Outten said. “We only want to be treated the same way-give us the one time exemption. They did it for Atlantis, Emerald Bay and all these other projects, we are Bahamians.”
By: Tameka Lundy, The Bahama Journal
