With between 75-90 per cent of Bahamian companies not paying their electricity and National Insurance Board (NIB) contributions on a timely basis, a leading accountant believes the 75 basis point reduction in the Discount and Prime rates will have “minimal impact” in terms of stimulating economic activity.
Raymond Winder, managing partner at Deloitte & Touche (Bahamas), told Tribune Business that individuals and companies were more likely to use the estimated $60-$70 million set to be returned to borrowers to pay-off existing debt “shore up” household and company balance sheets, rather than engage in new spending.
