This is a poignant question for the Bahamas. November 4th was historic with the election of the first black president of The United States. There was a good deal of celebration here, as in the rest of the world but what does the election of Obama mean to The Bahamas?
Before the election there was a mixture of elation and fear in the general population. People were ecstatic at the mere thought of his election, while at the same time being worried over his proposed stance on clamping down on offshore tax havens. One of the pillars of our economy is the offshore banking sector with over 400 private banks located in our country. If Obama were to pressure the banks or take a hands-off approach and let the European countries pressure the Bahamas on it’s tax policy the results for The Bahamas would not be good. Time will tell us how his policies will unfold.
On a brighter note, for Real Estate here in The Bahamas we have seen an upswing in buyers for our Mega Properties priced at over $10,000,000. They are mainly wealthy Americans that are looking to buy offshore before the Obama administration takes office. We have also seen other US sellers anxious to sell before the Capital Gains Tax gets increased.
As more Obama policies are released I’ll comment on their possible effects on the Bahamas. Please feel free to contact me if you have any questions or thoughts .
John Christie