VZCZCXRO0657
RR RUEHGR
DE RUEHBH #0206/01 0701754
ZNR UUUUU ZZH
R 101754Z MAR 08
FM AMEMBASSY NASSAU
TO RUEHC/SECSTATE WASHDC 5282
INFO RUCNCOM/EC CARICOM COLLECTIVE

UNCLAS SECTION 01 OF 02 NASSAU 000206 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV PHUM ECON SMIG BF
SUBJECT: PM INGRAHAM OUTLINES ACCOMPLISHMENTS AND PRIORITIES 
 
REF: A. 07 NASSAU 1458 
     ¶B. NASSAU 69 
     ¶C. NASSAU 160 
     ¶D. NASSAU 71 
     ¶E. NASSAU 56 
 
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SUMMARY 
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¶1.  (SBU) Prime Minister Ingraham recently delivered an 
upbeat assessment of his government's accomplishments in 2007 
against the background of negative economic conditions in the 
wider world and worries over crime and economic uncertainty 
at home.  Ingraham put a brave face on "a difficult year" in 
2007 by pointing to his government's investments in defense, 
law enforcement, and border security.  He identified fighting 
crime, providing adequate social services, and revamping the 
tourism product among his priorities for 2008.  Subsequent 
government initiatives to support and train police, defense, 
and border security agencies underlined the high priority his 
government attaches to fighting illegal immigration and 
narcotics-trafficking.  His diagnosis of current national 
ills was wide-ranging, and his remarks were 
characteristically specific and pragmatic.  A staunch U.S. 
ally, Ingraham will continue to welcome practical U.S. 
support to deal with competing priorities amidst societal 
anxiety about acute domestic policy concerns, especially 
spiraling crime.  END SUMMARY. 
 
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PM POINTS TO SUCCESSES 
---------------------- 
 
¶2.  (SBU) In his first major assessment of his government's 
progress since taking office in May 2007, Prime Minister 
Hubert Ingraham delivered an optimistic assessment January 13 
of his Free National Movement (FNM) government's 
accomplishments in 2007 -- a year punctuated by economic 
slowdown, rising crime, and long-term social and 
infrastructure challenges.  Ingraham cited the purchases and 
deployment (some completed, more planned) of aircraft and 
ships (including four from the U.S. under the Enduring 
Friendship Program) for the Royal Bahamas Defense Force as a 
significant accomplishment.  He also noted increased outlays 
for law enforcement, the introduction of e-passports and 
machine-readable visas with biometric features, the launch of 
electronic cruise ship passenger clearances, increased 
attention to airport safety and security measures, and 
improvements to criminal justice legislation in his laundry 
list of successes.  These vessels and airplanes will improve 
ongoing drug and migrant detection and interdiction efforts, 
a pillar of U.S.-Bahamian cooperation for decades through 
OPBAT. 
 
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RECOGNIZES GLOBAL CHALLENGES 
---------------------------- 
 
¶3.  (SBU) Ingraham acknowledged serious economic headwinds 
arising from a decline in investment flows as major hotel 
projects wind down, combined with high world energy prices, 
whose impact is amplified in the energy-dependent Bahamas. 
He pointed to the weak U.S. economy in 2007, particularly the 
sub-prime meltdown in the housing market, to explain lower 
tourism numbers.  Briefly mentioning the Iraq conflict and 
worldwide terrorism, the Prime Minister referenced HIV-AIDS, 
climate change, and adjusting to international free trade 
agreements (with the EU in particular), among the global 
forces beyond the leadership's control that contributed to "a 
difficult year both at home and abroad". 
 
¶4.  (SBU) Charting his government's course ahead in the face 
of the rough seas on the horizon, the Prime Minister was 
confident in outlining his government's key goals for 2008. 
He stressed that developing a national energy policy, with 
attention to alternative sources and energy efficiency, would 
be a key priority.  He also highlighted his intention to 
strengthen financial services, the second-biggest sector of 
the economy.  "We are positioning ourselves to make a bid to 
regain a stronger position in the international insurance 
sector which we once dominated," he said. 
 
¶5.  (SBU)  The Prime Minister focused attention on the need 
to improve tourism offerings, stressing the importance of new 
markets in Canada and Europe, especially in an unfavorable 
economic climate for the U.S. dollar.  He pledged to adjust 
tourism strategies to meet evolving, global market demands 
such as eco-friendliness and heritage tourism.  To enhance 
Bahamian competitiveness, he promised to overhaul Nassau's 
international airport and its smaller Family Island airports. 
 Ingraham observed that The Bahamas needed to do a better job 
 
NASSAU 00000206  002 OF 002 
 
 
of "exploiting the potential for linkages between our 
agricultural, fisheries and light manufacturing sectors and 
the tourism sector."  He also emphasized the need to foster 
local entrepreneurship in a globalized economy, reflecting a 
broader desire to capture more tourism-related purchases and 
decrease the economy's reliance on imports. 
 
------------------------------- 
CONFRONTS KEY DOMESTIC PROBLEMS 
------------------------------- 
 
¶6.  (SBU)  Turning his sights to domestic issues, Ingraham 
put crime at the top of his agenda, calling it "our single 
biggest national concern."  Ingraham cautioned that "this 
level of violence, about which we cannot be complacent as a 
people, undermines the peace and tranquillity for which our 
country has been admired."  His focus on law enforcement 
reflects how politically sensitive the steady drumbeat of 
violent crime has become (see reftel A).  Ingraham is also 
focused on social development issues, especially given the 
links he sees between poor educational achievement, 
unemployment, and crime.  To this end, he promised 
investments in education, health, and road-building 
improvements to ameliorate traffic woes. 
 
¶7.  (SBU)  Tying together his themes of economic and social 
development with tourism, Ingraham ranked redeveloping 
dilapidated downtown Nassau, a cruise-ship hub and mainstay 
of the domestic economy, first among a number of proposed, 
large-scale works projects in the capital.  Others included: 
dredging Nassau harbor to allow the most modern ocean-going 
ships to call in port; rationalizing cargo terminals and 
transfer, in part to alleviate downtown traffic congestion 
and pollution; construction of public buildings, such as a 
Magistrate's Court and Registrar General's Office; 
introducing a new town planning act; protecting public beach 
access; and re-starting the stalled low-income housing 
program, which was suspended due to a shortfall in funding in 
¶2007. 
 
¶8.  (SBU) Finally, the Prime Minister noted his government's 
concern for public service reform, promising to increase the 
quality and convenience of and customer satisfaction with the 
provision of government services.  He has also pledged to 
overhaul what he termed a heavy legacy of colonial era laws 
still on the books to bring the country into the 21st 
century.  He concluded reassuringly that "overall, 2008 
promises to be a better year than was last year." 
 
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COMMENT 
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¶9.  (SBU) The Prime Minister's address was characteristic of 
his pragmatic, no-nonsense style.  His description of current 
government challenges was comprehensive and realistic, 
eschewing grandiose visions or targets.  It was a solid 
rundown of his new government's early successes and a basic 
blueprint for his next steps, with significant nods to The 
Bahamas' susceptibility to the economic climate in the U.S. 
and beyond.  The Prime Minister's most recent public 
statements have increased his focus on tourism and healthcare 
improvements, as well as legislative reforms to update 
colonial-era criminal laws, giving further shape to 
government aims in domestic policy.  A staunch ally, the 
Ingraham government will continue to welcome practical U.S. 
assistance to deal with its immediate problems, and perhaps 
defuse some of the political pressure under which it is 
operating.  The Bahamas embrace of the IOM Deportee 
Reintegration Initiative, for example, and its readiness to 
engage in diverse law enforcement and border security 
training initiatives, reflect its commitment to USG 
priorities.  With its electoral position now secure, and the 
opposition disarray providing some respite (see reftel E), 
the FNM government is now in a position to make even more 
progress on its own and USG priorities in the year ahead. 
HARDT