Donneldo Harris Of PYL Speaks On Moody’s Downgrade
Almost a week ago, the Tribune reported that Moody’s has once again placed the Bahamas on credit rating review. This brings about an important question; when do we as a nation decide what our worth is? On May 8th almost twelve years ago, Moody’s gave Lehman Brothers a AAA rating (which is the highest investment grade). Then merely four months later, on September 14, a day before the 2008 financial collapse, Moody’s downgraded Lehman Brothers to junk status. Due to the investment’s banks threatening the rating agencies with future business, credit ratings were manipulated.
Here we are facing the COVID-19 global pandemic whose financial fallout has been called by some the greatest global recession in modern history. The Bahamas Government should not concern itself about ratings when it decides policies. This is an emergency and all policies should be people centered.
Based on past experiences, Bahamian society giving these rating agencies control of our destiny is not a wise move. Moving forward, what we must grasp is that these foreign entities do not work in the interest of the Bahamian economy or its businesses.
Therefore, our biggest priority moving forward should be our citizens and our country not the rigorous, unrealistic and biased views of these credit rating agencies. This is not the time for our Government to remain tight pocket with funds. However, the time is now to inject money directly into the economy and into the pockets of Bahamians and their businesses to keep this country afloat.