Bahamas Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in bahamas, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
Select Country Guide
Selling to the Public Sector
Last published date:

Selling to the Government

In March 2023, the government repealed and replaced the Public Procurement Act, 2021, arguing that the previous legislation produced unintended public policy consequences, most notably biasing the granting of contracts to large vendors. The government contends that the new Public Procurement Act, 2023 allows preferential treatment for targeted groups such as SMEs, women-owned businesses, youth-owned businesses, and businesses operating on less developed islands. Preferences are also available for high-priority areas that diversify the Bahamian economy, such as niche-tourism, renewable energy, light manufacturing, digital assets and fintech, technology, agriculture, fisheries, and extractive industries.  The new legislation requires international bidders to register with the Public Procurement Department.  International bidders must receive approval to bid on lower value contracts.

The new procurement legislation is supported by an eProcurement and Supplies Registry  System and an eProcurement platform  launched in October 2022 that will serve as a clearing house for $785 million in government contracts budgeted for FY2022/2023.  The administration contends the procurement platform will address complaints about transparency in the tendering process, allowing companies to track their bids and inquire about outcomes.

The government has also committed to procurement rules under the terms of its membership in the Economic Partnership Agreement with the European Union and the Economic Partnership Agreement with the United Kingdom but is not yet a party to the WTO and the WTO Government Procurement Agreement (GPA). 

Businesses intending to market goods or services to the Bahamian government are advised to seek the advice of the U.S. Embassy at an early stage.  Embassy Nassau is often aware of procurement opportunities and will distribute updates via the Department of Commerce.  Companies should ensure they are in regular contact with the Department of Commerce and their contact information is up to date.

U.S. companies bidding on foreign government tenders may also qualify for U.S. Government advocacy. Within the U.S. Commerce Department’s International Trade Administration, the Advocacy Center coordinates U.S. Government interagency advocacy efforts on behalf of U.S. exporters in competition with foreign firms in foreign government projects or procurement opportunities.  The Advocacy Center works closely with our network of the U.S. Commercial Service worldwide and inter-agency partners to ensure that exporters of U.S. products and services have the best possible chance of winning government contracts. Advocacy assistance can take many forms but often involves the U.S. Embassy or other U.S. Government agency officials expressing support for the U.S. exporters directly to the foreign government.  Consult Advocacy for Foreign Government Contracts for additional information.

Financing of Projects

Overview

The Bahamian government requires potential investors to have financing in place when applying for approval of project development or investment in The Bahamas.  Projects can be financed by private and debt equity; bank loans; retained earnings; development bank financing; international private capital; bonds and bilateral and multilateral loans, and grants.  Local banks will provide financing to U.S business clients after stringent due diligence.

EXIM Bank

The U.S. Export-Import Bank supports U.S. exports through export credit insurance, guarantees, and loans.  The government of The Bahamas can seek an EXIM line of credit to support investments.

Bahamian government or funding from regional Development Banks

The national social security program, the National Insurance Board, and international lending agencies such the Inter-American Development Bank (IDB) and the Caribbean Development Bank have financed projects in The Bahamas over the past 20 years.

Multilateral Development Banks and Financing Government Sales

Many government-financed public works projects are facilitated through borrowing from Multilateral Development Banks (MDB).  A helpful guide for working with the MDBs is the Guide to Doing Business with the Multilateral Development Banks.  The U.S. Department of Commerce’s (USDOC) International Trade Administration (ITA) has a Foreign Commercial Service Officer stationed at each of the five different Multilateral Development Banks (MDBs): the African Development Bank; the Asian Development Bank; the European Bank for Reconstruction and Development; the Inter-American Development Bank; and the World Bank.  Learn more by contacting the Advocacy Liaison for World Bank or the Advocacy Liaison Website for Inter-American Development Bank (IDB)

×

Global Business Navigator Chatbot Beta

Welcome to the Global Business Navigator, an artificial intelligence (AI) Chatbot from the International Trade Administration (ITA). This tool, currently in beta version testing, is designed to provide general information on the exporting process and the resources available to assist new and experienced U.S. exporters. The Chatbot, developed using Microsoft’s Azure AI services, is trained on ITA’s export-related content and aims to quickly get users the information they need. The Chatbot is intended to make the benefits of exporting more accessible by understanding non-expert language, idiomatic expressions, and foreign languages.

Limitations

As a beta product, the Chatbot is currently being tested and its responses may occasionally produce inaccurate or incomplete information. The Chatbot is trained to decline out of scope or inappropriate requests. The Chatbot’s knowledge is limited to the public information on the Export Solutions web pages of Trade.gov, which covers a wide range of topics on exporting. While it cannot provide responses specific to a company’s product or a specific foreign market, its reference pages will guide you to other relevant government resources and market research. Always double-check the Chatbot’s responses using the provided references or by visiting the Export Solutions web pages on Trade.gov. Do not use its responses as legal or professional advice. Inaccurate advice from the Chatbot would not be a defense to violating any export rules or regulations.

Privacy

The Chatbot does not collect information about users and does not use the contents of users’ chat history to learn new information. All feedback is anonymous. Please do not enter personally identifiable information (PII), sensitive, or proprietary information into the Chatbot. Your conversations will not be connected to other interactions or accounts with ITA. Conversations with the Chatbot may be reviewed to help ITA improve the tool and address harmful, illegal, or otherwise inappropriate questions.

Translation

The Chatbot supports a wide range of languages. Because the Chatbot is trained in English and responses are translated, you should verify the translation. For example, the Chatbot may have difficulty with acronyms, abbreviations, and nuances in a language other than English.

Privacy Program | Information Quality Guidelines | Accessibility