## The Bahamas: Selected Issues

_IMF Staff Country Reports, January 17, 2025_

## Source details

**Canonical URL:** [The Bahamas: Selected Issues](https://www.imf.org/en/publications/cr/issues/2025/01/17/the-bahamas-selected-issues-561023)

## Other formats

- [Markdown version](/en/publications/cr/issues/2025/01/17/the-bahamas-selected-issues-561023/index.md)
- [Structured JSON version](/en/publications/cr/issues/2025/01/17/the-bahamas-selected-issues-561023/index.json)
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## Bibliographic details
- Published: January 17, 2025
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798400299414.002

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### Analytical approach and data
- A fundamentals-based model is estimated using data on emerging market economies to analyze Bahamian sovereign spreads.
- The analysis links changes in The Bahamas’ sovereign rating with movements in Bahamian sovereign spreads.
- Time references in the analysis: spreads declined since late 2022 and, by 2024, were aligned with peer economies and the model-implied spread.
- Publication metadata:
  - Pages: 42
  - Volume: 2025
  - Issue: 009
  - Series: Country Report No. 2025/009
  - DOI: https://doi.org/10.5089/9798400299414.002
  - Stock No: 1BHSEA2025002
  - ISBN: 9798400299414
  - ISSN: 1934-7685
  - Publication date: January 17, 2025

### Key empirical findings
- Changes in The Bahamas’ sovereign rating correspond closely with significant movements in Bahamian sovereign spreads.
- Bahamian sovereign spreads have declined since late 2022 and, by 2024, are aligned both with peer economies and the model-implied spread.
- Determinants of spreads:
  - Both domestic covariates and global covariates are important determinants of spreads.
  - A sizeable effect on spreads comes from the interaction of global risk aversion and a country’s risk rating.
  - Inclusion in the Market Bond Index Global index Emerging is a significant driver for emerging markets.
- Quantified impact of index inclusion:
  - The spreads in The Bahamas would have compressed by 56 basis points compared to other countries with similar fundamentals if the archipelago were included in this index.

### Thematic coverage and keywords
- Subjects covered: Climate change, Commodities, Electricity, Environment, Housing, National accounts, Natural disasters.
- Keywords used in the report: alleviating supply constraint, Caribbean, Climate change, climate change risk, Electricity, Global, Housing, housing affordability, housing affordability in The bahamas, IMF staff calculation, Natural disasters, quantifying climate.

*International Monetary Fund. Western Hemisphere Dept. "The Bahamas: Selected Issues", IMF Staff Country Reports 2025, 009 (2025).*

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## Content in this bundle

- **The Bahamas: Selected Issues; IMF Country Report No. 25/9; December 16, 2024**
  - [The Bahamas: Selected Issues; IMF Country Report No. 25/9; December 16, 2024 (Markdown version)](/-/media/files/publications/cr/2025/english/1bhsea2025002-print-pdf.pdf.md){rel="alternate" type="text/markdown"}
  - [The Bahamas: Selected Issues; IMF Country Report No. 25/9; December 16, 2024 (PDF)](/-/media/files/publications/cr/2025/english/1bhsea2025002-print-pdf.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/cr/issues/2025/01/17/the-bahamas-selected-issues-561023_