NASSAU, Bahamas, CMC – The United States Ambassador to The Bahamas, Herschell Walker, is urging the government to reconsider its decision to proceed with a multi-million-dollar loan agreement for the construction of a new hospital in western New Providence.
“It would be better to look at other financing options that adhere to international norms. President Trump believes in fair deals that benefit both nations, and the United States is committed to being the economic and security partner of choice,” Walker said in a statement.
“We stand ready to work with The Bahamas to help secure a better deal, whether from private or public sources, to provide the healthcare infrastructure Bahamians deserve,” he added.
Earlier this week, Health and Wellness Minister, Dr. Michael Darville, confirmed that, as part of its loan agreement with China’s Export-Import Bank, there is a stipulation requiring a 50-50 Bahamian-to-foreign construction worker ratio.
But in his statement urging the government to reconsider the loan, Walker said “it doesn’t appear to be in the best interests of The Bahamas to submit to Chinese law and labour standards on their own soil”.
The United States Department of the Treasury Office of Foreign Assets Control placed the China Railway Construction Corporation on its list. Ltd., the main contractor for the planned hospital, is on its restricted investment list due to its links to China’s military-industrial complex.
Last year, the government signed an agreement to borrow US$195 million from the China Export-Import Bank to cover 73 per cent of the funding for the 200-bed hospital, with the remaining funds provided by the Ministry of Finance.
A feasibility study for the hospital, tabled in the House of Assembly this week, indicates that the Phillip Davis government is examining the possibility of financing public hospital or tertiary-level healthcare in the country through the introduction and levying of National Health Insurance (NHI) contributions.
The March 2025 report found that reliance on escalating taxpayer subsidies from the Public Hospitals Authority (PHA) was not viable. It stated that the annual “cumulative net cash flow” for the 50-acre Perpall Tract facility is unsustainable under the current economic model.
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