Ian D. Fair has been involved in the financial services industry in The Bahamas since 1969. He is currently deputy chairman of Butterfield Bank (Bahamas) Limited and chairman of Bahamas First Holdings Limited, the largest general insurer in The Bahamas. He was also the founding chairman of The Bahamas Financial Services Board (BFSB) from April 1998 until September 2002, and is the chairman of the Bahamas International Securities Exchange Limited (BISX) and The Bahamas Maritime Authority (BMA).
Mr. Fair's previous work experience was as chairman of MeesPierson (Bahamas) which he helped found in The Bahamas from 1987 until 2003, managing director of Deltec Panamerica Trust Company Limited from 1980-87 and with The Bank of Nova Scotia Trust Company (Bahamas) Limited from 1969 to 1980 and 2003 to 2006.
Guardian Business: What is the biggest challenge facing your business or sector? What measures need to be taken in The Bahamas to solve it? Ian: There are two principal challenges facing the global maritime industry. Firstly, the regulation of greenhouse gasses being emitted by ships. The Bahamas has developed and submitted to the International Maritime Organisation (IMO) a proposal for mandatory CO2 emission reductions from all ships instead of a market based measure (MBM).
MBM's work through the imposition of a financial measure which aims to alter behavior through making the emission of CO2 more expensive. Many countries oppose this approach. The Bahamas' position for efficiency measures, which has strong support, is that this can achieve the desired objective of the reduction of CO2 emissions.
Secondly, the scourge of piracy and hostage taking is having a profound effect on shipping and is of great concern. The Bahamas has had two of its registered ships hijacked and a number attacked without being taken. The Bahamas reluctantly and with prior permission, allows the carriage of armed guards on board our registered ships and these measures have proved most effective in preventing hijacking.
The Bahamas Maritime Authority has been taking an active part in meetings of the Maritime Piracy Humanitarian Response Programme, a cross industry support group. The measures being discussed will place an obligation on the Flag States, however the welfare and safety of seafarers is of the utmost importance. When one bears in mind that over 90 percent of the world's trade goes by ship and this is very unlikely to change in the near future, solutions simply have to be found to these two critical challenges.
GB: How has your business or sector changed since the financial crisis? Ian: The financial crisis has certainly had an effect in distorting financing arrangements. However, world trade continues at a fairly brisk pace. Whilst there has been a slowdown in the so-called developed world, the slack has been taken up by the developing world, which is now taking a greater share of overall world trade and activity. This is being led by the so called BRIC countries, Brazil, Russia, India and China, amongst others. There has been a significant increase in the shipment of raw materials, such as oil, natural gas, iron ore and coal, to and from China, Brazil, the Middle East and Australia in particular.
GB: Can you describe a life experience that changed how you approach your work today?
Coming to the Bahamas in 1969 at the age of 21, finding my Bahamian wife and settling down here. My initial career was focused on trust and wealth management. I was fortunate to have a number of very wealthy clients from many parts of the world. I was therefore fortunate to be able to study the characteristics and traits which made them successful, such as being very focused, hard working, always willing to go the extra mile to achieve a desired objective and being extremely detail oriented. These skills, which are highly transferable, should stand anyone in good stead for their entire career.
GB: What are you currently reading?
Ian: "The Economist-The World in 2012". This is a must read if you want a balanced view of where we are today and what we might expect in the future. You might not agree with all that they say, but it certainly makes you think. Also, "Great by Choice", by Jim Collins, one of the world's most highly regarded management gurus. He also wrote "Good to be Great"
another excellent book on understanding how the best companies in the world operate and how they reached such prominent positions.
GB: Has the high cost of energy hurt your business?
Ian: Not to any great extent, so far. It is a process that has to be managed, but what it has done is to put focus on energy saving and alternate means.
GB: What makes a great boss? What makes a bad boss?
Ian: Someone who leads by example and is willing to listen. Also, someone who motivates and is open to new ideas. A bad boss is someone who thinks they know everything and rules by intimidation.
GB: If you could change one thing concerning business in The Bahamas, what would it be?
Ian: We certainly need to keep the focus on improving our standard of education. We are not alone in this regard, but if you look at countries that have made great strides in this area, and here take a look at Singapore and the Scandinavian countries as stand out examples; they are outpacing the others, especially in the areas of math and sciences. Many of the world's most successful people have an engineering background. Further, not everyone needs to be or is destined for university. So, we need to encourage a much greater level of vocational training. There are a number of successful plumbers, electricians, masons and carpenters, who are making a good living, but there is room for more.
GB: What keeps you grounded?
Ian: Without any doubt my wife and three daughters keep my feet very firmly on the ground.
GB: What should young businesses keep in mind in this current economic climate to survive?
Ian: Hard work and perseverance matter more often than sheer genius. Being extremely detail oriented; keeping debt to a minimum; remembering that there are two ways to make a profit; creating a dollar of income or saving a dollar of expense. Cost control is essential. If you are in the service business, and most of us are in The Bahamas in one form or another, understanding that the client is all important.
GB: How would you describe or classify the ease of doing business in The Bahamas?
Ian: One of the great advantages of The Bahamas is our size. Being small it is much easier to establish contacts at all levels, thus making business networking more efficient.
Click here to read more at The Nassau Guardian
