Under the agreement, Carnival Corporation will develop a new cruise port primarily for subsidiary Carnival Cruise Line on Grand Bahama. It will also carry out construction work, including a new pier, on the Bahamian island of Little San Salvador, home to subsidiary Holland America Line's Half Moon Cay port.
The Grand Bahama project will represent an investment of over US$100m (£81m) and the development on Little San Salvador will be an estimated US$80m (£65m) investment over time.
Prime minister Hubert Minnis said: “We are very pleased to announce that Carnival Corporation's projects in the Bahamas are full speed ahead. These developments and the significant investment in world-class tourism and hospitality operations are such a boon for our initiatives for national prosperity and economic stability.”
Once environmental and other permitting processes are completed, construction for both projects is projected to start by mid-2020. The projects are expected to play an important role in the country's recovery from the recent impact of Hurricane Dorian. As part of the development, Carnival Corporation's plans include construction parameters that are designed to meet or exceed guidelines for being able to mostly withstand the impact of a Category 5 hurricane.
Giora Israel, senior vice president of global port and destination development for Carnival Corporation, said: "In the aftermath of Hurricane Dorian, there is poignancy with the timing of today's agreement, and as we prepare for the pre-construction phase of these projects to begin early next year, they will provide jobs and a major boost to the recovery and rebuilding effort. At the same time, it is important to point out that much of the Bahamas experienced little impact from the storm. In fact, three of our brands – Carnival Cruise Line, Holland America Line and Princess Cruises – announced two weeks ago that they are resuming regular sailings to Nassau, Half Moon Cay and Princess Cays this and next month, which is great news for the country.”