Taino people moved into the uninhabited southern Bahamas from Hispaniola and Cuba around the 11th century AD. These people came to be known as the Lucayans. There were an estimated 30,000+ Lucayans at the time of Columbus's arrival in 1492. Christopher Columbus's first landfall in the New World was on an island named San Salvador (known to the Lucayans as Guanahani), which is generally accepted to be present-day San Salvador Island, (also known as Watling's Island) in the southeastern Bahamas.
An alternative theory holds that Columbus landed to the southeast on Samana Cay, according to calculations made in 1986 by National Geographic writer and editor Joseph Judge based on Columbus's log. Evidence in support of this remains inconclusive. On the landfall island, Columbus made first contact with the Lucayans and exchanged goods with them.
The Lucayans throughout The Bahamas were wiped out as a result of Spanish forced migration of the population to Hispaniola for use as forced labour there, and exposure to diseases to which they had no immunity. The smallpox that ravaged the Taino Indians after Columbus's arrival wiped out half of the population in what is now The Bahamas.
It is generally assumed that the islands were uninhabited by Europeans until the mid-17th century. However, recent research suggests that there may have been attempts to settle the islands by groups from Spain, France, and Britain, as well as by other Amerindians. In 1648, the Eleutherian Adventurers migrated from Bermuda. These English Puritans established the first permanent European settlement on an island which they named Eleuthera—the name derives from the Greek word for freedom. They later settled New Providence, naming it Sayle's Island after one of their leaders. To survive, the settlers resorted to salvaged goods from wrecks.
In 1670 King Charles II granted the islands to the Lords Proprietors of the Carolinas, who rented the islands from the king with rights of trading, tax, appointing governors, and administering the country. In 1684 Spain's corsair Juan de Alcon raided the capital Charles Town, and in 1703 a joint Franco-Spanish expedition briefly occupied the Bahamian capital during the War of the Spanish Succession.
The closest island to the United States is Bimini, which is also known as the gateway to The Bahamas. The island of Abaco is to the east of Grand Bahama. The southeasternmost island is Inagua. The largest island is Andros Island. Other inhabited islands include Eleuthera, Cat Island, Long Island, San Salvador Island, Acklins, Crooked Island, Exuma and Mayaguana. Nassau, capital city of The Bahamas, lies on the island of New Providence.
All the islands are low and flat, with ridges that usually rise no more than 15 to 20 m (49 to 66 ft). The highest point in the country is Mount Alvernia, formerly called Como Hill, which has an altitude of 63 metres on Cat Island.
To the southeast, the Turks and Caicos Islands, and three more extensive submarine features called Mouchoir Bank, Silver Bank, and Navidad Bank, are geographically a continuation of The Bahamas, but not part of the Commonwealth of The Bahamas.
The climate of The Bahamas is subtropical to tropical, and is moderated significantly by the waters of the Gulf Stream, particularly in winter. Conversely, this often proves very dangerous in the summer and autumn, when hurricanes pass near or through the islands. Hurricane Andrew hit the northern islands during the 1992 Atlantic hurricane season, and Hurricane Floyd hit most of the islands during the 1999 Atlantic hurricane season.
While there has never been a freeze reported in The Bahamas, the temperature can fall as low as 2–3 °C (35.6–37.4 °F) during Arctic outbreaks that affect nearby Florida. Snow was reported to have mixed with rain in Freeport in January 1977, the same time that it snowed in the Miami area. The temperature was about 4.5 °C (40.1 °F) at the time.
The Bahamas is a sovereign independent nation. Political and legal traditions closely follow those of the United Kingdom and the Westminster system. The Bahamas is a parliamentary democracy with two main parties, the Free National Movement and the Progressive Liberal Party.
Tourism generates about half of all jobs, but the number of visitors has dropped significantly since the beginning of the global economic downturn during the last quarter of 2008. Banking and international financial services also have contracted, and The Bahamas is one of 34 secrecy jurisdictions that would be subject to the Stop Tax Haven Abuse Act introduced in the U.S. Congress.
The Bahamas is a member of the Commonwealth of Nations, and a Commonwealth realm with Queen Elizabeth II as head of state (represented by a Governor-General).
Legislative power is vested in a bicameral parliament, which consists of a 41-member House of Assembly (the lower house), with members elected from single-member districts, and a 16-member Senate, with members appointed by the governor-general, including nine on the advice of the prime minister, four on the advice of the leader of the opposition, and three on the advice of the prime minister after consultation with the leader of the opposition. The House of Assembly carries out all major legislative functions. As under the Westminster system, the prime minister may dissolve parliament and call a general election at any time within a five-year term.
The Prime Minister is the head of government and is the leader of the party with the most seats in the House of Assembly. Executive power is exercised by the cabinet, selected by the prime minister and drawn from his supporters in the House of Assembly. The current governor-general is Sir Arthur Foulkes and the current Prime Minister is Hubert Ingraham.
The Bahamas has a largely two-party system dominated by the centre-left Progressive Liberal Party and the centre-right Free National Movement. A handful of splinter parties have been unable to win election to parliament. These parties have included the Bahamas Democratic Movement, the Coalition for Democratic Reform and the Bahamian Nationalist Party.
Constitutional safeguards include freedom of speech, press, worship, movement, and association. Although The Bahamas is not geographically located in the Caribbean, it is a member of the Caribbean Community. The judiciary is independent of the executive and the legislature. Jurisprudence is based on English law.
The districts of The Bahamas provide a system of local government everywhere except New Providence, whose affairs are handled directly by the central government. In 1996, the Bahamian Parliament passed "The Local Government Act" to facilitate the establishment of Family Island Administrators, Local Government Districts, Local District Councillors, and Local Town Committees for the various island communities. The overall goal of this act is to allow the various elected leaders to govern and oversee the affairs of their respective districts without the interference of Central Government. In total, there are 32 districts, with elections being held every three years. There are also one hundred and ten Councillors and two hundred and eighty-one Town Committee members to correspond with the various districts.
Each Councillor or Town Committee member is responsible for the proper use of public funds for the maintenance and development of their constituency.
The Bahamas does not have an army or an air force. Its military is composed of the Royal Bahamas Defence Force (RBDF), the navy of The Bahamas. Under The Defence Act, the Royal Bahamas Defence Force has been mandated to defend The Bahamas, protect its territorial integrity, patrol its waters, provide assistance and relief in times of disaster, maintain order in conjunction with the law enforcement agencies of The Bahamas, and carry out any such duties as determined by the National Security Council. The Defence Force is also a member of Caricom's Regional Security Task Force.
The colours embodied in the design of the Bahamian flag symbolise the image and aspirations of the people of The Bahamas; the design reflects aspects of the natural environment (sun, sand, and sea) and the economic and social development. The flag is a black equilateral triangle against the mast, superimposed on a horizontal background made up of two colours on three equal stripes of aquamarine, gold and aquamarine.
The symbolism of the flag is as follows: Black, a strong colour, represents the vigour and force of a united people, the triangle pointing towards the body of the flag represents the enterprise and determination of the Bahamian people to develop and possess the rich resources of sun and sea symbolized by gold and aquamarine respectively. In reference to the representation of the people with the colour black, some white Bahamians have joked that they are represented in the thread which "holds it all together."
The Coat of Arms of The Bahamas contains a shield with the national symbols as its focal point. The shield is supported by a marlin and a flamingo, which are the national animals of The Bahamas. The flamingo is located on the land, and the marlin on the sea, indicating the geography of the islands.
On top of the shield is a conch shell, which represents the varied marine life of the island chain. The conch shell rests on a helmet. Below this is the actual shield, the main symbol of which is a ship representing the Santa María of Christopher Columbus, shown sailing beneath the sun. Along the bottom, below the shield appears a banner upon which is scripted the national motto:"Forward, Upward, Onward Together."
One of the most prosperous countries in the Caribbean region, The Bahamas relies on tourism to generate most of its economic activity. Tourism as an industry not only accounts for over 60 percent of the Bahamian GDP, but provides jobs for more than half the country's workforce. After tourism, the next most important economic sector is financial services, accounting for some 15 percent of GDP.
The government has adopted incentives to encourage foreign financial business, and further banking and finance reforms are in progress. The government plans to merge the regulatory functions of key financial institutions, including the Central Bank of The Bahamas (CBB) and the Securities and Exchange Commission. The Central Bank administers restrictions and controls on capital and money market instruments. The Bahamas International Securities Exchange currently consists of 19 listed public companies. Reflecting the relative soundness of the banking system (mostly populated by Canadian banks), the impact of the global financial crisis on the financial sector has been limited.
The economy has a very competitive tax regime. The government derives its revenue from import tariffs, license fees, property and stamp taxes, but there is no income tax, corporate tax, capital gains tax, value-added tax (VAT), or wealth tax. Payroll taxes fund social insurance benefits. In the most recent year, Overall tax revenue as a percentage of GDP is 21.8 percent. Authorities are trying to increase tax compliance and collection in the wake of the global crisis. Inflation has been moderate, averaging 3.7 percent between 2006 and 2008.
By the terms of GDP per capita, the Bahamas is the third richest country in the Americas (after the United States and Canada).
In the less developed outer islands, handicrafts include basketry made from palm fronds. This material, commonly called "straw", is plaited into hats and bags that are popular tourist items. Another use is for so-called "Voodoo dolls," even though such dolls are the result of the American imagination and not based on historic fact.
Although not practised by native Bahamians, a form of folk magic obeah derived from West African origins, is practiced in some Family Islands (out-islands) of The Bahamas due to Haitian migration. The practice of obeah is however illegal in The Bahamas and punishable by law. Junkanoo is a traditional African street parade of music, dance, and art held in Nassau (and a few other settlements) every Boxing Day, New Year's Day. Junkanoo is also used to celebrate other holidays and events such as Emancipation Day.
Regattas are important social events in many family island settlements. They usually feature one or more days of sailing by old-fashioned work boats, as well as an onshore festival.
Some settlements have festivals associated with the traditional crop or food of that area, such as the "Pineapple Fest" in Gregory Town, Eleuthera or the "Crab Fest" on Andros. Other significant traditions include story telling.