By INDERIA SAUNDERS, Guardian Business Desk, Inderia@nasguard.com

The Grand Bahama Port Authority sale just got a little more interesting yesterday, with Prime Minister Hubert Ingraham announcing the government's interest in buying the private company from its feuding owners.

"The government of The Bahamas is willing to buy the Port Authority and get Grand Bahama moving again," he said during the 2008/09 Budget debate on Wednesday.

The news comes as interested buyer Roddy Fleming, a UK banker, is already attempting to clinch that very same deal, but has been stalled by the ongoing legal proceedings involved in the ownership dispute between Port Authority owners Sir Jack Hayward and the estate of the late Edward St. George. It is an outcome that many on the northern island have been anxiously awaiting for around 18 months now, amid concerns about the legal battle's affect on the daily management of the company spreading across the country.

However, Prime Minister Ingraham removed all doubt about its effect on the island, admitting that the continued warring of the principals was indeed further demoralizing the business climate in Freeport and around Grand Bahama.

"I've indicated to one of the principal shareholders of the Port Authority, Sir Jack Hayward, [that] the government of The Bahamas can't wait very much longer for them to settle their dispute and the government is willing to buy the Port Authority," Ingraham said. "We can't wait for indefinite periods for them to settle their differences."

State Minister for Finance Zhivargo Laing agreed with Ingraham, saying the conditions at the port were currently not conducive to growth and development.

He said, "If it is required to bring that to an end, that the government acquires the Port Authority, then the government is prepared to do that."

The legal melodrama has increased calls for the Ingraham administration to refocus its attention on Grand Bahama, which hasn't yet seen the economic boom to tourism arrivals. Many residents of the island told Guardian Business how the International Bazaar district - once the thriving hub of the island's tourist trade - has seen nearly 80 percent of its businesses permanently close their doors, as hard times came knocking, and all just over a five-year period.

However, Prime Minister Ingraham said the government was trying to provide a much-needed kick start to the Grand Bahama economy.

"This budget provides the stimulus to restart Grand Bahama's economy, beginning in the construction sector, particularly in the residential area, [and] the construction of a major government complex in Grand Bahama would also help to spur some economic activity," he asserted. "We remain focused on bringing other investments to fruition on that island over the course of the next 12 months, growing the economy and creating reliable jobs."

Whether or not the government's offer to purchase the port is indeed the answer to many of Freeport's economic woes remains to be seen. Laing told reporters that the government was prepared to pay the going price for the port. It is now valued at more than $200 million.