Barbados experiences 1.4% growth amidst tourism rebound – CARICOM Business

Following a modest economic recovery in 2021, Barbados continues to face economic challenges owing to the global pandemic.

That’s the word from the IMF at the conclusion of a February 7 – 11, virtual staff visit. According to mission lead Bert Van Selm, “the ongoing COVID-19 pandemic continues to pose economic challenges to Barbados. Tourism has
rebounded in recent months, leading to real GDP growth of 1.4 % for 2021, and 11½% in Q4 2021 (over the same quarter in 2020). A gradual economic recovery is expected over the medium term, but risks to the outlook remain high.”

All indicative targets for end-December under the EFF were met with International reserves increasing to US$1.5 billion.

Barbados recorded a small (½% of GDP) primary surplus over the first 3 quarters of FY2021/22, which bodes well for meeting the primary balance target (minus 1% of GDP) for the full fiscal year. The IMF also commended the “strong steps” made in implementing structural reforms, highlighting
the Fair Credit Reporting Act and the issuance of regulations for a procedural fiscal rule in December among others.

Extract from the CARICOM BUSINESS Newsletter, Vol 5 No. 5

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Source: CARICOM TODAY