The Caribbean is Growing, Says CDB in its Regional Report and Economic Forecast for 2018-2019
Caribbean News Now March 27, 2019
BRIDGETOWN, Barbados – The Caribbean Development Bank (CDB) in its regional assessment and economic outlook report says that the Caribbean has grown a substantive rate over the last year nearly averaging some 1.8 percent, most of which is related to positive tourism growth and growth related to hurricane re-development efforts
Regional fiscal conditions were mixed; however, there was some positive news as the report said that Jamaica received credit rating upgrades from the significant rating agencies. Barbados received downgrades on its local currency rating, but this was upgraded again, following debt restructuring.
The median public debt burden region wide declined marginally from 67 percent of GDP in 2017 to 63 percent in 2018. Debt-to-GDP ratios fell in 13 borrowing member countries, and debt is still over 60 percent in 11 countries region wide.
The CDB also cautioned that while the majority of the countries region wide are ranked highly in the human development category, issues of persistent poverty; inequality; vulnerability; and the inability of the poor to sustainably improve their well-being remain consistent problems.
Unemployment improved in Jamaica, Cayman Islands and Grenada; however, the bank warned that the unemployment rate is still unacceptably high in several countries. The bank makes note that women have a higher unemployment rate than men region wide and youth unemployment is over 20 percent.
Moving forward for 2019 the CDB projects regional economic growth for nearly all its member countries, with an average rate of 2 percent, but does caution that growth depends on international growth trends and places further caution on the International Monetary Fund’s global growth decline for 2019 from 3.7 percent to 3.5 percent.
Out of this, the CDB projects that the Grenadian economy is expected to grow the fastest, thanks to increased activity in construction, tourism, agriculture and private education.
Increasing growth rates are projected for Guyana; Suriname; and Trinidad and Tobago, driven by developments in the energy sectors.
Growth will return in Anguilla and will continue in the British Virgin Islands and Dominica, as recovery from the 2017 hurricanes continues; and tourism development, construction agriculture and business services will drive growth in most other borrowing member countries.
BRIDGETOWN, Barbados – The Caribbean Development Bank (CDB) in its regional assessment and economic outlook report says that the Caribbean has grown a substantive rate over the last year nearly averaging some 1.8 percent, most of which is related to positive tourism growth and growth related to hurricane re-development efforts
Regional fiscal conditions were mixed; however, there was some positive news as the report said that Jamaica received credit rating upgrades from the significant rating agencies. Barbados received downgrades on its local currency rating, but this was upgraded again, following debt restructuring.
The median public debt burden region wide declined marginally from 67 percent of GDP in 2017 to 63 percent in 2018. Debt-to-GDP ratios fell in 13 borrowing member countries, and debt is still over 60 percent in 11 countries region wide.
The CDB also cautioned that while the majority of the countries region wide are ranked highly in the human development category, issues of persistent poverty; inequality; vulnerability; and the inability of the poor to sustainably improve their well-being remain consistent problems.
Unemployment improved in Jamaica, Cayman Islands and Grenada; however, the bank warned that the unemployment rate is still unacceptably high in several countries. The bank makes note that women have a higher unemployment rate than men region wide and youth unemployment is over 20 percent.
Moving forward for 2019 the CDB projects regional economic growth for nearly all its member countries, with an average rate of 2 percent, but does caution that growth depends on international growth trends and places further caution on the International Monetary Fund’s global growth decline for 2019 from 3.7 percent to 3.5 percent.
Out of this, the CDB projects that the Grenadian economy is expected to grow the fastest, thanks to increased activity in construction, tourism, agriculture and private education.
Increasing growth rates are projected for Guyana; Suriname; and Trinidad and Tobago, driven by developments in the energy sectors.
Growth will return in Anguilla and will continue in the British Virgin Islands and Dominica, as recovery from the 2017 hurricanes continues; and tourism development, construction agriculture and business services will drive growth in most other borrowing member countries.
