REVIEW OF THE ECONOMY 2013
13
SUSTAINING GROWTH, SECURING PROSPERITY
decline with Antigua and Barbuda leading with a
positive growth rate of 1.6 percent.
In fiscal 2012, weak demand and output gaps
led to lowered inflation rates in many territories
including Antigua and Barbuda, Grenada,
St. Kitts and Nevis and St. Vincent and the
Grenadines. In particular, there was a notable
decrease in Barbados’ inflation rate which
moved from 9.5 percent in 2011 to 1.2 percent
in 2012.
Notwithstanding the sluggish economic activity
of the Region, a balance of payments surplus
was achieved in Guyana, where a larger capital
account surplus offset the current account
deficit. The capital account surplus emanated
from higher inflows to the non-financial public
sector and greater levels of foreign direct
investment. Jamaica, meanwhile, achieved
some improvement in its balance of payments
due to a reduction in imports.
BARBADOS
Subdued tourism, coupled with declines
in manufacturing, agricultural and other
real sector activities adversely affected the
ECONOMIC PERFORMANCE OF
CARICOM STATES
Introduction
Barbados
Jamaica
Guyana
ECCU Countries
INTRODUCTION
Persistent volatility and lethargic growth in the
advanced economies diffused low and negative
growth rates in the Caribbean economies
1
. High
debt levels, weak competitiveness and subdued
tourismfurther constrictedeconomies’recovery
efforts. Growth in commodity exporters
such as Trinidad and Tobago, Belize, Guyana
and Suriname was more robust, averaging
3.5 percent in 2012 while growth in tourism-
dependent economies faltered to under 0.5
percent in 2012.
Negative growth rates afflicted several nations of
theECCU
2
,resultinginanoverallflatperformance
in 2012 which represented an improvement
from a decrease of 0.5 percent recorded in 2011.
This flat performance resulted from economic
activity remaining subdued, mirroring a less
than favourable external environment, limited
fiscal space and some discretionary policy
tightening. However, the pace of contraction
decelerated after four consecutive years of
1
Aruba, The Bahamas, Barbados, Belize, ECCU, Guyana,
Haiti, Jamaica, Suriname, Trinidad and Tobago, Curacao and
Sint Maarten.
2
Antigua and Barbuda, Dominica, Grenada, St. Kitts and
Nevis, St. Lucia and St. Vincent and the Grenadines.
ECONOMIC PERFORMANCE OF CARICOM STATES
