IMF reporting a strong rebound in B’dos’ economy

The IMF is reporting a strong rebound in the Barbados economy in its latest Article IV consultation.

The fund says the island has been able to weather a number of international shocks largely led by a recovery in the tourism sector.

The news comes as the International Monetary Fund completed its second review of the extended fund facility and the resilience sustainability facility arrangments.

The completion of the reviews allows Barbados to draw the equivalent of US$19 million under the  Extended Fund Facility and US$57 million under the Resilience and Sustainability Facility arrangement.

The IMF observed that Barbados continues to advance its Economic Reform Programme and the economy has weathered the COVID-19 pandemic and other recent shocks well and macro-economic stability has been preserved.

Economic activity has recovered strongly, with ten consecutive quarters of growth, driven by a rebound in tourism and after a 13.8% rebound last year, real GDP is projected to expand by 4.5% this year.

The fund said inflation had fallen to 4.3% and the country continues to advance the implementation of its Economic Reform Programme and climate agenda policy.

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