Barbados maintained its economic growth momentum in the first quarter, with real gross domestic product expanding by an estimated 2.6 percent.
Central Bank of Barbados Governor Dr. Kevin Greenidge reported this today during a press conference to review the economy’s performance in the between January and March.
He attributed the growth to “strong performances in tourism, business services and construction”.
Greenidge said that inflation continued its downward trend despite elevated global trade tensions.
Unemployment claims, as reported by the National Insurance and Social Security Service, fell during January and February, but temporary hotel closures in March, linked to major renovation projects, reversed this gain, he noted.
Unemployment was 7.1 per cent at the end of last September, the Central Bank is awaiting most recent labour market data from the Barbados Statistical Service.
Greenidge said the continued economic growth was beneficial for the fiscal situation, which “contributed to a further reduction in the debt-to-GDP ratio”.
The gross international reserves also received a boost, growing $194.6 million to reach $3.4 billion at the end of March . This is equivalent to 32.4 weeks of import cover.
The Central Bank has lowered the full 2025 growth forecast from three per cent to 2.7 per cent on the basis of “weaker global conditions and ongoing trade tensions”. (SC)
