Turnpage

Please visit our sponsors

RSS Feed
 

Current News & Press

 

Advertisement

The Bahamas Investor

News & Press Archives

 
The Bahamas Investor on facebookFollow The Bahamas Investor on TwitterSubscribe to RSS feeds from The Bahamas Investor
HOME > 
News & Press > 
DPM: Bahamas to see moderate economic growth

During his contribution to the 2017/18 Mid-Year Budget Debate yesterday, Deputy Prime Minister and Minister of Finance Peter Turnquest said that the International Monetary Fund's decision to upgrade its forecast for economic growth in The Bahamas is in line with the brighter economic outlook globally and especially in the US. 

Source:
Date:
Updated:
TheBahamasInvestor.com
Thursday, March 8, 2018
Thursday, March 8, 2018

Deputy Prime Minister and Minister of Finance Peter Turnquest has said that the International Monetary Fund has marked up its forecast for economic growth in The Bahamas in line with the brighter economic outlook globally and especially in the US.

“Real growth in 2018 is now forecast at 2.5 per cent, up from 2.2 per cent at the time of the last budget.”


“For 2019, the forecast calls for growth on the order of 2.2 per cent,” the DPM said during his contribution to the 2017/18 Mid-Year Budget Debate in the House of Assembly, March 7, 2018.

He said this outlook reflects projected modest growth in tourism sector output, due in part to the sustained improvement in key source markets and in light of the multi-billion Baha Mar resort becoming fully operational.

In addition, DPM Turnquest said construction activity should be supported by a number of varied-scale foreign investment projects in both the capital and the Family Islands.

“In this environment, employment conditions are expected to continue to gradually improve while inflationary pressures should continue to be well contained over the near-term, as international oil prices remain relatively low.”

He said as for monetary sector developments, The Central Bank of The Bahamas expects continued high levels of bank liquidity to be a dominant feature.

“Credit conditions are likely to remain subdued, while bank arrears and non-performing loans should continue their downward trajectory, underpinned mainly by additional asset sales and ongoing loan recovery efforts.”

The DPM said further, banks are projected to stay highly capitalised, thereby mitigating any threats to financial sector stability.

He also noted that developments in respect of external reserves are expected to depend heavily on factors such as the performance of foreign exchange earning sectors, international crude oil price developments and the government’s financing activities.

DPM Turnquest added: “However, external reserve indicators are likely to remain above international benchmarks during the year. At the end of January, external reserves totalled $1,460.5 million, equivalent to 5.5 months of total merchandise imports and well above the benchmark of three months.”

Indications are that the domestic economy sustained its modest improvement in January, reflecting the strengthening in tourism sector output, combined with foreign investment-led construction activity, according to The Central Bank of The Bahamas’ Monthly Economic and Financial Developments report for January 2018.

Airports Council International World has announced the winners of its 2017 Airport Service Quality Awards, with Lynden Pindling International Airport earning a third-place tied ranking for Best Airport serving more than two million passengers per year in the Latin America-Caribbean region.

The Bahamas Investor
Administrative Links
  


  © 2018 ETIENNE DUPUCH JR PUBLICATIONS LTD