Increased tourism combined with a rise in foreign direct investment (FDI) is helping to sustain The Bahamas economy, according to the latest report from The Central Bank of The Bahamas.
Despite anemic economic conditions worldwide, The Bahamas has shown sustained growth in the first half of 2011, in part due to an increase in foreign investment, which includes the government’s sale of its 51 per cent stake in the Bahamas Telecommunications Company in April.
Investment in public infrastructure is also a contributing factor, with related spending reaching $12.2 million, according to the Central Bank’s Monthly Economic and Financial Developments Report for June 2011.
Growth was also seen in the tourism sector in the early part of the year, as it benefitted from an increase in stopover visitors and higher hotel revenues. In April 2011, air arrivals increased by 2.8 per cent, while the number of sea visitors rose 19.2 per cent.
According to the Central Bank report: “Amid an improved outlook for tourism output and foreign investment activity, the recovery in the domestic economy is expected to be maintained over the remainder of the year.”
Download a PDF of the Central Bank’s Monthly Economic and Financial Developments Report June 2011 here.