Caribbean economies expected to grow in 2020, says IMF

Director of the IMF’s Western Hemisphere Department, Alejandro Werner, believes the Caribbean economies will improve this year.

The International Monetary Fund (IMF) on Wednesday said economic prospects are improving for the Caribbean but with substantial variation across countries.

The Director of the IMF’s Western Hemisphere Department, Alejandro Werner, told a news conference that growth in tourism-dependent economies is expected to strengthen in 2020.

“Further tightening is needed in others to ensure debt sustainability.”

— Werner

“With commodity prices remaining broadly stable, commodity exporters are expected to see modest recovery in growth, while large oil discoveries and the start of their production in 2020 is expected to boost growth in Guyana.”

Speaking on the theme ‘Outlook for Latin America and the Caribbean: New Challenges to Growth’, he said that the region’s exposure to climate risks continues to require strong policies.

“Potential growth continues to be impeded by lingering structural problems, including high public debt, weaker financial systems, high unemployment, and vulnerability to commodity and climate-related shocks.

“Some countries have started to strengthen their fiscal positions, but further tightening is needed in others to ensure debt sustainability,” Werner said.