Jun 2016 Financial News

World Bank: TT growth after decline

Jun 08, 2016

THIS country and the rest of the Caribbean are expected to see growth in 2017 and 2018 following contractions in 2015 and 2016, according to the World Bank. In its June 2016 edition of the Global Economic Prospects (GEP), the World Bank indicated this country should see two percent growth in 2017 and 2.5 percent growth in 2018 after a two percent decline in 2015 and 2016.

The region is projected to gradually gain momentum to around two percent in 2018.

This forecast comes as the Bank downgrades its 2016 global growth estimate to 2.4 percent from the 2.9 percent pace projected in January because of sluggish growth in advanced economies, stubbornly low commodity prices, weak global trade, and diminishing capital flows.

In its report, the Bank said Latin America and the Caribbean were forecast to contract by 1.3 percent in 2016 after a 0.7 percent decline in 2015, the first back-toback years of recession in more than 30 years.

The Bank said despite strong tourism, growth in the Caribbean region will slow in 2016, representing a normalisation from a bumper year in 2015.

“Major tourism-associated construction is windin g down, and a number of Caribbean economies are pursuing fiscal consolidation to strengthen public finances and lower heavy public debt burdens,” the Bank stated.

Source:
Newsday
Wednesday June 8, 2016

http://www.newsday.co.tt/business/0,228909.html