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CDB: Caribbean Economies on the Rebound

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The majority of Caribbean economies are on the rebound says Director of Economics at the Caribbean Development Bank (CDB) Ian Durant.

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Speaking at the Bank’s Annual News Conference on February 20, 2024, the Bank’s chief economist stated that “CDB forecasts an average growth rate of 8.6% for its 19 Borrowing Member Countries in 2024, largely attributable to increased oil production in Guyana and the continued expansion of the tourism industry. Excluding Guyana, this growth projection falls to 2.3%, a moderation from the estimated growth of 2.5% in 2023, which aligns with the broader trends of slowing, below-average global growth and the ongoing normalisation of economic conditions in the Caribbean.”

Delivering a presentation focused on “Current and Future Requisites For Prosperity”,  Durant highlighted the mostly favourable performance of the Bank’s 19 Borrowing Members in 2023. However, he also indicated that Haiti remained the exception to the current trend owing to continued instability and high inflation.

The Economics Director also projected that the positive trajectory for 18 of the Bank’s 19 clients is anticipated to continue into 2024. “Despite having to navigate this challenging external environment, Caribbean economies continued to rebound from the COVID-19 shock, with an average growth rate of 6.7% in 2023.” Tourism remained a key driver of the regional economic performance, with service-exporting economies growing at an average of 2.4%. “These economies benefitted from robust demand from major source markets and by the end of 2023, 11 countries had overtaken pre-pandemic output levels.”

Although optimistic, the projections are susceptible to various risks including sluggish global growth, persistent high inflation, challenges linked to climate change, and natural disasters, which can all undermine economic performance. While citing this positive trajectory, and the regional financial institution’s commitment to providing more resources to enable greater resilience, he also identified some requisites for achieving resilient prosperity in the region.

The requirements included adequate, climate-resilient social and economic infrastructure, improving the institutional frameworks within which businesses operate, especially through digitalization and the adoption of artificial intelligence. The Economist also recommended expanding the human resource base and reducing skills gaps, enabling greater sustainable energy to boost energy security and reduce energy costs. In addition, he stressed the improvement of logistics quality to facilitate intra-regional trade, which can develop regional value chains, reduce import dependence, and enhance food security.

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Durant further advised governments that “at this juncture, the focus of fiscal policy is to strike the appropriate balance between securing fiscal sustainability and facilitating growth and development. Making the necessary investments in pursuit of resilient prosperity will require greater access to adequate and affordable financing, so as to not compromise debt sustainability efforts.”

He added, “Raising potential output and building economic resilience over the medium to long term will require reducing high export concentration by raising competitiveness through increased productivity and lower production costs.”

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REQUEST FOR EXPRESSIONS OF INTEREST

(CONSULTING SERVICES – INDIVIDUAL SELECTION)

 

OECS MSME Guarantee Facility Project

Loan No.: IDA-62670, IDA-62660, IDA-62640, IBRD-88830, IDA-62650

Assignment Title: Senior Operating Officer (SOO)

Reference No. KN-ECPCGC-207852-CS-INDV

 

The Governments of Antigua and Barbuda, Commonwealth of Dominica, Grenada, St. Lucia and St. Vincent and the Grenadines have received financing in the amount of US$10 million equivalent from the World Bank towards the cost of establishing a partial credit guarantee scheme, and they intend to apply part of the proceeds to payments for goods, and consulting services to be procured under this project. 

The consultant will serve as the “Senior Operating Officer (SOO)” for the ECPCGC and should possess extensive knowledge of MSME lending with some direct experience lending to Micro, small and medium-sized businesses, knowledge of the internal control processes necessary for a lending operation and the ability to design and implement risk mitigation procedures. The ideal candidate should possess an Undergraduate Degree from a reputable college or university, preferably in Business, Accounting, Banking or related field, with a minimum of 5 years’ experience in lending, inclusive of MSME lending. The initial employment period will be for two years on a contractual basis. Renewal of the contract will be subject to a performance evaluation at the end of the contractual period. The assignment is expected to begin on September 30th, 2021.  The consultant will report directly to the Chief Executive Officer of the ECPCGC.

The detailed Terms of Reference (TOR) for the assignment can be viewed by following the attached link below. 

 

https://bit.ly/3iVannm

 

The Eastern Caribbean Partial Credit Guarantee Corporation (ECPCGC) now invites eligible “Consultants” to indicate their interest in providing the Services. Interested Consultants should provide information demonstrating that they have:

  • An Undergraduate Degree from a reputable college or university, preferably in Business, Finance, Banking or related field; and
  • Minimum of 5 years’ experience in MSME lending. Applicants should also have:
  • The ability to design and implement risk management procedures 
  • Extensive knowledge of MSME lending with some direct experience lending to small and medium-sized businesses
  • Extensive knowledge of MSME banking operations
  • Knowledge of the internal controls necessary for a lending operation and the ability to design and implement risk management procedures
  • Experience developing and presenting information in public, including responding to questions in real-time
  • Experience lending to MSMEs located in the ECCU
  • Knowledge of marketing and communicating with the MSME sector
  • Ability to draft procedures to be used in a lending operation
  • Familiarity with the mechanics of a loan guarantee program
  • Exceptional written, oral, interpersonal, and presentation skills, and
  • Proficiency in the use of Microsoft Office suite.

The attention of interested Individual Consultants is drawn to Section III, Paragraphs 3.14, 3.16, and 3.17 of the World Bank’s Procurement Regulations for IPF Borrowers July 2016, [revised November 2017] (“Procurement Regulations”), setting forth the World Bank’s policy on conflict of interest. A Consultant will be selected in accordance with the Approved Selection Method for Individual Consultants set out in the clause 7.34 of the World Bank Procurement Regulations for IPF Borrowers. 

 

Further information can be obtained at the address below during office hours 0800 to 1700 hours:

Eastern Caribbean Partial Credit Guarantee Corporation

Brid Rock, Basseterre,

St. Kitts.

Expressions of interest must be delivered in a written form by e-mail by August 11th, 2021, to [email protected]

 

For further information, please contact:

Carmen Gomez-Trigg                                                            Bernard Thomas

Chief Executive Officer                                                          Chief Financial Officer

Tel: 868-620-8144                                                                  Tel: 869-765-2385

Email: [email protected]                                          [email protected]