Barbados: Staff Report for the 2011 Article IV Consultation
IMF Staff Country Reports, January 19, 2012
Source details
- Canonical URL
- Barbados: Staff Report for the 2011 Article IV Consultation
Other formats
Bibliographic details
- Published: January 19, 2012
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781463932497.002
Summary findings
- The difficult global economic conditions continue to hit Barbados with growth at anemic levels.
- The current account deficit has widened in recent times owing to higher oil and food prices.
- Executive Directors commended the authorities for adopting a revised Medium-Term Fiscal Strategy aimed at generating a balanced budget.
- Executive Directors emphasized that fiscal consolidation should focus on expenditure reduction, including:
- lowering the wage bill,
- reducing transfers to public enterprises,
- minimizing tax exemptions.
Macroeconomic developments
- Growth characterization: "anemic levels" (as stated in the report).
- External sector: current account deficit widened owing to higher oil and food prices.
Policy recommendations and strategy
- Adopt and implement the revised Medium-Term Fiscal Strategy aimed at generating a balanced budget.
- Prioritize fiscal consolidation through expenditure-side measures:
- Lower the wage bill.
- Reduce transfers to public enterprises.
- Minimize tax exemptions.
Subject areas and keywords
- Subject: Economic sectors, Expenditure, Government debt management, Public debt, Public financial management (PFM), Public sector, Tourism
- Keywords: Barbados, Barbados' economy, Caribbean, CR, debt, deficit target, discussions of article IV consultation, executive board discussion, Global, Government debt management, ISCR, price GDP data, private sector development, pro-growth public sector investment, Public sector, real gross domestic product, Tourism
Content in this bundle
- Barbados: 2011 Article IV consultation; IMF Country Report 12/07; November 21, 2011