Eastern Caribbean Currency Union: 2025 Staff Report for the 2025 Discussion on Common Policies of Member Countries-Press Release; and Staff Report

International Monetary Fund

No 2025/104, IMF Staff Country Reports from International Monetary Fund

Abstract: The currency union has been providing a strong anchor for macroeconomic stability in a shock-prone region, highlighted by the impact of Hurricane Beryl last year. Tourism-backed post-pandemic growth has been strong, and inflation has moderated in tune with global trends. Public debt has modestly declined but remains high. The financial system is stable, though continues to face challenges from balance sheet weaknesses, weak bank lending conditions, and non-banking sector vulnerabilities. Medium-term GDP growth is projected to moderate as most of the region nears full tourism capacity, with weak productivity growth, subdued investment, and rapid population ageing weighing on the outlook. Key downside risks stem from the unpredictable external environment, uncertain Citizenship-by-Investment (CBI) inflows, and natural disasters (NDs).

Keywords: policy uncertainty; staff appraisal; ECCU economy; tailoring policy; ECCU country; Financial sector stability; Monetary unions; Anti-money laundering and combating the financing of terrorism (AML/CFT); Loans; Caribbean; Global (search for similar items in EconPapers)
Pages: 85
Date: 2025-05-08
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.imf.org/external/pubs/cat/longres.aspx?sk=566810 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:imf:imfscr:2025/104

Ordering information: This working paper can be ordered from
http://www.imf.org/external/pubs/pubs/ord_info.htm

Access Statistics for this paper

More papers in IMF Staff Country Reports from International Monetary Fund International Monetary Fund, Washington, DC USA. Contact information at EDIRC.
Bibliographic data for series maintained by Akshay Modi ().