Caribbean Community (CARICOM) economies delivered a mixed performance in 2024, with Guyana’s oil-driven expansion lifting overall regional growth while several member states struggled with widening trade deficits, weak investment flows and rising external imbalances, according to new data compiled by the African Export-Import Bank (Afreximbank).
Guyana remained the region’s standout performer, expanding 43.6% on the back of record petroleum output. The country posted a US$16 billion merchandise trade surplus and attracted US$8.6 billion in foreign direct investment (FDI), amounting to 80% of all FDI inflows to CARICOM. Its current account surplus was estimated at 16.4% of gross domestic product (GDP).
Outside Guyana, most economies recorded only moderate gains. The Bahamas grew 3.4%, supported by tourism and steady FDI flows of US$1.45 billion, though its merchandise trade deficit widened to US$4.5 billion. Barbados expanded 4%, with FDI inflows rising to US$303 million, the highest level in seven years.
Several Eastern Caribbean states also posted positive growth. Saint Lucia expanded 4.7%. Grenada grew 3.3%. Antigua and Barbuda recorded 12.3% growth over the longer term trend. Many, however, remained heavily import dependent. Antigua and Barbuda recorded a US$905 million trade deficit, while Saint Lucia’s deficit reached US$2.7 billion.
Belize grew 3.5% as investment rebounded, but the country still ran a US$1.7 billion merchandise deficit. Saint Kitts and Nevis and Dominica both faced pressure from large external deficits, driven by import heavy consumption and limited export bases.
The region’s more fragile economies continued to underperform. Haiti contracted by 4.2%, with inflation at 25.8% and exports falling to US$763 million. Suriname, although returning to growth at 3%, remained burdened by high inflation and persistent external imbalances.
Trinidad and Tobago, traditionally one of CARICOM’s largest economies, posted a modest 2.5% expansion. Energy exports supported a US$1 billion trade surplus, but the country continued to record net FDI outflows and a fiscal deficit of 5.3% of GDP.
Across the region, services remained the dominant export category, particularly tourism, with many economies generating more than 80% of export earnings from services. However, merchandise trade performance diverged sharply, reflecting the structural differences between the resource rich and tourism led economies.
The data also showed limited intra CARICOM trade integration, with most countries sourcing only a small share of imports from regional partners. Guyana and Trinidad and Tobago remained the top exporters within the bloc, while smaller economies such as Dominica, Saint Vincent and Grenada remained primarily net importers.
The figures highlight a widening gap between CARICOM’s commodity exporters and its service dependent economies, underscoring the region’s structural vulnerabilities as it navigates external shocks, import reliance and uneven investment flows.
Source: newsghana.com.gh
