Macroeconomic Issues Of Barbados

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The country of Barbados is a small island which is located approximately in the middle of the Caribbean sea and the Atlantic ocean. The capital of the country is called Bridgetown, it can be found near the harbour on the southern west coast of the country. It varies northwest around of Venezuela and faces eastern of the Winward island members. The approximate size of Barbados has an area of four hundred and thirty (430) square kilometers which is one hundred and sixty six (166) square miles. Studies have shown that Barbados is two times the size of the city of Washington D.C. Its coastline is ninety seven (97) kilometers (60 miles) in length. The official language of Barbados is the English language. It is used for purposes
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Based on information gathered there are numerous Macroeconomic issues that have affected Barbados since the global economic crisis. The biggest macroeconomic issue of Barbados is the decline in competitiveness in their tourism sector. The island of Barbados also went through stints of increasing inflation caused by internal and external forces. Such internal forces have been responsible for some inflationary periods. Domestic inflation was caused by the Barbados government’s overspending. There was a high demand because of certain import restrictions and high increase of wages. Barbados has experience negative growth in 2014 which is the only CARICOM member to experience this in 2014. The government highly has to focus on growth; certain sectors have been highlighted to generate foreign exchange and growth with tourism being the main aspect along with agriculture, international business etc. There have been many contributors to the negative showing of growth which is the poor showing of Barbados’ foreign exchange sectors and weak showing of foreign investments the government responded by announcing revenue and expenditure measures. Those measures were to generate $250 US dollars in savings. Investments in the foreign markets would help economic growth in the island of Barbados. The country of Barbados has been a victim of the economic crisis which faced the Caribbean. The DCP (Demographic Labour Party) announced in December 2014 that and a figure of 3000 public sector workers were sent home and 10% of the civil service labour force. Barbados shows the same problems other countries faced with its unemployment rate. That they import and take in more than they produce and export where lacks a competitive productive base. The tourism sector in Barbados provides many jobs, but due to the economic crisis jobs have been hard to come about. The hotel sandals

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