• Bunker Fuel and Petroleum Logistics operator, West Indies Petroleum Terminal Limited (WIPT) reported a 25.3% year-on-year decline in Q3 2025 net profit to US$0.65Mn for the quarter ended September 30, 2025. The weaker outturn was primarily driven by lower throughput volumes, which more than offset stable cost control and inflation-linked tariff increases and weighed on revenues.
• WIPT recorded Q3 revenues of US$2.23Mn, down 6.3% YoY, reflecting reduced throughput activity during the period. Management noted that the volume decline is temporary, citing an expected rebound following the waiver of the Common External Tariff (CET) for a major throughput client and increased activity from third-party customers.
• The granting of the CET waiver is expected to be a primary catalyst for revenue growth in the final quarter of FY 2025. By removing the unified customs duty for a key throughput client, WIPT anticipates a normalisation of volumes that were deferred during the Q3 period. This, coupled with the onboarding of new third-party contracts, positions the company for a significantly stronger topline exit heading into 2026.
• Operating profit (EBIT) declined 21.6% YoY to US$0.90Mn. The contraction largely mirrored the revenue decline, as operating and administrative expenses remained broadly flat year-on-year, demonstrating effective overhead control despite lower utilisation.
• Finance costs showed modest improvement, with finance costs improving modestly falling to US$0.21Mn from US$0.26Mn in the prior-year quarter. This improvement reflects the repayment of an amortising bond in 2024, which reduced interest obligations.
• The softer quarterly outturn translated into weaker year-to-date performance. For the nine months ended September 2025 (9M 2025), revenues slipped 3.0% YoY to US$6.50Mn, while net profit declined 6.4% to US$1.93Mn. This year-to-date (YTD) decline was largely attributable to an 18.9% decline in throughput volumes, which was partially offset by higher inflation-adjusted storage and throughput rates.
• Structurally, WIPT’s revenue mix continued to improve, with non-related third-party customers accounting for 44% of revenues in 2025, up sharply from 9% in 2024. This reflects the successful acquisition of storage and throughput contracts from an oil supermajor supporting management’s outlook for more resilient and diversified earnings into 2026.
• As at the close of trading on Wednesday, WIPT’s stock price closed at J$10.71, reflecting a 717.56% year-to-date increase. Since the commencement of public trading on the JSE, WIPT has experienced strong buying interest, pushing its valuation to a P/E of 828.1x, a significant premium compared to the Main Market Energy, Industrials and Materials sector average of 116.0x. This expansion has been driven predominantly by the sharp appreciation in the share price rather than growth in earnings per share of WIPT, with the rising P/E reflecting price momentum following WIPT’s entry into the sub-index.

• WIPT’s share price increase is likely driven less by its underlying operating performance and more by market speculation, limited investor familiarity with the company’s business model, and the extreme scarcity of shares following its recent listing by introduction. This means that no shares were offered to investors as part of the listing. The extremely limited float has amplified price volatility and momentum-driven buying, resulting in market multiples that are not supported by current or near-term earnings.

(Sources: WIPT Financial Statements & NCBCM Research)

• Mexico’s GDP per capita has fallen below that of China and the Dominican Republic, reversing a position it held in the 1990s, according to economic experts. The statement was issued by Ernesto Revilla, Citigroup’s chief economist for Latin America, during the 2026 Economic Outlook Seminar organised by Instituto Tecnológico Autónomo de México (ITAM).
• Revilla explained that in 1990, Mexico’s GDP per capita was well above that of both China and the Dominican Republic. By 2020, the three economies were at similar levels, and by 2024, Mexico was already around 10% below both countries. He attributed this decline mainly to Mexico’s persistent low economic growth, noting that during the administration of former president Andrés Manuel López Obrador, average GDP growth was just 0.9%, resulting in virtually no per capita income growth over the past six years.
• Looking ahead, Revilla said that even with projected growth of 0.3% in 2025 and around 1% in 2026, the government led by President Claudia Sheinbaum would average 1.5% GDP growth over the coming years, still below Mexico’s economic potential. He stressed that uncertainty surrounding the United States-Mexico-Canada Agreement (USMCA), weak external conditions, limited public investment, and low returns on government spending have continued to weigh on economic performance.
• Despite these challenges, Revilla noted that a modest recovery could occur in 2026, supported by a more favourable environment, gradual normalisation of investment after a deep contraction in 2025, and expectations of a renegotiation of the USMCA that could unlock new investment flows. He also highlighted positive factors such as a recovering labour market, low unemployment, continued support from social programs, and remittances, although growing more slowly, which continue to bolster household consumption.

(Source: Dominican Today)

• Guyana is preparing for its next major step in offshore oil production with the Uaru development, ExxonMobil’s upcoming project in the Stabroek Block. Rather than opening a new frontier, Uaru deepens production in an already proven basin.
• The project is built around scale. More than 800 million barrels of recoverable oil are targeted, with an initial production target set at 250,000 barrels per day. Once production begins, Guyana’s national capacity is expected to move decisively past one million barrels per day.
• The development will use up to 10 drill centres tied to 44 wells, designed to sustain high output over the life of the field. At the centre of operations, there will be a new floating production, storage and offloading (FPSO) vessel.
• Japanese contractor MODEC is constructing the Errea Wittu FPSO, which will process and store crude produced from the Uaru field. The vessel introduces design changes that align with Guyana’s push for lower-emissions offshore production. Guyana’s Uaru and Whiptail projects are on track for a 2026 to 2027 start-up.
• Uaru will have two key upgrades. Power generation will come from a combined-cycle gas turbine, improving fuel efficiency and reducing greenhouse gas emissions. A closed-loop flare system will also be installed to limit flaring during routine operations.
• The project is operated by ExxonMobil, which holds a 45% interest in the Stabroek Block.  Meanwhile, Co-venturers Hess and CNOOC hold 30% and 25%, respectively.

(Source: OilNow Guyana)

• United States (U.S.) inflation stayed at 2.7% in December, according to data that suggested price growth is being contained even as it remains above the Federal Reserve’s (Fed) target.
• The annual consumer price index (CPI) figure was unchanged from November and in line with the expectations of economists polled by Bloomberg. Core inflation, stripping out volatile food and energy prices, was 2.6%, just below expectations of 2.7%. Meanwhile, housing-related prices rose 3.2%, pushing up the headline figure.
• The release from the Bureau of Labour Statistics indicated price rises in the world’s leading economy had eased, despite concerns last year that Donald Trump’s aggressive deployment of tariffs could fuel a lasting inflationary surge. “The key takeaway is that goods prices were very benign, which underscores the point that tariffs have had a far more muted impact on inflation than feared,” said James Knightley, chief international economist at ING.
• Still, economists remained wary of the data after a sharp drop in the previous month’s release drew criticism that it had been distorted by a halt to data collection during last year’s record government shutdown. “Although these values suggest a softening in inflation, we are cautious not to extrapolate too much from this volatile report,” said Michael Hanson, a senior economist at JPMorgan.
• The two-year Treasury yield, which is highly sensitive to interest rate expectations, dropped 0.03 percentage points to 3.52% following Tuesday’s inflation report. Two interest rate cuts in 2026 are currently priced in by traders in the futures market. The US dollar index fell after the release, while stock market futures rose.

(Source: Financial Times)

• The United States (U.S.) Department of Justice recently opened a criminal investigation into Federal Reserve (Fed) Chair Jerome Powell over the cost of the renovations of the building. This has raised significant questions about the Fed’s independence.
• The probe is a significant attack on the Fed’s independence by the Trump administration and continues the trend of institutional erosion. In response, U.S. Fed Chair Jerome Powell, who has been very careful not to step into partisan debate (despite attacks from President Trump in recent years), made a formal video announcement, claiming that the investigation was politically motivated.
• Many former Fed Chairs and Treasury Secretaries have voiced support for Powell, as have several Republican lawmakers. However, U.S. Treasury Scott Bessent, who is very close to President Trump, was not aware of the launch of the investigation, which also points to a disconnect in the Trump administration’s approach.
• While potential Fed Chair nominee Kevin Hassett claimed that the investigation would improve accountability, BMI analysts believe it is another step that would mark a significant erosion of the Fed’s independence. Though it is important for key officials to be accountable, the combination of investigations into Lisa Cook and Jerome Powell points to an antagonistic relationship between the administration and the institution, which could also weaken the nomination and confirmation process of future Fed officials.
• That said, the probe does not pose significant risks to BMI’s forecast for two quarter percentage points basis point (25bps) interest rate cuts this year; however, it does raise other important questions.
• First, it could make the confirmation of the next Fed Chair more difficult, given opposition in the Senate, creating uncertainty. Second, if the Fed cuts interest rates significantly in the face of sticky inflation, it could lead to significant financial market volatility. Over the short-term this could lead to an increase in bond yields and the term premium as investors demand higher yields. The U.S. dollar could also come under additional pressure similar to 2025.

(Source: BMI, A Fitch Solutions Company)

• The National Irrigation Commission Limited (NIC) has received just over $107 million in funding through the Ministry of Agriculture, Fisheries and Mining to procure additional generators aimed at strengthening the resilience of irrigation systems during power disruptions. The generators are intended to safeguard water supply to farmers following extreme weather events that impact the national electricity grid, such as Hurricane Melissa on October 28 last year.
• NIC’s Director of Engineering and Technical Services, Rohan Stewart, said the investment forms part of the Commission’s forward strategy, noting that “the NIC, through the Ministry of Agriculture, has received funding to procure additional generators to the tune of just over $107 million.”
• He explained that NIC’s infrastructure itself has proven resilient, stating that “our systems have been developed and built with resilience in place,” and that major water-production facilities were not structurally impacted during recent adverse weather.
• Mr. Stewart highlighted that power loss remains the main challenge after severe weather, noting that “the only damage that we suffered from the water production system was the loss of power,” underscoring the importance of reliable backup generation.
• Once procured, the additional generators will help restore water to customers still affected by power constraints and support longer-term planning, including improved pre-positioning of equipment and fuel management ahead of hurricanes.
• For farmers, this could accelerate the restoration of agricultural production. This can support faster normalization of agricultural output, which should help to support steadier domestic food production and in turn, contain food-driven inflationary pressures.

(Sources: JIS and NCBCM Research)

• In a company release on the Jamaica Stock Exchange (JSE), Tropical Battery (TROPICAL) has announced that it will consolidate its solar energy operations into a single business unit as part of a strategy to improve productivity and profitability.
• The Company is set to consolidate its solar operations by merging Tropical Renewable Energy with KAYA Energy Group (KAYA), creating a unified solar platform aimed at accelerating growth, improving efficiency, and enhancing profitability by operating as one cohesive solar company.
• This transition is part of the Company’s ongoing strategic organisational adjustments to enhance operational efficiency and leverage internal expertise for continued growth in energy storage and renewable solutions.
• Facilitating this was the exit of Mr Oliver Hill from his seat as CEO of the Company’s majority-owned subsidiaries, Tropical Renewable Energy Limited, Tropical Mobility Limited, and Tropical Finance Limited, effective December 31, 2025. The responsibilities previously held by Mr Hill will be redistributed among the existing leadership team, primarily within KAYA.
• Tropical acquired a 51% stake in KAYA, a leading renewable energy solution provider, in the Dominican Republic (DR) in 2023. The acquisition positions the company to capitalise on substantial growth opportunities, especially in the renewable energy and energy storage sectors, where there is increasing demand for sustainable solutions.
• Overall, the consolidation of Tropical’s solar businesses indicates a strategic shift from expansion toward integration, with a stronger emphasis on execution, efficiency, and returns.
• By housing its solar operations within a single structure, the company is expected to realise operational synergies and cost savings. Additionally, in Jamaica, the post-Hurricane Melissa environment has accelerated the adoption of solar energy solutions, potentially driving increased demand for Tropical’s solar offerings.
• However, competition has intensified, with a growing number of smaller players entering the market to capitalise on this demand, which may pressure Tropical’s market share. Moreover, KAYA will face competition from established solar providers in the DR that can leverage broader service offerings and deeper technical expertise to gain a competitive edge.
• TROPICAL’s stock price has decreased by 19.5% year-to-date, closing at $1.28 as of Monday, January 12, 2026. At this price, the stock is trading at a price-to-book (P/B) ratio of 2.03x, which is higher than the Main Market Energy, Industrials and Materials Sector average of 1.93x.

(Sources: JSE and NCBCM Research)

• United States President Donald Trump's new executive order on Venezuelan oil revenue is meant to ensure that the money remains protected from being used in judicial proceedings.
• The executive order, made public on Saturday, says that if the funds were to be seized for such use, it could 'undermine critical US efforts to ensure economic and political stability in Venezuela.' The order comes amid caution from top oil company executives that the tumult and instability in Venezuela could make the country less attractive for private investment and rebuilding.
• 'If we look at the commercial constructs and frameworks in place today in Venezuela, today it's uninvestable,' said Darren Woods, CEO of ExxonMobil, the largest US oil company, during a meeting convened by Trump with oil executives on Friday.
• During the session, Trump tried to assuage the concerns of the oil companies and said the executives would be dealing directly with the US, rather than the Venezuelan government. Venezuela has a history of state asset seizures, ongoing US sanctions and decades of political uncertainty. Getting US oil companies to invest in Venezuela and help rebuild the country's infrastructure is a top priority of the Trump administration after the dramatic capture of now-deposed leader Nicolás Maduro.
• The White House is framing the effort to 'run' Venezuela in economic terms, and Trump who has seized tankers carrying Venezuelan oil, has said the US is taking over the sales of 30 million to 50 million barrels of previously sanctioned Venezuelan crude, and plans to control sales worldwide indefinitely.

(Source: Trinidad Express Newspaper)

• In the period from January to December 2025, inflation was 4.95%, remaining within the monetary program’s target range of 4.0% ± 1.0% for 32 consecutive months since May 2023, as highlighted by the Central Bank.
• In December 2025, the Consumer Price Index (CPI) rose by 0.84%. Price increases in basic foodstuffs, personal services, restaurants, and transportation contributed to inflation. The Central Bank of the Dominican Republic (BCRD) explained that the most significant impact came from the Food and Non-Alcoholic Beverages group, which accounted for 50.17% of the month’s inflation. Within this group, price increases were recorded for fresh chicken, plantains and their varieties, chili peppers, and tomatoes. Prices also rose for coffee, carrots, chicken broth, beef, cassava, potatoes, and rice.
• Other groups that impacted the CPI were Miscellaneous Goods and Services, with a variation of 1.32%, due to increases in personal care services such as washing, styling and hair cutting; Recreation and Culture, with an inflation of 1.64% due to increases in tourist packages; and Restaurants and Hotels, which showed a variation of 1.00% due to the rise in prices of meals prepared outside the home, including the dish of the day, the service of groceries with accompaniment, the chicken service and sandwiches.
• The Transportation group registered a 0.29% variation, mainly due to increases in air and land transport fares. In comparison, Furniture and Household Goods recorded an inflation rate of 0.56%, driven by increases in domestic services, furniture repair, and cleaning products.

(Source: Dominican Today)

• The U.S. Trump administration's renewed claims on Greenland following its January 3 strike on Venezuela have prompted European leaders to state that Greenland's future must be decided by Greenland and Denmark alone. The scene is now set for rising and persisting tensions over the future of the island for the foreseeable future, but BMI analysts believe the end result could be greatly increased U.S. control of Greenland.
• The U.S. appears serious about its determination to gain de facto and/or de jure control of Greenland. Last week, France, Germany, Italy, Poland, Spain and the United Kingdom issued a statement expressing support for Copenhagen and Greenland amid U.S. threats. Trump has said that if the US does not control Greenland, where it already has a military base, it will be subject to greater influence from countries such as Russia and China.
• Greenland's significance stems from its position along the principal air corridor between the US/North America and Europe/Russia, and it lies along the shortest flight path for intercontinental ballistic missiles that could be launched between the U.S. and Russia. More recently, Greenland has attracted growing attention due to its vast mineral resources, while the Arctic region has gained greater importance for Russia and Mainland China as a possible shipping route (the Northern Sea Route/Polar Silk Road) between Europe and Asia as a result of warmer temperatures.
• If the U.S. receives enhanced control of Greenland, it will be viewed negatively by Russia and China. This would also be an extreme geopolitical shock for the North Atlantic Treaty Organisation (NATO), given that its most powerful member would have attacked another member.
• This would most likely mean the end of NATO in its current form. It would create a profound crisis in Transatlantic relations and could open schisms within NATO and the European Union (EU) between European countries which value their alliance with the U.S. more than their alliance with fellow NATO/EU members.
• That said, the rise in geopolitical tensions has not yet materially spooked investors. The benchmark EURO-STOXX 600 equity index has been mostly trading flat since President Trump's latest posturing, a fact that was likely also aided by a toning down of rhetoric by US Secretary of State Marco Rubio to the effect that the U.S. could 'buy' Greenland rather than seize it. The government of Greenland, however, has firmly rejected threats from United States President Donald Trump, stating that it will not accept a US takeover under “any circumstance”.

(Sources: BMI, A Fitch Solutions Company & Al Jazeera)