Investment To Drive Growth In Saint Kitts And Nevis In Short Term

 

• Strengthening investment, private consumption, and government consumption will fuel Saint Kitts and Nevis' economy to grow by 2.9% in 2023 from an estimated 6.9% expansion in 2022, according to Fitch Solutions.
• Investments are expected to rise by 2.5% in 2023 from an estimated 7.5% expansion in 2022. Government consumption will grow by 0.7% while private consumption will increase by 0.4%, compared to estimated growth of 4.3% and 3.7% in 2022, respectively. Net exports will contract by 3.0% after contracting by 5.3% in 2022.
• Further to this, Saint Kitts and Nevis' real GDP will rise by 2.5% in 2024 as investment, private consumption, and government consumption bolster domestic demand. Investment will increase by 1.7% in 2024, below its 3.3% average growth since 2013. Private consumption will grow by 0.3%, while government consumption will grow by 0.2%. Net exports will contract by 3.1% in 2024.
• That being said, its economy will grow slower than the Caribbean's average of 6.3% over the next decade. Investments will drive the economy's 0.5% average expansion over the next decade.
• Fitch expects investment, which accounted for 28.3% of GDP in 2022, will average 1.2% over the next decade. This will offset contractions in government consumption, private consumption and net exports.

 (Source: Fitch Solutions)