Barbados Secures Hundred-Million-Dollar IMF Boost Amid ‘Robust Growth’

• Barbados has secured a fresh injection of US$56Mn ($112Mn) from the International Monetary Fund (IMF) as the country continues to impress international partners with its homegrown economic recovery and transformation plan (BERT 2022) and climate policy agenda.
• The new disbursement also includes US$19Mn ($38Mn) under the IMF’s Extended Fund Facility (EFF) and US$37Mn ($74Mn) under the Resilience and Sustainability Facility (RSF), bringing the combined total payout to some US$242Mn. This financial injection further supports the government’s economic recovery and climate resilience efforts.
• In its review, the IMF praised the progress of the BERT 2022 and what it described as the island’s ambitious climate policy agenda. The release highlighted the expansion of the country’s economy by 3.9% between January and September 2024, driven by growth in tourism, business services, and construction.
• Despite these positive developments, the IMF acknowledged ongoing vulnerabilities. “While the outlook is positive, Barbados remains vulnerable to global shocks, climate change, and natural disasters, as demonstrated by Hurricane Beryl,” IMF Deputy Managing Director and Acting Chair, Bo Li noted, highlighting the damage it caused to the fishing sector and coastal infrastructure.
• On the other hand, he noted that the Central Bank of Barbados has adopted a strategy to monitor and assess climate change risks, safeguarding financial stability and resilience.
• The IMF’s top official further praised the government’s efforts to mobilise international financing, including the innovative debt-for-climate swap, which will generate savings for water supply resilience, environmental sustainability and food security investments.  

(Source: Barbados Today)