Bahamas’ External Reserves Decline Slows in November 2024

• Bahamas’ external reserves decline slowed significantly in November, dropping by $0.4Mn compared to a sharp $30.6Mn reduction in the same period in 2023, according to the Central Bank, reflecting a notable year-over-year reversal in foreign currency transactions.
• In its monthly Economic and Financial Developments report for November 2024, the regulator noted that the decline in external reserves moderated considerably, primarily due to net foreign currency inflows from the private sector, which helped offset net public sector outflows.
• Regarding the broader economy, the Central Bank noted that in November, the domestic economy sustained its growth momentum, although at a more tempered pace compared to the previous year.
• The tourism sector showed continued expansion, though more slowly, with strong growth in the cruise segment offset by capacity constraints in the high-value-added stopover component.
• On price developments, average consumer price inflation – as measured by the Retail Price Index (RPI) for The Bahamas – slowed during the 12 months to September 2024, relative to the same period in 2023, reflecting a moderation in price pressures for imported fuel and other goods and services.

(Source: Eyewitness News)