Antigua and Barbuda to Increase Passenger Head Tax

• The government of Antigua and Barbuda has approved a US$10 passenger head tax increase for travellers coming into and departing the country. A statement issued following the weekly Cabinet meeting noted that the new tax will now be US$50 as part of the government's ongoing efforts to ensure the sustainable financing of critical regional institutions that provide essential services to the country and the wider Eastern Caribbean.
• The additional revenue generated from the adjustment will be earmarked to assist in meeting the country's financial obligations to regional agencies, including the Eastern Caribbean Civil Aviation Authority (ECCAA) and the Eastern Caribbean Supreme Court (ECSC). 'These institutions play indispensable roles in maintaining aviation safety and oversight across the region and ensuring the effective administration of justice through the Eastern Caribbean judicial system,' the statement said.
• In approving the measure, Cabinet noted that Antigua and Barbuda continues to benefit significantly from the services provided by these institutions and must therefore contribute its fair share towards their operation and sustainability. That said, travel within the Caricom region will remain exempt from the increase in keeping with the government's commitment to promoting regional movement, strengthening economic and social ties among Caricom member states, and advancing the goals of Caribbean integration.
• The increase in the passenger head tax aligns with the government's broader efforts to strengthen public finances and secure new revenue streams. Alongside the measure, the authorities are considering expanding the scope of the 10% windfall tax to all businesses earning annual profits of EC$1Mn or more to help fund tertiary education.
• These measures come as Antigua and Barbuda face ongoing fiscal pressures. In its May 2026 Article IV consultation, the International Monetary Fund (IMF) urged the government to address significant arrears to Paris Club creditors and domestic suppliers, noting that while public debt has declined and tax revenues have improved, resolving outstanding financial obligations remains critical to strengthening debt sustainability and expanding access to long-term financing.

(Sources: Trinidad Express Newspapers & NCBCM Research)