• Jamaica is set to strengthen its position as one of the world’s most accessible island destinations over the next six months with expanded air service and seat capacity.
• From September 2025 through February 2026, seat capacity across the island’s three major airports is projected to grow by 4.4% compared to the same period last year. This includes Montego Bay’s Sangster International Airport (MBJ), Kingston’s Norman Manley International Airport (KIN), and Ocho Rios’ Ian Fleming International Airport (IFIA).
• For the September–February period, MBJ will see a 5.6% increase in scheduled seat capacity and an 8.5% rise in departures year over year. KIN is expected to record a 1.3% increase in capacity and a 3.1% rise in departures, while IFIA is projected to see a 37% increase in overall capacity.
• “This expanded airlift reflects Jamaica’s continued growth as a leading global tourism destination,” said Jamaica’s Minister of Tourism, Hon Edmund Bartlett. “Our airline partners across North America, Europe and the Caribbean recognise the demand for our island’s world-class offerings and have responded with more seats, more gateways and more convenience for travellers. This puts us firmly on track to meet our 5x5x5 growth targets.”
• In North America, service from key U.S. gateways will be complemented by new Canadian connections, giving travellers more ways to reach Jamaica’s shores. MBJ will welcome additional U.S. flights, including from Baltimore/Washington International Airport and Fort Lauderdale-Hollywood International Airport, along with new WestJet service from Edmonton, Alberta.
• In Europe, Jamaica gained its first direct Lisbon–Montego Bay flights on World2Fly Portugal, building on existing European service. Regional connectivity has improved with LIAT operating approximately three weekly flights between Kingston and Montego Bay.
• The growth in airlift comes on the heels of a successful 2024, which saw 4.3 million visitors and $4.3Bn in earnings. The U.S. remains Jamaica’s top source market, accounting for approximately 75% of stopover arrivals, while Canadian and European arrivals continue to post strong year-over-year gains.

 (Source: Jamaica Tourist Board)

• Speaking at the Bank of Jamaica’s (BOJ’s) quarterly press conference on August 21st, Governor Richard Byles assured that the bank has enough foreign currency reserves to satisfy demand by selling into the foreign exchange market. He indicated that in so doing, the BOJ can maintain the exchange rate at a relatively stable level.
• Mr Byles noted that as at August 12 this year, Jamaica’s gross international reserves stood at a historically high and healthy level of US$6.2Bn, or 148% of the measure considered adequate.
• Notwithstanding the healthy international reserves, the foreign exchange market recently experienced slightly higher-than-usual volatility. This volatility was attributed to temporary factors like global economic uncertainty, the Jamaican Dollar exchange rate breaching the $160.00 psychological threshold, and a narrowing of interest rate differentials¹. As a result, the Jamaican dollar depreciated by 2.5% for the 6 months ending June (6M 2025), which was faster than the pace for 6M 2024.
• Despite the volatility and depreciation, Governor Byles noted that the bank remains committed to a flexible exchange rate regime. “…supported by strong economic fundamentals and BOJ’s intervention to smooth out the volatility in the foreign exchange market, expectations have normalised. Since the end of June, the pace of depreciation has fallen and there has been a reduction in the market’s net open position,” Mr. Byles noted.
• Over the 12 months to July 2025, the BOJ sold US$1.2Bn through its B-FXITT facility, compared to US$956Mn in the previous year, while net purchases totalled approximately US$931Mn.

______________________

¹Interest rate differentials refer to the gap between domestic market interest rates and those in external markets

(Source: JIS)

• Panama is set to unleash over US$20Bn in new investments within the next year, largely focused on the Panama Canal, alongside several other major development initiatives. The country’s Minister of Foreign Affairs, Javier Martínez-Acha Vásquez, has extended an invitation to Barbados to engage in this upcoming phase of growth.
• During a recent visit to Barbados, Martínez-Acha Vásquez underscored the long-standing economic and social ties between Panama and Barbados, which he sees as a strong foundation for expanded cooperation. He pointed to Panama’s consistent economic growth, averaging around 8% since taking control of the canal from the United States in 1999. Now, under President José Raúl Mulino, Panama is preparing for a “positive economic shock” as the country enters a new era of development.
• Martínez-Acha Vásquez expressed Panama’s interest in working with Barbados in sectors where the island has proven expertise, such as tourism, international business services, and renewable energy. Panama is open to investment in areas like digital banking for underserved regions and is planning significant expansions in mining, agriculture, tourism, shipping, and healthcare—sectors he believes are ripe with opportunities for Barbadian businesses and entrepreneurs.
• The minister also emphasised Panama’s strategic location and logistics advantages, noting that it hosts five of the top ports in the Americas around the canal zone. While many Barbadians know Panama as a shopping destination, he stressed its role as a vital trade hub for Central and South America.
• Vásquez also highlighted plans to build two new ports, with construction expected to begin as early as next year. Panama is also served by several direct weekly flights and functions as a major air transit hub to Central and South America.

(Source: CariCRIS)

• China Concord Resources Corp (CCRC) has begun developing two Venezuelan oilfields, planning to invest more than US$1Bn in a project to produce 60,000 barrels per day (bpd) of crude oil by the end of 2026. The project marks a rare investment by a private Chinese firm in the Organisation of the Petroleum Exporting Countries (OPEC) country, which has struggled to attract foreign capital due to international sanctions on the administration of President Nicolas Maduro.
• Early last year, CCRC began negotiating its participation in the two oilfields - Lago Cinco and Lagunillas Lago - and signed in May 2024 a 20-year production sharing contract with Venezuela. The contract model, introduced by the Venezuelan government in 2020 under the Anti-Blockade Law to cope with U.S. sanctions, allows investors to act as operators in return for an agreed share of production.
• With no previous oil drilling experience, CCRC has, since last September, sent in around 60 Chinese staff skilled in oilfield development and a Chinese drill rig, aiming to quickly reopen about 100 wells and recover crude output. Production at the two fields, largely mothballed in recent years due to lack of investment and technical expertise, is now running at 12,000 bpd.
• CCRC aims to develop a total of 500 wells and raise output to up to 60,000 bpd by the end of 2026, a mix of light and heavy oil, with light crude to be delivered to state oil company PDVSA and heavier crude destined for China.
• Chinese state oil giant CNPC was among the largest investors in Venezuela's oil sector before U.S. energy sanctions were first imposed on Venezuela in 2019. China was also a big lender to Venezuela. However, since the U.S. imposed energy sanctions, most Chinese state oil firms have stopped lifting oil. Chinese independent refiners, however, continue to buy the oil via traders. Notably, Beijing currently buys more than 90% of Venezuela's total oil exports.

(Source: Reuters)

• Federal Reserve Chair Jerome Powell on Friday signalled a possible interest rate cut at the U.S. central bank's meeting next month, saying that risks to the job market were rising but also noting inflation remained a threat and that a decision wasn't set in stone.
• While his comments were not as explicit as those previewing rate cuts following last year's Jackson Hole conference, investors quickly bumped up bets that the Fed will reduce its policy rate by a quarter of a percentage point at its September 16-17 meeting.
• Several Wall Street analysts alerted clients they were tearing up prior forecasts for the Fed to wait until December to cut rates and now expected reductions totalling half a percentage point by the end of the year, from the current 4.25%-4.50% range.
• Powell's comments put heavy weight on the next monthly employment report, due September 5, and inflation reports due the following week. The most recent job-market report showed monthly payroll gains had plummeted to a monthly average of 35,000 in the July to May period, though the unemployment rate was still a still-low 4.2%.

(Sources: Reuters)

• Sales of new U.S. single-family homes fell in July following a sharp upward revision to the prior month's sales pace, and the overall trend remained consistent with a housing market struggling in an environment of high mortgage rates.
• The report from the Commerce Department on Monday bolstered economists' expectations that the housing market slump could persist through the end of the year. Though mortgage rates have eased on expectations that the Federal Reserve would resume cutting interest rates in September, they continue to outpace wage growth, pushing home ownership beyond the reach of many.
• New home sales dropped 0.6% to a seasonally adjusted annualised rate of 652,000 units last month, the Commerce Department's Census Bureau said. The sales pace for June was upgraded to a rate of 656,000 units from the previously reported pace of 627,000 units.
• Economists polled by Reuters had forecast new home sales, which make up about 14% of U.S. home sales, would rise to a rate of 630,000 units. Sales declined 6.6% in the Midwest and dropped 3.5% in the densely populated South. They were unchanged in the Northeast and increased 11.7% in the West.
• New home sales, which are counted at the signing of a contract, are volatile on a month-to-month basis and subject to big revisions. They dropped 8.2% on a year-over-year basis in July. Government data last week showed single-family homebuilding rebounded in July, though permits for future construction rose marginally.
• Economists expect that residential investment, which includes homebuilding and home sales through broker commissions, to contract for a third straight quarter in Q3 2025.

(Source: Reuters)

• For the three months ended June 30, 2025 (Q3 2025), Tropical Battery Limited (TROPICAL) posted a net loss of J$53.11Mn (vs. profit J$121.35Mn in 2024) mainly due to lower revenues and higher operating expenses.
• Revenues for the period totalled J$1.46Bn, a sharp 23.3% contraction from the outturn a year earlier. Management attributed the falloff to seasonal fluctuations in demand. The transition to a larger warehouse and manufacturing site in California impacted order fulfillment, and certain projects in the renewables segment, which are now expected to close in Q4 2025, also contributed to the weaker topline.
• In line with the falloff in revenues, direct costs fell 27.2% (-J$349.49Mn). Consequently, while gross profit dipped to J$527.70Mn (-15.3%), the gross profit margin improved to 36.1% up from 32.7% in Q3 2024.
• Operating expenses increased by 12.5% to close at J$415.36Mn due to temporary challenges. Net finance cost also rose to J$118.33Mn up for J$112.86Mn as the company increased its reliance on short-term, high-interest debt. Against this backdrop, operating profit plummeted by 55.8% to J$115.08Mn during the quarter.
• Given the operating loss recorded in Q3 and weaker earnings performance since the start of the financial year, Tropical reported a net loss of J$146.57Mn, down 33.4%, for the nine months ended June 30, 2025, compared to J$220.16Mn profits in 2024.
• Despite temporary challenges in the renewables segment, operational costs and high acquisition bridge loan facility interest cost, Management believes the company is poised for a robust Q4. This is underpinned by strategic investments and a precise alignment with global and regional energy transition trends. With over J$500.0Mn in renewable energy projects slated for completion in Jamaica and the Dominican Republic in Q4, the company anticipates consolidated revenues of approximately J$2.0Bn for the quarter, marking a significant rebound from Q3.
• TROPICAL’s stock price declined by 37.9% year-to-date to $1.56 at the close of trading on

(Sources: Tropical Battery Limited & NCBCM Research)

• A.S. Bryden & Sons Holdings (“A.S. Bryden”) announced that it intends to list its ordinary and preference shares on the Trinidad and Tobago Exchange (“TTSE”) on Friday, August 29, 2025.
• A.S. Bryden is listing its existing shares by introduction and making them available for trading on the TTSE. The Company is not offering any new shares for sale to the public at this time. A.S. Bryden’s ordinary and preference shares are already listed on the Jamaica Stock Exchange.
• In marking the occasion, P.B Scott, Chairman of A.S. Bryden, stated that this listing fulfills the commitment to list A.S. Bryden on its local exchange, giving the business additional options for accessing capital in the future.

(Source: A.S. Bryden Group)

• Tourism in the Dominican Republic is reaching new heights, with the country welcoming more than 7,197,844 visitors between Jan. and July 2025 — the highest number in its history for the first seven months of a year.
• The figure represents a 3.2% increase over the same period in 2024, a 14.0% jump compared to 2023, and a 49.0% gain over 2019 levels, according to Tourism Minister David Collado.
• Of the total, 5,377,878 travelers arrived by air, up 1.7% year over year. Cruise arrivals also contributed to the growth, with 1,819,966 visitors coming by sea, a 3.2% increase compared to the same period last year.
• In July, the Dominican Republic welcomed 863,785 air arrivals, 6.5%higher than July 2024. Combined with 189,051 cruise passengers, the country saw a total of 1,052,836 visitors for the month. That represents a 3.4% increase over last year, 12.0% over 2023, and 56.0% above 2019.
• The United States remained the leading source market, accounting for 52.0% of arrivals, followed by Canada with 7.0%. Argentina and Puerto Rico each contributed 6.0%, while Colombia (4.0%), Mexico (3.0%), and Spain, Brazil and Chile (2.0% each) rounded out the top markets.
• Most visitors arrived through Punta Cana International Airport, which handled 59.0% of all air passengers.

(Source: Caribbean Journal)

• The Grenadian government is working in partnership with the St Kitts-based Eastern Caribbean Central Bank (ECCB) to introduce a household retail bond as part of its debt management and citizen investment strategy. The initiative will be outlined in October 2025.
• The bonds are intended to encourage household participation in government securities, provide safe and attractive investment opportunities to households and retail investors, broaden the investor base, promote financial literacy and support the financing of national development priorities. This initiative forms part of the administration’s broader strategy to deepen the domestic capital market, diversify financing instruments, and provide citizens with accessible investment opportunities.
• Retail bonds are suitable for businesses of all sizes and across all sectors as it helps them tap into a new pool of capital outside of the traditional wholesale markets. Retail bonds also provide people with a safe investment option, offering better interest rates than other savings schemes. While this is set to be the first retail bond for citizens, for 2025, the Grenada government has scheduled auctioning a total of EC$105 million treasury bills and bonds on the Eastern Caribbean Securities Exchange (ECSE) through the Regional Government Securities Market (RGSM).
• According to Grenada's 2025 prospectus on the exchange, the government's plan is to raise EC$60 million through 91-day Treasury Bills and EC$45 million through 365-day Treasury bills at different dates during the months of February, May, August, September, October and December. The first 365-day Treasury Bill auctioned by the government of Grenada on the RGSM was oversubscribed and raised five million dollars more than the targeted amount.

(Source: CariCris)