• Costa Rica may not be able to access a loan disbursement from the International Monetary Fund (IMF) in December after falling behind on targets agreed to in the deal. 
• Costa Rica's government reached a deal with the IMF for a $1.8Bn credit line in January, agreeing to enact policies that would serve as the basis for the loan. 
• In August, the country received its first disbursement of $297Mn after the Legislative Assembly approved the deal. 
• However, lawmakers in the opposition-controlled body have yet to pass fiscal austerity measures and new taxes proposed by the government to meet the IMF goals, with some saying that the proposals are unconstitutional. 
• Central Bank chief Rodrigo Cubero warned that Costa Rica was at risk of falling out of compliance in the deal, echoing comments from President Carlos Alvarado last week.

(Source: Reuters)

• Bank of England Deputy Governor Ben Broadbent said on Monday that inflation in Britain might "comfortably exceed" 5% in April 2022 and that the country's tight labour market risked becoming a more persistent source of inflation. 
• The BoE, which is trying to steer the economy through its recovery from a pandemic slump, said last month that inflation would hit about 5% in the second quarter of 2022 before falling. 
• Speaking to Leeds University Business School, Broadbent suggested that the forecast would probably have to be raised further above the central bank's 2% target. 
• "The aggregate rate of inflation is likely to rise further over the next few months and the chances are that it will comfortably exceed 5% when the Ofgem (regulator) cap on retail energy prices is next adjusted in April," Broadbent said.

(Source: Reuters)

• Investor morale in the euro zone in December fell to its lowest level since April as renewed restrictions to contain a fourth wave of coronavirus infections clouded the growth outlook, a survey showed on Monday. 
• Sentix's index, which is used to measure investor morale for the euro zone fell to 13.5 from 18.3 the previous month. Analysts on average had expected a December reading of 15.9, according to a Reuters poll. 
• Tightened lockdown measures, especially in Germany and Austria, considerably dampened the assessment of current conditions in the euro zone, said Sentix Managing Director Manfred Huebner. 
• "A slowdown and even a recession no longer seem to be ruled out now. These lockdowns hit the economy harder than before," Huebner said..

(Source: Reuters)

• The city of Montego Bay will on Wednesday (December 1), welcome the Carnival Glory, its first vessel since the resumption of cruise shipping to Jamaica four months ago. The passengers and crew of the mega vessel, a Conquest-class cruise ship operated by Carnival Cruise Line, will be calling on the tourism capital, ensuring that all Jamaican cruise ports would have received at least one ship since the reopening of the sector in August. Ocho Rios, Port Antonio, Falmouth, and Port Royal are the other cruise ports to have received ships. 
• The expected arrival of the Carnival vessel is already reigniting the passion of local stakeholders, especially cruise-dependent entities such as craft traders, transport operators, souvenir shop owners, duty-free merchants, and attractions. 
• Vice President of Cruise Shipping and Marine Operations at the Port Authority of Jamaica (PAJ), William Tatham, noted that they deliver a safe and rewarding cruise passenger experience and have also managed to implement the mechanisms, in partnership with the Ministry of Health and Wellness and also the Ministry of Tourism, to ensure a safe and secure restart of the cruise-shipping sector within the COVID-19 operational context. 
• Since the restart of the cruise industry globally, ships are averaging between 50.0% and 60.0% occupancy and are anticipated to reach 75.0% occupancy during the first quarter of 2022 and full occupancy by the end of the second quarter of 2022. 
• In Jamaica, from August 2021 to November 18, 2021, a total of 50,160 passengers and crew/staff disembarked cruise ships in Jamaican ports. The total number of ‘paying’ passengers (excluding crew) for the period was 29,045. This bodes well for the recovery efforts of the tourism sector.

 (Source: JIS News)

• Owing to an increase in revenue, Honey Bun Ltd. reported a 31.2% increase in net profit to $218.69Mn (EPS: $0.46) for the year ended September 31, 2021. 
• The company was able to grow revenues by 28.1% for the full year which was partly attributable to a very strong fourth quarter. Also supporting the net profit performance was a 43.5% increase in finance income and a 17.1% reduction in finance cost. The lower finance costs were due to lower loan and lease interests and other finance costs. 
• The performance was, however, tempered by an increase in admin and other expenses (20.5%), selling & distribution (19.0%), and tax expenses (194.4%). The increase in admin expenses was in part due to higher spending on staff costs, repairs and maintenance, and rates and taxes. Spending on advertising and promotion and property rental also grew, influencing the rise in selling & distribution costs. The company’s 50% remission in taxes expired May 2021, as such all earnings from June 2021 will be expensed at the full income tax rate. This would have influenced the YoY increase in taxes. 
• Honey Bun’s stock price has appreciated by 85.7% since the start of the year and closed Tuesday’s trading session at $9.86 per share. At this price the stock currently trades at a P/E of 20.5x which is above the junior market manufacturing sector average of 18.9x.

(Sources: Honey Bun Financials & NCBCM Research)

• Barbados’ blue economy, its assets, people, their skills, and the potential that rests within the sector came into sharp focus during the National Blue Economy Flotilla at Carlisle Bay on Sunday. 
• Minister of Maritime Affairs and the Blue Economy, Kirk Humphrey, gave the assurance that Government would continue its work in building out the architecture for the maritime industry. 
• Speaking during a brief ceremony to announce the start of the event, Mr. Humphrey outlined that will involve digital information and technology and could see at least 1,000 jobs being created in the maritime space over the next year to a year and a half. 
• He explained that as changes occurred across the world and in the shipping industry, Barbados too would be required to change with those times, through measures such as digital information and technology.

(Source: GIS)

• The average employment rate in the country continues to be below pre-pandemic levels, according to data from a new survey by the World Bank and the United Nations Development Program (UNDP) published yesterday. 
• The series of High-Frequency Telephone Surveys, the second phase of which was implemented this year in 24 countries in the region, showed that in the pre-pandemic period the employment rate was around 72% in the Dominican Republic and that it is currently around 65%. 
• The data indicates that the Dominican Republic has recovered above what the regional average indicates (62%) at present. In addition, the country’s employment rate is above nations such as Honduras, Panama, Uruguay, Costa Rica, Argentina, Chile, Colombia, and Brazil. 
• At the local level, the Central Bank of the Dominican Republic (BCRD), in its quarterly report July-September 2021, explains that, during the three quarters of 2021, the Dominican Republic labour market has shown important signs of recovery, but is yet to reach pre-pandemic levels.

(Source: Dominican Today)

• U.S. consumer confidence dropped to a nine-month low in November amid worries about the rising cost of living and pandemic fatigue, but that did not change expectations for stronger economic growth this quarter. 
• The survey from the Conference Board on Tuesday showed consumers were less enthusiastic about buying a house and big-ticket items such as motor vehicles and major household appliances over the next six months, likely because of shortages, which have boosted prices. 
• Consumers held strong views of the labour market, with the gap between those saying jobs are plentiful versus hard to get widening to a record high. 
• "This isn't a cause for concern as the relationship between spending and sentiment is loose, particularly in the short-run," said Ryan Sweet, a senior economist at Moody's. Analytics in West Chester, Pennsylvania. "The good news is that consumers' assessment of the labour market improved in November, pointing toward a further acceleration in job growth."

(Source: Reuters)

• The Canadian economy roared back in the third quarter, with growth most likely accelerating in October on a manufacturing rebound, though economists were cautious on the looming impact of the Omicron COVID-19 variant. 
• Canada's economy grew 5.4% in the third quarter on an annualized basis, beating analyst expectations for a gain of 3.0%, Statistics Canada data showed. A preliminary estimate for October showed a gain of 0.8%, while September's GDP was in line with expectations for a 0.1% rise. 
• Statistics Canada revised down annualized second-quarter GDP to a contraction of 3.2% from a previous dip of 1.1%. But with the October gain, economic activity is now just 0.5% below pre-pandemic levels. "The October increase was maybe more encouraging for the speed of recovery even more than the third-quarter numbers," said Nathan Janzen, senior economist at Royal Bank of Canada.

(Source: Reuters)

• Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke has highlighted that with the COVID-19 pandemic accelerating the integration of technology in people’s working lives, the public sector must make better use of information and communications technology (ICT) to support economic development and enable modernisation. 
• Consequently, the Public Sector Transformation Programme seeks to leverage ICT in transforming how the public sector delivers services to its citizens and internally to itself. Two critical elements must be addressed – How can technology be embedded into the heart of the operations of the public sector? and how can ICT use be maximized in the sector?
• The Minister said that as the Government moves towards greater use of ICT in the public sector, there must be an equal if not faster move to untangle institutional dynamics to achieve modernization and enable transformation. This is essential if the public sector is to realize the benefits from emerging technologies. 
• To build capacity and capability for ICT use in the public sector, Dr. Clarke said the management, analysis, and visualization of data must collaborate seamlessly over a secure network using virtual tools. These are just some of the skills that will be required. 
• The Minister noted that the capacity and capability must exist to harness technology and smarter and more efficient work. They must also be an enabling policy framework buttressed by a robust change management process, and a continuous build-out of capacity and capability for the transformation to be successful.

(Source: JIS News)