Our comprehensive assessment of Grenada's operating environment and the outlook for its leading sectors are formed by bringing together a wealth of data on global markets that affect Grenada , as well as the latest industry developments that could impact Grenada's industries. This unique integrated approach has given us an impeccable track-record for predicting important shifts in the markets, ensuring you’re aware of the latest market opportunities and risks in Grenada before your competitors.
Grenada Country Risk
Economic growth in Grenada will remain subdued over the next 10 years, and the country will continue to run current account and fiscal deficits. The rise in government debt to around 110% of GDP has resulted in a comprehensive debt restructuring deal with the IMF, the effects of which will weigh on the island's growth prospects over at least the first half of our 10-year forecast period. Consequently, we forecast real GDP growth to average just 1.6% over the next decade.
We believe that Grenada will replace the English Privy Council with the Caribbean Court of Justice (CCJ) as the island nation's final court of appeal. While this will not significantly alter daily operations in Grenada, it is a signal of increased regional integration, a trend that we believe will continue.
Tourism in Grenada will continue to recover over the...
Grenada Industry Coverage (1)
BMI View: The ongoing economic uptick in the US will translate into rising departures to the Caribbean in 2015, with St Lucia, St Eustatius, the Cayman Islands and Cuba set to perform particularly well. We see particular opportunities in Cuba, with the US-Cuba diplomatic rapprochement boosting prospects for a relaxation of the bilateral tourist regime.
We forecast mixed fortunes for the Caribbean in 2015, with most islands seeing growth in tourist arrivals but a few registering declines. The latter include Barbados (0.6%), Bonaire (6.1%), the Dominican Republic (1.5%) and St Vincent (1.6%). We believe that these declines reflect the drop of 1.2% in arrivals from Europe in 2015, with these economies usually registering strong arrivals from Europe. However, overall the Caribbean will see a net increase in tourist arrivals in 2015, as improving consumer confidence in the US leads more US tourists to visit the region,...