Dominica’s debt to Gross Domestic Product (GDP) ratio has been documented as being below the regional average.
This was announced by Governor of the Eastern Caribbean Central Bank (ECCB) Timothy Antoine during the Dominica Association of Industry and Commerce’s (DAIC) annual general meeting on Thursday July 20 2017.
As a region he said the debt to GDP ratio is declining. It is currently 72.5% while the target is 60%.
Dominica’s debt to GDP ratio he said is 67.6%, lower than that of the region adding “that’s a good thing” and that the island is “moving closer to the target”.
Dominica’s debt to GDP ratio he said is 67.6%, lower than that of the region adding “that’s a good thing” and that the island is “moving closer to the target”.
The governor cited grant opportunities and the Citizenship by Investment Program which many of the islands have adopted as a main factor for the declining debt to GDP ratio regionally.
These he said are important as they are used to finance infrastructure and reconstruction.
“Less borrowing is required; the more borrowing that takes place will drive that ratio up in the wrong direction. So that financing, that soft financing is grants, CBI…is extremely important where that is concerned,” Antoine said.
He added that the decline also means the governments of the region are improving their fiscal accounts and “that is important to our region”.
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