Good news for Trinidad economy
T&T economy to showing signs of turnaround from recession.
PORT-OF-SPAIN, Trinidad, Monday April 16, 2012 – The Trinidad and Tobago economy is making a turnaround following the global economic recession.
And according to a March 25, 2012 report from the International Monetary Fund, the country’s economy was expected to show growth in 2012.
That report outlined that Commercial Bank credit, especially in the business sector, expanded since mid-2011 for the first time since early 2010, while retail sales increased by 6.4 per cent up to the third quarter of 2011.
It added that the twin-island state’s recovery comes after slowdown over the last three years, but comes after buffers provided room for maneuver.
Among the report’s major highlights was the fact that monetary policy remained accommodative even in the face of subdued inflation. However, it pointed out that activity within the country’s energy sector was weaker than anticipated, and that contributed to the decline in 2011.
Meanwhile, the country’s external accounts rebounded in 2010, resulting in the economic outlook improving in the short term. The report added that the current account surplus increased to 20 per cent of Gross Domestic Product in 2010, and to about 21 per cent in 2011. This represented an eight per cent improvement over 2009 figures, and came mainly from better energy prices and a recovery of non-energy exports.
The report added that non-energy growth was expected to reach its potential of 3.5 per cent in 2012.