Country Economic Forecasts - St. Vincent And The Grenadines

Country Economic Forecasts - St. Vincent And The Grenadines

The global tourism recovery has been slower than expected, and the volcanic eruption of La Soufriere has caused further delays in St. Vincent, with the first cruise ship since March 2020 arriving in August 2021. Only 19% of residents are fully vaccinated against Covid, meaning the return of tourists could lead to a spike in infections and reimposition of travel restrictions from its largest tourist sources. We have therefore slashed our GDP forecasts to a 2% contraction in 2021 from a 1.6% decline previously, and to 3.6% growth in 2022 from 4.5%.