Macro - Country Economic Forecasts - Martinique

Macro - Country Economic Forecasts - Martinique

We have lowered our forecast for Martinique’s GDP growth this year by 0.9ppts to 0.9% y/y to reflect tighter financial conditions that are limiting global economic activity. Alongside this, consumption, which was the main driver of the economic recovery after the coronavirus pandemic, has been subdued as high inflation has been eroding real consumer incomes for the past two years. Although inflation peaked in Q3 2022, we expect prices to only fall slowly. The tourist season has ended, meaning there are very limited signs of economic relief ahead.