Trinidad and Tobago is the only country in the Caribbean that consistently maintains a surplus on its external current account due to its position as an energy-exporter. Excluding energy exports, however, Trinidad and Tobago runs a significant non-energy trade deficit.
However, I will privilege the Luxembourg dimension when the need emerges to illustrate some of my contentions. The advent of EMU has prompted a renewal of the debate on the interplay between fiscal and monetary policy. Although this debate is multifaceted, I will narrow it down to three basic questions. In my opinion, these questions address the most relevant issues at stake.