With the slowing of economic activity in Barbados’ main trading partners expected to continue through the end of 2009, and possibly beyond, a downturn in the domestic economy is anticipated. Tourist arrivals are set to fall, with knock-on effects on the wholesale and retail, transportation, storage and communication and business and other services sectors.
In addition, even with Government’s efforts to fast-track projects, there is likely to be a reduction in commercial and residential activity, particularly given the unfavourable conditions for accessing external project financing. BIS Review 53/2009  3  Commensurate with the downturn in real economic activity, the unemployment rate should trend upwards.