Economic
Central Bank warns of fallout from US tariff hike
Barbados faces potential GDP losses of up to $157.6 million due to US‑imposed import tariffs impacting exports and tourism.
Following the United States’ announcement of a 10 per cent baseline tariff on all imports, Central Bank of Barbados experts estimate that Barbados could suffer an economic fallout of between $88.9 million and $157.6 million. The risk stems from Barbados’ heavy integration with the US via trade and tourism, with Barbados importing $1.6 billion from the US while exporting only $161.1 million. Under a baseline scenario, a 7.5 per cent drop in tourism arrivals from the US and a $15.6 million export loss would translate into a GDP loss of $88.9 million. A severe scenario assumes a 15 per cent drop in visitors and a $17.8 million export loss, raising the GDP‑impact to $157.6 million. The analysis warns that merchandise exports, especially in sectors such as rum, jewellery and niche manufacturing, would face moderate declines, introducing meaningful downside risks to inflation, fiscal performance and the country’s economic buffers.
- Status
- active
- Location
- Barbados
- Date added
- 2026-03-25 20:27 UTC
- Added by
- gregoryamericaapdrmis
- Last updated
- Source published dsate/time
- Not provided
- Event date/time
- Not provided
- Connected threats
-
- Not Available