The International Monetary Fund (IMF) has projected a 4.25 percent growth for Dominica in 2025, noting that the country’s GDP expanded by 3.5 percent in 2024.
In its Staff Concluding Statement of the 2025 Article IV Mission, conducted from March 24-April 3, the IMF attributed the 2024 growth to a rebound in tourism and targeted development investments aimed at strengthening economic capacity and competitiveness. The Fund expects continued momentum in 2025, driven by strategic infrastructure projects designed to boost tourism and transition to geothermal energy.
“Tourism arrivals have surpassed pre-pandemic levels by roughly 32 percent, but the composition has shifted towards cruise visitors over stay overs. The current account (CA) deficit narrowed by 2 percentage points to 32¼ percent of GDP in 2024, reflecting higher tourism receipts,” the report stated.
“Growth is expected to converge towards 2 percent over the longer term, as major capital projects wind down and fiscal consolidation intensifies. The CA balance is projected to improve steadily to its norm by 2028 on the back of increased tourism, a normalization of investment imports, and reduced fuel imports with the rollout of geothermal energy,” the report added.
The IMF report noted that inflation had eased from its 2023 peak of 7 percent, averaging 3.1 percent in 2024.
According to the Fund, fiscal imbalances have narrowed; however, public debt remains elevated and above pre-pandemic levels due to the impacts of successive natural disasters and the economic fallout from the COVID-19 pandemic. The IMF projects that with sustained fiscal efforts, public debt will decline to 69.75 percent of GDP by 2035.
The primary deficit declined to 2 percent of GDP in FY2023/24 and is expected to shift into a modest surplus of 0.1 percent of GDP in FY2024/25, largely due to recent tax reforms, including increased excise duties on sugary drinks, alcohol, tobacco and diesel.
The Fund assessed Dominica’s financial system as stable and liquid. However, it noted a continued decline in bank credit since 2023, citing ongoing de-risking and balance sheet constraints. In contrast, credit unions have rapidly expanded their lending portfolios and now account for 53 percent of total private sector credit. The IMF called for modernization of regulatory frameworks to address supervisory gaps and ensure financial sector stability.
To further reduce economic imbalances and debt vulnerabilities, the IMF recommended an ambitious fiscal consolidation strategy. This includes broadening the revenue base and streamlining expenditures while maintaining essential social and economic investments to support resilient growth. Proposed measures include adjusting VAT rates to improve yield, rationalizing tax incentives to reduce leakage, introducing levies on tourism and highways, implementing a solid waste management fee and enhancing tax administration and compliance.
The IMF also underscored the importance of improving the sustainability of social protection programmes as a critical element of fiscal adjustment, ensuring both social inclusion and long-term resilience.
Read Full Report Here:
Not only Ibo,all the blue puppets are buried in a cocoon of ignorance and stupidity.
That is the reason the guy contract with IMF was not renewed.A paid for doctorate in economics,using IMF information for his personal financial benefit.Right now we have Booloukoo Ibo France bursting his blood vessels.Unless your head is buried in a pit toilet,you will know and see Dominica is making progress.The only unemployed people are lazy do nothing UWP.Edincort St.Valle,unemployed,Edison James,unemployed.Danny Lugay,unemployed,Lennox Lin Clown,unemployed.Thompson Fontaine,unemployed.All of them sitting outside of the Prevost Cenemal all day,everyday selling raffle tickets and talking bull.And all of them above 65.LAZY.No example for the young people,Edison James 85 selling tickets,Edincort St.Valle 75 selling tickets,Lennox Lin Clown 72 selling tickets,Thompson Fontaine above 60 selling tickets.Nicholas George 75 selling tickets.All enemies of the state hate IMF especially the one with the doctorate nobody in the region trusting.The inventor of lies.
While Dominica’s economy is fast asleep,the IMF is playing with figures.
These statistics are not factual assertions. They are compiled by the technocrats and statisticians employed by the government and given to the IMF. They are skewed every time to deceive.
There is hardly any new foreign direct investment. Unemployment is constantly rising, inflation is surging and the anorexic economy is further shrinking, it’s all bones.
Government is the largest employer as many jobs in the private sector have gone to the grave. Things in the country are bleak. Evidence of this is the constant exodus of young people migrating overseas in search of garner pastures. Thousands of Dominicans are now permanently giving in Antigua, St. Kitts & Nevis, St. Martin, Guadeloupe and all over the globe.
@Ibo France, please I beg you tell us what the true numbers are. Based on your opinion all the positive information put out by the IMF about Dominica is false, what about information on other countries is that also false? Or do you hate Dominica that much that positive news about it gives you a running stomach.
The information put out by the IMF and the reality on the ground are polar opposite.
Can you give me the reasons why such large and constant exodus of citizens are editing their country to take up permanent residence overseas? Do people flee from progress and prosperity? Hardship does that!
In Dominica, living conditions are horrendous. Reasons for the depopulation of the country.
Ask your boss, Fontaine. He worked for the IMF. Ask him if these figures are true or false? You are one jealous and disgruntled bum from Dominica. What have you contributed to your country? Nothing but criticisms everyday. Ibo, take a hike. Dominica is doing well without you.
That’s it DNO put out the positive about Dominica.Everything negative about Dominica by a handful of UWP illeterate puppets,you quick to post.Waiting to hear Bwa-Banday,Ibo,MEME,Him,Hmmmm and that prostitute from LA say Skerrit buy IMF.Some of them (them not he)was using IMF official and private information for their personal benefit,just like the $25,700us to their(not his) personal bank account and the land at Rosalie
Do you live in Dominica?