Monday, Nov 18, 2019
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Johnson: IMF assessment in line with govt projections

The International Monetary Fund’s (IMF) assessment that the economy will level out at 2.1 percent, falls in line with the government’s projections late last year, according to Financial Secretary Marlon Johnson.

“They didn’t indicate that they expect the trajectory to change. It will be level at the 2 percent growth rate so the same healthy growth. They’re still expecting growth in 2019,” he said.

“I think by their projections they anticipate that to level off, but the deputy prime minister would have said the government is looking to ensure that the economic growth stays buoyant and beats the forecast.”

This steady growth is tied to growth in the tourism sector, the IMF noted, however over the medium-term shrinkage is expected to potentially 1.5 percent as tourism growth normalizes.

As for recommendations for continued restraint on the expenditure side, in an effort to meet the government’s deficit

targets, Johnson said, “In that assessment they will make their recommendations and it is really left up to the authorities in the respective countries to determine which of the recommendations they will take on and which of the recommendations they don’t think have merit.

“The assessments are what they are, as is the case around the world; governments will agree with some of the observations but for all governments it provides a useful tool to see what the strengths and weaknesses and opportunities are in a particular country.”

Johnson said in the meantime, a truer representation of government’s fiscal position will be detailed in the third quarter fiscal snapshot report that will be released by the end of this month.

Paige McCartney

Business Reporter at The Nassau Guardian
Paige joined The Nassau Guardian in 2010 as a television news reporter and anchor. She has covered countless political and social events that have impacted the lives of Bahamians and changed the trajectory of The Bahamas.
Paige started working as a business reporter in August 2016.
Education: Palm Beach Atlantic University in 2006 with a BA in Radio and Television News
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