The World Bank forecasts that Barbados will achieve a 3.9% economic growth rate this year, followed by a projected 2.8% in 2025.
These predictions are part of the World Bank’s economic review, Taxing Wealth for Equity and Growth, released on Wednesday. The report also anticipates Barbados’ economy to grow by an additional 2.3% in 2026.
The analysis further reveals that economic growth across Latin America and the Caribbean (LAC) will slow to 1.9% this year from 2.1% in 2023, with a rebound expected in 2025. The region is reportedly making significant progress in combating inflation and addressing macroeconomic challenges brought on by the COVID-19 pandemic. However, ongoing efforts are needed to correct fiscal imbalances, reduce debt, recover lost income, and restore gains made in poverty reduction over the last decade.
View Commercial Properties for Sale in Barbados
The report also discusses the potential of wealth taxes to create fiscal room while promoting equity and growth, including recent proposals for taxing billionaires presented at the G20 summit.
While the collection of wealth taxes in the LAC region remains low, averaging 0.5% of GDP, the report highlights Barbados as a standout, collecting over 5% of GDP through such taxes. The World Bank also noted that in many countries across the region, real estate makes up 80% of wealth, yet only about 2% of tax revenue is generated from real estate taxes. Barbados again outperforms the region, collecting about 4% of tax revenues from this source.
View Commercial Properties for Sale in Barbados
View all of our Properties for Sale in Barbados
