MEFD May 2015

Published: Thursday July 2nd, 2015

During May, an improving tourism sector performance, alongside foreign investment-related projects, underpinned a steady, yet mild, growth momentum for the Bahamian economy. Although the implementation of the Value Added Tax (VAT), in January, resulted in broad-based price gains, domestic inflation remained relatively low, being partly constrained by the pass-through effects of lower global oil prices. In the latest fiscal assessment, the VAT-led rise in revenue secured a sharp reduction in the overall deficit through April of FY2014/15. The monetary sector registered gains in both bank liquidity and external reserves, buoyed by net foreign currency inflows from real sector activities. 

For full text reading, please download the attached document.