International Monetary Fund: Caribbean Real GDP to Grow 4.2 percent in 2011

The Caribbean region’s real GDP is projected to grow at 4.2 percent this year, following a 3.4 percent increase in 2010, according to the International Monetary Fund’s World Economic Outlook. The organization predicted a 7.2 percent in consumer prices for this year, along with a 4 percent drop in the region’s current account balance. Last year, the Caribbean saw a 7.1 percent increase in consumer prices, along with a 3.9 percent drop in the current account deficit. The report attributed much of the predicted growth for 2011 to the strong performance of the Dominican Republic and to post-earthquake rebelling in Haiti. Excluding those two countries, growth is projected to be 2.25 percent this year. According to the report, high levels of public debt across the region mean the outlook for these countries is tied closely to external developments.