June 2020 Economic and Financial Review

June 2020 Economic and Financial Review DOMESTIC EONOMIC DEVELOPMENTS

of visitors to the currency union is estimated

Activity in the construction sector is

to have plummeted by 45.8 per cent to

provisionally estimated to have weakened in

1,608.9m, as all member countries were

most member countries. This weakening

affected.

was partially mitigated by ongoing public

sector construction activity in Anguilla,

Stay-over visitor arrivals fell precipitously

St Christopher (St Kitts) and Nevis and

by 54.3 per cent to 313,373, reflecting

Saint Vincent and the Grenadines.

declines in arrivals from all major source

markets, necessitating the temporary closure

The agriculture sector experienced knock-on

of most hotels. All eight countries

effects from the decline in tourism, though

experienced contractions in stay-over

the impact was slightly muted. In response

arrivals ranging from 47.8 per cent in

to likely international supply chain

Antigua and Barbuda to 55.5 per cent in

disruptions, governments implemented

Anguilla. The number of excursionists,

initiatives aimed at improving domestic food

yacht passengers and cruise ship visitors fell

production and enhancing food security.

by 60.0 per cent, 43.0 per cent, and 42.8 per

These include a land distribution programme

cent, respectively. Adverse impacts were

to 50 farmers in Antigua and Barbuda and

noted for ancillary sectors including

the distribution of seedlings in

transport, storage and communications,

Saint Kitts and Nevis. Despite a decline in

wholesale and retail, as well as real estate

banana production, exports grew by

renting, and business activities due to travel

3.8 per cent in the first half of 2020, giving

restrictions and the imposition of physical

rise to a 12.2 per cent increase, to $8.6m,

distancing and stay-at-home orders.

in revenue from exports of bananas.

ECCU Visitor Arrivals

Thousands

1,000.0 1,200.0 1,400.0 1,600.0 1,800.0

0.0 200.0 400.0 600.0 800.0

18 Q1 18 Q2 18 Q3 18 Q4 19 Q1 19 Q2 19 Q3 19 Q4 20 Q1 20 Q2

Stay-overs Cruise Ship Passengers

Yacht Passengers Excursionists

7