Working Paper Series: Special Edition of 2016 to 2018 Interns

2.0 Stylised Facts

2.1 Natural Disaster Occurrences in the Caribbean The Caribbean region is susceptible to varying types of natural disasters such as hurricanes, floods, landslides, earthquakes, volcanic eruptions and droughts. Over the years, there has been an overall upward trend in the number of disaster occurrences affecting the region (Figure 1). During the period 1986 to 2016, the region experienced more than twice the amount of natural disasters compared with the occurrences of disasters over the period 1950 to 1986. Thus, showing the significant increase in the level of weather-related hazards over time.

Figure 1: Natural Disaster Occurrences in the Caribbean 1950-2016

35

30

25

20

15

10

5

0

1940

1950

1960

1970

1980

1990

2000

2010

2020

Source: EM-DAT

2.2 Growth in the ECCU The ECCU countries have experienced high levels of growth in the immediate post-independence period; however, there has been a decline in growth since the 1990s due to the removal of preferential trade agreements and other external shocks (Figure 2). The elimination of trade preferences made the agricultural sector of the economies uncompetitive as a result of the decrease in the prices of agricultural products, thus leading to a decline in revenue from exports. Additionally, the global financial crisis of 2007-2009 and the consequent global recession exacerbated the situation. Notably, Antigua and Barbuda experienced high levels of economic

155