Bahamas

Economic growth in the Bahamas rose to 3.4% in 2006, the highest figure in the past seven years, with tourism as the main engine of that growth. Visitor numbers have declined slightly (1%) but demand for real estate from non-residents and investment in hotel complexes boosted construction, which grew by 25%. Higher tax receipts from increased imports and real-estate transactions helped to improve fiscal accounts. Spending rose by almost one percentage point of GDP, for reasons which included preparations for the general election in April 2007, but revenue increased more, by 1.5 points of GDP. Liquidity increased, particularly credit to the private sector, but inflation remained low, close to the United States price index. The balance-of- payments current account deficit almost doubled, and although the surplus on the financial account expanded owing to very strong external capital inflows, it was not enough to make up for the current-account deficit. Net international reserves diminished.

Sustainable Development Goals:

Decent Work and Economic Growth

Industry, Innovation and Infrastructure

Peace, Justice and Strong Institutions