International Monetary fund signage at its office in Washington, DC, United States (File photo)

IMF approves another disbursement for Barbados

International Monetary fund signage at its office in Washington, DC, United States (File photo)

The International Monetary Fund’s (IMF) executive board has authorised another US$24 million disbursement to Barbados under its Extended Fund Facility, following the fifth review of the arrangement.

“Barbados continues to make strong progress in implementing its homegrown Economic Recovery and Transformation plan, despite major challenges from the ongoing global pandemic. The authorities remain strongly committed to program implementation,” Tao Zhang, deputy managing director and acting chair stated in a release last Wednesday.

An aerial view of Bridgetown, the capital of Barbados (Photo: businessinsider.com)

However, the IMF noted that Barbados will continue to experience challenges, especially from the coronavirus pandemic, due to being a tourism-dependent country.

To this end, the fund recommended that the authorities in that country move with haste to implement structural reforms.

“A strong recovery after the global pandemic will depend on accelerating structural reforms to improve the business climate and facilitate green and digital transformation. Strengthening resilience to natural disasters and climate change is key to achieving long-term sustainable economic growth,” Zhang pointed out.

International Monetary Fund Deputy Managing Director and Acting Chair Tao Zhang says Barbados is making progress in implementing its comprehensive homegrown economic recovery and transformation plan.

And while the IMF official welcomed the removal of Barbados from the European Union’s list of non-cooperative jurisdictions for tax purposes, he urged the authorities to fully implement the FATF action plan, so as to exit the bloc’s grey list.