New GDP Figures Reveal Return to Growth in TCI

Turks & Caicos News – August 2012

New GDP Figures Reveal Return to Growth in TCI

The growth in Gross Domestic Product (GDP) of the Turks and Caicos Islands in 2011 was 4.1% in 2011 it was announced by interim Chief Economist Stephen Pollard. 

The Strategic Planning and Policy Unit of the Ministry of Finance, Trade and Tourism has completed an update of the Gross Domestic Product (GDP) figures in the TCI for the years 2009 to 2011. GDP is the value of all goods and services produced in the economy within a given period of time, usually one year. 

GDP is the monetary value of all the finished goods and services produced within a country's borders in a specific time period, normally on an annual basis. It includes all of private and public consumption, government outlays, investments and exports less imports that occur within a defined territory. 

The figures for GDP in constant market prices are $522.8 million in 2009, $527.9 million in 2010 and $549.6 million in 2011. These figures show a decline in GDP of 19.6% in 2009 followed by a slight increase of 0.98% in 2010 and the increase of GDP of 4.10% in 2011; that is, in constant, 2000 prices. 

Hotels and restaurants continue to dominate the economy contributing 47.4% to GDP in 2011. This sector grew by 22.7 per cent in 2011, contributing significantly to the estimated growth in real GDP. The construction sector recorded a decline for the third consecutive year.  “The improved performance of the economy in 2011 reflects an expansion in key industries such as hotels and restaurants, transport, storage and communication, and real estate, renting and business activity,” said Stephen Pollard. “However, the drastic fall in GDP in 2009 (19.6%) followed by smaller improvements since, shows that although the economic picture in TCI is improving, it has some way to go before it is back to pre-2009 levels.” 

“These statistics back up what I have been saying in public for some time – things are improving here in the Turks and Caicos,” said His Excellency Governor Ric Todd. “While I accept that not every individual is benefitting from this economic growth or the improving public finances, the direction of travel is positive. 

“I am grateful to everyone who contributed to this study whether a business, Statutory Authority or other types of organisations; that is by completing the annual survey of business establishments.”  

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Turks & Caicos Sun Newspaper, August 7^th, 2012