Macro - Country Economic Forecasts - St. Lucia

Macro - Country Economic Forecasts - St. Lucia

We have sharply upgraded our 2023 GDP growth forecast for Saint Lucia by almost 6ppts to 8.7% y/y as domestic and external headwinds are set to dissipate. Inflation has eased, contributing to improving domestic demand. The growth outlook for Saint Lucia's main tourism inflow markets is now better than was expected six months ago, leading us to believe the tourism sector should outperform our past expectations. We forecast growth will remain robust at 6.7% in 2024, and the economy will return to its pre-pandemic size.