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CARICOM Business, 10 August, 2018

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CARICOM Business, 10 August, 2018 CARICOM BUSINESS A Weekly Business News Aggregation Service Vol.1 No. 30 Foreign Exchange Summary Guyana records 4.5% growth in first half of 2018 as at August 10, 2018 Guyana’s economy grew by an estimated 4.5% for the first Member State USD CAD GBP Euro half of the year, according to their Ministry of Finance’s 2018 Mid-Year Report. The report outlined that in the first half of Bahamas (BSD) 1.00 0.76 1.28 1.14 2018, the agriculture, fishing and forestry sector grew by an estimated 3.4% while the sugar & rice industries contracted Barbados 2.03 1.56 2.62 2.36 by 30.6% and 3.8% respectively. The gold sector performed (BBD) poorly, with an outcome which was 19.4 % below projec- Belize (BZD) 2.02 1.55 2.59 2.32 Guyana (GYD) 210.45 160.70 268.88 241.22 tions. The report details that revenue collections totalled GY$109.2B at end-June 2018 – a 12.4 percent increase rela- Haiti (HTG) 69.48 53.19 83.58 80.02 tive to the same period in 2017 – primarily due to increased Jamaica * 136.72 104.91 174.13 157.61 (JMD) collections from all the major tax categories. Those catego- OECS (XCD) 2.71 2.06 3.45 3.10 ries include: income taxes, which increased by GY$5.3B; VAT, Suriname 7.52 5.69 9.62 8.58 which increased by GY$3.4B; excise tax, which increased by (SRD) GY$3B; and trade taxes which increased by GY$2B. T&T (TTD) 6.80 5.47 9.17 8.31 (Newsroom Guyana) (NewsSource Guyana) *Rates applicable for Customs & GCT purposes Multi-billion dollar losses face Regional agriculture sector Business News In Brief Jamaican Agriculture Minister Audley Shaw has said that Provisional licensing of small businesses in Guyana adverse weather conditions have led to $1 billion in losses in With an informal sector estimated at approximately 60 % of the sector over the past two years. “Over the past five years, GDP, Guyana’s Finance Minister Winston Jordan piloted an the agriculture sector in the Caribbean has been affected by amendment to the Tax (Amendment) Bill 2018, which allows shifts in weather patterns. We have experienced significant for the provisional licensing of small business owners. There episodes of prolonged droughts, frequent intense rainfall, are some 18, 000 businesses in Guyana with only about 7, flooding and hurricanes. Climate-related natural disasters, 500 licensed. The legislation helps small businesses to start especially hurricane and drought, could result in losses esti- operations pending the granting of building, fire and other mated at US$22 billion annually by 2050 throughout the permits to formalise their businesses. In that regard section Caribbean,” Shaw noted. He outlined urgent and critical 71 has been amended to include a provision for the issuance strategic imperatives to achieve increased and sustainable of a provisional license for business premises. The provision- production in the agricultural sector, among them: Provision al license is to be issued for a period not exceeding 2 years & of more irrigation systems; implementing more drought- with a fee of 50% of the respective annual fee. (DPI) resistant measures such as water harvesting and storage; application of new technologies to include drones and alter- EPOC issues caution amidst declining Jamaican dollar native energy sources; coordinated value chain-driven part- The Economic Programme Oversight Committee (EPOC) has nerships and linkages between agriculture and industry; and cautioned the Bank of Jamaica (BOJ) not to erode stakehold- increased efforts to establish agricultural insurance er confidence gained over the past five years from its effort schemes. In July, the Minster introduced crop modelling to to price the local currency based on supply and demand. mitigate climate change impact on agricultural stakeholders This as Jamaica transitions from a managed float to a free in Jamaica, pointing out that it is a tool that is used exten- float in its foreign exchange market. However many have sively in global agriculture with benefits such as the maximi- linked exchange rate stability to macro-economic stability, sation of farmers' crop yields, improvement of research and generating some uncertainty. On August 10, the currency extension capabilities, and informing sustainable and depreciated to a record low of $136.72. The highest pur- effective planning. (JO) chase rate on that day was $137.80 while the highest selling rate was $145.68 in some market segments. (Loop) (CCS) Compiled and Edited by the Directorate of Trade & Economic Integration at the CARICOM Secretariat CARICOM BUSINESS A Weekly Business News Aggregation Service Vol.1 No. 30 Stock Market Summary Business News In Brief as at August 10, 2018 Barbados renews focus on cruise tourism Barbados is slated to to create a National Commission for Jamaica Stock Exchange Cruise Development. This will facilitate national consulta- Overall Market activity resulted from trading in 24 stocks of tion on how Barbados can develop as a cruise destination. which 12 advanced, 8 declined and 4 traded firm. Market The Commission must report to Cabinet in 12 weeks. This as volume amounted to 11,481,249 units valued at over the Tourism Ministry reports that Barbados trails its region- J$123,719,858.64. Mayberry Jamaican Equities Limited was al counterparts in average cruise tourist spend. Barbados' the volume leader with 9,408,575 units (81.95%) traded. average is US$78 vs. regional average of US$120. Top per- Index advanced by 278.07 points (0.09%) to close at formers St Kitts/Nevis & St Maarten earn average US$200 316,157.10. per cruise passenger. Tourism Minister Kerrie Symmonds has cautioned that Barbados cannot continue to tout its Barbados Stock Exchange record 800,000 cruise arrivals in 2017 if cruise revenue 2 securities traded firm as 56,496 shares traded on the Reg- remains stagnant comparative to 10 years ago; Barbados ular Market, with a total value of BB$197,654.40. Goddard earned US$57 million in 2008 - Barbados earned US$57.3 Enterprises Limited was the volume leader, trading 56,428 million in 2017. (NationNews) (CCS) shares at BB$3.50. Index closed at 3,002.65. Regional broadband speeds found wanting Trinidad & Tobago Stock Exchange A new study conducted by Cable.co.uk in May 2018 has Overall Market activity resulted from trading in 15 found the Region wanting in terms of average broadband securities of which 3 advanced, 3 declined and 9 traded internet speeds measured across 200 countries. Indeed the firm. Trading activity on the First Tier Market registered a highest ranking Caribbean country was Barbados with an volume of 363,733 shares crossing the floor of the Exchange average broadband speed of 17.08 mbps and an overall valued at TT $2,646,426.64. Grace Kennedy Limited was the ranking of 39 globally. The country was ranked 3rd in the volume leader with 253,750 shares changing hands for a Americas after USA & Canada. The lowest ranked CARICOM value of TT$735,872.00. The All T&T Index declined by 0.40 member was Haiti with an average broadband speed of points (0.02%) to close at 1,711.74. The Composite Index 2.42 mbps. Grenada & Suriname registered readings of 2.46 declined by 0.20 points (0.02%) to close at 1,230.92 and the & 2.47mbps respectively. Other CARICOM members ranked Cross Listed Index remained at 100.83. were St Vincent & the Grenadines, 2.6; Guyana, 2.64; St Lucia 3.0; Antigua & Barbuda, 3.85, Belize, 3.93; St Kitts & Guyana Stock Exchange Nevis, 6.12, Jamaica; 8.12, Bahamas 9.95 and Trinidad & Market activity resulted from trading in 4 stocks of which 2 Tobago, 11.37mbps respectively. Singapore ranked #1 with advanced and 2 traded firm. Market volume amounted to an average broadband speed of 60.39 mbps. The Region 32,255 units with Demerara Distillers Limited (DDL) being also continues to lag behind its global counterparts in terms volume leader with 28,000 shares (86.8%) trading. The of broadband penetration. This in the wake of an IDB study Lucas Stock Index closed at 433.5. that found that a 10% increase in broadband penetration in Eastern Caribbean Securities Exchange (ECSE) the region could boost GDP by an average 3.2% & raise productivity by 2.6 %. (CCS) 1 stock traded as market volume amounted to 958 shares with S. L. Horsford & Company Ltd being volume leader and International Oil Prices as at August 10, 2018 sole trader for the session with shares changing hands at Futures Price US$ Change % Change XCD$2.00 per share. Index closed at 152.71. WTI Crude US$67.63 +0.82 +1.23% Brent Crude US$72.81 +0.74 +1.03% This newsletter is compiled & edited by the Directorate of Trade & Economic Integration at the CARICOM Secretariat OPEC US$72.03 -0.18 -0.25% Basket only as a convenience for the Member States. Natural Gas US$2.944 -0.011 -0.37% .
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