Figure 15
Monthly Visitor Arrivals (April-August 2012/2013)
55000
50000
45000
40000
35000
30000
April
May
June
2013
July
August
2012
Source: Caribbean Toursim Organisation
Net international reserves experienced a 22.7% decline
between Q3 2012 and Q3 2013, falling from USD653.7 million
to USD505.25 million. As a result, import cover fell from 17.3
weeks to 13.3 weeks. The Central Bank noted in October 2013
that the proposed fiscal adjustment could help rectify this
situation and that “a fiscal adjustment of BBD461 million
reduces imports and results in a reserve import cover of
15.2 weeks by the end of March 2015”. In his 2013 budget
address, the Minister of Finance indicated that the ongoing
Inter-American Development Bank Policy Base Loan and the
Energy Policy Base Loan should boost reserves by USD135
million by the end of the year.
There were a total of three Government of Barbados issues in
the market during the second and third quarters of 2013:
• 7.75% Debenture due 2033
• 6.875% Debenture due 2024
• 4.125% Treasury Note due 2015
Adding to this concern was the controversial decision taken
by the government to cancel its proposed USD500 million
international bond issue in October. The proposed issue
was intended to be used to redeem the existing 7.25% 2021
and 7.00% 2022 Eurobonds as well as raise approximately
USD250 million in new funds and was carded at 8.75% at a
maturity of 10 years. However the offer was withdrawn at an
advanced stage prompting concerns that Barbados was unable
to raise the support needed from [