Antigua and Barbuda's economy expanded steadily in 2025 while inflation fell sharply, according to the International Monetary Fund's latest economic assessment of the country. As reported by Antigua.news, the findings offer a broadly positive picture of the nation's financial health, though the IMF has flagged several risks that could temper future progress.
Inflation moderated significantly, dropping from more than 6 percent in 2024 to just 1.4 percent in 2025. The decline provides meaningful relief for consumers and businesses that have weathered several years of elevated prices.
The country's economy grew by an estimated 3 percent in 2025, driven largely by increased construction activity. Tourism growth, however, slowed during the same period. Employment levels continued to recover, with the IMF noting a gradual return toward pre-pandemic figures.
Public finances also strengthened over the course of the year. The IMF credited improved tax collection, stronger revenues from the Citizenship by Investment Programme, and disciplined government spending for the gains. The country's primary balance reached nearly 5 percent of GDP in 2025, while public debt declined to approximately 68 percent of GDP.
Despite the encouraging indicators, the IMF issued a note of caution. Global economic uncertainty, rising commodity prices, and domestic capacity constraints all pose risks that could slow growth in the years ahead. The Fund also highlighted Antigua and Barbuda's ongoing arrears challenges, stressing the importance of stronger debt management and continued fiscal reform.
Looking ahead, the IMF projects steady medium-term economic growth for Antigua and Barbuda, with inflation expected to remain low and public debt continuing to decline — provided that reform efforts are sustained.
