Commercial banks across the Eastern Caribbean Currency Union remained resilient throughout the 2025-2026 financial year, supported by strong capital buffers, ample liquidity and improving loan portfolio quality, the Eastern Caribbean Central Bank has announced. According to Antigua News Room, the findings are contained in the ECCB's 2025-2026 Annual Report, which concludes that the region's financial system maintained stability despite geopolitical tensions, shifting trade policies and global market volatility.
The report states that robust capital adequacy and high liquidity levels allowed financial institutions across the eight-member Currency Union to remain well positioned to support economic activity. Those conditions helped underpin regional economic growth, estimated at 2.5% in 2025, driven primarily by tourism and infrastructure investment. Inflation eased during the latter part of the year, while the Eastern Caribbean dollar held its long-standing fixed exchange rate of EC$2.70 to US$1.
ECCB Governor Timothy Antoine described the year as one marked by "heightened global uncertainty and profound shifts in the international political economy," citing changes in trade policy, geopolitical tensions and realigned diplomatic alliances as disruptive forces on the global stage. For the Eastern Caribbean, he said those developments underscored the importance of prudent policymaking, strong institutions and regional cooperation.
"Despite these external challenges, the ECCU maintained economic stability," Antoine wrote in the report's foreword.
The annual report identifies preserving financial stability as one of the ECCB's core mandates and one of six strategic priorities under its newly adopted 2026-2031 Strategic Plan, titled "The Big Push: Collective Action for Shared Prosperity in the ECCU." Under that framework, the Bank intends to strengthen the region's financial infrastructure through regulatory reforms, expanded financial inclusion and modernisation of payment systems.
Among the reforms already underway are the establishment of the Office of Financial Conduct and the Eastern Caribbean Financial Standards Board, both designed to strengthen oversight of non-bank financial institutions, including credit unions and insurance companies.
The ECCB also advanced financial inclusion during the year through the launch of the ECCU First Step Savings Account, which broadens access to basic banking services for more residents. In addition, the regional EveryData ECCU credit reporting platform began receiving information from participating institutions, aiming to improve credit underwriting and expand financing access for households and businesses.
Looking ahead to 2026-2027, the Bank said financial stability will remain a central priority. Its work programme includes bringing the ECCU Credit Bureau into full operation by onboarding remaining credit unions, development banks, hire purchase companies and other credit information providers. The ECCB said broader participation will improve credit information availability, resulting in faster loan approvals, stronger risk assessment and more efficient lending decisions across the financial system.
The Bank also plans to continue strengthening regulatory and supervisory frameworks, improving data quality and advancing legislative reforms designed to safeguard the financial system while supporting inclusive economic growth throughout the Currency Union.
