IMF Projects “Moderate” Growth Ahead for SKN — 1.7% in 2025, 2.2% in 2026

According to the latest World Economic Outlook from the IMF, St. Kitts and Nevis can expect moderate economic growth over the next two years. The figure? Around 1.7% growth in 2025, rising to 2.2% in 2026 — a bit slower than the just-over-2% growth seen in 2024, but still steady given global pressures.

Globally, the IMF says growth remains positive despite ongoing trade tensions, with the world economy expected to grow at 3.2% this year and 3.1% next year. Inflation is up a little but being held in check, helped by trade exemptions, resilient supply chains, and adaptive private sectors.

But it’s not all smooth sailing. The IMF warns of risk: too much investment or consumption could spark a tighter monetary stance. A sudden shift could cut wealth, spending, and investment — ripple effects that might drag down activity. Also on the watchlist: China’s property market, lingering global instability, and those unpredictable natural disasters that always loom over island economies.

For SKN’s policymakers, the message is clear: moderate growth is possible, but it must be backed by smart reforms, sustainable fiscal policy, and preparedness. With the right path, the forecast could turn from moderate to momentum.