IMF forecasts small growth for T&T, big decline for Venezuela with inflation near 13,000%

The International Monetary Fund (IMF) is forecasting a 0.2 percent growth in Trinidad and Tobago's economy this year.

The figure was listed in the IMF's World Economic Outlook for 2018, released today.

It also forecasts the same growth rate of 0.2 percent for the year 2019 but has a five-year forecast of 1.9% growth in 2023.

According to the IMF figures, Trinidad and Tobago was among three of 32 countries in Latin America and the Caribbean, that registered a decline in its economy last year.

The IMF figures show that real GDP fell 2.6% in 2017.

The other two countries that saw declines were Venezuela at -14% and Dominica at -4.2%.

Dominica, which is still recovering from devastating hurricanes last year, is forecast to decline by a massive 16.3% this year, which will represent the largest decline in all of Latin America and the Caribbean for 2018.

Venezuela's decline is expected to be 15% of GDP this year.

However, while Dominica is expected to rebound with a 12.2% increase in 2019, the IMF's forecast shows a continued path of decline for Venezuela over the next five years.

The forecast for inflation in T&T is 2.7% while the forecast inflation rate for Venezuela in 2018 is 12,874.6%, grossly up from the inflation rate of 2,818.4% in 2017.

T&T's biggest decline for the decade was in 2016, when GDP fell by 6%, according to the figures released by the IMF.

Guyana, which recently discovered gas, is forecast to grow by 27.8 percent in the year 2023.

That would represent the biggest one-year increase of all countries in Latin America and the Caribbean, in decades.

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