Antigua and Barbuda’s economy is projected to grow by 4.0% in 2026, maintaining solid expansion even as economic activity slows across much of Latin America and the Caribbean, according to new projections from ECLAC.

The forecast follows an estimated 5.0% growth in 2025, pointing to continued resilience in the twin-island state’s tourism-driven economy despite increasing global uncertainty.

The updated outlook comes as ECLAC revised its regional forecast downward, projecting average growth of 2.2% across Latin America and the Caribbean in 2026, amid a more challenging international environment.

Antigua outperforms regional average

While growth is expected to decelerate in the majority of countries, Antigua and Barbuda’s projected 4.0% expansion places it well above the regional average, reinforcing its position among stronger-performing Caribbean economies.

ECLAC indicated that 24 of the region’s 33 economies are expected to slow in 2026, reflecting widespread moderation in economic activity.

Global pressures weighing on outlook

The commission pointed to a combination of external factors driving the slowdown, including heightened geopolitical tensions, rising inflation, and tighter global financial conditions.

Higher oil prices and increasing food costs are contributing to inflationary pressures, while slower growth in major global economies and weaker trade expansion are expected to limit external demand.

At the same time, central banks in major economies have maintained cautious monetary policies, keeping borrowing conditions relatively restrictive.

Caribbean picture remains uneven

Within the Caribbean, overall growth is projected at 5.6% in 2026, though this figure is heavily influenced by rapid expansion in Guyana. When that outlier is excluded, regional growth is significantly lower, underscoring uneven performance across countries.

Structural challenges persist

ECLAC warned that the region continues to face structural constraints, including limited long-term growth capacity, vulnerability to external shocks, and subdued domestic demand in several economies.

The commission said strengthening investment, improving productivity, and enhancing economic resilience will be critical for sustaining growth in the years ahead.

For Antigua and Barbuda, the projected 4.0% growth in 2026 signals continued economic stability, even as global headwinds and regional slowdown present ongoing challenges.