Antigua and Barbuda recorded a sharp decline in inflation during 2025 while maintaining steady economic growth, according to the International Monetary Fund’s latest assessment of the country’s economy.

The IMF reported that inflation moderated from more than 6 percent in 2024 to just 1.4 percent in 2025, providing some relief for consumers and businesses after several years of elevated prices.

At the same time, the country’s economy grew by an estimated 3 percent in 2025, supported mainly by increased construction activity, even as tourism growth slowed.

The IMF said employment levels have continued recovering and are gradually returning to pre-pandemic levels.

Public finances also improved, with the fiscal position strengthening due to better tax collection, stronger Citizenship by Investment Programme revenues and restraint in government spending.

The IMF estimated that Antigua and Barbuda’s primary balance reached nearly 5 percent of GDP in 2025, while public debt declined to approximately 68 percent of GDP.

Despite the positive indicators, the IMF cautioned that risks remain. These include global economic uncertainty, rising commodity prices and domestic capacity constraints that could slow growth in the years ahead.

The organization also pointed to the country’s ongoing arrears challenges and stressed the need for stronger debt management and continued fiscal reforms.

The IMF projects Antigua and Barbuda’s economy will continue growing steadily over the medium term, with inflation expected to remain low and debt levels gradually declining further if reforms continue.