The economy of Barbados is based on tourism, the international business sector and construction related foreign direct investment. These sectors have replaced sugar as the underpinnings of an economy that has traditionally been among the wealthiest in the Caribbean. Its economy is supported by an open trade regime, a stable policy environment, high-quality infrastructures and strong human capital. Barbados faces some development challenges including high public debt, vulnerability to external shocks and natural disasters (including droughts, hurricanes and earthquakes), narrow production base and diseconomies of scale.
As a CARICOM member, Barbados needs further economic and commercial regional integration and further implementation of the Economic Partnership Agreement between this regional group and the EU. Also, Strengthen the competitiveness of its export oriented sugar and banana producers.
Based on the ITC 2014-2018 Strategic Approach to the Caribbean Region, ITC will focus on implementing at regional level the recommendations of strategies recently developed by CARICOM for the cultural industries and professional services sectors.