Dominica’s economy projected to grow 3.1% in 2026: IMF

Dominica: The International Monetary Fund (IMF) has forecasted that Dominica’s economy will grow by 3.1% in 2026, Finance Minister Dr Irving McIntyre announced during the Budget Address for the 2026-2027 fiscal year on Tuesday, 4 August 2026.

As we forge ahead, the IMF projects that Dominica's economy will expand by a further 3.1% in 2026. That is 0.1% above the 3% forecasted for global and ECCU economies, the Finance Minister said.

Dr McIntyre noted that the projection reflects continued confidence in Dominica’s economic resilience and growth trajectory, following an estimated 4.5% expansion in the year 2025, driven by tourism, construction and trade.

Building on the 3.5% which was achieved in 2024, Dominica achieved growth of 4.5% in 2025.

The minister noted that Dominica’s economy outperformed both global and regional averages last year. He also mentioned that the nation has remained resilient despite global economic challenges.

Citing IMF data, he said global economic growth was estimated at 3.5% in 2025, however, the Eastern Caribbean Central Bank (ECCB) projected 3% growth for the Eastern Caribbean Currency Union (ECCU).

By comparison, Dominica recorded 3.5% growth in 2024, with expansion accelerating to an estimated 4.5% in 2025, surpassing both the global and ECCU averages. Dr McIntyre attributed the performance to an 18.3% rise in visitor arrivals, alongside robust growth in construction and in wholesale and retail trade.

This strong performance was driven by an 18.3% increase in visitor arrivals alongside expansion in the construction, retail, and trade sectors, he noted.

Dr. McIntyre noted that in Dominica, inflation within the ECCU stood at 2.5% adding that the inflation in Dominica was below average at 2.3% easing from 3.1% in the previous year as prices of imported goods softened.