Minister of Tourism, Economic Affairs, Transport & Telecommunications Franklin Meyers, would like to reassure the community that Government is closely monitoring the volatile situation in the global financial markets due to continuing concerns about weak economic growth and high levels of debt in both the United States and in Europe.
Within the Ministry of Tourism, Economic Affairs, Transport & Telecommunications, an "Economic Monitoring Committee (EMC)" was established earlier in the year comprising of representatives of various government departments within the ministry to monitor economic developments.
The U.S. Federal Reserve said that U.S. economic growth was considerably slower than expected. Last week when one of the leading ratings agency downgraded the U.S. government’s credit rating from the top AAA grade, this sent stock markets across the globe in a tailspin.
"Investors are concerned how the high debt burden in Europe and the U.S. are going to be handled if the global economy slows down further.
"There are a number of factors playing a role. The International Monetary Fund (IMF) already reported back in June that global economic activity is slowing down pointing out that global expansion remains unbalanced.
"This means that in the developed world such as in Europe and the United States, growth remains still weak. The world economy is still in a recession since the financial crisis back in late 2008. At this point in time, we will continue to monitor global developments closely.
"The impact on the local economy will also be closely monitored via our EMC. Based on an analysis, we will determine any future plans of actions. At the moment Government remains steadfast in developing the nation’s infrastructure which pumps money into the local economy.
"Secondly, government will work with investors who have shown interests in investing in the island which can contribute to the further improvement in the quality of life for our people. The creation of jobs is first and foremost," Minister of Tourism, Economic Affairs, Transport & Telecommunications Franklin Meyers said on Tuesday.
The IMF reports that a mild slowdown was observed in the second quarter of 2011. On the positive side, growth in most emerging and developing economies continues to be strong.