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Recession in the Caribbean

By Cdr. Bud Slabbaert expressions like ‘crippling
impact’, ‘severe impact’,
PHILIPSBURG, ST. MAARTEN ‘crisis’, etc. The recovery
— When there are reports was called ‘sluggish’.
on ‘Latin America & Carib- Which brings us the impor-
bean’, one has to review tant question that might
them carefully and with give us hint. How long took
some skepticism, to avoid that recession? It was de-
coming to false conclu- termined by the National
sions or statements; no Bureau of Economic Re-
matter whether the reports search in the USA, that it
are positive or negative. started in December 2007
The economies of the large and lasted June 2009, thus
South American countries eighteen months. Consider
are simply not the same that the USA is the major
as those of the small Ca- tourism source market for
ribbean islands. It is said this region, and in the USA
that the Caribbean is the a recovery may go just a
world’s region that is most bit faster.
depending on tourism and
that is a claim that doesn’t As a conclusion, four piec-
apply to South America. es of advice.
However…., 1. Think about serious
planning of needs for the
The World Bank has report- next twelve months. But
ed that the impact of the twelve months would bring
COVID-19 pandemic will one in the 2021 low season
send Latin America and and hurricane season. So,
the Caribbean into the About the author make it 18 months, just as
deepest economic hole of Cdr. Bud Slabbaert is the Chairman and Coordinator of the Caribbean Aviation Meetup, an an- long as the duration of the
the last 60 years. What’s in it nual results and solution oriented conference for stakeholders of ‘airlift’ in the Caribbean. Mr. Slab- previous recession.
for the Caribbean part? For baert’s background is accentuated by aviation business development, strategic communication, 2. Diversify the econ-
a moment, forget about and journalism. In accordance with his study of Economy in his younger years in Germany, he is omy. But that is a piece of
the rest of LatAm/Carib re- authorized to carry the title of ‘State Certified Economist’. advice that is an old hat
port. What counts is what Caribbean will be well ad- What would be a fair pre- the ant’s hope of moving which is and was widely
the report says about the vised to punch some new diction for the region? Any- a rubber tree plant. At least agreed on by Honorables
rest of the world? Why is the holes in their belt to be pre- thing that is said today, may short term, or until a bull- of various kinds and at vari-
outlook for the rest of the pared for tightening it. turn out to be wrong tomor- dozer is found. ous occasions now and in
world essential? Mind that row, no matter whether it is the past. But it never hap-
the Caribbean economies “With this recession hitting a positive and hopeful out- Currently, high hopes are pened, and one tends to
for an extraordinary high rich countries just as hard, look, or a negative forecast put on opening up the wonder if it will ever hap-
percentage are depend- if not harder, the worry is that causes one to listen Caribbean destinations pen because of the lack of
ing on tourism. that investments, trade and to some music that cheers for the return of the visi- knowledge, competence,
tourism in lower-income one up, like: “Any time tors from abroad. But if the and/or effective initiatives
Tourism means visitors from countries will decrease for you’re getting low, ‘stead source market abroad is to make it happen.
abroad. The appetite longer than usual. It will of letting go, just remem- also largely impacted by 3. The most serious
abroad to vacation and make it even harder for ber that ant.” Wow! Never the economic recession, piece of advice which so
especially vacationing in lower-income countries heard of that ant? it may just so happen that far got very little attention:
the Caribbean will be in- to fight poverty and in- “Just what makes that little the visitors are not coming encourage and develop
fluenced and impacted vest in things such as edu- old ant, think he'll move anyway, no matter how inter-island trade, traffic,
by what is happening in cation, which build their that rubber tree plant wide the re-opening goes. and ventures.
those tourism source mar- economies' future poten- Anyone knows an ant…, Exaggerated? One could 4. Explore developing
kets abroad itself. It would tial to grow,” according to can't…, move a rubber take a look at the impact the high-end clientele mar-
be wise to closely monitor Prof. Danny Leipziger, the tree plant of last 2007/09 ‘Great Re- ket. However, a very limited
the situation in those source managing director of The But he's got high hopes, cession’ and throw around number of islands would
markets. The World Bank Growth Dialogue and lec- he's got high hopes. He's a bunch of statistics in an qualify for such develop-
report indicates that the turer of international busi- got high apple pie, in the attempt to create some ment.
world will face the deepest ness at the George Wash- sky hopes” sensation. It should go far
recession since the end of ington University School of Bringing change to a glob- enough by saying that re- Last but not least important
World War II. And so, even Business. al recession may have re- ports from various qualified advice: keep cool and stay
the report-skeptics in the markable similarities with and reputable sources use safe. q