WT/TPR/S/431 /Rev.1  
18 April 2023 
(23-2746) Page: 1/92 
Trade Policy Review Body  
 
TRADE POLICY REVIEW  
REPORT BY THE SECRETARIAT  
BARBADOS  
Revision  
This report, prepared for the fourth Trade Policy Review of Barbados, has been drawn up by the 
WTO Secretariat on its own responsibility. The Secretariat has, as required by the Agreement 
establishing the Trade Policy Review Mechanism (Annex  3 of the Marrakesh Agreement Establishing 
the World Trade Organization), sought clarification from Barbados on its trade policies and practices.  
 
Any technical questions arisin g from this report may be addressed to Angelo  Silvy 
(tel. 022 739 5249) , Arne Klau (tel.  022 739 5706) , and Xinyi  Li (tel.  022 739 5579).  
 
Document WT/TPR/G/ 431 contains the policy statement submitted by Barbados.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: This report was drafted in English.  
  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  CONTENTS  
SUMMARY  ................................ ................................ ................................ ........................  6 
1   ECONOMIC ENVIRONMENT  ................................ ................................ ........................  12 
1.1   Main Features of the Economy  ................................ ................................ ....................  12 
1.1.1   Characteristics of the economy  ................................ ................................ ................  12 
1.1.2   Main policy actions  ................................ ................................ ................................ . 13 
1.2   Recent Economic Developments ................................ ................................ ..................  14 
1.2.1   Real economy  ................................ ................................ ................................ ....... 14 
1.3   Monetary and Exchange Rate Policy ................................ ................................ ............  18 
1.4   Fiscal Policy and Debt Sustainability  ................................ ................................ ............  22 
1.4.1   Main developments  ................................ ................................ ................................  22 
1.4.2   Fiscal consolidation and public sector enterprises  ................................ ........................  25 
1.5   Balance of Payments  ................................ ................................ ................................ . 29 
1.6   Developments in Trade and Investment  ................................ ................................ ....... 31 
1.6.1   Trends and patterns in merchandise trade  ................................ ................................ . 31 
1.6.2   Composition of trade  ................................ ................................ ..............................  31 
1.6.3   Direction of trade  ................................ ................................ ................................ ... 33 
1.6.4   Trade in services  ................................ ................................ ................................ ... 34 
1.6.5   Trends and patterns in FDI  ................................ ................................ ......................  34 
2   TRADE AND INVESTMENT REGIMES  ................................ ................................ ...........  35 
2.1   General Framework  ................................ ................................ ................................ .. 35 
2.2   Trade Policy Formulation and Objectives  ................................ ................................ ...... 35 
2.3   Trade Agreements and Arrangements  ................................ ................................ ..........  36 
2.3.1   WTO ................................ ................................ ................................ ....................  36 
2.3.2   Regional and preferential agreements  ................................ ................................ ....... 38 
2.3.2.1    CARICOM  ................................ ................................ ................................ ...........  38 
2.3.2.2    CARICOM bilateral agreements ................................ ................................ ..............  39 
2.3.2.2.1    CARICOM - Colombia  ................................ ................................ ........................  39 
2.3.2.2.2    CARICOM – Costa Rica  ................................ ................................ ......................  39 
2.3.2.2.3    CARICOM – Cuba ................................ ................................ .............................  40 
2.3.2.2.4    CARICOM – Dominican  Republic  ................................ ................................ .........  40 
2.3.2.3    CARIFORUM -EU Economic Partnership Agreement (EPA)  ................................ ...........  40 
2.3.2.4    CARIFORUM -UK Economic Partnership Agreement ................................ ....................  41 
2.3.3   Non-reciprocal arrangements  ................................ ................................ ...................  41 
2.4   Investment Regime  ................................ ................................ ................................ .. 42 
3   TRADE POLICIES AND PRACTICES BY MEASURE  ................................ ........................  45 
3.1   Measures Directly Affecting Imports  ................................ ................................ ............  45 
3.1.1   Customs procedures, valuation, and requirements  ................................ ......................  45 
3.1.2   Rules of origin  ................................ ................................ ................................ ....... 46 
3.1.3   Tariffs  ................................ ................................ ................................ ..................  48 WT/TPR/S/431 /Rev.1  • Barbados  
 
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  3.1.3.1    Applied MFN tariffs  ................................ ................................ ..............................  48 
3.1.3.2    Tariff bindings  ................................ ................................ ................................ .... 51 
3.1.3.3    Preferential tariffs  ................................ ................................ ...............................  52 
3.1.3.4    Concessions and exemptions  ................................ ................................ ................  52 
3.1.4   Other charges affecting imports  ................................ ................................ ...............  52 
3.1.5   Import prohibitions, restrictions, and licensing  ................................ ...........................  53 
3.1.6   Anti-dumping, countervailing, and safeguard measures  ................................ ...............  56 
3.2   Measures Directly Affecting Exports  ................................ ................................ .............  57 
3.2.1   Customs procedures and requirements  ................................ ................................ ..... 57 
3.2.2   Export taxes, charges, and levies  ................................ ................................ .............  57 
3.2.3   Export prohibitions, restrictions, and licensing  ................................ ............................  58 
3.2.4   Export support and promotion  ................................ ................................ .................  58 
3.2.5   Export finance, insurance, and guarantees  ................................ ................................  59 
3.3   Measures Affecting Production and Trade  ................................ ................................ ..... 59 
3.3.1   Incentives  ................................ ................................ ................................ ............  59 
3.3.2   Standards and other technical requirements  ................................ ..............................  59 
3.3.3   Sanitary and phytosanitary requirements  ................................ ................................ .. 61 
3.3.4   Competition policy, consumer protection and price controls  ................................ ..........  62 
3.3.5   State trading, state -owned enterprises, and privatization  ................................ .............  63 
3.3.6   Government procurement  ................................ ................................ .......................  65 
3.3.7   Intellectual property rights  ................................ ................................ ......................  65 
4   TRADE POLICIES BY SECTOR  ................................ ................................ .....................  68 
4.1   Agriculture and Fisheries  ................................ ................................ ...........................  68 
4.1.1   Agriculture overview  ................................ ................................ ..............................  68 
4.1.2   Agricultural Policy  ................................ ................................ ................................ .. 69 
4.1.3   Fisheries  ................................ ................................ ................................ ...............  71 
4.2   Energy  ................................ ................................ ................................ ....................  72 
4.2.1   Electric ity ................................ ................................ ................................ .............  72 
4.2.2   Hydrocarbons  ................................ ................................ ................................ ........  73 
4.3   Manufacturing  ................................ ................................ ................................ ..........  73 
4.4   Services  ................................ ................................ ................................ ..................  75 
4.4.1   Financial services  ................................ ................................ ................................ ... 75 
4.4.1.1    Banking  ................................ ................................ ................................ .............  76 
4.4.1.2    Credit unions  ................................ ................................ ................................ ...... 77 
4.4.1.3    Insurance  ................................ ................................ ................................ ..........  77 
4.4.1.4    Securities  ................................ ................................ ................................ ..........  78 
4.4.2   Telecommunications  ................................ ................................ ...............................  78 
4.4.3   Tourism  ................................ ................................ ................................ ................  80 
4.4.4   Transport  ................................ ................................ ................................ .............  82 
4.4.4.1    Air transport  ................................ ................................ ................................ ....... 82 WT/TPR/S/431 /Rev.1  • Barbados  
 
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  4.4.4.2    Maritime transport  ................................ ................................ ..............................  83 
4.4.4.3    Land transport  ................................ ................................ ................................ .... 83 
5   APPENDIX TABLES  ................................ ................................ ................................ .... 84 
 
CHARTS  
 
Chart  1.1 Merchandise trade by main HS section, 2014 and 2021  ................................ ...........  32 
Chart  1.2 Merchandise trade by mai n commercial partner, 2014 and 2021  ...............................  33 
Chart 3.1 Frequency distribution of MFN tariff rates, 2022 ................................ ......................  51 
 
TABLES  
 
Table  1.1 GDP by sector of activity based on total VA at basic price, 2014 -22Q1  .......................  12 
Table  1.2 Basic macroeconomic indicators, 2014 -22Q1  ................................ ..........................  14 
Table  1.3 Monetary indicators, 2014 -2022Q1  ................................ ................................ ....... 19 
Table 1.4 Summary of central  government fiscal operations, FY2013/14 -FY2021/22  ..................  23 
Table  1.5 Balance of payments, 2014 -22Q1  ................................ ................................ .........  30 
Table 2.1 Notifications to the WTO, 2014 -June 2022  ................................ .............................  37 
Table 2.2 BITs signed by Barbados, June 2022  ................................ ................................ ..... 43 
Table 3.1 Rules of origin applied by Barbados and other CARICOM countries  .............................  47 
Table 3.2 Structure of the tariff sc hedule in Barbados, 2014 -22 ................................ ..............  49 
Table 3.3 Summary analysis of Barbados' MFN tariff, 2022  ................................ ....................  49 
Table 3.4 Tariff lines where MFN applied rates exceed consolidated rates, 2022  ........................  51 
Table 3.5 VAT rates, 2022  ................................ ................................ ................................ . 53 
Table 3.6 Imports requiring a licence under the Mi scellaneous Controls (General Open 
Import  Licence) Regulations of 2014  ................................ ................................ ...................  54 
Table 3.7 State -owned enterprises, 2022  ................................ ................................ ............  63 
Table 3.8 Number of IP registrations from 2014 -21 ................................ ...............................  66 
Table  4.1 Crop production, 2015 -21 ................................ ................................ ...................  68 
Table  4.2 Production of livestock products, 2015 -21 ................................ ..............................  69 
Table  4.3 Domestic support spending, FY2013 -16 ................................ ................................ . 71 
Table  4.4 Agricultural incentives support, preferential loans, and grants, 2015 -21 .....................  71 
Table  4.5 Financial system structure, 2015 -21 ................................ ................................ ..... 75 
Table  4.6 Selected telecommunications indicators, 2015 -19 ................................ ...................  79 
Table  4.7 Stayover arrivals by source, 2015 -21 ................................ ................................ .... 80 
 
BOXES  
 
Box 1.1 Main fiscal measures adopted as part of the BERT Plan and their impact  .......................  26 
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  APPENDIX TABLES  
 
Table  A1.1 Merchandise exports by HS section and main chapter, 2014 -21 ..............................  84 
Table A1.2 Merchandise imports by HS section and main HS chapter, 2014 -21 .........................  88 
Table A1.3 Merchandise  exports and re -exports by trading partner, 2014 -21 ............................  90 
Table A1.4 Merchandise imports by trading partner, 2014 -21 ................................ .................  92 
 
 
  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  SUMMARY  
1. Barbados is a relatively small and open economy with a GDP per  capita of some USD  14,619 
in 2020. Barbados is highly dependent on imports of goods and on exports of services, particularly 
tourism, and was thus strongly affected by the COVID -19 pandemic. In 2020, real GDP declined 
by 14%, and grew by 0.7% in 2021. This came after a period of already weak economic 
performance: real GDP declined in four of the  years of the review period. Limited economic 
diversification, strong reliance on imported consumer and investment goods, and persistent fiscal 
deficits left Barbados vulnerable to exogenous shocks, even before the outbreak of COVID -19. 
2. Against the backdro p of large current account deficits and mounting public debt, the 
authorities embarked on a programme of structural changes in order to restore growth and 
macroeconomic stability in the medium term. The Barbados Economic Recovery and Transformation 
(BERT) Plan, introduced in 2018 , focuses on improving productivity and diversifying the economy, 
as well as achieving fiscal consolidation and debt sustainability. The original BERT Plan included a 
number of measures , such as increases in personal income and corp orate tax rates, which were later 
revised and lowered as a result of the pandemic. Corporate taxes are now paid based on a sliding 
scale, at much lower rates. Similarly, income tax rates were lowered in 2019 and 2020. Other 
measures in the BERT Plan , such as charging VAT on online transactions by residents  and introducing 
an Airline Travel and Tourism Development Tax , became effective on 1  October  2018. A levy on 
hotel rooms, a Product Development Levy on direct tourism services, and a Fuel Tax were also 
introduced, effective 1  July 2018. To support implementation of the BERT Plan, the IMF approved 
on 1 October  2018 a four -year Extended Arrangement under the Extended Fund Facility for an 
amount initially equivalent to USD  290 million. Barbados has also under taken structural reforms to 
transform its state -owned enterprises (SOEs).  
3. Barbados has been registering structural fiscal deficits for the last two decades, which have 
resulted in rising public debt and reduced the Government's ability to respond to exogen ous shocks. 
During the period under review, the authorities undertook substantial efforts to cut the deficit and 
enter a fiscal consolidation path to stop the increase in public debt. The fiscal deficit peaked at 10.9% 
of GDP in FY2013/14, and has since be en on a downwards path, particularly after FY2015/16, partly 
reflecting the effects of the BERT Plan. However, due to the sharp decline in revenue and the increase 
in expenditure caused by the COVID -19 pandemic, the fiscal situation deteriorated in FY2020/ 21, 
when a deficit of 5.1% of GDP was registered. As a result of the need to finance fiscal deficits, public 
debt rose during the initial years of the period under review to some 155.2% of GDP in FY2015/16. 
In 2018, in the context of the BERT Plan, Barbado s engaged in its first debt -reducing initiative, which 
resulted in a rescheduling of debt payments and in debt alleviation. As a result, the public debt to 
GDP ratio fell, but due to the COVID -19 pandemic, it rose again to 150.3% in FY2020/21.  
4. Barbados pur sued a targeted fiscal response to the COVID -19 pandemic, partly due to the 
lack of fiscal space. Initial investments in health equipment and quarantine facilities in early 2020 
were followed by expanded welfare payments to protect vulnerable households. A  12-month 
COVID -19 relief jobs programme was also rolled out, while targeted cash transfers were extended 
to small businesses and vendors affected by the second lockdown in February  2021. To support 
tourism, the authorities created the Barbados Employment and Sustainable Transformation (BEST) 
Programme in October  2020, focused mainly on the re -engagement of workers in the sector.  
5. The main objective of monetary policy in Barbados is to maintain the exchange rate's fixed 
parity with the US  dollar; promoting m onetary stability and a sound financial structure and 
maintaining credit and exchange conditions that foster development are also monetary policy 
objectives. In December  2020, a new Central Bank of Barbados (CBB) Act was passed, which 
broadened the scope o f action and functions of the CBB. To counter the negative effects of the 
COVID -19 pandemic, the CBB implemented measures to support the domestic banking sector 
effective 1  April 2020, which resulted in a considerable easing of the monetary stance. The mea sures 
included , inter alia, a reduction from 7% to 2% of the CBB's discount rate , a reduction of the 
securities ratio for banks from 17.5% to 5% , and CBB  readiness to make collateralized loans for up 
to six months as liquidity support for financial institutions. These measures were accompanied by 
others taken by commercial banks, including an  up-to-six-month moratorium on loan payments for 
firms and indivi duals directly impacted by the pandemic , adjusted loan terms to reduce monthly 
payments , and additional credit to existing customers to address short -term liquidity challenges.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  6. Measures to relax exchange and capital controls were introduced during the revi ew period, 
some of them with effect on trade flows. Although there is still a requirement for authorized foreign 
exchange dealers to surrender 5% of their gross foreign exchange purchases to the CBB, effective 
1 August  2019 exporters no longer have to surr ender their proceeds to authorized foreign exchange 
dealers. Prior to that date, exporters had to surrender 70% of their proceeds to dealers within 
six months. At the same date, restrictions regarding foreign exchange accounts were removed: 
residents are n ow allowed to open and hold foreign exchange accounts without CBB approval. As of 
February  2020, authorized dealers can approve and execute larger foreign currency transactions, 
and the limit for dividends and profits that may be remitted without CBB appro val was raised. 
However, the foreign exchange fee of 2% on the value of foreign currency transactions, introduced 
in 2017, remains in place. Also, purchases of all securities abroad by residents require exchange 
control approval. Amid the COVID -19 pandemic , support from international financial institutions 
in 2020 enabled gross international reserves to rise to USD  2.7 billion, or 10  months of imports.  
7. Inflation was moderate during most of the review period. As Barbados maintains a fixed 
exchange rate and i mports most consumer goods, prices are largely influenced by shifts in foreign 
markets. However, wage changes also play an important role, and agricultural sector conditions 
have an influence on the price of food. In this respect, the increase in inflation  experienced in 2019 
was mainly caused by an increase in the price of food influenced by a drought. In 2020 inflation 
declined again, to 3%, compared with 4.2% one year earlier. In the second half of 2021, however, 
and due to a large extent to increases in  international prices of energy and food, inflation rose to a 
year-end rate of 5%.  
8. Barbados' current account deficit declined between 2014 and 2019, partly reflecting the fiscal 
consolidation path. The deficit fell from 9.2% of GDP in 2014 to 2.8% in 2019.  The COVID -19 
pandemic led to a sharp increase in the current account deficit in 2020, to 5.9% of GDP, mainly due 
to a plummeting of tourism receipts and despite declining imports. Between 2014 and 2020, both 
merchandise exports and imports declined. The c urrent account deficit reached USD  528.5  million 
in 2021, or 5.4% of GDP. In 2020, the share of merchandise exports in GDP was some 13.2%, down 
from nearly 16.9% in 2014. The share of merchandise imports also decreased, from 35.2% of GDP 
in 2014 to 30.3% i n 2020 due primarily to weak domestic demand over the period. Barbados' main 
merchandise exports are fuels, food, and chemicals. Imports are dominated by manufactured 
products, which accounted for some 60% of the total in 2020. The main items are machinery  and 
transport equipment, and chemical products. Fuels and food and vegetables accounted for some 
40% of total merchandise imports in 2020. Barbados' main export destination in 2021 was the 
United  States, followed by Jamaica, Guyana, Trinidad  and Tobago, t he EU -27, and Saint  Lucia. The 
United  States remains Barbados' largest import supplier, with 47% of total imports in 2021, followed 
by Trinidad  and Tobago and the EU -27. 
9. Services, in particular tourism, are of utmost importance to Barbados' economy. In 201 9, 
before the disruption caused by the pandemic, travel -related inflows totalled USD  1,250  million, or 
some 24% of GDP. In 2020, inflows plummeted to USD  577.4  million, some 12.3% of GDP. The 
traditional surplus in the services balance fell from 17.1% of G DP in 2019 to 10.6% in 2020. 
Barbados is a net recipient of foreign direct investment (FDI). Flows are mostly directed to the 
tourism sector and other travel -related activities, and to financial services. In the period from 2014 
to end -June 2021, net FDI i nflows totalled USD  1,046.3  million.  
10. Barbados became a republic on 30  November  2021, the 55th anniversary of its independence. 
Nevertheless, the institutional framework for economic and trade policy formulation remains largely 
unchanged. The Ministry of Foreign Affairs and Foreign Trade has the overall responsibility for the 
formulation and coordination of trade policies, in consultation with other Ministries and with inputs 
from the private sector and civil society.  
11. The Medium -term Growth and  Development Strategy 2013 -2020 recognizes the need to 
sustain private -sector and investment -led productivity and export -driven growth. The BERT Plan, 
apart from restoring fiscal and debt sustainability, also aims to rebuild reserves and increase growth. 
With regard to trade policy, Barbados ' objectives are to promote and facilitate the development of 
international trade, improve competitiveness, and pursue the Small Vulnerable Economies agenda 
in the WTO. Barbados also has the objective of achieving a foss il-fuel-free economy by 2030.  
12. Barbados grants at least MFN treatment to all trading partners. Barbados has never invoked 
the WTO's dispute settlement provisions as a complainant, nor have any complaints been lodged WT/TPR/S/431 /Rev.1  • Barbados  
 
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  against Barbados. Although Barbados has s ubmitted various notifications to the WTO  since its last 
Review, numerous notifications remained outstanding as at June  2022.  
13. Barbados is a member of the Caribbean Community and Common Market (CARICOM). 
CARICOM members have sought to implement a common ext ernal tariff (CET) since 1991. However, 
as at June  2022 tariff schedules across countries still differed considerably, both due to the 
exceptions allowed and to mechanisms permitting the suspension of the application of the CET under 
certain circumstances.  No progress was made  in tariff harmonization during the period under review. 
Through CARICOM, Barbados has reciprocal bilateral trade agreements with Colombia, Costa  Rica, 
Cuba, and the Dominican  Republic.  
14. An Economic Partnership Agreement with the E urope an Union has been in force since 2008. 
Under the Agreement, Barbados committed to gradual reductions in its tariffs over a period of up 
to 25 years, until 2033. Exclusions and lengthier implementation periods apply mainly to agricultural 
goods. The Agreeme nt is replicated by an agreement with the United  Kingdom, which entered into 
force in January  2021. Barbados also benefits from various non -reciprocal arrangements, such the 
United  States' Caribbean Basin Initiative (CBI), the Caribbean -Canada Trade Agreem ent 
(CARIBCAN ), and the CARICOM -Venezuela Agreement . 
15. Foreign investors are generally granted national treatment with very few exceptions 
mentioned in sector -specific legislation, such as telecommunications services, tour operators, and 
travel guides. Priva te investment in broadcasting, banking, and insurance is subject to prior 
government approval. Water and postal services are government monopolies.  
16. Since its last Review  in 2015, Barbados has successfully streamlined customs procedures , 
including the trans ition to ASYCUDA World in September  2019, the initiation of a trusted trader 
programme, and a considerable reduction of processing times for import licences. Also, the use of 
reference prices for the customs valuation of certain imports was abandoned durin g the period under 
review. The use of a customs broker is recommended.  
17. Barbados ratified the WTO's Agreement on Trade Facilitation in January  2018 and has notified 
its Category  A, B, and C commitments to the WTO. As at June  2022, Barbados had implemented 
44.5% of its commitments under the Agreement.  
18. Barbados applies the CARICOM  CET with numerous country -specific exceptions. Overall, 
applied MFN tariff levels are relatively high, with an average of 16.8% in 2022. Tariffs range from 
zero to 216% levied on som e fruit, vegetables , and plants. The average MFN tariff is 35.0% for 
agricultural products (WTO definition) and 12.8% for non -agricultural products; 5.7% of tariff lines 
are duty -free. The average tariff in 2022 is higher than in 2014, when it was 15.9%; t he difference 
is mostly explained by the change of HS nomenclature from HS07 to HS17. Some 99.2% of tariff 
rates are ad valorem ; specific rates are applied on 59  lines, mostly alcoholic beverages.  
19. All imports from other CARICOM members are duty -free. Preferential tariffs are granted to 
imports from Colombia, Costa  Rica, Cuba, the Dominican  Republic, the European  Union, the 
United  Kingdom , and the Bolivarian  Republic of Venezuela. Detailed information to calculate tariff 
averages and preferential margin s is not available.  
20. Barbados bound all of its import tariffs in the Uruguay Round, with the exception of fish and 
fish products. On 17  tariff lines, applied rates exceed bound rates. It appears that, in practice, tariff 
and tax concessions on imports are v ery important, although there is no information on their 
coverage and on the amount of revenue forgone.  
21. VAT is applied at four rates (22%, 17.5%, 10%, and 0%). The standard rate of 17.5% applies 
on all goods and services unless otherwise specified. Excise taxes apply on sweetened beverages, 
motor vehicles, spirituous beverages, tobacco products, and petroleum products.  
22. Import prohibitions and licences are applied for monitoring, security, health, and 
environmental purposes , as well as for the protection of public morals. Licences are considered on 
a case -by-case basis and are processed within one to two working days. Import licence applications 
and related documentation are submitted and processed through the ASYCUDA World customs 
portal. There are no licenc e fees. Barbados did not appl y any anti -dumping or countervailing WT/TPR/S/431 /Rev.1  • Barbados  
 
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  measures during the period under review. However, it invoked the agricultural special safeguards 
(SSG) mechanism and initiated SSG measures on more than 30  products, most of which were 
veget ables and fruits , such as beets, cabbages, cauliflower, carrots, lettuce, tomatoes, onions, and 
melons.  
23. Barbados has also used ASYCUDA World since 2019 for the customs clearance of exports. The 
requirement to submit a Central Bank Exchange Control Form was  abandoned in the same year. 
With the exception of a levy on cotton, no export taxes are applied. The revenues collected from the 
levy are reportedly to be used for research and development in the cotton industry. Export 
restrictions are applied for public  morals and safety reasons or for the implementation of 
international agreements. Export Barbados is the Government's export promotion agency. There are 
no export processing zones. An export credit guarantee operated by the Central Bank was suspended 
in 2019. 
24. The development of technical regulations and standards is the responsibility of the Barbados 
National Standards Institution (BNSI). As at July  2022, there were 44  technical regulations, 
160 BNSI Specifications, 75 adopted CARICOM standards, 80 ISO adop tions, and 20 BNSI Building 
Codes. The responsibility for the formulation and implementation of SPS measures is spread over 
several institutions. No specific trade concerns were raised against Barbados' TBT and SPS measures 
during the period under review.  
25. The Fair Trading Commission has the task of safeguard ing the interests of consumers, 
regulat ing utility services and prices, and promot ing and maintain ing effective competition in the 
economy. As at July  2022, price controls apply to various refined petrol eum goods. The  Barbados 
Agricultural Development and Marketing Corporation (BADMC) has been notified to the WTO as 
Barbados' only state  trading enterprise. T he BADMC engages in the importation of chicken meat, 
turkey meat, brown sugar , and onions; it has the right to import these goods duty -free. As at 
mid-2022, there were 54  SOEs, of which 33 are being classified as commercial SOEs. With a view 
to reducing the fiscal drain caused by implicit subsidization, many SOEs are currently under going 
reform.  
26. Barbados is not party to the W TO plurilateral Agreement on Government Procurement. New 
legislation on public procurement was adopted in 2021, but it was not effective as at July  2022 since 
implementing regulations were still under preparation . According to the new Act, open tendering 
shall be used for all procurement of goods or services exceeding BBD  300,000 (USD  150,000) and 
works exceeding BBD  500,000. Restricted tendering can be used when the goods, works, or services 
to be procured are av ailable from 10 suppliers or fewer, or when there are cases of urgent need. 
There are no restrictions on the participation of foreign suppliers. Currently, all procurement above 
BBD 200,000 is centralized. For procurement below this threshold, every instit ution has its own 
procuring entity.  
27. No major changes have taken place in the legal system for the protection of intellectual 
property rights since Barbados' last Review . The legislation on copyrights and geographical 
indications is currently undergoing a r eview. Barbados' patent legislation includes provisions on 
compulsory licensing, which may be granted by the High Court four years from the date of filing the 
patent application or three years from the date the patent was granted, and there has been a fail ure 
to exploit or sufficiently exploit the patented invention. No compulsory licensing has been issued 
since 2014.  
28. The agricultural sector in Barbados is small and faces challenges such as scarcity of land and 
water supplies. It accounts for just slightly over 1% of GDP and 3% of employment. Sugar has lost 
its traditional dominance in the sector, and production has shifted to fruits and vegetables, as well 
as herbs and spices. The average applied tariff on agricultural products was 35% in 2021; cer tain 
products are subject to tariff rates above 100%  (e.g. edible vegetables and certain roots and tubers, 
meat and edible meat, and peel of citrus fruit or melons ). Agricultural policy focuses on food and 
nutrition security, and on encouraging the partici pation of more farmers. In this regard, the 
Government has implemented a three -year Farmers' Empowerment and Enfranchisement Drive 
(FEED) programme, with the aim of facilitating the vulnerable population's entry into agricultural 
and livestock activities. The FEED programme provides assistance to farmers who want to establish 
agricultural enterprises through subsidies for land lease and irrigation. During the review period, 
retail price controls on chicken wings, chicken backs and necks, and turkey wings we re abolished. 
Currently, no price controls are applied on agricultural goods.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  29. There are no restrictions on foreign capital participation in the electricity sector. The power 
generation segment is fully liberalized. In 2019, the Barbados National Energy Pol icy 2019 –2030, 
which sets out a target for reaching 100% renewable energy and carbon neutrality by 2030, was 
adopted. To this end, the Government provides incentives: in FY2020/21, it granted independent 
power producers using renewable energy a special pre mium on top of the feed -in tariff. Also, with 
the aim of encouraging a reduction in the use of fossil  fuels for automobiles, the 2022 Budget 
provides fiscal incentives for the purchase of electric vehicles and hybrid vehicles. Barbados has a 
small oil rese rve onshore. Though there are apparently no restrictions or exclusive rights reserved 
for any operator in the market, the state -owned Barbados National Oil Company Limited is in practice 
the sole importer of refined oil products such as gasoline and diesel . 
30. The manufacturing sector is small and concentrates on food processing and beverages 
production. The sector accounted for 4.7% of GDP and 6% of employment in 2021. Major changes 
with respect to incentives to the sector took place during the review period.  The Fiscal Incentives 
Act was repealed in January  2019. The Act provided for a 15-year tax holiday for businesses engaged 
in the manufacturing of products exclusively for export outside of CARICOM, or of products 
containing a specified percentage of local  value added. On the same date, the International Business 
Companies (IBC) Act and the Societies with Restricted Liability Act , which provided for lower taxation 
on companies registered in Barbados but doing business solely abroad as compared to companies 
doing business in Barbados, were repealed. Although there was a transition period, tax preferences 
accorded to IBCs and international societies with restricted liability were discontinued on 
30 June 2021.  
31. Services is the main sector in Barbados, accounting  for over two  thirds of GDP. During the 
period under review, the legal framework for financial services was overhauled and the separate 
regulatory regimes for offshore financial services were abolished. In their place, omnibus supervisory 
frameworks were c reated for the banking and insurance sectors. On 1  January  2019, the amended 
Financial Institutions Act and the amended Insurance Act entered into force. Under the amended 
legal framework, offshore banks were converted into foreign currency earning banks, while offshore 
insurance companies became Class  1 licensees. Foreign currency earning banks pay taxes at the 
same rates as domestic commercial banks. Class  1 licensed insurance operators are subject to 
income tax at zero rate, while a rate of 2% is applica ble to other classes of insurance licensees. Only 
Barbadian citizens or nationals of CARICOM member States may be registered as insurance 
intermediaries, such as insurance brokers, agents, subagents, and salespersons.  
32. Barbados has a relatively open telecom munications sector. The legal and institutional 
framework for regulating the sector has remained largely unchanged. During the review period, 
Barbados upgraded its telecommunications infrastructure, including the deployment of Mobile  5G 
and Long -Term Evolu tion networks, as well as the replacement of copper cables with fibre optics. 
The authorities are in the process of revising the Telecom Universal Service Regulation, with the aim 
of including broadband data services as part of universal service. As of end -May 2022, there were 
three carriers in the country providing cellular mobile services, including Internet services; all have 
foreign capital participation.  
33. The tourism sector is of vital importance to the economy; the sector and related activities 
contrib uted, directly and indirectly, to over 50% of valued added. The COVID -19 pandemic had a 
devastating impact on the tourism sector in particular, and on the economy in general. In response, 
the Government launched the BEST Programme, with a total of BBD  300 million (around 
USD 150 million ). Under the BEST Programme, tourism firms were offered grants and an investment 
via preference shares issued by them to fund the re -engagement of their workers at a level of 80% 
of their normal pay and investments in the transformation of tourism plans. These shares are held 
initially by the Government, but are marketable and redeemable at face value at any time; they pay 
a coupon if there are profits. The programme aims at enhancing the cash flow of businesses so as 
to allow them to continue hiring employees and transform their business model. The policy objectives 
for the tourism sector have remained unchanged, focused on customer retention and brand loyalty 
enhancement. In the aftermath of the pandemic, the Government la unched the Barbados Welcome 
Stamp Initiative, targeting long -stay and loyal visitors. Foreigners may own land in Barbados to 
develop tourism facilities. Fiscal incentives are available for qualified owners of tourism projects or 
products.  
34. Aviation is the m ain mode of transportation for people and goods entering in and departing 
from the country. Barbados maintains 30  bilateral air service agreements (BASAs); they offer up to WT/TPR/S/431 /Rev.1  • Barbados  
 
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  fifth freedom, with restrictions on ownership. Due to the absence of a national car rier, Barbados in 
its BASAs designates any CARICOM -based carrier as its national carrier. In order to be a national 
carrier, the airline must have its principal address registered within the territory of any CARICOM 
member State, and be effectively control led by Barbadian/CARICOM nationals. All aviation and 
maritime transport infrastructure is owned by the Government, and it is managed by 
government -owned enterprises. Operations regarding infrastructure may be carried out by private 
operators under agreemen ts signed with the Government, but not under concessions. There are no 
legal restrictions on private -sector participation in transportation.  
 WT/TPR/S/431 /Rev.1  • Barbados  
 
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  1  ECONOMIC ENVIRONMENT  
1.1  Main Features of the Economy  
1.1.1   Characteristics of the economy  
1.1.  Barbados is a small and open economy with a population of approximately 271,000 in 2020 
and a GDP per capita of USD  16,377 in 2019, which declined to USD  14,506 in 2020, following the 
effects of the COVID -19 pandemic. Barbados' relatively small size and island location make its 
economy highly dependent on imports of goods and export of services, particularly tourism. This is 
one the reasons the country was particularly affected by the COVID -19 pandemic . Mer chandise 
imports accounted for approximately 28.3% of GDP in 2019, while the share of merchandise exports 
was around 14.4% of GDP. Both of these shares declined due to the pandemic . 
1.2.  Barbados has a narrow economic base that depends considerably on services.  While the direct 
contribution of the tourism sector to GDP was 11.8% in 2019, its overall contribution to value added 
was higher , considering its spill -over on related activities, as tourism -related activities are 
responsible for over 50% of economic acti vity in normal years. However, tourism's contribution to 
GDP plummeted in 2020, to just 4.1% of GDP, and fell even further in 2021, to 3.1%, due to the 
travel restrictions imposed as a consequence of the COVID -19 pandemic . Government and financial 
services  are also important contributors to value added, with shares of 11.9% and 38. 1%, 
respectively, in 2021 (11.9% and 37.8% in 2020), as well as transportation, storage , and 
communication (13.6% in 2021 and 13.3% in 2020). The contribution of manufacturing was  of 6.7% 
in 2021 (6.5% in 2020), while agriculture contributed to just slightly over 1.5% of value added  in 
those years (Table  1.1). 
Table  1.1 GDP by sector of activity based on total VA at basic price, 2014 -22Q1 
 
2014  2015  2016  2017  2018  2019  2020  2021  2022Q1  
GDP by sector (% of total VA at constant 2010 prices)  
Tradeables  21.4 22.3 18.2 18.4 18.8 19.2 12.1 11.2 15.5 
Tourism  13.9 14.6 10.8 11.0 11.3 11.8 4.1 3.1 7.7 
Agriculture  1.4 1.4 1.4 1.3 1.5 1.4 1.6 1.5 1.4 
Sugar  0.1 0.1 0.0 0.1 0.1 0.0 0.1 0.1 0.0 
Non-sugar agriculture  1.4 1.3 1.3 1.2 1.4 1.4 1.5 1.5 1.3 
Manufacturing  6.1 6.3 6.0 6.0 5.9 6.0 6.5 6.7 6.4 
Rum and other beverages  1.2 1.2 1.2 1.4 1.4 1.2 1.4 1.4 1.2 
Food 1.6 1.6 1.5 1.5 1.4 1.4 1.4 1.5 1.5 
Furniture  0.2 0.2 0.2 0.2 0.2 0.2 0.2 0.2 0.2 
Chemicals  0.4 0.4 0.4 0.3 0.3 0.3 0.4 0.3 0.4 
Electronics  0.5 0.5 0.5 0.4 0.5 0.6 0.6 0.6 0.0 
Other manufacturing  2.4 2.4 2.3 2.2 2.2 2.4 2.5 2.6 3.2 
Non-tradeables  78.6 77.7 81.8 81.6 81.2 80.8 87.9 88.8 84.5 
Mining and quarrying  0.4 0.5 0.4 0.5 0.5 0.6 0.8 0.8 0.9 
Electricity, gas and water  2.9 2.8 2.7 2.7 2.7 2.7 3.0 3.0 2.6 
Construction  6.6 6.3 6.0 6.1 5.8 5.7 6.7 6.6 6.1 
Wholesale and retail  10.0 10.1 14.6 14.6 14.7 15.0 14.4 14.6 16.4 
Transport, storage and 
communication  12.6 12.4 13.2 12.9 12.8 12.7 13.3 13.6 13.1 
Finance and other services  34.5 34.6 34.3 34.3 34.2 34.1 37.8 38.1 34.6 
Government services  11.7 11.0 10.6 10.6 10.5 9.9 11.9 11.9 10.8 
Total VA at basic price  100.0  100.0  100.0  100.0  100.0  100.0  100.0  100.0  100.0  
GDP by sector (% of GDP at constant 2010 prices)  
Tradeables  17.5 18.5 15.2 14.9 14.8 14.5 8.9 8.0 10.6 
Tourism  11.3 12.1 9.0 9.0 8.9 8.9 3.0 2.2 5.3 
Agriculture  1.2 1.2 1.1 1.1 1.2 1.1 1.2 1.1 0.9 
Sugar  0.1 0.0 0.0 0.1 0.1 0.0 0.0 0.0 0.0 
Non-sugar agriculture  1.1 1.1 1.1 1.0 1.1 1.1 1.1 1.0 0.9 
Manufacturing  5.0 5.2 5.0 4.9 4.7 4.5 4.7 4.7 4.4 
Rum and other beverages  1.0 1.0 1.0 1.2 1.1 0.9 1.0 1.0 0.8 
Food 1.3 1.3 1.3 1.2 1.1 1.1 1.0 1.1 1.0 
Furniture  0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 
Chemicals  0.3 0.3 0.3 0.3 0.2 0.2 0.3 0.2 0.3 
Electronics  0.4 0.4 0.4 0.4 0.4 0.4 0.5 0.4 0.0 
Other manufacturing  1.9 2.0 1.9 1.8 1.7 1.8 1.9 1.9 2.2 
Non-tradeables  64.1 64.7 68.2 66.4 63.9 60.7 64.2 62.9 57.6 
Mining and quarrying  0.3 0.4 0.3 0.4 0.4 0.5 0.6 0.6 0.6 
Electricity, gas and water  2.4 2.3 2.3 2.2 2.1 2.0 2.2 2.1 1.8 
Construction  5.3 5.3 5.0 4.9 4.5 4.3 4.9 4.7 4.1 WT/TPR/S/431 /Rev.1  • Barbados  
 
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2014  2015  2016  2017  2018  2019  2020  2021  2022Q1  
Wholesale and retail  8.2 8.4 12.2 11.9 11.6 11.3 10.5 10.4 11.2 
Transport, storage and 
communication  10.3 10.3 11.0 10.5 10.1 9.5 9.7 9.6 8.9 
Finance and other services  28.1 28.8 28.6 27.9 27.0 25.7 27.7 27.0 23.6 
Government services  9.5 9.2 8.8 8.6 8.3 7.5 8.7 8.5 7.4 
Total VA at basic price  81.5 83.2 83.4 81.3 78.7 75.1 73.1 70.9 68.2 
Taxes less subsidies on 
products  18.5 16.8 16.6 18.7 21.3 24.9 26.9 29.1 31.8 
Nominal GDP  100.0  100.0  100.0  100.0  100.0  100.0  100.0  100.0  100.0  
Source:  WTO Secretariat calculations, based on data from the Central Bank  of Barbados (CBB) ; CBB, Review 
of Barbados' Economic Performance, Jan uary to December  2021, and information provided by the 
authorities.  
1.1.2   Main policy actions  
1.3.  The limited economic diversification, strong reliance on imported consumer and investm ent 
goods, and persistent fiscal deficits have left Barbados extremely vulnerable to exogenous shocks, 
even before COVID -19 came along. Against the backdrop of considerable current account deficits 
and mounting public debt, which reached 155% of GDP in 201 7, the authorities embarked in 2018 
on a programme of structural changes in order to restore growth and macroeconomic stability in the 
medium term. The programme included an initial selective default of payments to external 
commercial creditors and the ann ouncement on 1  June 2018 of a comprehensive debt restructuring, 
the first ever to be conducted in Barbados, which was part of the Government 's medium -term 
strategic plan, the Barbados Economic Recovery and Transformation (BERT) Plan.1 Through the BERT  
Plan, the authorities are focusing on improving productivity and diversifying the economy, as well 
as achieving fiscal consolidation and debt sustainability.  
1.4.  Faced with its first COVID -19 cases in mid -March  2020, the Government adopted ac tions 
including imposing limits on public gatherings, a curfew, the closing of non -essential businesses, 
restricting non -essential personnel to their residences , and establishing additional medical facilities. 
Measures were also adopted to control the flow  of travellers into Barbados, including enhanced 
screening at all ports of entry and a mandatory 14 -day quarantine for all inbound travellers, later 
replaced with a testing programme. Considering the importance of tourism and connected activities, 
these me asures had serious effects on the economy, and resulted in widespread labour furloughs 
and temporary hotel closures. In general, domestic economic activity was significantly impacted by 
limited international travel, which depressed tourism and delayed inve stment projects.2 The 
shutdown of hotels and businesses impacted consumer spending and led to a sharp increase in 
unemployment. The recession conditions had a negative impact on fiscal revenue and resulted in 
increasing public debt, although the Governmen t engaged in alternative fund -raising schemes like 
the B arbados Optional Saving Scheme (BOSS)  Programme (see below). Also, the assistance 
provided by the IMF under the Extended Fund Facility (EFF) enabled t he financing of the gap and 
contributed to an accu mulation of international reserves . 
1.5.  Given the limited fiscal space, and since the Government remains committed to the long -term 
reduction of its sizeable external debt, Barbados pursued a targeted fiscal response to the COVID -19 
health crisis. Initial inve stments in health equipment and quarantine facilities in early 2020 were 
followed by expanded welfare payments to protect vulnerable households through the introduction 
of the Household Survival Program me. Support was extended to the National Insurance Sch eme 
(NIS) via the repurchase of government bonds to ensure adequate resources were available to 
accommodate a surge in unemployment benefits and severance claims. To support tourism, the 
authorities created the Barbados Employment and Sustainable Transform ation (BEST) Plan. 
A 12-month COVID relief jobs programme was also rolled out to generate contractual employment 
opportunities that promote health safety and boost food production, while targeted cash transfers 
were extended to small businesses and vendors  affected by the second lockdown in February  2021. 
During the pandemic, the Government adjusted its BERT goals, while remaining committed to its 
long-term debt reduction goals. For instance, the pandemic response prompted the Government to 
 
1 Ministry of Economic Affairs and Investment, Economic & Social Report 2018 , Appendix  I. Viewed  at: 
https://www.barbadosparliament.com/uploads/sittings/attachments/5b5ae68fb3456dec74db1d5ed1973d3d.pdf .  
2 Central Bank of Barbados (2020), Review of Barbados' Economic Performance, January to June 2020.  
Viewed at: 
http://www.centralbank.org.bb/P ortals/0/Files/Central%20Bank%20of%20Barbados%20Review%20of%20the
%20Economy%20 -%20January%20to%20June.pdf .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  lower its primary balance target to -1% of GDP for FY2020/21 (compared to a surplus of 6% of GDP 
envisaged prior to the pandemic, and a surplus of a 3% target announc ed during the March  2020 
budget presentation). Also, the FY2021/22 budget targeted a primary surplus of about 0.25% of 
GDP, lower than originally forecast, due to weak economic conditions and ongoing expenditure needs 
as a consequence of the persisting eff ects of the COVID -19 shock.3 The authorities also introduced 
measures in the monetary and financial area, to help support commercial banks and other 
deposit -taking institutions (see below).  
1.6.  Barbados has also undertaken structural reforms to transform its state-owned enterprises 
(SOEs) that were a drain to its public finances. The IMF has noted that measures under the BERT 
Plan, supplemented by measures to strengthen oversight , have been successful in reducing SOE 
transfers by 1% of GDP in FY2019/20, while achieving a decline of SOE arrears. However, these 
gains have been temporarily offset by unanticipated transfer needs among large SOEs at the 
forefront of the COVID -19 response strategy. In the IMF's view, transforming the SOE sector is a 
process that will  require sustained structural reform over the medium term that will require dealing 
with structurally weak profitability and high operating costs that give rise to transfer dependence.4 
1.2  Recent Economic Developments  
1.2.1   Real economy  
1.7.  Barbados' GDP performance w as modest during the review period. In four of the years of the 
review period real GDP declined. Even discounting the effects of the COVID -19 crisis, the average 
annual rate of real GDP growth in the 2014 -19 period was just 0.7%  (Table  1.2). 
Table  1.2 Basic macroeconomic indicators, 2014 -22Q1  
 
2014  2015  2016  2017  2018  2019  2020a 2021b 2022  
Q1b 
Gross domestic product  
Nominal GDP (constant 2010 
prices, BBD million)  9,393  9,430  9,666  9,963  10,195  10,608  9,379  9,740  2,793  
Real GDP (constant 2010 
prices, BBD million) 
[Statistical Service]  8,821  9,039  9,268  9,311  9,215  9,159  7,878  8,430  .. 
Real GDP growth (%) 
[Statistical Service]  -0.1 2.5 2.5 0.5 -1.0 -0.6 -14.0 .. .. 
Real GDP growth (%) 
[Central Bank]  0.0 2.4 2.7 0.6 -1.0 -0.7 -14.0 0.7 .. 
Real GDP per capita (USD, 
based on constant 2010 
prices)  13,816  14,185  14,595  14,743  14,655  14,637  12,596  .. .. 
GDP per capita (USD, based 
on market prices)  14,697  14,860  15,040  15,403  15,726  16,377  14,506  .. .. 
GDP by sector and activity (% of GDP at constant 2010 prices)  
Tradeables  17.5 18.5 15.2 14.9 14.8 14.5 8.9 8.0 10.6 
Tourism  11.3 12.1 9.0 9.0 8.9 8.9 3.0 2.2 5.3 
Agriculture  1.2 1.2 1.1 1.1 1.2 1.1 1.2 1.1 0.9 
Sugar  0.1 0.0 0.0 0.1 0.1 0.0 0.0 0.0 0.0 
Non-sugar agriculture  1.1 1.1 1.1 1.0 1.1 1.1 1.1 1.0 0.9 
Manufacturing  5.0 5.2 5.0 4.9 4.7 4.5 4.7 4.7 4.4 
Rum and other 
beverages  1.0 1.0 1.0 1.2 1.1 0.9 1.0 1.0 0.8 
Food 1.3 1.3 1.3 1.2 1.1 1.1 1.0 1.1 1.0 
Furniture  0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 0.1 
Chemicals  0.3 0.3 0.3 0.3 0.2 0.2 0.3 0.2 0.3 
Electronics  0.4 0.4 0.4 0.4 0.4 0.4 0.5 0.4 0.0 
Other manufacturing  1.9 2.0 1.9 1.8 1.7 1.8 1.9 1.9 2.2 
Non-tradeables  64.1 64.7 68.2 66.4 63.9 60.7 64.2 62.9 57.6 
Mining and quarrying  0.3 0.4 0.3 0.4 0.4 0.5 0.6 0.6 0.6 
Electricity , gas and water  2.4 2.3 2.3 2.2 2.1 2.0 2.2 2.1 1.8 
Construction  5.3 5.3 5.0 4.9 4.5 4.3 4.9 4.7 4.1 
Wholesale and retail  8.2 8.4 12.2 11.9 11.6 11.3 10.5 10.4 11.2 
 
3 IMF (2021) Policy Responses to COVID -19. Viewed at: https://www.imf.org/en/Topics/imf -and-
covid19/Policy -Responses -to-COVID -19#B  [19 August  2021] . 
4 IMF (2021), Barbados : 2021 Article IV Consultation, Sixth Review Under the Extended Arrangement 
Under the Extended Fund Facility, and Request for Modification of Performance Criteria —Press Release; and 
Staff Report , IMF Country Report No.  21/268, December. Viewed at: https://www.imf.org/ -
/media/Files/Pu blications/CR/2021/English/1BRBEA2021002.ashx . WT/TPR/S/431 /Rev.1  • Barbados  
 
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2014  2015  2016  2017  2018  2019  2020a 2021b 2022  
Q1b 
Transport, storage and 
communication  10.3 10.3 11.0 10.5 10.1 9.5 9.7 9.6 8.9 
Finance and other 
services  28.1 28.8 28.6 27.9 27.0 25.7 27.7 27.0 23.6 
Government services  9.5 9.2 8.8 8.6 8.3 7.5 8.7 8.5 7.4 
Total VA at basic price  81.5 83.2 83.4 81.3 78.7 75.1 73.1 70.9 68.2 
Taxes less subsidies on 
products  18.5 16.8 16.6 18.7 21.3 24.9 26.9 29.1 31.8 
GDP by sector and activity (% growth, constant 2010 prices)  
Tradeables  -0.3 6.5 -16.0 1.5 1.4 1.7 -45.8 -6.8 98.0 
Tourism  1.9 7.8 -23.8 2.5 1.8 3.7 -70.4 -24.6 1,831.6  
Agriculture  -2.6 0.5 -1.1 -3.2 14.7 -4.5 -5.7 -4.6 2.3 
Sugar  -16.9 -20.3 -27.7 58.8 11.1 -48.3 19.4 0.0 -46.2 
Non-sugar agriculture  -1.6 1.5 0.3 -5.3 14.9 -2.3 -6.3 -4.7 4.9 
Manufacturing  -4.3 4.8 -1.2 0.5 -2.2 -0.5 -6.8 4.0 5.4 
Rum and other 
beverages  -4.3 4.8 -1.3 22.2 -3.7 -15.3 -1.0 2.7 15.6 
Food -4.3 4.8 -1.3 -4.2 -4.9 -0.5 -14.9 8.4 5.7 
Furniture  -4.4 4.7 -0.7 9.0 -7.5 -2.2 -4.5 6.3 0.0 
Chemicals  -4.4 5.0 -1.4 -13.0 -1.6 -4.8 2.5 -1.2 10.8 
Electronics  -4.3 4.8 -1.3 -3.8 21.0 3.7 -4.1 -2.6 -98.3 
Other manufacturing  -4.3 4.7 -1.2 -4.8 -3.7 8.6 -6.8 4.4 26.0 
Non-tradeables  0.1 1.4 8.0 0.4 -1.5 -1.2 -6.4 1.7 3.5 
Mining and quarrying  39.1 29.9 -13.4 25.6 3.7 17.1 14.6 2.7 0.6 
Electricity, gas and water  0.1 -1.8 0.7 -1.9 -0.3 -0.3 -4.7 2.1 2.0 
Construction  1.4 -1.2 -2.6 2.1 -6.4 -2.0 1.1 0.0 5.1 
Wholesale and retail  -3.7 3.4 48.0 0.6 0.0 1.3 -17.5 2.3 5.2 
Transport, storage and 
communication  3.5 0.6 9.5 -1.7 -1.8 -1.6 -10.0 2.8 2.1 
Finance and other 
services  2.1 3.0 1.6 0.8 -1.3 -1.0 -4.7 1.5 4.0 
Government services  -6.8 -3.3 -1.2 0.1 -1.6 -6.0 2.8 1.4 1.0 
Total VA at basic price  0.0 2.4 2.7 0.6 -1.0 -0.7 -14.0 0.7 11.8 
Taxes less subsidies on 
products  2.2 -8.6 1.6 15.5 16.7 21.6 -4.3 12.4 26.9 
GDP by expenditure (market prices, % growth)  
Consumption expenditure  1.3 -0.5 3.5 0.2 -0.3 0.8 -3.4 .. .. 
Personal  2.1 0.2 4.0 1.4 -0.2 1.4 -4.1 .. .. 
Government  -2.6 -4.6 0.9 -6.7 -0.7 -3.4 1.1 .. .. 
Gross capital formation  0.5 2.8 -0.8 -1.7 -6.6 6.2 10.0 .. .. 
Buildings  0.5 -0.6 -4.5 0.7 -1.9 2.7 -1.0 .. .. 
Machinery/ equipment  0.4 7.7 4.2 -4.7 -12.8 11.3 25.1 .. .. 
Change in stocks 0.0 0.0 0.0 0.0 0.0 0.0 0.0 .. .. 
Exports of goods and 
services  -1.8 0.7 -6.7 0.9 1.7 7.3 -28.5 .. .. 
Goods  1.5 0.3 8.6 -6.1 -7.7 -0.9 38.9 .. .. 
Services  -2.9 0.8 -11.8 3.8 5.2 9.9 -48.4 .. .. 
Imports of goods and 
services  -2.6 -4.4 -8.9 -0.4 0.4 -0.7 -15.0 .. .. 
Goods  -1.7 -7.7 0.6 -1.3 -1.4 -3.4 -0.3 .. .. 
Services  -4.7 3.8 -29.7 2.5 5.9 7.0 -51.8 .. .. 
Employment           
Labour force ('000)c 142.3  144.6  147.2  144.3  139.7  138.8  136.1  133.6  136.0  
Employed persons ('000)c 124.8  128.2  132.9  129.9  126.2  124.9  117.6  114.3  123.7  
Unemployment rate 
(% average)c 12.3 11.3 9.7 10.0 9.7 10.1 13.6 14.1 8.2 
Distribution of employment by sector (%)c 
Agriculture, forestry & 
fishing  2.7 2.9 2.8 3.1 3.1 2.9 2.5 1.9 .. 
Manufacturing  7.7 7.7 7.2 6.8 6.3 6.0 6.6 6.6 .. 
Electricity, gas, steam, 
water & air conditioning 
supply  1.9 2.2 1.8 2.3 2.4 1.8 1.6 1.8 .. 
Construction, mining & 
quarrying  9.6 9.4 10.7 10.3 9.7 9.3 10.0 8.8 .. 
Wholesale & retail trade  17.0 15.8 16.8 15.6 15.2 15.6 15.3 14.3 .. 
Accommodation & food 
services  12.3 12.2 12.4 11.5 13.1 12.7 8.3 10.2 .. 
Transportation & storage  4.5 4.9 5.2 5.4 5.6 5.1 5.0 5.2 .. 
Finance & insurance  4.6 4.2 4.2 4.3 4.5 4.3 5.2 4.9 .. 
Professional, scientific & 
technical services  3.4 3.6 3.4 3.2 3.6 3.8 5.0 4.1 .. 
Public administration & 
defence  7.0 7.4 7.3 7.4 6.9 6.1 8.9 10.2 .. 
Administrative & support 
service  5.8 5.4 5.7 5.7 6.5 6.7 7.4 6.3 .. 
Education  5.7 5.8 4.5 5.9 4.7 5.5 6.3 6.7 .. WT/TPR/S/431 /Rev.1  • Barbados  
 
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2014  2015  2016  2017  2018  2019  2020a 2021b 2022  
Q1b 
Human health & social work  5.3 5.4 4.9 5.1 4.7 5.1 5.2 5.4 .. 
Activities of households as 
employers  4.0 3.9 4.0 3.7 3.5 3.8 3.4 3.5 .. 
Other groups  5.6 5.9 6.1 6.2 6.8 7.2 6.2 6.4 .. 
Other services  2.8 2.9 3.0 3.6 3.2 3.9 3.0 3.5 .. 
.. Not available.  
a Preliminary data.  
b Estimates.   
c Data until 2021Q3.  
Source:  WTO Secretariat calculations, based on data from the CBB; CBB, Review of Barbados' Economic 
Performance, January to December  2021; Barbados Statistical Service; and IMF International 
Financial Statistics.  
1.8.  Real GDP is estimated to have contracted by 14% in 2020, due to sharp declines in long -stay 
tourist and cruise passenger arrivals, and the significant weakening of investment and consumption 
spending as a result of the economic uncertainty caused by the pandemic. Although tourist arrivals 
recorded a modest  improvement in the last quarter of 2020, this performance was insufficient to 
compensate for the major disruption to international travel experienced in the first half of the year. 
Total long -stay visitors fell by 72.6% in 2020 compared to the previous ye ar, and cruise passenger 
arrivals by 63.5%. Moreover, the national lockdown during the second quarter of 2020 required 
business closures and adjusted working arrangements, which increased unemployment in the private 
sector and led to an upsurge in unemploy ment claims. The gradual reopening of the economy during 
the third quarter resulted in the return of some jobs, but unemployment remained high (see below).5 
1.9.  After a decline of 14% in 2020, GDP declined by a further 7% in the first half of 2021. Tourist 
arrivals in the first semester of 2021 were 96% lower than for the same period of 2020.6 In the 
second half of 2021, however, growth showed signs of reviving, with GDP growing by 8% with 
respect to the second half of 2020, indicative of an emerging but mild  recovery partly reflecting the 
gradual easing of travel restrictions, as well as higher domestic private sector spending relative to 
2020. This resulted in an estimated GDP average growth rate of 0.7% for 2021.  
1.10.  A positive contribution to GDP in 2021 has c ome from the manufacturing sector; particularly 
dynamic were the rum and other beverages industry, and the electronic components subsector, 
which benefited from increasing exports. Agricultural production contracted during the first semester 
of 2021, as it  continued to be affected by the weakness in the tourism sector, which had a negative 
impact in particular on the demand for chicken. Crop production was affected by the ashfall from 
the eruption of the volcano on the nearby island of S aint Vincent. The sugar cane harvest registered 
better yields, but the shift towards the production of better -quality molasses led to lower sugar 
production. After being hard -hit by the lockdown in 2020, the non -traded sector registered a partial 
recovery durin g the second quarter of 2021, reflecting an upturn in the retail and general business 
services sectors. Although in the first quarter construction activity slowed down due to the lockdown, 
in the second quarter activity resumed, in particular due to the co ntinuation of projects related to 
the upgrade of the hotel infrastructure, road works, the Grantley Adams International Airport runway 
repaving project, the Sagicor Retirement Village , and other small -scale projects.  
1.11.  Barbados' economy is characterized by t he persistence of high unemployment rates. Even 
before the COVID -19 pandemic, the unemployment rate hovered around or exceeded 10%. The 
pandemic had a strongly negative impact on employment and raised unemployment levels 
considerably. The unemployment rate  increased to 17.2% in the first quarter of 2021, when just 
105,700 persons were fully employed.  The N IS played a central role in helping to stabili ze the 
situation. During the first 12  months of the crisis, claimants for NIS unemployment benefits received  
 
5 CBB (2021) , Annual Report 2020 . Viewed at: 
http://www.centralbank.org.bb/Portals/0/Fi les/Central%20Bank%20of%20Barbados%202020%20Annual%20
Report.pdf .  
6 CBB (2021), Review of Barbados' Economic Performance, January  to June 2021. Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%20Review%20of%20Bar
bados'%20Economy%20 -%20January -June%202021.pdf .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  payments estimated at almost 14  weeks.7 By the end of 2021, with growth resuming albeit modestly, 
the unemployment rate stood at 14.1% of the labour force. With the resumptions of tourist arrivals, 
the unemployment rate declined to 8.2% in the first quar ter of 2022 . 
1.12.  As noted above, to help revive tourism and employment in the sector in response to the social 
and economic impact s of COVID -19, the Government launched the B EST Programme in 
October  2020. The programme is focused on the re -engagement of worker s in the tourism sector. 
The emphasis on tourism is because it employs approximately 40% of the workforce, and there are 
strong linkages between tourism and the rest of the economy. Under the programme, tourism firms 
are offered grants and an investment vi a preference shares to fund the re -engagement of their 
workers at a level of 80% of their normal pay and investments in the transformation of the tourism 
plan.8 The BEST Programme  gives companies the choice of paying severance to their workers in the 
new expedited process or accepting grants and a share investment from the Government to 
re-engage their workers, deliver real certifiable training, and invest now in order to command higher 
revenues and lower costs when tourism returns. An additional part of t he BEST is a training 
programme to raise quality, value , and productivity, paid by and implemented with the assistance 
of the National Transformation Initiative (NTI).9 
1.13.  Under the BEST  Programme , the Government 's investment in tourism firms is done in two 
parts: first to cover their re -engagement with their workers and a limited Voluntary Separation 
Package (VSEP) programme; and subsequently to fund their investment plans. The Government 
invests primarily by way of purchasing BEST (Preference) Shares in  the participating company. The 
Government provides a grant equivalent to 120% of the wages, VSEP , or investments the company 
can contribute in foreign exchange (sold to the Central Bank of Barbados  (CBB) ), or equivalent to 
100% of these if the contributio n is in BBD. The amount of the grant is capped at BBD 500,000 per 
property and not more than two properties per ownership group may benefit. The balance between 
the funds provided by the company plus the government grant and the total wage and VSEP bill an d 
investment plan would be funded by the sale of BEST (Preference ) Shares to the Government.  
1.14.  BEST (Preference ) Share s are issued by the company and held initially by the Government. 
They are non-voting, marketable, redeemable, convertible, preference share s. The Government may 
sell its BEST Shares at any time, but the company will have the right of first refusal to buy those 
shares at a maximum price of their face value. The issuer may redeem its BEST Shares at their face 
value at any time at its discretion  without penalty; the company 's owners and shareholders cannot 
withdraw any dividends from the company until the BEST Shares have been fully redeemed or 
repurchased, with the definition of dividends including any additional fees and levies paid to related 
parties. Moreover, there can be no asset sales or increase in management compensation (other than 
cost of living adjustments) without the prior approval of holders of BEST Shares. The BEST Shares 
carry a 0% coupon for the first two years, after which they carry a 2% coupon to be paid out of 
profits where they exist, rising to 5% after year  5 and 7% after year  7. This coupon does not have 
to be paid if there are no profits. If a company has not paid the coupon on its BEST Shares in any 
two years out of four in which there was a coupon, the holder of BEST Shares will be entitled to 
convert their BEST Shares into the ordinary voting share capital of the company. The rate of 
conversion will be proportional to the net book value of the company, with fair value ad justment, as 
determined by external auditors.10 
 
7 CBB (2021), Review of Barbados' Economic Performance, January to June 2021. Viewed at: 
http://www.centralbank .org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%20Review%20of%20Bar
bados'%20Economy%20 -%20January -June%202021.pdf .  
8 Under the BEST  Programme , the Government offers companies an equity investment to enable them 
to offer their workers a re -engagemen t programme for 24 months, at 80% of their pay as at December  2019, 
up to the National Insurance and Social Security Scheme 's maximum insurable earnings limit of BBD 4,880 per 
month. The duration of the employee re -engagement programme is 24 months, during  which, if revenues 
return to over 90% of 2019 revenues, the Government and firm will enter into a negotiation to see if the wage 
support component of the BEST Programme may be reasonably reduced while maintaining employment levels. 
Participating firms wil l receive funds for wages monthly and these funds will include the employer 's NIS 
contribution.  
9 The NTI will assist firms with the preparation of tourism -specific training plans and will meet the cost 
of NTI -sourced training, with funds amounting to BBD 20 million . 
10 Barbados Government Information System (GIS), Barbados Employment & Sustainable 
Transformation Programme . Viewed at: https://gisbarb ados.gov.bb/download/barbados -employment -
sustainable -transformation -programme/ .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  1.3  Monetary and Exchange Rate Policy  
1.15.  The CBB, established by an Act of Parliament in 1972, is responsible for conducting monetary 
policy. The main objective of monetary policy is to maintain the exchange rate's fixed parity with 
the U S dollar, which involves ensuring there is a sufficient buffer of foreign exchange reserves to 
protect the peg. In addition, promoting monetary stability and a sound financial structure, 
developing money and capital markets, and main taining credit and exchange conditions that foster 
development are also monetary policy objectives.  
1.16.  During the period under review, major changes to legislation took place. For the majority of 
the period under review, the CBB was governed by the Central Ba nk of Barbados Act , Cap. 323C. In 
December  2020, a new Central Bank of Barbados Act (Act No.  30 of 2020) was passed into law in 
the Parliament of Barbados on 14  December  2020 and repealed the Central Bank of Barbados Act , 
Cap. 323C. The new Act prescribes two objectives for the CBB. The primary objective is to maintain 
the value of the Barbados currency, as stated above, and the secondary objective is to promote 
financial stability that is conducive to the orderly and sust ained economic development of Barbados. 
To reach these objectives, the Bank is authori zed to execute a range of functions, as provided for 
under Section  13 of the new Act , includ ing formulati ng and executi ng monetary policy , holding and 
mana ging official i nternational reserves , acting as lender of last resort , and serving as fiscal agent 
and financial advisor to the Government. The CBB is also responsible for undertaking micro and 
macroprudential supervision of the payments and wider financial system.  
1.17.  Accor ding to the authorities, the new Act primarily intends to strengthen the Bank 's internal 
governance  and operational autonomy and to ensure compliance with internationally recogni zed 
accounting standards.11 They consider that the new Act represents the most  significant change to 
the Bank 's governing legislation since its establishment, providing improved internal governance  and 
operational autonomy, and ensuring compliance with internationally accounting standards.  
1.18.  Under the new Act, the CBB 's governance fra mework is to be administered by two 
decision -making bodies: the Board of Directors and the Executive Committee. The former is 
responsible for the oversight of the executive management of the Bank, which is exercised by the 
Executive Committee, composed  of the Governor, with a term of six years (with the option of 
reappointment), and two Deputy Governors. This Committee also has responsibility for the 
formulation, adoption, and implementation of monetary and financial stability policies.12 The Board 
of the B ank consists of the Governor as Chair, the Director of Finance and Economic Affairs as an 
ex officio  member, and five other nonexecutive Directors.13 
1.19.  The new Act prohibits the monetary financing of the Government or government -owned 
enterprises including the grant by the Bank of direct or indirect loans or short -term advances, and 
issuance of guarantees by the Bank for financial transactions. This does not apply to the banks that 
are owned by the Government. The Act prohibits that the CBB purchase securities issued by the 
Government or any government -owned enterprise on the primary market; it must do so in the 
secondary market. Despite the general government -financing prohibition, where, by an enactment 
it is declared that a public emergency has arisen in Barbados, the CBB may purchase marketable 
secur ities issued by the Government or any publicly owned institution on the primary market where 
the total amount of government debt acquired by the Bank pursuant to this section does not exceed 
3% of GDP.14 The securities issued must have a specified maturity  of a maximum of up to five years , 
be issued at prevailing market rates , be repaid in cash only , and must not have been rolled over or 
renewed. The Act also allows, and "notwithstanding any other provision to the contrary", the CBB to 
 
11 CBB (2021) , Annual Report 2020 . Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%202020%20Annual%20
Report.pdf .  
12 Act No.  30 of 2020 , Sectio ns 13, 14 , and 15 . Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Documents/Central%20Bank%20of%20Barbados%20Act%2020
20-30.pdf. 
13 CBB (2021) , Annual Report 2020 . Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%202020% 20Annual%20
Report.pdf .  
14 Central Bank of Barbados Act, Act No.  30 of 2020, Section  62. Viewed at: 
http://www.centralbank.org.bb/Port als/0/Files/Documents/Central%20Bank%20of%20Barbados%20Act%2020
20-30.pdf .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  make temporary advanc es to the Government to permit the Government to manage its cash flow.15 
The total aggregate amount of these temporary advances cannot exceed at any time 7.5% of the 
annual average (in the previous law it was 10%) of the ordinary revenue of the Government for the 
three fiscal years of the Government immediately preceding for which accounts are available. 
Additionally, repayment must be made in cash only within three months of the end of the fiscal year 
of the Government and must bear interest at a prevailin g market rate.  
1.20.  The CBB's monetary policy field of action is limited by maintaining the peg to the US  dollar . 
The Barbados  dollar is pegged to the U S dollar at BBD 2 per USD  1 (BBD 1.98/USD  sale rate and 
BBD 2.02/USD  purchase rate). The peg implies that mon etary policy is not a fully -fledged 
independent instrument, as its main goal is maintaining the peg, leaving it ineffective to 
simultaneously attain other objectives. Consequently, the main policy thrust is placed on the fiscal 
area, as witnessed by action s undertaken in recent years. The main instruments available to the 
CBB to implement monetary policy are the discount rate on short -term liquidity loans to commercial 
banks, and the management of reserve requirements. Due to the peg, the size of the money base 
is largely influenced by the net inflow of foreign exchange reserves (Table  1.3), linked to a large 
extent to tourism receipts, and more recently to credits from multilateral institutions.  
1.21.  The level of financial intermediation is relatively high for t he region and has increased during 
the period under review. The base money was equivalent to 37.9% of nominal GDP in 2020; the 
ratio of private sector credit to GDP was 91.8%, up from 82.5% in 2014, while the share of domestic 
currency deposits to GDP was 138.4%, up from 113.8%.  
1.22.  One of the main monetary policy instruments used by the CBB is the management of reserve 
requirements. An increase in the requirements implies less money is available for lending. During 
part of the review period, commercial banks w ere obliged to hold 2% of foreign deposits and 5% of 
domestic deposits in cash reserves, and 10% of deposits in government securities. In 2017,  the CBB 
announced  a tightening  of its monetary  policy  stance  through  an increase  in its securities  reserve  
requirement  ratio.  The increase  required  banks  to hold 15% of their domestic  deposits  in stipulated  
securities  with effect  from 15 June 2017.  The cash reserve  requirement  for commercial  banks  
remained  unchanged  at 5%. The reserve  requirements  for deposit -taking  trust and finance  
companies  and for merchant  banks  also remained  unchanged.  In late 2017, the CBB announced a 
further tightening of its monetary policy stance. The securities reserve requirement ratio for 
commercial banks licensed under Part II of the Fin ancial Institutions Act was increased in two phases. 
Effective 1  December  2017, commercial banks were required to hold 18% of their domestic deposits 
in stipulated securities. From 1  January  2018, commercial banks were required to hold 20% of their 
domestic deposits in stipulated securities.16 The rate remained at this level until November  2018, 
when it was lowered to 17.5%. Effective 1  April 2020, the reserve requirement rate was lowered to 
5% to help face the negative effects on the economy of the pandemic (see below).  
Table  1.3 Monetary indicators , 2014 -2022Q1  
 
2014  2015  2016  2017  2018  2019  2020  2021  2022 
Q1 
Money and credit  
Monetary base 
(BBD million)  1,585  1,990  2,482  2,376  2,659  2,939  3,552  4,133  4,490  
Net international reserves  
(USD  million ) 862 821 575 335 833 1,131  2,195  2,595  2,536  
Domestic currency 
deposits ( BBD million)  10,354  10,727  11,098  11,224  11,365  11,631  12,283  12,688  .. 
Foreign currency deposits 
(BBD million)  462 645 740 755 602 654 693 911 .. 
Prices  
Retail price index (end of 
period, % growth)  2.4 -2.5 3.8 6.6 0.6 7.2 1.3 5.0 4.1 
Retail price index (period 
average, % growth)  1.8 -1.1 1.5 4.4 3.7 4.1 3.0 3.1 .. 
Interest rates (%)  
 
15 Central Bank of Barbados Act, Act No.  30 of 2020, Section  62. Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Documents/Central%20Bank%20of%20Barbados%20Act%2020
20-30.pdf . 
16 CBB (2017), Central Bank of Barbados Announces Monetary Policy Change.  Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank% 20of%20Barbados%20Announces%20Monet
ary%20Policy%20Change.pdf .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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2014  2015  2016  2017  2018  2019  2020  2021  2022 
Q1 
Central Bank policy rate 7.0 7.0 7.0 7.0 7.0 7.0 2.0 2.0 2.0 
Savings rate 3.50 3.50 1.25 1.25 1.25 0.65 0.65 1.05 1.05 
Treasury  Bill rate   2.6 1.8 3.1 3.2 0.5 0.5 0.5 0.5 0.5 
Implicit deposit rate   2.5 0.9 0.3 0.1 0.1 0.1 0.04 0.04 0.04 
Implicit loan rate  7.1 6.7 6.5 6.5 6.4 6.2 5.7 5.6 5.4 
Other indicators  
Excess cash ratio   11.1 15.7 14.2 16.1 18.5 22.8 25.6 .. 
Private sector credit 
growth (%)   1.6 1.5 3.2 0.4 0.9 -1.5 -1.1 .. 
Private sector credit (% of 
GDP)  82.5 81.7 81.9 80.4 79.4 91.8 94.8 .. 
Domestic currency 
deposits (% of GDP)   113.8  114.9  112.7  111.7  111.8  138.4  146.9  .. 
.. Not available . 
Source:  CBB. 
1.23.  Apart from the modification of reserve requirements, there were a number of changes with 
respect to monetary policy tools during the review period. A foreign exchange fee (FXF) of 2% on 
the Barbados value of the transaction was introduced in 2017. The FXF was introduced in two phases: 
on 17  July 2017 for purchases of foreign cash, wire transfers , and bank drafts and on 
1 September  2017 for foreign credit, debit , and prepaid travel card transactions. The FXF  applies to 
purchases of foreign currency and payments for foreign currency transactions; this included credit 
card transactions billed in BBD. There were also changes to foreign exchange surrender 
requirements. Although there is still a requirement for au thorized foreign  exchange dealers to 
surrender  5% of their gross foreign exchange  purchases to the CBB, effective 1  August  2019  
exporters no longer have to surrender their proceeds to authorized foreign exchange dealers.17 Prior 
to that date, exporters had  to surrender 70% of their proceeds to dealers within six months, although 
they could apply for exemptions.18 
1.24.  The CBB buys and sells US  dollars  from authorized dealers and from the Government at the 
official exchange rate. It also buys and sells C anadian d ollars , euros,  and pounds  sterling at officially 
quoted rates on the basis of their cross -rate relationships to the US  dollar . A commission charge 
of 0.125% for purchase and 1.75% for sales are applied on US  dollar  transaction s, and of 0.1875% 
and 1.8125%,  on Canadian dollar , euro, and pound sterling operations. Current account transactions 
are largely liberalized and generally do not require CBB approval. Authorized dealers may approve 
current payments, including standard import payments. Additionally, aut hority has been delegated 
to commercial banks for current account transactions ranging from BBD 7,500 to BBD 250,000. 
Commercial banks may release up to BBD 250,000 in foreign exchange for advance payments for 
imports to Barbados. Also, commercial banks ar e permitted to approve all payments abroad for 
charges and fees with respect to granting and registration of patents, designs, and trademarks.  
1.25.  Restrictions regarding foreign exchange accounts were removed during the review period. 
Effective 1  August  2019, residents are allowed to open and hold foreign exchange accounts without 
CBB approval. Authorized exchange dealers may credit 100% of the foreign exchange earned related 
to current account transactions by residents to their foreign exchange accounts withou t CBB 
approval.19 Prior to this, only residents earning foreign exchange related to current account 
transactions were permitted to hold foreign exchange accounts; dealers were authorized to credit 
only up to 30% of the foreign exchange surrendered by resid ents to their foreign exchange accounts 
without CBB approval. Authorized dealers may open foreign exchange accounts for non -residents; 
CBB approval is not required remit abroad funds from these accounts that are not the proceeds of 
 
17 As of 31  December  2018, eight institutions had been licensed to deal in foreign exchange with the 
public in the spot market. There were no foreign exchange bureaus. IMF (2020), Annual Report on Exchange 
Arrangements and Exchange Restrictions 2019 . Viewed at: https://www.imf.org/en/Publications/Annual -
Report -on-Exchange -Arrangements -and-Exchange -Restrictions/Issues/2020/08/10/Annual -Report -on-
Exchange -Arrangements -and-Exchange -Restrictions -2019-47102 .  
18 IMF (2020), Annual Report on Excha nge Arrangements and Exchange Restrictions 2019 . Viewed at: 
https://www.imf.org/en/Publications/Annual -Report -on-Exchange -Arrangements -and-Exchange -
Restrictions/Issues/2020/08/10/Annual -Report -on-Exchange -Arrangements -and-Exchange -Restrictions -2019-
47102 .  
19 The authorized dealers are the Bank of Nov a Scotia, CIBC FirstCaribbean, Citicorp Merchant Bank, 
Consolidated Finance, First Citizens Bank, RBC Royal Bank, Republic Bank, and SigniaGlobe Financial Group.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  payment for trade or non -trade transactions.  Commercial banks may approve all payments for 
insurance, freight, advertising, commissions, and fees relating to imports; however, they must 
report these transfers to the CBB. Regarding investment -related payments , approval is required for 
amounts above BBD 250,000 for payments of profits and dividends to residents outside of the 
Caribbean Community  and Common Market  (CARICOM ). Exchange controls regarding money for 
travelling were also relaxed. As of 1  July 2019, residents are allowed BBD 20,000  per person per 
calendar year for private travel and BBD 1,000 per day up to BBD 60,000  per person per calendar 
year for business travel. Before that, there were no limitations for the release of foreign exchange 
to residents, for travel within CARICOM, but, for trave l outside CARICOM, there were limits of 
BBD 7,500  per person per calendar year for private travel and BBD 750 per day up to 
BBD 50,000  per person per calendar year for business travel. There are no limits on payments for 
medical treatment or study abroad, but these payments require approval from a commercial bank.  
1.26.  In February  2020, the CBB introduced changes to the exchange rate regime, continuing the 
movement toward s more relaxed exchange controls that it began in 2019. The new policy, which 
will impact se veral types of foreign currency transactions, went into effect as of 17 February  2020. 
As a result, authorized dealers can now approve and execute larger foreign currency transactions. 
The limit for dividends and profits that may be remitted without CBB approval was raised from 
BBD 250,000 to BBD 500,000. Authorized dealers are allowed  to lend up to BBD 5 million  proceeding  
from foreign sources to domestic companies. The FXF was capped at BBD 100,000.20 
1.27.  Despite the liberalization, certain capital account restrictions remain in place. Purchases of all 
securities abroad by residents requi re exchange control approval. Earnings on these securities must 
be repatriated to Barbados and surrendered to an authorized dealer. All credit operations, as well as 
direct investments, require exchange control approval. The liquidation of proceeds of dire ct 
investments is permitted , provided the original investment was registered with the CBB, all liabilities 
related to the investment have been discharged, and evidence is submitted documenting the validity 
of the remittance. Some direct investments require  exchange control approval. Prior permission of 
the CBB must be obtained for all remittances by residents of Barbados for overseas investments 
(except in CARICOM), including loans and credit enhancements. Capital account transactions with 
the Eastern Carib bean Central Bank ( ECCB ) area denominated in Eastern Caribbean dollars are free 
from controls, except for transactions in debt issues of Organisation of Eastern Caribbean States 
(OECS ) governments. There are some repatriation requirements: earnings on secu rities and money 
market instruments purchased abroad by residents must be repatriated. The issuance and transfer 
to non -residents of securities registered in Barbados require exchange control approval. Purchases 
and sales of shares and securities of compan ies cross -listed and cross -traded on any CARICOM stock 
exchange are permitted without limit but purchases from outside CARICOM require CBB approval.  
1.28.  To counter the negative effects of the COVID -19 pandemic , the CBB implemented measures 
to support the domes tic banking sector effective 1  April 2020, which resulted in a considerable 
easing of the monetary stance.21 The measures included: (i) reduction from 7% to 2% of the CBB's 
discount rate (rate at which it provides overnight lending to banks and deposit -taking non -banks 
licensed under the Financial Institutions Act); (ii) reduction of the securities ratio for banks from 
17.5% to 5%; (iii) elimination of the 1.5% securities ratio for non -bank deposit -taking licensees; 
and (iv ) readiness to make collaterali zed loans for up to six months as liquidity support for licensees, 
if necessary. These measures were accompanied by others taken by commercial banks previously 
to help affected borrowers on a case -by-case basis, including a moratorium on loan payments for 
firms and individuals directly impacted by the pandemic and resulting economic downturn, for up to 
six months; adjusted loan terms to reduce monthly payments and improve cash flows; and additional 
credit to existing customers to address short -term liquidity  challenges.  
1.29.  Amid the COVID -19 crisis, support from international financial institutions in 2020 enabled 
gross international reserves to rise to USD  2.7 billion , approximately 40  weeks of imports, 
supporting the monetary base, which otherwise would have be en severely affected by the sharp 
decline in foreign exchange receipts from tourism, leading to a much stronger economic contraction 
 
20 CBB, Key Changes to Exchange Control Circulars , February  2020. Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Exchange%20Control%20Circulars/Key%20Changes%20to%20
Excha nge%20Control%20Circulars%20 -%20February%202020.pdf .  
21 CBB (2020), Central Bank of Barbados Announces Monetary Policy Measures , 30 March. Viewed at: 
http://www.centralbank.org.bb/news/article/9856/central -bank-of-barbados -announces -monetary -policy -
measures .  WT/TPR/S/431 /Rev.1  • Barbados  
 
- 22 - 
 
  and putting considerable pressure on the exchange rate. In the near future, a delay in the recovery 
of the tourism sector, weak demand for exports, rising oil prices , and reduced external borrowing 
from the international financial institutions could prevent further accumulation of international 
reserves and put pressure on the economy. The authorities consider that access to f unding by SMEs 
remains critical in avoiding increased insolvencies.22 
1.30.  The authorities remain committed to maintaining the exchange rate peg to the US  dollar , 
which they consider has provided a key anchor for macroeconomic stability. They are intent on 
implementing the fiscal and structural policies necessary to support the peg and international 
reserves. The authorities are also committed to continue to reduce CBB financing to the Government, 
as mandated by the new Central Bank Act (to 7.5% from 10%).  
1.31.  Inflation, as measured by the retail price index (RPI), has continued to be moderate in recent 
years. As Barbados maintains a fixed exchange rate and Barbados imports most consumer goods, 
prices are largely influenced by shifts in foreign markets. However, wage  changes also play an 
important role, and agricultural sector conditions have an influence on the price of food. After a 
decline in the RPI in 2015, this index followed an upward trend in 2016 and 2017 reflecting higher 
commodity prices. In 2017, inflation  increased substantially, to 4.5% at the end of the year, 
reflecting the introduction at 2% in 2016 and increase to 10% in 2017 of the National Social 
Responsibility Levy (NSRL) on imports on domestic productions (see below). In 2018, the average 
inflation  rate declined to 3.7% at the end of the year, reflecting the impact of weakened international 
oil and other commodity prices on the domestic prices of energy products, clothing, goods , and 
beverages, and the elimination of the NSRL. The IMF considers the abolition of the NSRL in the 
second half of 2018 was a major contributor to lower inflation.23 There was a certain increase in 
inflation in 2019, especially in the second half of the year mainly caused by an increase in the price 
of food influenced by a dr ought in 2019. In 2020 inflation declined again. At the end of December, 
the 12 -month moving average inflation rate was 3%, compared with 4.2% one year earlier. The 
decline in the inflation rate reflected primarily the impact of weakened international oil and other 
commodity prices on the domestic prices of energy products, clothing, non -vegetable goods , and 
non-alcoholic beverages.24 As at June  2021, the 12 -month moving average inflation rate was 
estimated at 2.0%, lower than in the previous years, as the pace of increase in food prices, especially 
vegetables, slowed down and there were price declines for other categories of non -food spending, 
including clothing, household furnishings, electricity , and transportation costs , which together 
represent almost h alf of the RPI.25 Since then, however, and due to a large extent to increases in 
international prices of energy and food, inflationary pressures have been building, and the RPI edged 
up to a year -end rate of 5% in 2021.  
1.4  Fiscal Policy and Debt Sustainabilit y 
1.4.1   Main developments  
1.32.  Barbados has been registering structural fiscal deficits for the last two decades. These deficits 
have resulted in rising public debt and have reduced the Government 's ability to respond to 
exogenous shocks and crises due to lack of fis cal space. During the period under review, the 
authorities undertook substantial efforts to reduce the deficit and enter a fiscal consolidation path 
to rei n in deficits and stop the increase in public debt. The emergence of the COVID -19 crisis, with 
the re sulting fall in revenues and increase in expenses , has constituted a major challenge for this 
 
22 CBB (2021) , Outlook fo r the Barbados Economy in 2021 , 30 April. Viewed at: 
http://www.centralbank.org.bb/news/article/10307/outlook -for-the-barbados -economy -in-2021.  
23 IMF (2019), Barbados : 2019 Article  IV Consultation, Second Review under the Extended 
Arrangement, Request for Completion of the Financing Assurances Review, and Modification of Performance 
Criteria—Press Releases; Staff Report; and Statement by the Executive Director for Barbados , IMF Country 
Report No.  19/370, December  2019. Viewed at: 
https: //www.imf.org/en/Publications/CR/Issues/2019/12/18/Barbados -2019-Article -IV-Consultation -Second -
Review -Under -the-Extended -Arrangement -Request -48886 .  
24 CBB (2021),  Annual Report 2020 . Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%202020%20Annual%20
Report.pdf .  
25 CBB (2021), Review of Barbados' Economic Performance, January to June 2021. Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%20Revie w%20of%20Bar
bados'%20Economy%20 -%20January -June%202021.pdf .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  strategy. However, the authorities seem to be determined to resume the fiscal consolidation path in 
the medium term.  
1.33.  During the period under review, the fiscal de ficit peaked at 10.9% of GDP in FY2013/14, and 
has since been on a downwards path, particularly after FY2015/16.26 As a result of efforts , just 0.3% 
of GDP in FY2018/19 and a surplus equivalent to 3.6% of GDP was posted in FY2019/20. The latter 
reflects the effects of the ambitious deficit -reduction BERT Plan. However, due to the sharp decline 
in revenue and the increase in expenditure caused by the COVID -19 pande mic, the fiscal situation 
deteriorated in FY2020/21, when a deficit of 5.1% of GDP was registered. Tax revenue as a share 
of GDP increased during most of the period under review, due mainly to the increase in collection of 
direct taxes. Direct tax revenue increased from 9.3% of GDP in FY2013/14 to 1 4.2% in FY2019/20, 
before  decreasing slightly to 13. 4% in FY2020/21. Total tax revenue rose from 24.7% in FY2013/14 
to 28.1% in FY2020/21, while total fiscal revenue rose from 2 6.8% of GDP to 30.2% (Table  1.4). 
The estimate fiscal deficit for FY2021/22 is equivalent to 4.8% of GDP, a slight improvement with 
respect to the previous year. Although expenditure was reduced as a share of GDP, total revenue 
remained weak, at 27.9% of GDP, mainly on account of lower reve nue collection, while revenue 
from indirect taxes, especially VAT, increased. Import duties represented 2.2% of GDP, or some 
8.4% of tax revenue . 
Table 1.4 Summary of central government fiscal operations, FY2013/14 -FY2021/22  
(% of nominal GDP at 2010 prices)   
2013/  
14 2014/  
15 2015/  
16 2016/  
17 2017/  
18 2018/  
19 2019/  
20 2020/  
21 2021/
22 
Total revenue  26.8 25.7 26.1 28.5 28.4 29.1 29.3 30.2 27.9 
Tax revenue  24.7 23.3 24.0 25.8 26.5 27.4 27.2 28.1 26.1 
Direct tax revenue  9.3 9.6 9.3 10.0 11.0 10.6 14.2 13.4 11.3 
Personal  4.2 4.4 4.2 4.7 4.5 3.6 4.5 3.4 3.8 
Corporate  2.0 1.7 2.3 3.5 3.0 7.2 3.0 6.8 4.5 
Property  1.8 1.8 1.4 0.0 0.0 0.0 2.1 2.0 2.0 
Banks and other asset tax 0.0 0.3 0.3 0.0 0.0 0.0 0.5 0.5 0.5 
Other  1.2 0.9 0.7 1.6 2.1 2.1 0.6 0.2 0.6 
Indirect tax revenue  15.4 13.7 14.8 15.8 16.9 16.4 16.5 13.9 14.8 
Stamp  0.1 0.1 0.1 0.4 0.5 0.5 0.1 0.1 0.1 
VAT 10.4 8.6 9.1 9.2 8.9 9.2 9.5 8.3 8.7 
Excise taxes  1.3 1.5 1.8 16.4 16.5 13.9 2.5 1.8 2.1 
Import duties 2.2 2.4 2.5 2.2 2.1 2.1 2.3 2.3 2.2 
Hotel & restaurant  0.0 0.0 0.0 0.1 0.1 0.1 0.0 0.0 0.0 
Social Responsibility Levy  0.0 0.0 0.0 0.3 1.5 0.5 0.0 0.0 0.0 
Other  1.3 1.1 1.3 1.2 1.9 2.2 1.6 1.3 1.5 
Non-tax revenue & grants 2.0 2.4 2.0 2.7 1.9 1.81 2.1 2.1 1.8 
Non-tax revenue  1.7 1.6 1.6 2.4 1.5 1.6 2.0 2.0 1.6 
Grants  0.1 0.6 0.2 0.1 0.2 0.0 0.1 0.0 0.1 
Post office 0.2 0.2 0.3 0.2 0.2 0.2 0.0 0.1 0.1 
Total expenditure  37.7 33.3 35.2 33.9 32.9 29.4 25.5 35.2 32.7 
Current expenditure  35.8 31.2 32.7 31.6 31.2 27.5 23.6 32.0 28.5 
Wages & salaries  10.0 8.6 8.4 8.1 7.9 7.9 9.5 9.6 8.2 
Goods & services  4.4 3.7 4.7 4.0 3.5 3.7 4.7 4.8 4.9 
Interest  7.0 7.0 7.1 7.7 3.7 2.5 4.0 4.0 3.9 
External  1.5 1.8 1.7 0.5 0.6 1.7 0.6 0.6 1.3 
Domestic  5.4 5.2 5.4 3.3 1.8 2.3 1.8 1.8 2.6 
Transfers & subsidies  14.4 12.0 12.6 11.8 12.4 9.6 13.7 13.8 11.5 
Grants to individuals  4.2 3.6 3.6 3.5 3.8 5.0 3.8 4.7 4.5 
Grants to public institutions  9.0 7.3 7.7 7.9 5.1 7.7 5.1 7.3 6.2 
Subsidies  0.6 0.5 0.6 0.5 0.3 0.6 0.3 0.6 0.3 
Subscriptions & 
contributions  0.2 0.2 0.2 0.2 0.2 0.2 0.2 0.2 0.2 
Non-profit agencies  0.4 0.3 0.3 0.2 0.2 0.2 0.2 0.2 0.2 
Capital expenditure  1.6 1.9 2.3 2.1 1.5 1.8 1.8 3.3 4.2 
Net lending  0.3 0.2 0.2 0.2 0.2 0.1 0.1 0.0 0.0 
Fiscal balance  -10.9 -7.5 -9.2 -5.4 -4.5 -0.3 3.8 -5.1 -4.8 
Primary balance  -4.0 -0.5 -2.0 2.3 3.1 3.4 6.2 -1.0 -0.9 
 
26 The fiscal year runs from 1  April to 31  March.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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2013/  
14 2014/  
15 2015/  
16 2016/  
17 2017/  
18 2018/  
19 2019/  
20 2020/  
21 2021/
22 
Government financing  .. .. 9.2 5.4 0.3 -3.8 5.1 0.3 4.8 
Domestic financing  .. .. 8.9 -3.1 -2.8 -4.4 -3.1 -5.1 -0.5 
Foreign financing  .. .. 0.3 3.4 1.0 10.2 3.4 10.2 -5.3 
Memorandum:         
  
Gross public sector debt (% of 
GDP) 137.6  145.1  155.2  148.4  122.6  120.8  142.4  150.3  137.2  
.. Not available.  
a Calculations based on fiscal year GDP estimates by the IMF.  
b Calendar year.  
c Includes gross central government debt, other public sector debt, and arrears.  
Source:  CBB, Summary of Government Operations ; CBB, Review of Barbados' Economic Performance, 
January to December  2020; IMF Article  IV Consultations , various issues; and IMF Barbados 4th and 
5th Review s. 
1.34.  Reflecting the policy of spending cuts and public sector reform, expenditure as a share of GDP 
declined substantially, from 35.8% of GDP in FY2013/14 to 28.0% of GDP in FY2019/20. However, 
due to the strong state intervention needed to face the COVID -19 pandemic and the decline of 
activity linked to it, expenditure ballooned in FY2020/21 and combined with a decline in GDP, brought 
the expenditure/GDP ratio to 35.2%, before declining somewhat to 32.7% of GDP in FY2021/22. 
Most of the expenditure correct ion between FY2013/14 and FY2019/20 corresponded to a reduction 
in current expenditure, particularly the wage bill, transfers and subsidies to SOEs, and a sharp 
reduction in interest payments as from 2018, following the renegotiation of the debt as part of  the 
BERT Plan (see below). In FY2020/21 the COVID -19 pandemic gave rise to a sharp increase in 
transfers, which were equivalent to 13.8% of GDP; they declined to 11.5% of GDP in FY2021/22.  
1.35.  As mentioned before, SOEs have traditionally represented a net cos t to the exchequer and 
have been contributors to the fiscal deficit, as most SOEs operate at a loss. Transfers from the 
Central Government to SOEs are very high, and a major contributor to fiscal risk; the true cost of 
SOEs for FY2018/19 was estimated at 1 2.4% of GDP.27 The Barbados State Enterprises Oversight 
Committee was put in place to review the operations of SOEs in order to provide the Ministry of 
Finance with recommendations for improving the governance of these entities.  In the context of the 
BERT Plan, in 2018, it was decided to remove the expenses of some of these SOEs from the 
government budget by entering into a public-private partnership between government and the 
private sector ( e.g. in the case of the Barbados Tourism Marketing Inc. (BTMI) an d Barbados Tourism 
Product Authority), or by funding them through earmarked contributions (see below).  
1.36.  As a result of the need to finance fiscal deficits, public debt (inclusive of NIS holdings) rose 
during the initial years of the period under review. In 2018, in the context of the BERT  Plan, Barbados 
engaged in its first debt -reducing initiative (see below for details). This resulted in a rescheduling of 
debt payments and in debt alleviation. As a result, the public debt GDP ratio fell from a high of 
155.2% in FY2015/16 to 120.8% in FY2018/19. However, due to higher spending and lower 
revenues as a result of the COVID -19 pandemic , the ratio rose to 142.3% in FY2019/20 and 150.3% 
in FY2020/21 but declined to 137.2% in FY2021/22 . 
1.37.  The authorities estimate tha t the debt ratio will remain elevated because of the shock to 
economic activity. However, the authorities have reaffirmed their commitment towards 
medium -term fiscal stability and consolidation as well as for reducing public debt to sustainable 
levels so a s to reinvigorate growth (see  below).28 The authorities have stated that the Government 
remains committed to attaining the targeted 60% debt -to-GDP ratio, but in the context of the lost 
GDP as a result of the pandemic , consideration of a new target date ma y be necessary.29 
 
27 IMF (2018), Barbados:  Request for an Extended Arrangement Under the Extended Fund Facility -Press 
Release; Staff Report; Staff Supplement; and St atement by the Executive Director for Barbados , IMF Country 
Report No.  18/290, 4 October. Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2018/10/04/Barbados -Request -for-an-Extended -Arrangement -
Under -the-Extended -Fund-Facility -Press -Release -46283 .  
28 IMF (2021), Policy Responses to COVID -19. Viewed at : https://www.imf.org/en/Topics/imf -and-
covid19/Policy -Responses -to-COVID -19#B  [19 August  2021]; and IMF Country Report No.  18/290, 4  October .  
29 CBB (2021) , Outlook for the Barbados Economy in 2021 , 30 April. Viewed at: 
http://www.centralbank.org.bb/news/article/10307/outlook -for-the-barbados -economy -in-2021.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  1.4.2   Fiscal consolidation and public sector enterprises  
1.38.  Barbados intensified its programme of fiscal consolidation during the period under review. 
This follows attempts undertaken since 2010, when the authorities developed a medium -term fiscal  
strategy (MTFS) to reduce the fiscal deficit (to reach 92.4% of GDP in FY2014/15), balance the 
budget over the medium  term and reduce the debt -to-GDP ratio, while at the same time achieving 
moderate growth. To this end, some measures were implemented in 2014, including increasing the 
excise tax on gasoline by 50%; eliminating some tax -free allowances on travel and entertainment, 
as well as reducing ad hoc tax waivers by 10%; and increasing fees and charges for some services. 
These measures were accompanied by institutional reform steps, such as improving the efficiency 
of tax administration, and establishing the Barbados Revenue Authority in 2014. In the 
FY2015/16  June Budget Statement, the Government introduced a number of tax measures that  were 
intended to raise BBD 200 million  in additional taxes (2.3% of GDP) and excise duties in the full 
fiscal year; these included an increase in land tax rates designed to raise BBD 44 million  (0.5% of 
GDP); reducing VAT exemptions and imposing VAT on be tting and gambling (0.5% of GDP); 
increasing the VAT rate on mobile telephone usage, intended to raise BBD 32.7 million  (0.4% of 
GDP); and reducing the carry -forward period for tax losses from nine years to seven years, estimated 
to increase annual receipt s by BBD 19 million  (0.2% of GDP).30 
1.39.  Despite reform efforts, the deficits remained high, and the public debt kept mounting. In 
June 2018, the authorities launched their most ambitious fiscal reform programme to date, the B ERT 
Plan, to be done in three phas es. The BERT Plan was implemented through a revised FY2018/19 
budget and seeks fiscal and debt sustainability as necessary conditions for macroeconomic stability 
and economic growth. The programme also includes measures to improve the business climate and 
strengthen the social safety net. The growth strategy of the BERT Plan rests on the following pillars: 
(i) investing in a high -skilled and knowledge -based economy; (ii) better mobilizing private domestic 
savings for local investment; (iii) making Governmen t an enabler of growth by supporting, 
facilitating, regulating, and partnering with the traditional and non -traditional private sector s; and 
(iv) diversifying the economy into new areas such as renewable energy, high  tech, and software 
development .31 
1.40.  The first phase focused on SOE reform, more concretely, on the imposition of user fees to 
take three Statutory Corporations completely off and one partially off consolidated fiscal accounts; 
this was expected to result in a red uction in expenditure of some BBD 215 million  per fiscal year.32 
Phase  1 also focused on a review of tax revenue effectiveness and compliance. Phase  2, which took 
place mostly in 2019, focused on expenditure reduction through a review and analysis of central 
government - and state-owned enterprises. Phase  3 would see a continuation of the review of all 
remaining SOEs and departments of the Government, and a classification of expenditure. The 
Government expected that upon completion of the three phases, toget her with other measures, the 
fiscal position would improve by some BBD 1.2 billion .33 The main measures adopted, summarized 
in Box  1.1, included the repeal of the N SRL from 1  July 2018, at an estimated cost of 
BBD 145 million . The NSRL, implemented on 1  September  2016, was a tax applied to all imports at 
the border and to local/domestic production, to generate funds to address rising social costs in 
Barbados. The initial rate was 2%, but, effective 1  July 2017, the rate was increased to 10%.34 The 
NSRL was not applied on exports. In the case of imports, the NSRL was imposed on the CIF value, 
while for domestic products it was applied on the production cost of goods manufactured or produced 
in Barbados. VAT was calculated inclusive of the NSRL. There were exe mptions for goods 
manufactured or produced in Barbados sold by the manufacturer or producer to another 
 
30 IMF (2016), Barbados 2016 Article  IV Consultation —Press Release; Staff Report; and Statement by 
the Executive Director for Barbados , IMF Country Report No.  16/279, August. Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2016/12/31/Barbados -2016-Article -IV-Consultation -Press -
Release -Staff-Report -and-Statement -by-the-44205 .  
31 IMF Country Report No.  18/290, 4 October. Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2018/10/04/Barbados -Request -for-an-Extended -Arrangement -
Under -the-Extended -Fund-Facility -Press -Release -46283 .  
32 The Statutory bodies involved were the Barbados Tourism Marketing Inc and Barbados Tourism 
Produc t Inc, with savings estimated at BBD 96.3 million ; Sanitation Services Authority, BBD 65 million , and the 
Queen Elizabeth Hospital, BBD 50 million . 
33 Government of Barbados (2018), Budgetary Proposal and Financial Statement 2018 . Viewed at: 
https://www.barbadosparliament.com/uploads/document/f1a4e01093a061da9b82e1f4fef8813e.pdf .  
34 Barbados Revenue Authority , Policy Note PPG No.  003/2017 , National Social  Responsibility Levy (the 
Levy or NSRL) , Budgetary Proposals 2017 . Viewed at: https://bra.gov.bb/About/Tax -Types/NSRL/ .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  manufacturer or producer in Barbados; goods imported by the tourism sector (within the meaning 
of the Tourism Development Act) where the goods are exempt ed from the payment of import duty 
under any enactment; goods imported to be used as part of a production process by the 
manufacturing and agriculture sectors that benefit from the Fiscal Incentives Act or any enactment 
that exempts the goods from import d uties; kerosene imported for use as aviation fuel; Heavy Fuel 
Oil (Bunker  C); food items listed in paragraph  20 of the First Schedule of the Value Added Tax Act; 
and goods supplied to or imported by a diplomatic mission or international organization.  
Box 1.1 Main fiscal measures adopted as part of the BERT Plan and the ir impact  
1. The top rate of income tax was raised to 40% on that part of income greater than BBD 75,000. The measure 
is applicable as of 1  July 2018 and is expected to increase tax revenue while making the tax system more 
progressive. This increase is exp ected to raise some BBD 40 million  a year.  
2. Also effective 1  July 2018, the highest corporation tax rate was increased from 25% to 30%. This is 
expected to raise some BBD 57 million  a year. Effective 1  January  2019, the 30% tax rate was eliminated and 
replaced by a sliding scale.  
3. The Road Tax was abolished effective 1  July 2018. It was replaced from that date with a Fuel Tax. levied 
at a rate of BBD 0.40 per litre of petrol and diesel and BBD 0.05 per litre of kerosene.  
4. Effective 1  July 2018, the National Social Responsibility Levy (NSRL) was repealed.  
5. The annual registration fee for commercial vehicles was reduced by 50% effective 1  July 2018; as from the 
same date, a fee of BBD 400 must be paid for the transfer/sale of a private vehicle  and a fee of BBD 1,000 is 
levied on the purchase of a new or second -hand commercial vehicle.  
6. Waiver of all interest and penalties payable on Income Tax, Land Tax, Corporation Tax, Value Added Tax 
owed to the Barbados Revenue Authority (BRA) for the t ax years 2000 to 2016 on condition on subscribing  to 
an agreed payment plan.  
7. Introduction of a Health Service Contribution at a rate of 2.5% of incomes (1.5% paid by employers and 
1.0% by employees), effective 1  October  2018. The measure is expected t o raise some BBD 45 million  a year.  
8. Online transactions undertaken by residents were made subject to VAT effective 1  October  2018.  
9. Effective 1  October  2018, introduction of an Airline Travel and Tourism Development Tax. The amount for 
passengers f lying outside of CARICOM is USD  70; passengers flying within CARICOM pay USD  35. The revenue 
gain from this measure is estimated at BBD 95 million .  
10. Introduction of a Room Levy on hotel rooms effective 1  July 2018. The rates per room per night are 
USD 2.50 for B Class hotels and apartments, USD  5.50 for A Class , and USD  10.00 for luxury hotels . 
11. Introduction of a 2.5% Product Development Levy on Direct Tourism Services effective 1  July 2018.  
12. Effective 1  August  2018, introduction of a 10% tax on all shared economy accommodation such as Airbnb, 
HomeAway , and Expedia.  
13. Agreement between the Government and the Unions to allow for a 5% increase in wages and salaries for 
the period 1  April 2018-31 March  2019, following  a four -year period of 0% increase, between 1  April 2014 
and 31  March  2018.  
14. Increase of the minimum non -contributory pension from BDD 155 to BDD 225 per week from 1  July 2018, 
at an annual cost of BBD 20 million .  
15. Temporary increase of poverty alleviation initiatives of BBD 5 million  per year until poverty rates decline.  
16. Abolishment of the undergraduate tuition fees for persons attending the University of the West Indies; 
estimated cost BBD of 22 million  per year.  
17. Introduction of a Trust Loan Programme, consisting of loans for up to BBD 5,000 each to entrepreneurs 
without collateral on presentation of a viable, basic expenditure plan. The interest rate is the same as earned 
on Barbados government secu rities. The estimated cost of the programme is BBD 10 million  per year.  
18. Provision of a partial settlement for sugar farmers for 2018 -19, costing some BBD 5 million . 
19. Removal from the government budget the expenses of the Barbados Tourism Marketing Inc. (BTMI) and 
Barbados Tourism Product Authority from its budget by entering into a public-private partnership between the 
Government and this sector. The BTMI will now be led and managed by the private sector and funded through 
the proceeds fr om the Airline Travel and Tourism Development Tax.  
20. From 1  August  2018, the expenditure of the Sanitation Service Authority (SSA) was removed from the 
budget by funding it through a new Garbage and Sewage Contribution (GSC) levied through Barbados Wat er 
Authority (BWA) bills. The GSC for households is BBD 1.50 per household per day. Commercial premises pay 
a GSC set at 50% of their existing water bills, with 25% going to the SSA and 25% to the  BWA.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  21. Allocation of BBD 2 million  to strengthen revenu e collection at the Customs Department and the B RA.  
22. Implementation of the OECD regulations with regard to the residency of corporations, which is expected 
to result in an increase in corporate tax of some BBD 60 million  per year, as new companies are  made subject 
to the payment of corporation tax.  
Source:  Information provided by the a uthorities.  
1.41.  Other measures under the BERT Plan included the introduction as of 1  July 2018 of a Fuel Tax 
in replacement of the Road Tax, which was abolished. The Fuel T ax is levied at a rate of BBD 0.40 
per litre of petrol or diesel and BBD 0.05 per litre of kerosene.35 The authorities expected that the 
Fuel Tax would raise BBD 80 million  per year, while the Road Tax brought in BBD 65 million . A new 
upper income tax band of 40% was introduced as from 1  July 2018. As a result, the first BBD 25,000 
remained tax free,  and income between BBD 25,001 and BBD 60,000 continued to attract a rate 
of 16%; income between BBD 60,001 and BBD 75,000 was subject to a rate of 33.5%; a nd income 
above BBD 75,000 was made subject to a new higher rate band of 40%. The authorities expected 
the tax hike to raise BBD 41 million  per tax year, and to be in place until the debt -to-GDP ratio falls 
to 60%. In order to restore parity between income  and corporation tax, the highest corporation tax 
rate was raised from 25% to 30%. This is expected to yield BBD 57 million  in a full year. Considering 
the increase in online transactions for both goods and services, these transactions were made 
subject to  VAT as from 1  October  2018. From that same date, a 2.5% Health Service Contribution 
must be paid: 1.5% of insurable earnings by employers and 1.0% by employees and self -employed 
persons. This measure is expected to raise BBD 50 million  per year. Also, as of 1 October  2018, an 
Airline Travel and Tourism Development fee of USD  70 for passengers flying outside of CARICOM 
and USD  35 for those within CARICOM was introduced, in addition to the Departure Tax.36 The BERT 
also included an increase in the VAT rate c harged to hotels, from 7.5% to 15% from 1  January  2020. 
In the interim, a Room Levy was introduced, of USD  2.50 per room per night for "B" Class hotels 
and apartments; USD  5.50 for "A" Class; and USD  10.00 for luxury accommodation. In addition, 
a 2.5% Product Levy was levied on all direct tourism services (DTS), and a 10% Shares 
Accommodation Levy on Air bnb and similar shared accommodation. The Room Rate Levy was 
expected to raise BBD 47 million ; the DTS Pr oduct Levy BBD 3.9 million ; and the Shared 
Accommodation Levy, BBD 8 million .37 On the expenditure side, the Government agreed with unions 
to a 5% across -the-board increase in wages and salaries for the period 1  April 2018 to 
31 March  2019, at a cost of BBD 60 million . The minimum non -contributory pension was raised from 
BBD 155 to BBD 225 per week, at a cost of approximately BBD 18 million . Some social measures 
were also announced, such as a temporary increase in poverty alleviation and welfare initiatives . 
1.42.  The BERT aimed at achieving fiscal adjustment as the basis for economic reform. The 
programme aimed to achieve and maintain a primary surplus of 6% of GDP in FY2019/20, while 
protecting vulnerable groups through strengthened social safety nets, and incre asing room for 
capital spending. It sought to improve taxation, increase compliance, and allow for a better 
distribution of the tax burden between residents and visitors. The BERT was committed to reducing 
transfers to SOEs by about 2% of GDP by stronger o versight, cost reduction, revenue enhancement, 
and mergers and divestment, and to eventually adopt a fiscal rule.38 The BERT sought also to address 
weaknesses in the business climate and increase financial and labour  market flexibility.  
1.43.  The BERT Plan was s upported by the IMF under the E FF. The Executive Board of the IMF 
approved on 1  October  2018 a four -year Extended Arrangement under the EFF for Barbados for an 
amount initially equivalent to SDR  208 million  (about USD  290 million , or 220% of Barbados 's quota 
in the IMF), to help it in the implementation of the BERT. The arrangement enabled the authoritie s 
to purchase the equivalent of SDR  35 million  (or about USD  49 million ) immediately, and the 
remainder upon successful completion of seven semi -annual reviews. The IMF subsequently 
extended the amount to a total of USD  464 million  (SDR 322 million ). The I MF noted that the 
EFF-supported programme aimed to help Barbados restore debt sustainability, strengthen the 
 
35 The net increase on gas and diesel was BBD 0.28 per litre , as the NSRL was BBD 0.12 per  litre on 
gasoline and BBD 0.11 per litre on diesel. The Road Tax ranged from BBD 400 to BBD 1,600 per year.  
36 Of the estimated amount, BBD 75 million  would go to BTMI and BTPI.  
37 IMF Country Report No.  18/290, 4 October. Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2018/10/04/Barbados -Request -for-an-Extended -Arrangement -
Under -the-Extended -Fund-Facility -Press -Release -46283 .  
38 IMF Country Report No.  18/290, 4 October. Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2018/10/04/Barbados -Request -for-an-Extended -Arrangement -
Under -the-Extended -Fund-Facility -Press -Release -46283 .  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  external position, and improve growth prospects. The BERT Plan sought to address challenges 
including low growth, fiscal and external imbalances, h igh debt and low reserves, with a combination 
of fiscal consolidation, measures to boost growth, and debt restructuring, while protecting social 
spending.39 
1.44.  Once the E FF was approved, Barbados relaxed some of the more stringent tax increases it 
had adopted  in 2018. In this respect, the Income Tax (Amendment) Act, 2020 amended the Income 
Tax Act, Cap. 73 to implement the relevant proposals contained in the Budgetary Proposals and 
Financial Statement, 2019. The Act confirmed the reduction of the personal inco me tax rate to 12%, 
with effect from 1  July 2019 and the income years thereafter, for taxable income up BBD 50,000 , 
and from 40% to 33.5%, with effect from 1  July 2019 until 31  December  2019 for taxable income 
above BBD 50.000. The Act introduced compensat ory income credit of up to BBD 1,250 for employed 
individuals resident in Barbados with annual income between BBD 25,000 and BBD 35,000; income 
below BBD 25,000 is not taxed. The maximum income tax rate was lowered to 28.5% from 
1 January  2020. There was a lso a sharp reduction in the corporate income tax rate, from 30% to a 
maximum of 5.5% for taxable income of up to BBD 1 million ; 3% for income in the BBD 1,000,001 –
BBD 20 million  bracket; 2.5% for the BBD 20,000,001 –BBD 30 million  range; and 1% for income 
above BBD 30 million . Also, with effect from 1  September  2019, branch profits paid out of income 
earned outside of Barbados are exempt from the payment of income tax or corporation tax. The  2020 
Act included a Sixth Schedule to pr ovide incentives for the generation of foreign exchange, which 
consists in a foreign currency earnings allowance set off in the form of a rebate of income tax. The 
rebate increases with the amount of foreign exchange generated. For foreign exchange earning s of 
up to 20% of total earnings, the rebate is 26% of income tax on foreign earnings for the period from 
1 April to 31  December  2019, and 24% from 1  January  2020; for earnings over 20% but under 41%, 
it is 34% and 31%, respectively; for earnings over 41% but under 61%, 48% and 45%, respectively; 
for earnings of 61% to 81%, 59% and 55% , respectively ; and for earnings above 81%, 70% and 
65%, respectively.40 
1.45.  After the emergence of COVID -19, the Government adjusted its fiscal stance and BERT 
targets. The initi ally estimated primary balance target for FY 2020/21 of a surplus of 6% of GDP was 
revised downwards to a deficit of 1% (a primary deficit of 1.1% of GDP and an overall deficit of  5.1% 
of GDP were finally registered). This revision was necessary to take in to account the sharp decline 
in revenue and the increase in expenditure to fund the COVID -19 relief initiatives.  
1.46.  The fifth review of the IMF 's EFF for Barbados was concluded in May  2021. The completion of 
the review allowed the authorities to draw the equi valent of USD  24 million  (SDR 17 million ), 
bringing total disbursements under the EFF to USD  415 million  (SDR 288 million ). As a result of the 
review, the IMF concluded that Barbados continues to make strong progress in implementing the 
BERT despite major challenges from the ongoing pandemic, and that the authorities remain strongly 
committed to program me implementation. The IMF recommended sustaining primary surpluses over 
the medium and long term to help safeguard debt sustainability. Medium -term fiscal c onsolidation 
would be supported by reform of SOEs and pensions and the introduction of a fiscal rule.41 
1.47.  In the medium run, the Government intends to seek Parliamentary approval of a fiscal rule to 
enhance fiscal transparency, and lock in the gains of fisca l consolidation. This was originally set as 
a benchmark for end -June 2020), but had to be postponed due to the pandemic. The fiscal rule aim s 
to limit the annual budgeted overall fiscal deficits of the public sector, to achieve a reduction in public 
debt to no more than 60% of GDP by 2033. The fiscal rule would take into account all fiscal activities 
associated with the public sector, including  SOEs, and would establish an automatic correction 
mechanism that would be triggered by substantial cumulative deviations from the annual overall 
balance target. Once these deviations exceed a prespecified threshold, additional fiscal adjustment 
would be r equired in subsequent fiscal years to bring fiscal performance back in line with the fiscal 
 
39 IMF (2018), "IMF Executive Board Ap proves US$290  Million Extended Arrangement Under the 
Extended Fund Facility for Barbados ", Press Release No.  18/1370, 1  October. Viewed at: 
https://www.imf.org/en/News/Articles/2018/10/01/pr181370 -imf-exec-board -approves -us-290-million -ext-
arr-under -ext-fund-facility -barbados .  
40 Income Tax (Amendment) Act, 2020. Viewed at: 
https://www.barbadosparliament.com/uploads/bill_resolution/337f5ed54040b316bb1270b5596c8e5c.pdf . 
41 IMF Country Report No.  18/290, 4 October. Viewed at: 
https://www.imf.org/en/Publications/CR/Issues/2018/10/04/Barbados -Request -for-an-Extend ed-Arrangement -
Under -the-Extended -Fund-Facility -Press -Release -46283 .  WT/TPR/S/431 /Rev.1  • Barbados  
 
- 29 - 
 
  rule. The rule would also include an escape clause, to be triggered with Parliamentary approval in 
case of major adverse shocks.  
1.48.  In May  2022, an IMF team reached a staff level agreement with the Barbadian authorities on 
the seventh and final review of BERT supported by the E FF. Upon completion of the review by the 
IMF Executive Board, SDR  17 million  (some USD  23 million ) will be made available to Barbados. The 
staff considered that, despite a challenging global economic environment, Barbados had continued 
to make good progress in implementing its economic reform programme. The staff noted that all 
quantitative targets for end -December  2021 and end -March  2022 under the  EFF had been met, and 
that international reserves, which had reached a low of USD  220 million  (five to six weeks of import 
coverage) in May  2018 had increased to USD  1.5 billion . Progress in restoring macroeconomic 
stability prior to the onset of the COVI D-19 pandemic had facilitated a countercyclical fiscal policy 
response in FY2020/21 and FY2021/22. Barbados had recorded a primary deficit of 1% of GDP for 
FY2021/22, unchanged from FY2020/21, and the authorities were targeting a primary surplus of 1% 
of GDP for FY2022/23.42 
1.49.  In July  2020, the Government established the 18 -month B OSS programme to help stabilize 
the economy and face the fiscal challenges occasioned by the COVID -19 pandemic. BOSS was 
implemented considering the strong financial needs of Barbad os in the wake of the pandemic and 
the need to try to comply with BERT. BOSS, set up by the Ministry of Finance in consultation with 
labour unions, was implemented instead of a public  sector salary cut as a means of offering people 
a savings cushion by len ding to the Government in a moment of need. BOSS is open to all public 
employees;  it is optional for all except public employees earning over BBD 36,000 who must 
participate in the scheme. Under the BOSS, public servants receive part of their salary in cas h and 
part in a bond that can be converted into cash if needed. The bonds pay an annual interest rate of 
5% and have a four -year maturity period. Public officers earning less than BBD 3,000 per month are 
not obliged to participate; those earning between BBD 3,001 and BBD 4,166  per month  receive 7% 
of their wage s in bonds; those with wages between BBD 4,167 and BBD 8,333  per month , 12% , and 
those earning over BBD 8,334 per month, 17%. Public servants can choose to increase the share 
they receive in bonds. The bonds are fully trad eable , protected from restructuring; no withholding 
tax is applied on the interest earned. The authorities consider BOSS as a way to help stabilize the 
country during the challenging COVID -19 situation, and to provide public servants with a 
savings/investment opportunity whil e allowing the Government to temporarily shift a portion of its 
wage bill to capital expenditure. The initial goal was to raise approximately BBD 100 million  for 
capital spending.  
1.5  Balance of Payments  
1.50.  Barba dos runs persistent current account deficits. During the period under review , Barbados' 
current account deficit declined between 2014 and 2019, partly reflecting the authorities' fiscal 
consolidation path, which included debt restructuring (see  below). The  deficit fell from 
USD 430.3  million  in 2014 (9.2% of GDP) to USD  146.8  million  in 2019 (2.8% of GDP), reflecting a 
narrowing of the gap between gross domestic investment and gross national savings. The COVID -19 
pandemic led to a sharp deterioration in the  current account deficit, mainly due to a dramatic 
worsening of services balances, as tourism receipts plummeted due to the lockdown and travel 
restrictions. In fact, travel -related receipts declined from USD  1.25 billion  in 2019 to 
USD 577.4  million  in 2020 and USD  627.4  million  in 2021 (Table  1.5). Between 2014 and 2019 , both 
merchandise exports and imports declined; the decline sharpened in 2020 due to the negative effects 
on income and economic activity triggered by the pandemic. In 2020, the current ac count deficit 
increased to USD  277.6  million , or 5.9% of GDP, as inflows declined by one third, which was not 
completely offset by a 25% fall in outflows. The current account deficit worsened , mainly because 
of the reduction in travel expenditure and expor ts. While fuel imports fell, and imports of food and 
beverages were also lower partially due to depressed activity in the tourism sector, imports of capital 
goods rose, reflecting higher demands for power -generating equipment. The current account deficit 
reached USD  528.5  million  in 2021, or 5.4% of GDP.  
 
42 IMF (2022), "IMF Reaches Staff Level Agreement on the Seventh Review of Barbados ' Economic 
Program under the Extended Fund Facility ", Press Release No. 22/152, 13  May. Viewed at: 
https://www.imf.org/en/News/Articles/2022/05/13/pr22152 -barbados -imf-reaches -staff-level-agreement -on-
the-7th-review -economic -program -under -eff. WT/TPR/S/431 /Rev.1  • Barbados  
 
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  Table  1.5 Balance of payments, 2014 -22Q1  
(USD  million)   
2014  2015  2016  2017  2018  2019  2020a 2021b 2022  
Q1b 
Current account  -430.4  -289.2  -207.4  -190.3  -223.7  -146.9  -277.6  -528.5  -107.0  
Inflows  2,228.8  2,299.6  2,397.8  2,416.0  2,430.5  2,580.0  1,762.8  1,843.4  599.2  
Travel  886.8  947.5  1,039.6  1,080.7  1,118.3  1,250.0  577.4  627.5  255.1  
Other services  214.9  206.1  209.2  215.0  222.4  229.3  198.7  220.6  30.4 
Domestic exports  269.7  243.2  252.3  254.9  255.1  253.7  224.7  222.2  60.4 
Rum 39.4 38.2 38.8 42.0 39.9 38.4 38.0 39.2 10.4 
Food 35.0 32.6 31.4 32.3 32.7 33.2 30.7 30.2 8.6 
Sugar  9.1 3.6 3.6 6.8 0.2 0.3 0.5 0.9 0.1 
Chemicals  36.8 37.0 36.1 36.3 40.2 38.9 42.4 34.3 9.7 
Printed paper labels  12.1 11.0 11.6 11.4 13.3 7.7 11.8 11.6 2.9 
Construction 
materials  22.3 21.1 22.7 21.1 25.9 29.6 19.1 15.5 4.4 
Other  115.2  99.9 108.3  105.2  103.1  105.7  82.5 90.6 24.5 
Re-exported goods  204.7  239.8  264.6  230.6  192.9  190.4  120.5  118.9  80.5 
Net exports of goods 
under merchanting  320.2  317.0  466.1  317.7  316.9  318.8  273.8  306.1  77.9 
Income  262.6  256.0  257.7  264.9  271.5  282.7  169.4  206.2  44.8 
Transfers  70.0 90.2 58.4 52.4 53.5 55.1 198.3  142.2  50.2 
Outflows  2,659.2  2,588.8  2,605.2  2,606.3  2,654.1  2,726.8  2,040.4  2,371.9  706.1  
Total imports of goods  1,652.2  1,537.2  1,540.5  1,520.2  1,498.9  1,501.9  1,422.0  1,588.7  515.7  
Fuel imports  438.8  301.8  251.5  313.1  356.1  364.0  255.3  300.9  160.3  
Other merchandise 
imports  1,213.4  1,235.4  1,289.0  1,207.1  1,142.8  1,137.9  1,166.7  1,287.8  355.3  
Services  462.5  494.4  494.7  507.0  537.0  574.5  276.7  371.7  87.1 
Income  460.0  469.0  479.2  488.8  521.3  549.6  236.9  302.4  66.5 
General government  83.2 82.4 83.4 83.7 91.6 75.0 69.7 64.1 24.6 
Other sectors  376.9  386.6  395.7  405.1  429.8  474.6  167.2  238.4  41.9 
Transfers  84.5 88.2 90.9 90.3 97.0 100.9  104.9  109.1  36.9 
Capital account  -8.4 -8.2 -2.9 -1.2 25.5 -2.7 -2.3 -2.6 -0.7 
Financial account  372.8  221.2  42.1 43.2 443.8  396.4  826.1  619.3  88.6 
Net foreign direct 
investment  817.3  80.1 188.4  234.1  232.4  187.7  254.6  208.9  53.5 
Other investment flows  -444.5  141.1  -146.3  -190.9  211.4  208.7  571.5  410.4  32.6 
Net long -term public  48.3 -35.6 -85.6 -67.5 225.5  193.9  484.1  407.8  -3.0 
Net long -term private  -501.3  181.0  -22.3 -78.4 -1.9 56.5 125.7  24.8 33.7 
Net short -term 8.6 -4.3 -38.4 -45.1 -12.2 -41.8 -38.4 -22.2 1.9 
Net errors and 
omissions  16.6 44.0 49.0 34.0 48.6 -6.3 43.9 110.9  -0.7 
Overall balance  -49.4 -32.3 -119.1  -114.3  294.2  240.7  589.9  199.1  -19.8 
Change in GIR  49.4 32.3 119.1  114.3  -294.2  -240.7  -589.9  -199.1  19.8 
Memorandum items           
Current account (% of 
GDP)  -9.2  -6.1 -4.3 -3.8 -4.4 -2.9 -6.2 -5.4 n.a. 
GIR (USD  million)  455.2  439.0  419.9  411.3  499.8  742.0  1,331  1,529  .. 
GIR weeks of import 
coverage  14.4 11.2 8.2 5.3  12.8 18.6 40.7 37.6 .. 
External debt (%  of 
GDP)  34.1  34.0 31.3 28.3 33.4 29.8 44.1 48.2 .. 
n.a. Not applicable . 
.. Not available . 
a Preliminary data.  
b Estimates.  
Source:  CBB, Review of Barbados' Economic Performance , various issues ( January-December  2020; 
January-December  2021; and Jan uary-March  2022). 
1.51.  The level of gross international reserves declined between 2014 and 2017. Starting in 2018, 
as a result of the renegotiation of the public debt (see below) a nd the receipt new capital, the level 
of reserves resumed to increase. Amid the contraction of economic activity caused by the COVID-19 
pandemic , gross international reserve s rose by some USD  600 million  to an unprecedented level of 
USD 1,331  million in December  2020, or approximately 40 weeks of imports of goods and services, 
and some USD  1.53 billion  at end -2021. The increase in international reserves was primarily due to 
the support from international financial institutions, to counter the negative impact associated with 
reduced foreign exchange inflows from tourism and foreign investment. The IMF increased available 
financial resources under the EFF programme, providing bo th balance of payments support (some 
USD 48.5 million ) and budgetary support (USD  184 million ). In addition, the Inter -American 
Development Bank (IADB) and the Development Bank of Latin America (CAF) provided 
supplementary budgetary support of USD  200 million and USD  100 million , respectively. Inflows WT/TPR/S/431 /Rev.1  • Barbados  
 
- 31 - 
 
  from companies that paid corporate taxes in foreign exchange and the reduced private sector 
demand for foreign exchange also contributed to the growth in foreign reserves.43 
1.52.  To complement its efforts regarding  fiscal consolidation, and as a prerequisite to subscribing  
the E FF with the IMF, the authorities engaged in a comprehensive debt restructuring. Barbados' 
public debt had become unsustainable, having reached 155.2% of GDP in 2016 and 148.4% in 2017. 
With i ncreasing public debt, international investors ' confidence gradually deteriorated. Barbados ' 
credit rating declined in several steps from investment grade (S &P's BBB+) to Selective Default 
in 2018. As a consequence, Barbados lost access to international ca pital markets.44 
1.53.  On 1 June 2018, the Government announced a comprehensive debt restructuring, amounting 
to some 147% of that fiscal year's GDP. The debt to be rescheduled covered central government 
domestic debt including treasury bills and all other short-term claims such as overdrafts, central 
government debt to external commercial creditors, SOE external and domestic debt guaranteed by 
the Central Government, domestic expenditure arrears incurred by the Central Government, and 
external arrears that started accumulating after the external default. Only bilateral external debt 
and debt held by multilaterals was excluded. Debt service on external debt held by commercial 
creditors was stopped following the 1  June announcement, but the Government continue d to pay 
interest on domestic debt. An exchange offer for domestic debt (BBD -denominated) to private 
creditors was launched in September  2018. An agreement with the majority of domestic creditors 
was announced in October  2018.45 The transaction for the deb t exchange closed on 
19 November  2018 and triggered an upgrade to the credit rating from selective default to B - with a 
stable outlook by S&P 's rating agency.46 On 18  October  2019, the Government and the external 
creditor committee announced an agreement o n the terms of a debt exchange offer. The agreement 
featured a 26% haircut on original principal and past due and accrued interest; the issuance of a 
new long -term debt instrument with a 10 -year maturity, a 5 -year grace period, and a 6.5% interest 
rate; an d a USD  40 million  repayment (USD  7.5 million  in cash and USD  32.5 million  in short -term 
bonds maturing in 2021 with a 6.5% coupon) in the period 2019 -21.47 In December  2019, the 
transaction closed with full creditor participation , leading to an improvemen t in Barbados' credit 
ratings.48 
1.6  Developments in Trade and Investment  
1.6.1   Trends and patterns in merchandise trade  
1.54.  In 2020, the share of merchandise exports in GDP was some 13.2%, down from nearly 16.9% 
in 2014. The share of merchandise imports also decreased,  from 35.2% of GDP in 2014 to 30.3% in 
2020. This was due primarily to the weak performance of domestic demand over the period.  
1.6.2   Composition of trade  
1.55.  In 2021, Barbados' main merchandise exports were fuels, food , and chemicals. During the 
period under review , the shares of food and chemicals rose, while that of fuels declined (Chart  1.1 
and Table s A1.1 and A1.2 ). This reflects lower global prices for oil. The shares of manufactured 
 
43 CBB (2021), Annual Report 2020 . Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files /Central%20Bank%20of%20Barbados%202020%20Annual%20
Report.pdf ; and CBB (2021), Review of Barbados' Economic Performance, January to June 2021. Viewed at: 
http://www.centralbank.org.bb/Portals/0/Files/Central%20Bank%20of%20Barbados%20Review%20of%20Bar
bados'%20Economy%20 -%20January -June%202021.pdf .  
44 IMF (2020), Barbados ' 2018–19 Sovereign Debt Restruct uring–A Sea Change?  IMF Working Paper 
WP/20/34, February.  
45 Barbados passed legislation in this respect in October  2018. The Debt Holder (approval of debt 
restructuring) Act 2018 -24, published in the Supplement to the Official Gazette of 29  October  2018, in its 
paragraph 5(1) states that the government debt restructuring proposal is deemed accepted by all holders of 
specified instruments if holders representing at least 50% of the aggregate outstanding principal amount of all 
specified debt instrumen ts submit a voting form, and holders representing at least 75% of the aggregate 
outstanding principal amount for which a voting form is received, vote in favo ur of the proposal.  
46 Ministry of Economic Affairs and Investment, Economic & Social Report 2018 , Appendix  I. Viewed at: 
https://www.barbadosparliament.com/uploads/sittings/attachments/5b5ae68fb3456dec74db1d5ed1973d3d.pdf .  
47 IMF Country  Report No.  19/370, December  2019. 
48 IMF (2020) , Barbados ' 2018–19 Sovereign Debt Restructuring –A Sea Change?  IMF Working Paper 
WP/20/34, February.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  goods, other than chemical products, declined. Imports are dominated by manufactured products, 
which accounted for some 60% of the total in 2020. The main items are machinery and transport 
equipment, and chemical products. Fuels and food and vegetables accounted for some 40% of total 
merchandise imports in 2020 (Chart  1.1 and Table s A1.3). 
Chart  1.1 Merchandise trade by main HS section, 2014 and 2021  
 
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
Chart 1.1
Merchandise trade by main HS sections, 2014 and 2021
2014 2021
(a)    Exports and re -exports
Total: USD 481 million
(b)    Imports
Total: USD 1,740 million Total: USD 1,673 million
Source:   WTO Secretariat calculations, based on data from UN Comtrade database.Total: USD 350 millionBase metals
3.1%Other
13.3%
Precision 
instruments
8.3%Other
12.4%
Chemical 
products
9.7%Base metals
5.5%Machinery & electrical 
equipment
3.9%
Base 
metals
4.1%Mineral 
products
25.7%Machinery & 
electrical 
equipment
14.5%Other
18.3%
Chemical 
products
9.1%Base 
metals
5.2%Machinery & 
electrical 
equipment
17.0%Other
15.8%
Mineral 
products
21.0%Prepared 
foodstuff, 
beverages
16.7%
Mineral 
products
27.9%Machinery & 
electrical 
equipment
3.5%
Chemical 
products
14.8%Precision 
instruments
4.2%
Pulp of 
wood, paper
3.6%
Transport 
equipment
4.4%Transport 
equipment
5.2%Mineral 
products
34.1% Chemical 
products
14.1%Fats & 
oils
2.6%Fats & 
oils
4.0%
Prepared 
foodstuff, 
beverages
22.4%
Live 
animals
4.7%Live 
animals
4.7%
Prepared 
foodstuff, 
beverages
10.3%Prepared 
foodstuff, 
beverages
11.8%Vegetable 
products
4.2%Vegetable 
products
5.0%Pulp of 
wood, paper
5.6%
Plastics
4.1% Plastics
5.0%WT/TPR/S/431 /Rev.1  • Barbados  
 
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  1.6.3   Direction of trade  
1.56.  Barbados' main export destination in 2021 was the United  States,  followed by Jamaica, 
Guyana, Trinidad and Tobago, the EU -27, and S aint Lucia (Chart  1.2 and Table s A1.4 and A1.5 ). 
During the review period, the share of the United  States  and Trinidad  and Tobago declined; on the 
other hand, the shares of Jamaica, Guyana, and S aint Lucia increased.  
1.57.  The United  States  remains Barbados' largest import supplier accounting for some 47% of total 
imports in 2021, followed by Trinidad  and Tobago (12.5%) and the EU -27 (9.1%). During the per iod 
under review, the import shares of the United  States  increased, and the share of 
Trinidad  and Tobago declined (Chart  1.2 and Table  A1.4). 
Chart  1.2 Merchandise trade by main commercial partner, 2014 and 2021  
 
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
Chart 1.2
Merchandise trade by main comercial partners, 2014 and 2021
2014 2021
(a)    Exports and re -exports
Total: USD 481 million
(b)    Imports
Total: USD 1,740 million Total: USD 1,673 million
Source:   WTO Secretariat calculations, based on data from UN Comtrade database.Total: USD 350 millionGuyana
5.2%Others
24.7%United States
17.0%
EU-27
6.6%
Other Americas
21.5%St Lucia
4.2%
Unites 
States
35.0%Americas
68.6%United States
19.2%
Other Americas
21.8%Others
21.3%
Trinidad & 
Tobago
7.3%Americas
64.3%
Trinidad & 
Tobago
12.4%
Canada
2.3%Other 
Americas
14.6%Japan
1.8%
EU-27
7.5%
Trinidad & 
Tobago
12.5%China
5.3%Other 
Asia
6.4%Others
0.4%
Canada
2.6%United 
States
47.0%
Other 
Americas
10.5%EU-27
9.1%Japan
2.2%
China
4.0%Other 
Asia
4.1%Others
0.4%
Americas
72.7%Americas
74.9%Other Europe
5.9%Other Europe
5.3%
Asia
13.5%Asia
10.3%Other 
Europe
3.6%
St Lucia
5.0%EU-27
4.5%Guyana
7.5%
Trinidad & 
Tobago
20.5%Jamaica
4.0%
Jamaica
7.7%
Panama
2.3%
Panama
0.3%Other Europe
1.4%
Europe
8.1%Asia
2.9%Europe
8.0%Asia
2.1%
Europe
14.4% Europe
13.5%WT/TPR/S/431 /Rev.1  • Barbados  
 
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  1.6.4   Trade in services  
1.58.  Services, in particular tourism, are of the utmost importance to the Barbados' economy. 
In 2019,  before the disruption caused by the pandemic, travel -related inflows totalled 
USD 1,250  million, or some 23.6/24% of GDP. In 2020, inflows plummeted to USD  577.4  million , 
some 12.3% of GDP. Inflows for other services were USD  148.5  million  in 2019 and som e 
USD 125.6  million  in 2020. Outflows, on the other hand , totalled USD  352.3  million  in 2019 and 
USD 177.1  million  in 2020, resulting in surpluses in the services balance of USD  904.8  million  
in 2019 (17.1% of GDP) and USD  499.4  million  in 2020 (10.6% of GDP).  
1.6.5   Trends and patterns in FDI  
1.59.  Barbados is a net recipient of foreign direct investment (FDI). Flows are mostly directed to 
the tourism sector and other travel -related activities, but there has also been considerable 
investment in the financial services industries. Net FDI flows have varied considerably in each of the 
years of the review period, since they are usually linked to specific projects or to acquisitions, and 
given the small size of the economy, one or a few acquisitions can c ause a major shift in the number. 
Net FDI flows have hovered between USD  817 million  in 2014 and USD  80 million  in 2015. Overall, 
in the period from 2014 to end-June 2021, net FDI inflows totalled USD  1,046.3  million , of which 
USD 254.6  million  in 2020 and  USD 98 million  in the first half of 2021.  
 WT/TPR/S/431 /Rev.1  • Barbados  
 
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  2  TRADE AND INVESTMENT REGIMES  
2.1  General Framework  
2.1.  Barbados became a republic on 30  November  2021, the 55th anniversary of its independence. 
Since then, the President is the Head of State, replacing the British Monarch and Governor -General. 
The President is nominated jointly by the Prime Minister and the Leader of the Opposition, in writing 
to the Speaker of Parliament.  
2.2.  The Government of Barbados is formed by the political party that gains a simple ma jority in 
the general elections. Executive authority is vested in the Prime Minister and Cabinet, who must 
collectively respond to Parliament. The Prime Minister is appointed by the President among the 
members of the House of Assembly and chosen on the pri nciple of being the most suitable person 
to command the support of the majority of the members elected. Other Ministers are appointed from 
either House of Parliament by the President as advised by the Prime Minister.  
2.3.  Barbados' Parliament is bicameral, comp osed of the Senate and the House of Assembly. The 
Senate has 21  members; they are appointed by the President, 12 on the advice of the Prime Minister, 
2 on the advice of the Leader of the Opposition, and 7 at the President's discretion. The House of 
Assembly has 30 members, all elected by popular vote. Although both Houses debate all legislation, 
the House of Assembly has generally decisive power since it may ultimately override the Senate's 
rejection of bills, with the exception of those amending the  Constitution. At the end of a legislature, 
both Houses of Parliament are dissolved by the President acting on the advice of the Prime Minister. 
According to the Constitution of Barbados, elections must take place no later than every five years 
after the f irst sitting of Parliament; however, they may be called at any time by the Prime Minister. 
The last elections took place in May  2018.  
2.4.  The Constitution dating from 1966 is Barbados' supreme law. A 2021 amendment introduced 
a new Chapter  IV, on the role of the President. Any law that is not consistent with the Constitution 
is void to the extent of its inconsistency. International agreements, including legislation and 
decisions emanating from the WTO and from the Caribbean Community and Com mon Market  
(CARICOM ), can be invoked directly before national courts, to the extent that they have been 
incorporated in domestic legislation.  
2.5.  Requests for new legislation or for amendments of existing laws may stem from the Cabinet or 
from a Member of Parl iament. The drafting of the corresponding bills is the responsibility of the 
Office of the Attorney -General. Bills may be introduced in either the House of Assembly or the 
Senate. In practice, most bills usually begin in the House of Assembly. A bill intro duced in a House 
of Parliament must be passed at its third reading, with or without amendments, before moving onto 
the other House. Bills become law only after receiving the assent of the President.  
2.6.  Barbados' judicial system is based on English common law;  there is no judicial review of 
legislative acts. The common law rules of conflict of laws apply. Magistrates' courts deal with civil 
and criminal cases. The Supreme Court of Judicature consists of the High Court and the Court of 
Appeal, and deals with the  more serious criminal and civil cases and with issues related to 
interpretation of the Constitution. Judges are appointed by the President on the advice of the Prime 
Minister. The final Court of Appeal is the Caribbean Court of Justice (CCJ) in Port of Sp ain, 
Trinidad  and Tobago; the decisions of the CCJ are binding on all parties.  
2.2  Trade Policy Formulation and Objectives  
2.7.  Barbados' overall framework for economic and trade policy formulation has not been affected 
by the country's change of regime to a republ ic. The Ministry of Foreign Affairs and Foreign Trade 
represents the Government on trade policy matters and has responsibility for negotiating trade 
agreements and coordinating their implementation, and for representing Barbados in the WTO and 
other intern ational and regional fora. The Foreign Trade Division formulates and oversees Barbados' 
foreign trade policy. These tasks are accomplished in consultation with other Ministries, within the 
framework of the Revised Treaty of Chaguaramas and other agreements  to which Barbados is a 
party, and with inputs from the private sector and civil society. No formal consultation bodies have 
been established to this end; consultations take place as required.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  2.8.  Civil society bodies that participate in the policy formulation  process include the Barbados 
Manufacturers' Association, the Barbados Chamber of Commerce and Industry, the Congress of 
Trade Unions and Staff Associations of Barbados, the Barbados Hotel and Tourism Association, the 
Barbados Agricultural Society, the Bar bados Private Sector Trade Team (BPSTT), the Barbados 
Coalition of Services Industries, the Barbados International Business Association (BIBA), and the 
CARICOM Private Sector Organization (CPSO).  
2.9.  The Fair Trading Commission is the body in charge of consume r protection, fair competition , 
and utility regulation.  
2.10.  The Medium -term Growth and Development Strategy (MGDS) 2013 -2020 recogni zes the need 
to sustain private -sector and investment -led productivity and export -driven growth. The Strategy 
states four goals,  namely : (i) returning the economy to a sustainable growth rate of 3 % while 
maintaining macroeconomic stability; ( ii) facilitating broad -based adjustments and reforms in the 
economy; ( iii) enhancing social and human development; and ( iv) enhancing energy a nd 
environmental sustainability.  
2.11.  Economic policies are also guided by the BERT Plan, an economic reform program me 
supported by an arrangement under the IMF's Extended Fund Facility (EFF). The BERT Plan has as 
objectives to restore fiscal and debt sustainab ility, rebuild reserves, and increase growth 
(Section  1).1 
2.12.  Barbados has set the objective to achieve a fossil -fuel-free economy and to strongly reduce 
greenhouse gas emissions across by 2030. Ultimately, the goal is to be the first 100% green and 
fossil-fuel-free island -state in the world.  
2.13.  With regard to trade policy, Barbados ' objectives are to promote and facilitate the 
development of international trade, particularly exports , and to strategically position the country to 
operate in and derive the  maximum trade benefits in a new liberali zed global trade arena.2 
Specifically, Barbados intends to strengthen the capacities for increased exports and investment, 
improve competitiveness, and pursue the Small Vulnerable Economies agenda in the WTO. The 
MGDS and the BERT Plan recognize that trade liberali zation provides Barbados with new market 
opportunities in a wide range of services and products. It also has as objectives the development of 
a national policy framework for the micro, small and medium -sized enterprises (MSME)  sector, and 
the promotion of gender equality . 
2.14.  Barbados deems of utmost importance its participation in CARICOM, in tandem with bilateral 
trade agreements subscribed within the framework of CARICOM and CARIFORUM . 
2.3  Trade Agreements and A rrangements  
2.3.1   WTO  
2.15.  Barbados is an original WTO Member. It grants at least MFN treatment to all  of its trading 
partners. Barbados is not a party or observer in any WTO plurilateral agreements. Barbados has not 
subscribed the Information Technology Agreement. B arbados ratified the Agreement on Trade 
Facilitation (TFA) in January  2018.3 
2.16.  Barbados has never invoked the WTO's dispute settlement provisions as a complainant, nor 
have any complaints been lodged against Barbados. However, Barbados reserved its rights t o 
participate as third  party in four cases: one dispute relating to US provisions on foreign sales 
corporations , and three cases relating to EC export subsidies on sugar.4 All of these cases were prior 
to the period under review.  
2.17.  Barbados has continued to  actively participate in the WTO. It is a member of the African, 
Caribbean and Pacific ( ACP) group; the group of small, vulnerable economies; the G -33; and the 
 
1 IMF Country Report No.  21/268, December.  
2 Ministry of Foreign Affairs and Foreign Trade , Foreign Trade . Viewed at : 
https://www.foreign.gov.bb/foreign -trade/ . 
3 WTO document G/TFA/N/BRB/1, 27  February  2018.  
4 WTO document series DS108, DS26 5, DS266, and DS283.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  "W52" sponsors. It also served as the coordinator of the CARICOM country group from 
1 January  2021 to 20  July 2022. At MC10 in Nairobi, speaking on behalf of the ACP Group, Barbados 
called on Members to deliver on the development dividend of the Doha Development Agenda.5 
Decisions should reflect proposals from developing countries, including LDCs and small vulnerable 
economies. At MC11 in Buenos Aires, also speaking on behalf of the ACP Group, Barbados underlined 
its support for the multilateral rules -based trading system  and reiterated that the WTO's work on 
trade as a vehicle for development should not be denied .6 
2.18.  Since its last Review, Barbados has submitted various notifications to the WTO (Table  2.1). 
However, numerous notifications remain outstanding as at June  2022. Unfulfilled notification 
obligations include notification s of domestic support and export subsidies in agriculture, TRIMs 
measures, replies to the questionnaire on import licensing procedures, quantitative restrictions, 
national legislation and checklist  of issues on customs valuation, pre-shipment inspection  measures, 
and state  trading enterprises . 
Table 2.1 Notifications to the WTO, 2014 -June  2022  
Legal basis  Periodicity  WTO documents  Comment  
Agreement on Agriculture  
Articles 10 & 18.2  Annual  G/AG/N/BRB/24,  
20 June 2017 Export subsidies  
Article  18.2 Annual  G/AG/N/BRB/23,  
8 November  2016  Domestic support  
Article  18.2 Annual  G/AG/N/BRB/26,  
27 June 2017 Domestic support  
Articles 5.7 and 
18.2 Annual  G/AG/N/BRB/21,  
3 March  2015 Special safeguards  
Articles 5.7 and 
18.2 Annual  G/AG/N/BRB/25,  
26 June 2017 Special safeguards  
Articles 5.7 and 
18.2 Annual  G/AG/N/BRB/27  
23 April 2018 Special safeguards  
Articles 5.7 and 
18.2 Annual  G/AG/N/BRB/22,  
3 March  2015 Special safeguards  
Agreement on the Application of Sanitary and Phytosanitary Measures  
Article  7, Annex  B Ad hoc  G/SPS/N/BRB/3 -5, 
8 April 2015 Emergency measures. Live birds; hatching 
eggs; fresh, frozen and chilled poultry 
meat and products including table eggs  
Article  7, Annex  B Ad hoc  G/SPS/N/BRB/6,  
2 August  2021 Animal health and veterinary public health  
Article  7, Annex  B Ad hoc  G/SPS/N/BRB/7,  
2 August  2021 Food safety and quality  
Article  7, Annex  B Ad hoc  G/SPS/N/BRB/8,  
2 August  2021 Plant and animal products  
Agreement on Technical Barriers to Trade  
Articles 2.9.2 and 
5.6.2  Ad hoc  G/TBT/N/BRB/10, 
19 October  2021 Legislation  
Agreement on Trade Facilitation  
Category A 
commitments  Ad hoc  G/TFA /N/BRB/1,  Add.1  
28 August  2019 Commitments under the TFA, addendum  
Articles 10.6.2 and 
12.2.2  Ad hoc  G/TFA/N/BRB/2,  
4 January  2021 Use of customs brokers and contact points 
for the exchange of customs information  
General Agreement on Trade in Services  
GATS Article  V:7(a) 
and GATT  1994 
Article  XXIV:7(A) – 
Free-Trade Areas  Ad hoc  S/C/N/1025/Add.1; 
WT/REG420/N/1/Add.1,  
5 May 2021 
 Regional trade agreement between the 
United  Kingdom and the CARIFORUM 
States, addendum  
GATS Article  III, 4 Ad hoc S/ENQ/78/Rev.21,  
10 February  2021 Contact and enquiry points  
Agreement on Implementation of Article  XVII:4(a) of the GATT  1994  (state trading)  
Article  XVII:4(a)  Annual  G/STR/N/13/BRB,  
G/STR/N/14/BRB,  
G/STR/N/15/BRB,  
14 September  2016 State trading enterprises for 2008 -13 
 
5 WTO document WT/MIN(15)/ST/44, 18  December  2015.  
6 WTO document WT/MIN(17)/ST/108, 5  January  2018.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  Legal basis  Periodicity  WTO documents  Comment  
Article  XVII:4(a)  Annual  G/STR/N/16/BRB,  
17 April 2018 State trading enterprises for 2014 and 
2015 
Agreement on Subsidies and Countervailing Measures  
Paragraph 1(a) of 
WT/L/691  Ad hoc  G/SCM/N/275/BRB,  
9 September  2014 Transparency notification concerning the 
extensions provided for in Article  27.4 of 
the SCM Agreement  of the Transition 
Period for the Elimination of Export  
Subsidies  
Enabling Clause  
Paragraph 14 of 
WT/L/671  Ad hoc  WT/COMTD/RTA15/N/1/
Add.1 48/Suppl.1, 
14 February  2022 Changes affecting the implementation of a 
Regional Trade Agreement - CARICOM and 
Colombia - Addendum  
Paragraph 14 of 
WT/L/671  Ad hoc  WT/COMTD/RTA15/N/1/
Add.141a, 
20 March  2020 Changes affecting the implementation of a 
Regional Trade Agreement - CARICOM and 
Venezuela - Addendum  
Paragraph 14 of 
WT/L/671  Ad hoc  WT/COMTD/RTA15/N/1/
Add.148a, 
20 March  2020 Changes affecting the implementation of a 
Regional Trade Agreement - CARICOM and 
Colombia - Addendum  
Paragraph 14 of 
WT/L/671  Ad hoc  WT/COMTD/RTA15/N/1/
Add.156a, 
20 March  2020 Changes affecting the implementation of a 
Regional Trade Agreement - CARICOM and 
Colombia - Addendum  
a Notified by CARICOM.  
Source:  WTO Central Registry of Notifications.  
2.3.2   Regional and preferential  agreements  
2.3.2.1   CARICOM  
2.19.  Barbados is a founding member of CARICOM, established through the Treaty of Chaguaramas 
in 1973. The Treaty was revised between 1989 and 2000 to allow for the creation of the CARICOM 
Single Market and Economy (CSME), intended as a singl e economic space with free movement of 
goods, services, capital , and CARICOM nationals between member States.7 To facilitate the 
consolidation of the CSME, 10 Chapters were written ; these form the legal basis for the 
establishment and operation of the CSME and were incorporated into the revised treaty.8 
2.20.  Fifteen countries and territories are part of CARICOM.9 Barbados, the Bahamas, Guyana, 
Jamaica, Suriname, and Trinidad  and Tobago , are the more developed countries (MDCs) of the 
Community. In the WTO, Barbados has been acting as coordinator of the CARICOM country group 
since January  2021.  
2.21.  CARICOM member States have sought to implement a common external tariff (CET) since 
1991. However, a s at October  2021, tariff schedules across countries still differed considerably, due 
partly to the exceptions allowed (lists  A and C), and partly to mechanisms permitting the suspension 
of the application of the CET under certain circumstances. However, n o progress regarding tariff 
harmonization has been achieved since 2015; negotiations on tariffs and rules of origin are ongoing.  
2.22.  Within the CARICOM Secretariat, the Directorate of the CARICOM Single Market and Economy  
works to develop a cohesive framework for the coordination and management of CARICOM's 
negotiating resources. It also assists member States in preparing national positions, coordinates the 
 
7 With respect to the free movement of goods, the Revised Treaty of Chaguaramas prohibits imposing 
export or import duties on other C ARICOM members (but not customs service charges) , quantitative 
restrictions on the importation of goods of CARICOM origin , and export subsidies or subsidies contingent upon 
the use of domestic over imported goods.  
8 The chapters are One, Principles; Two, Institutional Arrangements; Three,  Establishment, Services , 
Capital  and Movement of Community Nationals ; Four, Policies for Sectoral  Development; Five, Trade Policy; 
Six, Transport Policy;  Seven, Disadvantaged Countries, Regions and Sectors; Eight,  Competition Policy and 
Consumer Protection; Nine, Dispute s Settlement ; and Ten General and Final Provisions.  
9 Antigua and Barbuda , the Bahamas , Barbados , Belize , Dominica , Grenada , Guyana , Haiti, Jamaic a, 
Montserrat , Saint Kitts and Nevis , Saint Lucia, Saint Vincent and the Grenadines , Suriname , and Trinidad and 
Tobago. The Bahamas is a full member of the Community but not of the CSME; Anguilla, Bermuda, the British 
Virgin Islands, the Cayman Islands , and the Turks and Caicos Islands are associate members.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  formulation of unified strategies for the region, and undertakes and leads negotiations where 
appropriate . 
2.23.  The Conference of Heads of Government is CARICOM's highest decision -making body, while 
several ministerial councils deal with specific policy issues. The Council for Trade and Economic 
Development (COTED), composed of the trade ministers from all members , is responsible for the 
promotion of trade and economic development. COTED must approve any change in tariffs by a 
CARICOM member. The Council for Foreign and Community Relations (COFCOR) is responsible for 
relations between CARICOM, international organiz ations, and third countries, while the Council for 
Finance and Planning (COFAP) is responsible for economic policy coordination and the monetary and 
financial integration of the members.  
2.24.  Under the Revised Treaty of Chaguaramas, member States may make use o f safeguard 
measures in the event of serious balance  of payments and external financial difficulties. The 
safeguard provisions allow for the adoption of restrictions on the rights to establishment, to provide 
services and to move capital, as well as permit  the use of quantitative restrictions on imports. These 
restrictions must not discriminate among member States, must seek to minimize damage to any 
other member State, must not exceed those necessary to deal with the circumstances, and must be 
applied for no longer than 18 months. Barbados has not resorted to the use of CARICOM's safeguard 
provisions during the period under review.  
2.25.  The C CJ was established to ensure a single unified interpretation of the Revised Treaty of 
Chaguaramas, including the C SME. It has exclusive jurisdiction in contentious proceedings, and 
issues advisory opinions on the interpretation or application of the Treaty. The CCJ is also an 
appellate jurisdiction that considers and determines appeals in both civil and criminal matters from 
common law courts of member States. In the exercise of its appellate jurisdiction, the Court is a 
Superior Court in relation to national courts.  
2.26.  Several other regional institutions have allowed the deepening of trade -related integration. 
The CARICOM Region al Organi sation for Standards and Quality (CROSQ) aims to harmonize and 
circulate regional standards. The Caribbean Agricultural Health and Food Safety Agency (CAHFSA) 
coordinates SPS measures in CARICOM. The Community Competition Commission, established 
in 2008, has the objective of promot ing and protect ing competition in the region. The C PSO 
represents the interest of private businesses.  
2.27.  Barbados is also a member of the Association of Caribbean States (ACS), a forum for economic 
and trade policy coordinat ion at the regional level, comprising 25 Caribbean countries.  
2.3.2.2   CARICOM bilateral agreements  
2.28.  CARICOM has reciprocal bilateral trade agreements with Colombia, Costa  Rica, Cuba, and the 
Dominican  Republic . 
2.3.2.2.1   CARICOM -Colombia  
2.29.  The CARICOM -Colombia Agreement was signed in 1994 and amended in 1997. Colombia 
initially granted unilateral preferential access to its market for four years to a select group of products 
originating in CARICOM. After the four -year period , the preferential trade scheme became reciprocal 
for CARICOM MDCs. The agreement also provides for the phasing out of any non -tariff barriers and 
has its own rules of origin. The use of safeguard and anti -dumping measures is permitted.  
2.3.2.2.2   CARICOM -Costa Rica  
2.30.  The Free Trade Area Agreement with Cost a Rica was signed in 2003 and ratified in 2006. The 
Agreement is reciprocal with respect to CARICOM's MDCs. Tariffs on 95% of products have been 
phased  out, while 3.9% of lines are excluded from any reduction. Duty continues to apply for 
CARICOM on meat, d airy products, fruit and vegetables, and a few manufactured goods, such as 
furniture, some paints, bottles, and candles. Imports of a number of agricultural products are subject 
to seasonal MFN duties, but are duty -free for the rest of the year. A system o f rules of origin was 
established for this Agreement.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  2.3.2.2.3   CARICOM -Cuba  
2.31.  The CARICOM -Cuba Trade and Economic Cooperation Agreement entered into force for 
Barbados in 2006. The Agreement provides for duty -free access of a limited list of specified goods. 
The conc essions on the CARICOM side are limited to MDCs. Preferential market access for certain 
agricultural products is dealt with on a seasonal and specific basis.  
2.3.2.2.4   CARICOM -Dominican  Republic  
2.32.  The CARICOM -Dominican  Republic  Free Trade Agreement entered into force in 1999. The 
Agreement allows for duty -free access for a number of products. The exchange of concessions is 
between CARICOM MDCs and the Dominican  Republic ; CARICOM less -developed countries did not 
grant any concessions.  
2.33.  Barbados, as an MDC in CARICOM, pro vides duty -free access for products originating in the 
Dominican  Republic  other than various sensitive or excluded goods.10 Barbados under the FTA 
completed tariff reductions in 2008. Attachment  III to the Protocol contains the rules of origin for 
the Agre ement. In addition to trade in goods, the Agreement deals with services, investment , and 
government procurement.  
2.34.  A Joint Council meeting once a year was established under the Agreement, with 
representatives of both CARICOM and the Dominican  Republic . The t wo parties have also established 
a CARICOM -Dominican  Republic  Business Forum to analyse trade and investment opportunities, 
exchange business information , and organize business engagements with the aim of encouraging 
the private sectors of the two parties to participate in the FTA. Under the Agreement, CARICOM and 
the Dominican  Republic  have set procedures for settling disputes emerging from trade under 
the FTA. 
2.3.2.3   CARIFORUM -EU Economic Partnership Agreement (EPA)  
2.35.  The E PA between CARIFORUM11 and the E uropean  Union was signed in Barbados in 
October  2008 and ratified on 27  July 2015. Between December  2008 and July  2015, the Agreement 
was applied provisionally. The Agreement seeks to liberali ze trade and investment between 
15 CARIFORUM States and the European  Union on a reciprocal, but asymmetric basis. The EPA 
covers the areas of : (i) market access for both industrial and agricultural products; (ii)  services and 
investment; (iii)  trade-related issues (competition policy, environment, transparency in government 
procurement, innovation and intellectual property, social aspects, and personal data protection) ; 
and (iv)  legal and institutional issues.  
2.36.  The Agreement essentially provides for free trade between the two sides in both goods and 
services, with CARIFORUM countries being allowed up to 25 years to liberali ze their imports while 
the European  Union provides duty -free, quota -free access for all CAR IFORUM's exports from the first 
day of application. Certain transition rules, including quotas and minimum prices, applied for exports 
of rice and sugar to the European  Union until September  2015. The Agreement also provides for 
development cooperation and  financial and technical assistance.  
2.37.  CARIFORUM States committed to gradual reductions in their tariffs over a period of up to 
25 years, until 2033. Exclusions and lengthier implementation periods apply to sensitive products, 
including poultry and other mea t; dairy products; certain fruits and vegetables; fishery products; 
sauces; ice cream; syrup; beverages; ethanol; rum; vegetable oils; paints and varnishes; perfumes; 
cosmetics; soaps; shoe polish; glass or metal polishes; candles; disinfectants; furniture  and parts; 
and some apparel, such as cotton pullovers/jerseys/cardigans. Most agricultural products have been 
either excluded from liberalization or subject to transition periods of 20 or 25 years. The authorities 
 
10 Limited tariff reductions applied to coffee, sausages, bacon, pasta, biscuits, jams and marmalades, 
soups and broths, rum, perfumes, boxes, plastic sacks and bags, plastic tableware, crates and boxes of paper 
or paperboard, footwear with rubber soles, and  mattresses. Goods excluded from tariff reductions are mostly 
agricultural products.  
11 The Caribbean Forum (CARIFORUM) was established in 1992. Its membership comprises the 
15 CARICOM States plus the Dominican  Republic . WT/TPR/S/431 /Rev.1  • Barbados  
 
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  indicate that "due to a number of prolong ed exogenous shocks", Barbados has been unable to 
implement the full range of the tariff reductions . 
2.38.  The EPA has led to the establishment of six joint CARIFORUM -EU institutions: ( i) the Joint 
Council composed of the CARIFORUM Ministers, the EU Trade Commis sioner , and European High 
Representatives and tasked with providing political direction and reviewing the main EPA 
implementation issues; the Council meets at least every two years; ( ii) the Trade and Development 
Committee (T&DC), responsible for reviewing  EPA implementation in detail; it meets at least once a 
year; ( iii) the Parliamentary Committee, composed of Caribbean MPs, and Members of the European 
Parliament (MEPs); its meetings are convened ad hoc; (iv) the Consultative Committee, composed 
of busine ss and civil society representatives; ( v) the Special Committee on Customs Cooperation 
and Trade Facilitation, composed of customs and trade officials, and responsible for reviewing 
technical issues concerning customs and trade facilitation; and ( vi) the S pecial Committee on 
Agriculture . 
2.39.  The EPA guarantees CARIFORUM countries MFN treatment in trade in goods with respect to 
preferences granted by the E uropean  Union to other countries. Any concession granted by the 
European  Union to another trading partner through an FTA that goes beyond the CARIFORUM -EU 
EPA will immediately be extended to CARIFORUM States. The same applies with respect to the 
improvement or relaxati on of rules of origin. CARIFORUM must provide MFN treatment to 
EU products only in case of an FTA signed with a major economy. In this respect, the E uropean  Union 
and CARIFORUM States must enter into consultations where any signatory CARIFORUM State enters  
into an FTA with a major trading economy that offers wider concessions than the EPA.  
2.40.  Within Barbados' Government, an EPA Implementation Unit analyses the impact of the 
Agreement, informs about EPA -related benefits and opportunities, and identifies EPA -related needs 
and possible sources of development assistance.  
2.3.2.4   CARIFORUM -UK E PA 
2.41.  The CARIFORUM States and the United  Kingdom concluded a free trade agreement in 2019, 
which was notified to the WTO in December  2020 and entered into force on 1  January  2021.12 The 
CARIFORUM -UK EPA covers trade in goods, including rules of origin, preferential tariffs , and quotas , 
as well as investment and trade in services. It also contains provisions on current payments and 
capital movements, competition, innovation and intellectu al property, public procurement, 
environment and social aspects, and development cooperation as well as dispute settlement and 
institutional provisions. The authorities indicate that the Agreement is essentially a rollover of the 
EPA with the European  Union and its recent updates.  
2.3.3   Non-reciprocal arrangements  
2.42.  Barbados benefits from the United  States ' Caribbean Basin Initiative (CBI), Canada's 
CARIBCAN, and the CARICOM -Venezuela Agreement, all of which are non -reciprocal . 
2.43.  Under the CBI, in effect since 1984, Barbados is eligible for duty -free access to the US market, 
subject to rules of origin. In October  2020, the United  States  extended preferential treatment under 
the CBT PA until September  2030.  
2.44.  In 2009, 2014, and, most recently, 2019 , the United  States requested, and was granted, a 
five-year extension of the WTO waiver for its Caribbean Basin Economic Recovery Act (CBERA).13 
This waiver allows the United  States  to provide duty -free treatment for eligible products of Caribbean 
countries  without having to extend the same treatment to like products of any other WTO Member.  
2.45.  Exports originating in Barbados are granted duty -free treatment by Canada under CARIBCAN, 
implemented in 1986. Eligible products exclude textiles, clothing, footwear, lu ggage and other 
leather goods, lubricating oils, and methanol. To qualify for duty -free access, 60% of the ex -factory 
price of eligible products must originate in a beneficiary country or in Canada. CARIBCAN was set to 
expire in 2011, but since negotiation s between Canada and CARICOM towards an FTA were ongoing, 
 
12 WTO documents WT/REG420/N/1, 7  January 2021; and WT/REG420/N/1/Add.1, 5  May 2021.  
13 WTO documents G/C/W/765, 27  June 2019; and WT/GC/M/180, 3  December  2019.  WT/TPR/S/431 /Rev.1  • Barbados  
 
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  extensions were requested by Canada in 2011 and 2015 for the waiver of its obligations under 
paragraph  1 of Article  I of the GATT, allowing it to extend duty -free treatment to imports from 
Commonwea lth Caribbean countries until 31  December  2023.14 As at October  2021, no agreement 
has been reached on a reciprocal Canada -CARICOM Trade Agreement.  
2.46.  The Bolivarian Republic of  Venezuela , though the CARICOM -Venezuela Agreement on Trade 
and Investment signed in October  1992, grants duty -free access or phased tariff reductions to 
various CARICOM export products. The Agreement also seeks to promote investment and facilitate 
joint ventures between the two parties. The Agreement has a limited scope: certified annu al exports 
under the Agreement did not exceed USD  55,000 in 2020 and 2021.  
2.47.  Barbados' products are also eligible for the Generalized System of Preferences (GSP) schemes 
of Australia, New  Zealand , and the Russian  Federation . 
2.4  Investment Regime  
2.48.  Barbados ' overall policy is to attract foreign investment by offering a favourable business 
environment. In general, foreign investors are granted national treatment, with few exceptions 
mentioned in sector -specific legislation. These include telecommunica tions services, tour operators, 
and travel guides.  
2.49.  The establishment of companies in Barbados is regulated by the Companies Act  1982. The 
Companies Regulations 1984 establish registration fees for companies formed under the Act. 
Companies may choose to be established as public companies or private companies, comprising sole 
traders, partnerships, companies , or societies with restricted liability. The Franchise (Registration 
and Control) Act of 1991 provides for the licensing, registration , and control of bu sinesses wishing 
to operate a franchise in Barbados.  
2.50.  Barbados does not have specific legislation with respect to foreign investment. No specific 
legal references are made with respect to any foreign investment restrictions, except those made in 
the context  of the CARIFORUM -EU EPA and the CARICOM –UK EPA. Similarly, and despite liberal 
market access and establishment conditions in practice, there is no specific piece of legislation 
explicitly guaranteeing market access or national treatment to foreign investo rs, except for CARICOM 
nationals and companies, and the commitments made to the E uropean  Union and the 
United Kingdom  under the EPAs. These guarantees , as well as MFN and national treatment 
commitments , are, however, specified in the different bilateral in vestment treaties signed by 
Barbados.  
2.51.  The responsibility for the formulation of investment policy lies with the Ministry of Industry, 
Innovation, Science and Technology . Invest Barbados is responsible for attracting international 
investment; it is also in charge of helping to develop and manage the Barbados international 
business brand. The state -owned Barbados Investment Development Corporation (BIDC) is 
responsible for analysing the impact of incentives and for operating Barbados' 10 industrial parks.  
2.52.  The BIDC and Invest Barbados also provide advisory services to companies looking to 
establish businesses in Barbados. Barbados Tourism Investment Incorporated (BTI) also participates 
in policy formulation. The Corporate Affairs and Intellectual Property Offic e (CAIPO) is responsible 
for the registration of businesses.  
2.53.  Registration is mandatory for both domestic and external (foreign) companies. A 
BBD 30 name reservation fee and an incorporation fee of BBD 750 is payable on registration with 
the CAIPO. External  companies pay an incorporation fee of BBD 3,000. Barbadian companies must 
have a registered office. There are no minimum capital requirements.  
2.54.  In accordance with the Companies Act, all external companies – that is, companies originally 
established under the laws of another country – must also be registered in Barbados to do business 
there. There are different categories of companies that conduct "international" business and require 
 
14 WTO documents G/C/W/657, 27  October  2011; and WT/L/958, 30  July 2015.  WT/TPR/S/431 /Rev.1  • Barbados  
 
- 43 - 
 
  specific licences. International business companies (IBCs) are the most widely used modality of 
incorporation for offshore operations.  
2.55.  Barbados imposes corporation tax on all companies incorporated or registered in Barb ados. 
Resident companies are taxed on their worldwide income. Non -resident companies are taxed only 
on income derived from Barbados. The corporate tax rate is between 1% and 5.5%, depending on 
revenue levels, except where certain entities benefit from spec ial incentives. Branches pay an 
additional 5% corporation tax if profits have been remitted, or are deemed to have been remitted, 
unless profits are reinvested in Barbados other than for the replacement of fixed assets. There is a 
15% withholding tax for d ividends distributed to individuals who are residents, but 0% for 
corporations. Barbados does not levy capital gains tax. A fee of 2%, capped at BBD 100 is charged 
on all foreign exchange transactions.  
2.56.  Barbados generally allows 100% foreign ownership. Howe ver, a few restrictions on foreign 
investment are in place. Water and postal services are government monopolies. Tour operators and 
travel agencies must be owned by CARICOM nationals. Private investment in broadcasting, banking, 
and insurance is subject to  prior government approval in the form of licences.  
2.57.  Both domestic and foreign investors may benefit from a number of incentives administered 
by the Ministry of Finance, Economic Affairs and Investment  and the Ministry of Tourism and 
International Transport , in coordination with the BIDC (Section  2.4). 
2.58.  Investment transfers and capital remittances are regulated by the Central Bank of Barbados 
(CBB) under the Exchange Control Act, Cap.  71. Exchange control permission is required for a non -
resident to hold shar es in a resident company incorporated in Barbados, except in the case of entities 
holding a foreign currency permit.15 It is recommended that foreign or non -resident investors 
register with the CBB all funds brought into Barbados in order to facilitate rep atriation of these funds. 
Foreign currency funds may generally be freely repatriated for most current and capital account 
transactions. If substantial capital gains have been realized on the disposal of foreign investment, 
permission is granted for remitta nce of the full amount. However, in the case of the remittance of 
substantial profits, it may be required that these outflows are phased over a period of time as 
determined by the CBB, which can be up to five years. This is to ensure an orderly market for foreign 
exchange activity given that foreign exchange flows are highly seasonal. There are no immediate 
plans to fully liberali ze the capital and financial account s. However, the CBB recently introduced the 
Forex Online web portal , which is consistent with making the application and approval of foreign 
exchange transactions as seamless and efficient as possible, while also permitting improved 
monitoring of this market.  
2.59.  Expropriation r equires the authority of a written law and is subject to compensation. No 
expropriation took place during the period under review.  
2.60.  Acquisition of real estate by foreigners is generally allowed.  
2.61.  Bilateral investment treaties (BITs) with the United  Kingdom, the Bolivarian  Republic of 
Venezuela, Germany, Switzerland, Italy, Canada, Cuba, China, and Mauritius were in place as at 
June 2022. Barbados also concluded investment treaties with Ghana in 2008 and 
Belgium -Luxembourg in 2009, which, however, were still n ot ratified as at June  2022 (Table  2.2). 
Table 2.2 BITs signed by Barbados, June  2022  
Partner  Date of signature  Entry into force  
United  Kingdom  7 April 1993 April 1993  
Venezuela , Bolivarian Rep. of  15 July 1994 31 October  1995 
Germany  2 December  1994 11 May 2002 
Switzerland  29 March  1995 26 June 1995 
Italy  25 October  1995 21 July 1995 
Cuba 19 February  1996 13 August  1998 
 
15 According to Section  2 of the Foreign Currency Permits Act, 2018 -44, a qualified person that may 
apply for a foreign currency permit includes a company, firm , or society with restricted liability that earns 
100% of its income in foreign currency.  WT/TPR/S/431 /Rev.1  • Barbados  
 
- 44 - 
 
  Partner  Date of signature  Entry into force  
Canada  29 May 1996 17 January  1997 
China  20 July 1998 1 October  1999 
Mauritius  28 September  2004 28 June 2005 
Ghana  22 April 2008 Awaiting ratification  
Belgium –Luxembourg Economic 
Union  29 May 2009 Awaiting ratification  
Source:  Invest Barbados.  
2.62.  As per the Revised Treaty of Chaguaramas, Barbados has taxation agreements with the other 
CARICOM countries. In addition, Barbados has adopted tax agreements with Austria, the Kingdom 
of Bahrain, Botswana, Canada, China, Cuba, the Czech  Republic , Finland, Ghana, Iceland, 
Luxembourg, Malta, Mauritius, Mexico, the Netherlands, Norway, Panama, Portugal, Qatar, 
San Marino, the Seychelles, Singapore, Spain, Switzerland, Sweden, the United  Arab Emirates, the 
United  Kingdom, the United  States , and the Bolivarian  Republic of  Venezuela. Treaties with Rwanda 
and the Slovak  Republic  have been concluded, but not yet ratified.  
2.63.  On Transparency International's Corruption Perception Index, Barbados ranked 29th out 
of 180 countries in 2021, one of the best scores in the Cari bbean region. The 2021 Prevention of 
Corruption Act, repealing the 2012 Prevention of Corruption Act, provides for the prevention, 
investigation , and prosecution of acts of corruption. It also provides for the United Nations 
Convention Against Corruption  to have the force of law in Barbados.  Enforcement measures include 
fines up to BDS  1.5 million  and imprisonment up to 15 years.  
2.64.  In the case of investment disputes, foreign and national investors receive the same protection. 
The Barbados Arbitration Act (19 76) and the Foreign Arbitral Awards Act (1980) contain provisions 
for arbitration of investment disputes. Barbados is a member of the International Centre  for the 
Settlement of Investment Disputes (ICSID), and of most of the conventions and model laws 
eman ating from the work of the United Nations Commission on International Trade Law. Barbados 
is also a member of the Multilateral Investment Guarantee Agency.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 3  TRADE POLICIES AND PRACTICES BY MEASURE  
3.1  Measures Directly Affecting Imports  
3.1.1   Customs procedures, valuation, and requirements  
3.1.  The main law governing customs issues continues to be the Customs Act , Cap. 66. A Bill entitled 
"An Act to reform the law on customs and repeal the Customs Act, Cap.  66" (Customs Act, 2021) 
was passed by both Houses of Parliament, but has yet to be enacted. The new Act will modernize 
customs legislation to incorporate commitments under the Agreement on Trade Facilitation ( TFA) 
and other trade facilitation measures; it will also help complianc e with customs laws and regulations, 
as it has increased penalties for non -compliance.  
3.2.  Importers must register with the Computer Department of Barbados Customs  & Excise 
Department (BCED) to receive an import number before proceeding with the importation of  any 
items. No registration fees are charged. Upon registration, importers have access to information and 
forms on the BCED website.  
3.3.  The use of a customs broker is not mandatory, but recommended by the authorities as 
familiarity with ASYCUDA World is requi red. All imports must be accompanied by an Import 
Declaration form (Barbados Customs Goods Declaration Form  C63), as well as by a number of 
documents, as required: a commercial invoice; a carrier's bill  of lading or airway bill; a declaration 
of value form  (C60) for goods valued over BBD 2,500; and a certificate of origin for goods from 
CARICOM and from countries with which it has bilateral agreements. Depending on the goods, an 
import licence and a health and sanitary certificate may also be required. In c ases where BCED 
requests goods to be physically examined, a packing list may be required. There is no requirement 
for pre -shipment inspection. A documentary fee of BBD 10 for each consignment applies.  
3.4.  Various initiatives to modernize the customs administra tion have been undertaken since the 
last Review. This includes the initiation of a trusted trader programme, the transition to ASYCUDA 
World in September  2019, and measures to strengthen verifications and audit processes. As part of 
the BERT Plan, BCED imp lemented the Trusted Trader Programme (TTP) in March  2020 with the goal 
of making cargo clearances quicker and easier without compromising revenue collection whil e 
promoting trade facilitation. Provisions to authorize this trade facilitation measure were i ncluded in 
the 2021 Customs Act. Twenty -three companies were selected to be part of the pilot TTP. All 
companies were required to have a risk assessment conducted by the Risk Management Unit (RMU) 
and a comprehensive compliance verification audit conducted  by the Post Clearance Audit Unit 
(PCAU) of BCED. According to the authorities, the benefits of the TTP include: (i) significantly 
reduced customs intervention (inspection, documentary checks); (ii) a higher rate of green lane 
treatment for import and expo rt shipments; (iii) allowing for the pre -release of consignment s with 
checks performed only based on specific intelligence; (iv) faster customs processing of cargo 
resulting in better time release; (v) no requirement for submission of hard copy of supporti ng 
documents; (vi) reduced penalties for voluntary disclosure of errors and discrepancies; and (vii)  the 
provision of prompt client assistance.  
3.5.  To qualify for the TTP, importers must have a satisfactory record according to BCED 
requirements and must allow BCED full access to records and systems when required; commit to 
retain originals of supporting documents for a period of seven  years; implement adequate 
information technology security measures; demonstrate the effective management of all risks and 
proven  current financial solvency; possess or implement an acceptable security screening system 
for employees and job applicants; comply fully with customs laws and regulations; and have a track 
record of compliance with BCED and other tax requirements for at le ast three  years. Importers must 
also align company import accounting processes to BCED requirements. Final approval for 
participation in the BCED TTP is obtained when all requirements have been met. The entity will then 
be requested to sign a letter that is an agreement between BCED and the importer. After a trader 
has been issued a TTP authorization and begins to operate within the TTP environment, periodic 
monitoring may be conducted by BCED. Traders who do not comply with the requirements of the 
TTP may be subject to penalties under the BCED Administrative Penalty System.  
3.6.  A risk assessment system consisting of four channels is in place. The red channel provides for 
physical and documentary inspection, the yellow channel for documentary inspection only, an d the WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 46 - 
 
  green channel for immediate clearance. The blue channel provides for post -import audit of 
documents. The authorities indicate that about 75% of consignments pass through the green 
channel.  
3.7.  On 31  January  2018, Barbados ratified the TFA. It had notifie d its Category A commitments on 
2 July 2015, and its Category B and C commitments on 27  February  2019.1 On 5 January  2021, 
Barbados notified its measures on customs brokers and its contact point for the exchange of 
information.2 As at June  2022, Barbados had implemented 44.5% of its commitments under the 
Agreement. At that time, the authorities indicated that a new Customs Act was under preparation 
that would incorporate Barbados' commitments under the TFA.  
3.8.  In October  2021, the Government an d UNCTAD signed a project agreement to implement a 
National Electronic Single Window. The project aims to reform Barbados ' regulatory trading regime 
by transitioning 28 government agencies to an electronic and paperless processing environment, 
while satisf ying all cross -border and regulatory requirements for trade.  
3.9.  The Second Schedule to the Customs Act, Cap.  66, contains the rules for determining customs 
value, which follow the sequence laid out in the C ustoms Valuation Agreement (CVA) . The use of 
minimum values is prohibited under Barbados' laws. In the course of the current review, the 
authorities reiterated that, in practice, the transaction value is used on average for the vast majority 
of imports. Although there are no official statistics reporting the  different valuation methods used, 
the authorities indicated that the transaction value is now used in 100% of the cases. Since 2019, 
no more exceptions to imports of used vehicles apply. If the transaction value cannot be accepted, 
the customs value is de termined in accordance with the methods set out in the CVA.  
3.10.  To counter under -invoicing, the value of certain products is routinely verified on importation. 
These products include used motor vehicles , motor vehicle parts , and marine and sea craft. In these 
cases, prior to the determination of value, Customs may resort to documentary checks, requests for 
additional information, and the physical examination of goods. The authorities' main valuation 
concerns involve used vehicles.  
3.11.  As at June  2022, Barbados had not submitted replies to the checklist of issues on the 
implementation and administration of the C VA. 
3.12.  Customs decisions may be subjected to an administrative review by Customs via a prior 
request to the Comptroller of Customs by the interested party. Compl aints may also be brought 
directly to the appropriate court, including the Administration Appeal Tribunal and the High Court. 
Decisions of the High Court may be appealed to the Court of Appeal. The authorities indicate that 
there was no court case during t he review period, and that the new Customs Act would provide for 
appeal procedures.  
3.1.2   Rules of origin  
3.13.  Barbados does not have non -preferential rules of origin; it maintains preferential rules of 
origin for CARICOM -origin imports. In general, and in accordance  with these rules, goods are deemed 
to have CARICOM origin if they have been: ( i) completely produced within CARICOM; or ( ii) produced 
within CARICOM wholly or partly from materials imported from third countries, or from materials 
from undetermined origin,  provided a substantial transformation has taken place within CARICOM. 
Substantial transformation may be achieved by change of tariff heading, or by complying with the 
requirements defined specifically for each tariff heading in Part  A of the list in Sched ule I of the 
CARICOM Treaty. Furthermore, under a "safeguard" mechanism, a manufacturer may use materials 
from outside the region when they are not available in a CARICOM State. The Council for Trade and 
Economic Development (COTED) may provide a waiver to  authorize such imports. Additionally, a 
certificate of origin from the exporting country is required with verification taking place at the 
importing end. Barbados and other CARICOM member States were expected to implement the rules 
of origin contained in the Amended Schedule  I of the Revised Treaty of Chaguaramas, based on 
HS12, as of 1  January  2014. Presently they apply rules based on the HS07 nomenclature.  
 
1 WTO documents WT/PCTF/N/BRB/1, 2  July 2015; G/TFA/N/BR B/1, 27  February  2018; and 
G/TFA/N/BRB/1/Add.1, 22  August  2019.  
2 WTO document G/TFA/N/BRB/2, 5  January  2021.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 47 - 
 
 3.14.  Rules of origin provisions are also contained in CARICOM's preferential schemes with 
third countrie s; these have remained unchanged since the last Review (Table  3.1). In most of these 
agreements, while goods must generally be shipped directly between parties, transit through 
third countries is permitted under certain conditions. There are also provision s regarding 
accumulation.  
Table 3.1 Rules of origin applied by Barbados and other CARICOM countries  
Agreement  Rules  
CARICOM  Wholly produced:  
A range of meat products; fish; vegetables (frozen, preserved or dried); fruits (frozen, 
preserved , or dried) and nuts; products of milling industry; oil seeds; vegetables materials; 
cocoa beans; sugar; molasses  
 
Produced from regional materials:  
A range of oils; animal products; sugar confectionery; vegeta ble, fruit , and nut 
preparations; mineral waters; liqueurs and other spirituous beverages; vinegar; wood, 
wood products , and carpentry work; wicker work; ceramic products; articles of cement; 
articles of plaster; steel products  
 
Produced by chemical transf ormation:  
A range of chemical products included in HS Chapters 28 -39 
 
Non-regional material content must not exceed 10% of the export price of the finished 
product:  
A range of plastics products  
 
Produced from materials not included in HS 43.03 and not bein g fur skins assembled in 
plates, crosses or similar forms:  
Articles of apparel, clothing, accessories , and other articles of fur skin (HS 43.03)  
 
Value of extra -regional materials must not exceed 30% of the export price of the finished 
product:  
Dyed or pri nted fabrics  
 
Value of extra -regional materials must not exceed 50% of the export price of the finished 
product:  
Paper products; a range of products included in HS Chapters 73 -96: copper, nickel , and 
aluminium and articles thereof; lead, tin , and zinc and articles thereof; other base metals; 
miscellaneous articles of base metal; tools; machinery and mechanical appliances; boilers; 
electrical machinery and parts; railway or tramway locomotives and parts thereof; vehicles 
other than railway and tramway locomo tives and parts thereof; aircraft and parts thereof; 
ships and boats and floating structures; optical, photographic, cinematographic, measuring, 
checking, medical or surgical instruments and apparatus and parts and accessories; clocks 
and watches; musical instruments; furniture; jewellery; arms and ammunition; toys; 
miscellaneous articles  
CARICOM -
Colombia  Rules of origin on imports into Barbados (as a CARICOM MDC) from Colombia only apply to 
a limited number of goods listed in the Agreement. Rules of origin on imports are set out in 
Article  9 of the Agreement and in Annex  III to the Protocol Amending the Agreement, 
effective since June 1998. Substantial transformation is generally determined by a change in 
tariff classification. Accumulation among part ies applies.  
CARICOM -
Cuba  Rules of origin on imports into Barbados (as a CARICOM MDC) from Cuba only apply to the 
specific goods listed in Annex es II and IV to the Agreement. Rules of origin are set out in 
Annex  VI to the Agreement. Goods must be wholly o btained or produced in the territories of 
the parties. Accumulation among parties applies. Otherwise, products that incorporate parts 
from third countries must undergo a change in tariff classification or the value of materials 
used from third countries mu st not exceed 50% of the f.o.b. price of the goods.  
CARICOM -
Dominican   
Republic  Rules of origin are set out in Appendix  I to Annex  I of the Agreement. Goods must be wholly 
obtained or produced in the territories of the parties. Accumulation among parties applies. 
Otherwise, products that incorporate parts from third countries (which account for over 7% 
of the transaction value) must i n most cases undergo a change in tariff classification. For 
chemicals, plastics , and some fertilizers, the criteria for substantial transformation is that a 
chemical reaction or purification must have taken place. Origin is determined in some specific 
cases by a regional value content as specified in an attachment to Appendix  I. There are also 
some instances where rules of origin criteria have yet to be developed.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 48 - 
 
  Agreement  Rules  
CARICOM -
Costa  Rica Rules of origin are spelled out in Chapter IV of the Agreement. Specific r ules of origin are 
spelled out in Annex  IV.03.  
A good is considered to be an originating good if the value of all non -originating materials 
used in the production of the good that do not undergo an applicable change in tariff 
classification set out in Anne x IV.03 does not exceed 7% of the transaction value of the good 
adjusted on an f.o.b. basis.  
Except as specified in a product -specific rule of origin of Annex  IV.03 , the previous definition 
does not apply to a non -originating material used in the productio n of a good included in 
HS Chapters 1 -24, unless the non -originating material is provided for in a different 
subheading from the good for which origin is being determined.  
A good provided in HS Chapters 50 -63, which  is a non -originating good because certai n fibres 
or yarns used in the production of the component of the good that determines the tariff 
classification of the good do not undergo an applicable change in tariff classification set out 
in Annex  IV.03, shall nonetheless be considered an originating good if the total weight of all 
such fibres or yarns in that material does not exceed 10% of the total weight of that material.  
Accumulation is permitted provided all non -originating materials used in the production of 
the good undergo an applicable tariff classification change.  
CARI FORUM -
EU EPA  Rules of origin are spelled out in Article  10 and Protocol I of the Agreement.  
Goods must either be wholly obtained or produced or sufficiently worked or processed in the 
territories of the parties . Accumulation among parties applies. Working and processing in 
other ACP States and neighbouring developing countries is, in principle, allowed. In general, 
goods are considered to be sufficiently worked or processed if the total value of non -
originating inputs does not exceed 15% of the ex works  price of the product. A list of 
operations that is considered as insufficient working or processing is provided.  
CARI FORUM -
UK EPA  Same as CARICOM –EU EPA 
Source:  Information provided by the authorities ; and OAS , Trade Agreements . Viewed at: 
http://www.sice.oas.org/agreements_e.asp . 
3.15.  Rules of origin in the EPA with the European  Union  are based on the Cotonou Agreement's 
Protocol on rules of origin, with some major amendments , includ ing specific provis ions regarding 
sugar, rice, and high -sugar -content products; amended provisions on accumulation with 
neighbouring countries; and the addition of Mexico to the list of countries that can benefit from 
accumulation. The Agreement calls for the review and further simplification of the Protocol on the 
Rules of Origin within five years of implementation of the EPA.  
3.16.  Rules of origin in the agreement with the U nited Kingdom  are modelled after the EPA with the 
European  Union. 
3.1.3   Tariffs  
3.1.3.1   Applied MFN tariffs  
3.17.  Barbados applies the CARICOM common external tariff (CET) with exceptions contained in 
Lists A and C. In accordance with the CET, there is a general tariff ceiling of 20% for non -exempt 
industrial goods and 40% for non -exempt agricultural goods. Goods in L ist A are often imported at 
rates lower than the CET, while rates for goods in List  C may be modified at the national level and 
the goods may be imported at higher rates than the CET. Additionally, countries may request a 
suspension of the CET from CARICOM 's COTED.3 Barbados has scheduled a number of minimum 
duty rates in List  C of the CET, which contains products for which MFN (extra -CARICOM) duties are 
higher than CET rates. Furthermore, in May  2001, Barbados applied to COTED to increase its applied 
tariffs on extra -CARICOM imports on a number of mainly manufactured products to 60%; these 
rates were still applied in 2022. In accordance with Barbados' 2022 MFN tariff, there were 199 tariff 
lines with applied rates of 60%, which related mainly to HS  Section s 10, 11, 14, and  20.4 
 
3 A suspension of the CET may be requested from CARICOM's COTED in the following cases: (i)  when 
there is no production of the good in the region ; (ii) when the production of the good in the region is 
insufficient to satisfy regional demand; and (iii) when the quality of the domestically  produced good is below 
the standard approved in the region for that product.  
4 The main products in question wer e wheat; wheat flour; margarine; lard; sugar confectionery; 
biscuits; bread; pastry and cakes; potato, tortilla , and corn chips; cement; painters' fillings; glaziers' putty; 
aerosol insecticides; prepared additives for cements, mortars , or concretes; non -degradable plastic bags; 
satchels; shopping and travelling bags and knapsacks; wrapping paper; cards; boxes; note books; labels; WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 49 - 
 
 Consequently, Barbados' average applied tariff is higher than those applied by some other CARICOM 
countries.  
3.18.  In Barbados' tariff schedule, 99.2% of tariff rates are ad valorem ; specific rates are applied 
on 59  lines, which correspon d mostly to alcoholic beverages. Ad valorem  equivalents of 
non-ad valorem  rates were not provided by the authorities for this review. Barbados does not 
maintain any tariff quotas. Ad valorem  tariffs are applied on the c.i.f. value of the goods.  
3.19.  Barbados' 2 022 tariff schedule is based on HS17 . The tariff, as applied in 2022, 
comprised  7,055 tariff lines at the 11-digit level (Tables  3.2 and 3.3). The simple average MFN tariff 
in 2022 was 16.8%, higher than in 2014 when it was 15.9%. The difference is mostly explained by 
the change of HS nomenclature (from 2007 to 2017), which increased the number of tariff lines 
by 8.4% (there are 548 more tariff lines in the 2022 tariff than in 2014). Only 5.7% of tariff lines 
are duty -free (Chart  3.1). The average MFN tarif f for agricultural products (WTO definition) is 35.0% 
in 2022, slightly higher than the 33.9% reported in the previous review, while for non -agricultural 
products, the average applied MFN  tariff was 12.8%, above the 12.3% reported for 2014 in the 
previous Review. Peak tariffs have remained in place compared to the situation in 2014: tariff rates 
continue to range from zero to 216% for agricultural products, and from zero to 145% for 
non-agricultural products.  
Table 3.2 Structure of the tariff schedule in Barbados, 2014 -22 
 
2014  2022  
Total number of tariff lines  6,507  7,055  
Non-ad valorem  tariffs (% of all tariff lines)  0.7 0.8 
Non-ad valorem  with no AVEs (% of all tariff lines)  0.7 0.8 
Lines subject to tariff quotas (% of all tariff lines)  0.0 0.0 
Duty-free tariff lines (% of all tariff lines)  5.4 5.7 
Dutiable lines tariff average rate (%)  16.8 17.8 
Simple average tariff (%)  15.9 16.8 
   WTO agriculture  33.9 35.0 
   WTO non -agriculture (incl. petroleum)  12.3 12.8 
Domestic tariff "peaks" (% of all tariff lines)a 6.5 5.6 
International tariff "peaks" (% of all tariff lines)b 29.7 31.4 
Overall standard deviation  24.8 25.4 
Bound tariff lines (% of all tariff lines)  97.1 95.4 
a Domestic tariff peaks are defined as those exceeding three times the overall average applied rate.  
b International tariff peaks are defined as those exceeding 15%.  
Source:  WTO Secretariat calculations, based on data provided by the auth orities.  
Table 3.3 Summary analysis of Barbados' MFN tariff, 2022  
 
MFN  
Description  No. of 
lines  Average 
(%) Range 
(%) Coefficient 
of 
variation 
(CV)  Bound 
average 
(%) Bound 
range 
(%) 
Total  7,055  16.8 0 - 216 1.5 85.6 70 - 247 
HS 01 -24 1,532  37.0 0 - 216 1.2 111.3  100 - 223 
HS 25 -97 5,523  11.3 0 - 117 1.2 80.0 70 - 247 
By WTO category  
WTO agriculture  1,280  35.0 0 - 216 1.3 110.9  85 - 223 
 - Animals and products thereof  189 60.9 0 - 184 1.1 134.7  100 - 184 
 - Dairy products  26 48.8 0 - 141 1.3 115.8  100 - 141 
 - Fruit, vegetables and plants  357 37.5 0 - 216 1.2 108.0  100 - 223 
 - Coffee and tea  29 17.4 5 - 40 0.8 100.0  100 - 100 
 - Cereals and preparations  147 20.1 0 - 135 1.1 100.5  100 - 135 
 - Oil seeds, fats and oils and their 
Products  108 19.3 0 - 158 1.4 130.4  100 - 158 
 - Sugars and confection ery 25 30.6 5 - 141 0.9 107.0  100 - 122 
 - Beverages, spirits and tobacco  228 49.2 5 - 141 0.9 102.6  100 - 141 
 - Cotton  6 5.0 5 - 5 0.0 100.0  100 - 100 
 
machine rolls, brochures, and calendars; a group of clothing products, including suits, trousers, shirts, blouses, 
vests, bathro bes, dressing gowns , and nightdresses; clay tiles, jewellery; doors and windows and their frames; 
barbed wire; solar water heaters; lead -acid, lead -acid accumulators; upholstered seats; wooden furniture; 
mattress supports; and brooms and brushes.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 50 - 
 
   
MFN  
Description  No. of 
lines  Average 
(%) Range 
(%) Coefficient 
of 
variation 
(CV)  Bound 
average 
(%) Bound 
range 
(%) 
 - Other agricultural products n.e.s.  165 10.1 0 - 40 1.2 99.7 85 - 158 
WTO non-agriculture (incl. petroleum)  5,775  12.8 0 - 145 1.2 79.7 70 - 247 
 - WTO non-agriculture (excl. petroleum)  5,741  12.9 0 - 145 1.2 79.2 70 - 247 
 - - Fish and fishery products  330 37.1 0 - 145 0.8 100.0  100 - 100 
 - - Minerals and metals  1,107  9.5 0 - 60 1.2 73.1 70 - 158 
 - - Chemicals and photographic supplies  1,121  7.4 0 - 60 0.9 70.5 70 - 122 
 - - Wood, pulp, paper and furniture  370 12.5 0 - 60 1.0 70.0 70 - 70 
 - - Textiles  638 7.9 0 - 60 0.9 70.0 70 - 70 
 - - Clothing  293 36.1 5 - 117 0.6 70.3 70 - 117 
 - - Leather, rubber, footwear and travel 
goods  176 11.1 0 - 60 0.9 73.2 70 - 127 
 - - Non-electric machinery  601 6.5 0 - 60 0.9 73.4 70 - 117 
 - - Electric machinery  267 10.8 0 - 60 0.9 76.3 70 - 152 
 - - Transport equipment  360 17.5 0 - 45 1.0 174.8  70 - 247 
 - - Non-agriculture articles n.e.s.  478 15.7 0 - 70 0.9 77.9 70 - 162 
 - Petroleum  34 7.4 0 - 25 0.8 152.8  70 - 158 
By ISIC sectora 
Agriculture and fisheries  561 31.4 0 - 216 1.2 105.5  70 - 223 
Mining  106 7.8 0 - 50 1.4 73.5 70 - 132 
Manufacturing  6,387  15.6 0 - 184 1.5 84.4 70 - 247 
By HS section  
  01 Live animals & prod.  512 41.8 0 - 184 1.1 122.2  100 - 184 
  02 Vegetable products  461 29.3 0 - 216 1.3 105.4  100 - 223 
  03 Fats & oils  54 33.1 5 - 158 0.9 158.0  158 - 158 
  04 Prepared food etc.  505 39.8 0 - 184 1.2 106.9  100 - 184 
  05 Minerals  193 8.3 0 - 60 1.2 88.2 70 - 158 
  06 Chemical & prod.  1,048  7.0 0 - 60 0.9 72.0 70 - 158 
  07 Plastics & rubber  243 9.3 0 - 60 0.8 72.6 70 - 127 
  08 Hides & skins  84 14.4 5 - 60 1.1 73.6 70 - 100 
  09 Wood & articles  156 11.0 0 - 20 0.5 70.0 70 - 70 
  10 Pulp, paper etc.  173 10.0 0 - 60 1.3 70.0 70 - 70 
  11 Textile & articles  918 16.3 0 - 117 1.1 71.0 70 - 117 
  12 Footwear, headgear  59 16.3 0 - 20 0.4 70.0 70 - 70 
  13 Articles of stone  181 11.0 0 - 60 0.8 71.2 70 - 112 
  14 Precious stones, etc.  62 29.9 0 - 60 0.8 105.9  70 - 152 
  15 Base metals & prod.  710 7.9 0 - 60 1.0 70.3 70 - 117 
  16 Machinery  883 8.0 0 - 60 1.0 75.1 70 - 152 
  17 Transport equipment  371 17.2 0 - 45 1.0 171.6  70 - 247 
  18 Precision equipment  226 13.5 0 - 60 1.1 78.5 70 - 132 
  19 Arms and ammunition  22 37.5 0 - 70 0.7 116.0  70 - 162 
  20 Miscellaneous manufactures  186 19.1 0 - 60 0.8 70.3 70 - 115 
  21 Works of art, etc.  8 20.0 20 - 20 0.0 70.0 70 - 70 
By stage of processing  
First stage of processing  1,005  26.7 0 - 216 1.3 95.9 70 - 223 
Semi-processed products  1,995  6.7 0 - 60 1.0 71.6 70 - 158 
Fully-processed products  4,055  19.3 0 - 184 1.4 90.4 70 - 247 
a ISIC (Rev.2) classification, excluding electricity (1  line). 
Source:  WTO Secretariat calculations, based on data provided by the authorities.  
3.20.  Barbados' overall tariff levels remain relatively high. Although they are a source of revenue, 
high average tariffs may result in a weakening of productivity growth and contribute to a higher cost 
of living. They may also hinder an efficient resource alloc ation and the integration of Barbados into 
global value chains. It is unclear, however, to extent to which the use of tariff concessions 
(subsection below) reduces these effects.  
3.21.  Import duties collected in FY2021/22 totalled BBD 221 million , or some 2.2% of GDP, or some 
6.5% of the value of imports. This is well below the 16.8% average applied rate, and reflects both 
trade with preferential partners and, especially, the wide scope of tariff concessions granted by 
Barbados. As economic activity recover ed, collection in FY2021/22 was higher than in FY2020/21 
(BBD 192 million ), but lower than in FY2019/2020 ( BBD 232 million ). 
 WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Chart 3.1 Frequency distribution of MFN tariff rates, 2022  
(Number of tariff linesa) 
 
a The total number of lines is 7,065.  
Source:  WTO Secretariat calculations, based on data provided by the authorities.  
3.1.3.2   Tariff bindings  
3.22.  Barbados bound all of its tariffs in the Uruguay Round, with the exception of fish and fish 
products, so some 95.4% of lines are bound. Most agricultural products (WTO definition) are bound 
at final rates of at least 100%, with other duties and charges bound at 70%; some 40 items have 
been bound at rates ranging between 110% and 233%, with other duties and charges  bound at 
rates of over 170%. In the case of non -agricultural products, tariffs have been generally bound at 
rates of at least 70%, with other duties and charges bound at 200%; certain items were bound at 
higher rates, including petroleum products, soap an d detergents, fireworks, film, tyres, precious 
stones, and motor vehicles. Tariffs on motor vehicles were bound at 247%, with other duties and 
charges bound at 346%. Given the high level of Barbados' bindings, there is a huge gap between 
bound and applied rates, with the average bound rate (87%) being more than five times higher than 
the average applied rate.  
3.23.  Although most applied tariffs are within their bound rates, the Secretariat found that applied 
rates exceeded bound rates for 17  tariff lines, in 2022  (Table  3.4). 
Table 3.4 Tariff lines where MFN applied rates exceed consolidated rates, 2022  
MFN HS code  Bound HS 
code  MFN description  MFN rate  Bound 
rate 
0207.27.10.100  0207.27.10  Wings  110 100 
0210.99.10.100  0210.99.00  Of turkey, cured or smoked  184 100 
0210.99.10.200  0210.99.00  Of the species Gallus domesticus , cured or 
smoked  184 100 
0708.90.10.000  0708.90.00  Pigeon peas ( Cajanus cajan ) 109 100 
1704.90.10.000  1704.90.00  Guava cheese  141 100 
2009.12.20.100  2009.12.00  Other, in packages put up for retail sale, not 
concentrated, unsweetened  141 100 
2009.12.30.100  2009.12.00  Other, not concentrated, unsweetened  141 100 
2009.12.30.200  2009.12.00  Other, not concentrated, sweetened  141 100 
2009.19.20.200  2009.19.00  Other, in packages put up for retail sale, 
sweetened  141 100 
2009.19.90.100  2009.19.00  Not in packages put up for retail sale, 
unsweetened  141 100 
(5.7%)(52.8%)
(4.1%)(5.2%)(15.0%)
(0.6%)(15.8%)
(0.8%)
0%10%20%30%40%50%60%70%80%90%100%
05001,0001,5002,0002,5003,0003,5004,000
Duty free >0-5 >5-10 >10-15 >15-20 >20-25 >25 Specific duty
Number of lines (% of total) Cumulative %Chart 3.1
Frequency distribution of MFN tariff rates, 2021
Number of tariff linesa
a   The total number of lines is 7,055.
Source: WTO Secretariat calculations, based on data provided by the authorities.WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  MFN HS code  Bound HS 
code  MFN description  MFN rate  Bound 
rate 
2009.19.90.200  2009.19.00  Not in packages put up for retail sale, 
sweetened  141 100 
2009.31.12.100  2009.31.00  Other, in packages put up for retail sale, 
concentrated, unsweetened  125 100 
2009.31.12.200  2009.31.00  Other, in packages put up for retail sale, 
concentrated, sweetened  125 100 
2009.31.13.100  2009.31.00  Other, in packages put up for retail sale, not 
concentrated, unsweetened  125 100 
2009.31.13.200  2009.31.00  Other, in packages put up for retail sale, not 
concentrated, sweetened  125 100 
2009.31.19.100  2009.31.00  Not in packages put up for retail sale, 
unsweetened  125 100 
2009.31.19.200  2009.31.00  Not in packages put up for retail sale, 
sweetened  125 100 
Source:  WTO Secretariat, based on data provided by the authorities.  
3.1.3.3   Preferential tariffs  
3.24.  All imports from other CARICOM countries enjoy duty -free treatment.  
3.25.  As a more developed country within CARICOM, Barbados is expected to grant tariff 
preferences to countries with which CARICOM has preferential trade agreements (Colombia, 
Costa  Rica, Cuba, Dominican  Republic , and the Bolivarian  Republic of Venezuela).  
3.26.  Barbados grants preferential tariffs to imports from the European  Union  and the 
United  Kingdom.  
3.27.  The information on preferential tariffs that was made available to the Secretariat did not allow 
for the calculation of tariff averages and preferential margins.  
3.1.3.4   Concessions and exemptions  
3.28.  Barbados reportedly offers a wide range of tariff and tax concessions to importers. Companies 
must register with the Approved Undertakings Division of Customs to benefit from concessions.  
3.29.  Agricultural companies may benefit from import duty concessions under the Agricultural 
Incentives Programme. Under the Programme, the following items can be imported duty -free: 
planting material, machinery and equipment, agricultural chemicals, veterinary  medicaments, hand 
tools, irrigation machinery and equipment, organic farming, and some types of vehicles (under 
certain conditions), as well as special inputs.  
3.30.  Tourism activities can also benefit from exemptions from import duties and VAT. The Tourism 
Development Act and the Tourism Development Order 2013 provide for customs duty exemptions 
for the import of building materials and a range of furniture and fixtures. The Act also allows hotels 
with a restaurant on the premises to enjoy duty -free importation of stores of food and beverages.  
The authorities indicate that in some cases the concessions may also apply to VAT. No information 
on the procedures for obtaining and granting tariff concessions was made available to the 
Secretariat.  
3.31.  According to informati on provided by the authorities to the Secretariat, revenue forgone due 
to concessions is relatively high. Concessions on non -agricultural goods appear to be particularly 
high, with a strong impact on both the protection and income effects of the tariff. Th is would partly 
explain the large gap between the average applied tariff, and tariffs collected as a share of imports.  
3.1.4   Other charges affecting imports  
3.32.  Barbados applies a VAT on the supply of goods and services by taxable persons in Barbados 
and on the impo rtation of goods. Companies must register with the Barbados Revenue Authority. 
The threshold for VAT registration is an annual turnover of BBD 200,000, but voluntary registration WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 is permitted for persons with lower turnover. On imports, VAT applies on the c.i.f. value of goods 
plus the tariff.  
3.33.  VAT is applied at four different rates : 22%, 17.5%, 10%, and 0% (Table  3.5). The rate of 
22% applies on mobile services of voice, data , and text messaging. The standard rate of 17.5% 
applies on all goods and services unless otherwise specified. The reduced rate of 10% (7.5% before 
January  2020) applies to holiday accommodation. The VAT rate of 0% is charged on supplies of 
exported goods. To qualify as zero -rated supplies, exports must be supported by evidence that 
confirms that the goods have left Barbados. Various medical, educational, transportation , and 
financial services are exempt from VAT.  
Table 3.5 VAT rates, 2022  
 Rate applied  Applied to  
Special rate  22% Mobile services of voice, data , and text messaging  
Standard rate  17.5%  Most goods and services  
Concessional rate  10% Holiday or vacation accommodation  
Zero ratea 0% Exported goods and services; international freight transport 
services; supplies to international commercial ships and aircraft; 
livestock, poultry, bees, and fish used to produce food; prescribed 
goods for exclusive use by the fisheries enterprise in commercial 
fisheries; items under the Drugs Service Act; prescribed medical 
devices; cru de oil; components of package tours except 
international travel; sugar cane sold by farmers to the Barbados 
Agricultural Management Company Ltd.; international cruises; 
electricity; telecommunications services; accounting services; legal 
services; rental o f office space to the international business 
community and to the diplomatic community; service charge 
payable to hotels; and others  
Exempt suppliesb n.a. Financial services; various property -related services; bus and taxi 
passenger transportation; water and sewage services by the 
Barbados Water Authority; various medical and educational 
services; supplies between trade unions; gaming and betting 
services; and others  
Waivers  n.a. Imports of building materials and equipment and supplies for the 
refurbishment of tourism establishments under the Special 
Development Areas Act (see Section  4) 
n.a. Not applicable.  
a For full list of zero -rated supplies, see First Schedule of the VAT Act.  
b For full list of exempt supplies, see the Second Schedule of the VAT Act, Section  10. 
Source:  Barbados Revenue Authority.  
3.34.  Excise taxes apply on five categories of goods: sweetened beverages, motor vehicles, 
spirituous beverages, tobacco products, and petro leum products. Most excisable goods are subject 
to the tax at a specific rate, with the exception of motor vehicles and sweetened beverages, which 
are subject to ad valorem  rates.  
3.35.  Excises taxes are specific for all concerned goods with the exception of swe etened beverages , 
which is applied at a rate  of 10%.  
3.36.  A fuel tax was introduced in July  2018. It is imposed on importations of gasoline and diesel 
at a rate of BBD 0.40 per  litre and kerosene at a rate of BBD 0.50 per  litre. 
3.37.  According to data from the Centr al Bank of Barbados  (CBB) , excise tax collected in 2021 
totalled BBD 212 million  (Section  1). 
3.1.5   Import prohibitions, restrictions, and licensing  
3.38.  The list of prohibited and restricted items is included in the First Schedule to the Customs 
(List of Prohibited and Restricted Imports and Exports) Order, 2009. Import prohibitions apply to 
counterfeit coins , food unfit for human consumption , indecent or obscene articles , infected cattle , 
prepared opium , fictitious stamps , toy guns , fresh fruits and vegetables not a ccompanied by a WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  phytosanitary certificate , ozone -depleting substances (HS Ex 29.03) , and goods banned by any other 
law of Barbados.  
3.39.  The import licensing regime is governed by the Miscellaneous Controls Act , Cap. 329, of 1985, 
the Miscellaneous Controls (General Open Import Licence) Regulations of 2014, and the 
Miscellaneous Controls (Importation and Exportation of Goods) (Prohibition) (Radioactive Materials) 
Regulations , 2004.  The Miscellaneous Controls (General Open Import Licence) Regulations of 2014 
contains two schedules listing goods for which licences must be obtained: the First Schedule applies 
to imports originating outside CARICOM countries, and the Third Schedule applies to goods 
originating within CARICOM (T able 3.6). The authorities indicate that a revised list is under 
elaboration, with 11 -digit product codes. Legislative approval is required in order to remove products 
from, or to add products to, these schedules; the list has been reduced several times du ring the 
period under review: no new products have been added and several products have been removed, 
including a number of oils ( e.g. olive oil  and palm and colza oils) , pasta , biscuits , nuts, doors and 
frames , paper , bars and rods , accumulators , powdered  laundry detergent , dishwashing liquids , and 
liquid bleaches.  
Table 3.6 Imports requiring a licence under the Miscellaneous Controls (General Open 
Import Licence) Regulations of 2014  
Tariff 
heading 
no. Description of goods  1st schedule 
(non -CARICOM imports) 
or 3rd schedule 
(CARICOM imports)  
01.05  Live poultry  1st 
02.01  Meat of bovine animals, fresh or chilled  1st 
02.02  Meat of bovine animals, frozen  1st 
02.03  Meat of swine, fresh, chilled or frozen  1st 
02.04  Meat of sheep or goats, fresh, chilled or frozen  1st 
Ex. 02.07  Meat of poultry of Heading No.  01.05 fresh, chilled or frozen  1st 
0210.101  Ham 1st 
0210.102  Bacon  1st 
03.02  Fish, fresh or chilled, excluding fish fillets and other fish meat of heading 
No. 03.04  1st 
03.03  Fish frozen, excluding fish fillets and other fish meat of heading No.  03.04 1st 
0303.75  Dog fish and other sharks  3rd 
0303.793  Flying fish  3rd 
0303.799  Other fish frozen  3rd 
03.04  Fish fillets and other fish meat, fresh, chilled or frozen  1st; 3rd  
04.01  Milk and cream, not concentrated or containing added sugar or other 
sweetening matter  1st; 3rd  
04.02  Milk and cream concentrated or containing added sugar or other sweetening 
matter  1st; 3rd  
Ex. 04.07  Birds' eggs in shell, fresh, excluding hatching eggs  1st 
0702.00  Tomatoes, fresh or chilled  1st; 3rd  
0703.101  Onions, fresh or chilled  1st 
0703.102  Shallots (e schalots) fresh or chilled  1st 
07.04  Cabbages, cauliflowers, kohlrabi, kale and similar edible brassicas, fresh or 
chilled  1st 
0704.901  Cabbages fresh or chilled  3rd 
07.05  Lettuce and chicory, fresh or chilled  1st 
07.06  Carrots and turnips, beetroots, salsify, celeriac, radishes and similar edible 
roots, fresh or chilled  1st 
07.07  Cucumbers and gherkins, fresh or chilled  1st 
0707.001  Cucumbers fresh or chilled  3rd 
07.08  Leguminous vegetables, shelled or unshelled, fresh or chilled  1st 
07.09  Other vegetables, fresh or chilled  1st 
0709.903  Pumpkins fresh or chilled  3rd 
07.10  Vegetables, uncooked or cooked, frozen  1st 
0714.20  Sweet potatoes  1st 
Ex 08.07  Melons (including watermelons) and paw paws (papayas) fresh  1st; 3rd  
1501.101  Lard 1st 
15.07  Soyabean oil and its fractions, whether or not refined but not chemically 
modified  1st; 3rd  
16.01  Sausages and similar products of meat, meat offal or blood, food preparations 
based on these products  1st 
16.02  Other prepared or preserved meats, meat offal or blood (excluding corned beef)  1st 
Ex 17.01  Beet sugar and cane sugar in solid form  1st 
20.07  Jams, jellies, marmalades, fruit puree and fruit paste  1st WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Tariff 
heading 
no. Description of goods  1st schedule 
(non -CARICOM imports) 
or 3rd schedule 
(CARICOM imports)  
Ex 20.09  Orange juice, grapefruit juice, pineapple juice and apple juice  1st 
2009.11  Orange juice frozen  3rd 
2103.201  Tomato ketchup  1st; 3rd 
2105.001  Ice cream  1st; 3rd  
22.02  Waters, including mineral waters and aerated waters, containing added sugar or 
other sweetening matter or flavoured and other non -alcoholic beverages  1st 
2202.101  Aerated beverages  3rd 
2202.109  Other flavoured water  3rd 
2202.909  Other beverages  3rd 
22.03  Beer made from malt  1st 
2203.001  Beer 3rd 
2203.002  Stout  3rd 
Ex 22.06  Shandy  1st 
Ex 36.04  Fireworksa 1st; 3rd  
Ex 38.23  "Chemshield"  1st; 3rd  
Ex 38.23  "Mace" and similar productsa 1st; 3rd  
Ex 39.26  Handcuffs of plastica 1st; 3rd  
Ex 61.09  T-shirts  1st; 3rd  
Ex 73.26  Handcuffs of iron or steela 1st; 3rd  
Ex 82.11  Ratchet knives, spring -loaded knives including flick knivesa 1st; 3rd  
87.02  Public transport type passenger motor vehicles  1st 
87.03  Motor cars and other vehicles principally designed for the transport of persons 
(other than those of heading No.  87.02), including station wagons and racing 
cars 1st 
Ex 89.01  Hovercraft  1st; 3rd  
Ex 89.03  Yachts and other vessels for pleasure or sports  1st 
9803.99  Jet skis; wave runners and similar vesselsa 3rd 
9403.201  Other metal furniture used in schools, churches and laboratories  1st; 3rd  
Ex 95.04  Coin-operated amusement machines  1st; 3rd  
Ex 95.04  Equipment and accessories for gambling or parlour games (excluding gaming 
machines) for example blackjack tables, table counters, hand counters, roulette 
wheels, dice, dice boxes, croupier's rakes etc.  1st; 3rd  
a Non-automatic licensing.  
Source:  Miscellaneous Controls (General Open Import Licence) Regulations, 2014, C ap. 329. 
3.40.  The authorities stated that the different application of automatic licensing to CARICOM and 
non-CARICOM countries reflects different monitoring requirements. Licences are non -automatic for 
imports where concerns relate to health and safety , public morals and security, namely: fireworks; 
chemshield; mace; handcuf fs (of plastic or metal); ratchet and spring -loaded knives; radioactive 
materials; and jet skis and wave runners. For other products subject to licensing, licences are 
automatic.  
3.41.  The authorities note that the import licensing system is applied for monitori ng, security, 
health, and environmental purposes , as well as protection of public morals, and that there are no 
quantitative restrictions. Licences are considered on a case -by-case basis. Import authorization for 
applications must be granted in advance of importation. Licences are processed within one to two 
working days (down from three to five working days in 2015), but can be granted within a shorter 
time-limit. Applications for goods that arrive owing to inadvertency may be facilitated depending on 
the particular circumstance. A licence can be granted immediately on request depending on the 
circumstance and /or the type of good. There are no periodic limits with regard to the time of year 
during which an import licence application may be submitted for authorization or a good may be 
imported. The authorities state  that the legislation does not generally leave the designation of 
products subject to automatic licensing to administrative discretion. Non -automatic licences are 
subjected to admi nistrative discretion.  
3.42.  In some cases, and depending on the type of imported good, the consideration of import 
licence applications is effected  by a number of administrative bodies. Applications for meat and meat 
products must be reviewed by the Veterinary Services of the Ministry of Agriculture and Food and 
Nutritional Security  before issuance by the Ministry of Energy and Business  Development . WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  3.43.  An application for an import licence is normally granted if it meets ordinary criteria. In the 
event of refusal to  issue a licence , the applicant will be informed of the reasons for the refusal. 
Applicants have the right to appeal to the Director of the Department of Commerce and Consumer 
Affairs, the Permanent Secretary, or the Minister. Applicants are also entitled to request the 
Barbados Chamber of Commerce and Industry and /or the Barbados Manufacturers Association to 
mediate on their behalf; they may also seek redress in Civil Court. No licences have been refused 
since 2015.  
3.44.  Import licences are valid for a period o f up to three months, and can be extended without the 
issuance of a new licence. There are no penalties for the non -utilization of an import licence. Import 
licences are not transferable between importers. There are no administrative charges levied and no 
additional documentary requirements.  
3.45.  Under the Miscellaneous Controls (Importation and Exportation of Goods) (Prohibition) 
(Radioactive Materials) Regulations, 2004 (LRO 2005 C12) , a licence is required to import radioactive 
chemical elements and radioacti ve isotopes (including the fissile or fertile chemical elements and 
isotopes) and their compounds, as well as mixtures and residues containing these products. Import 
licences are also imposed under SPS -related legislation (see below).  
3.46.  Since 2019, import li cence applications and related documentation have been submitted and 
processed through the ASYCUDA World customs portal. There is no licensing fee or administrative 
charge, nor is there any deposit or advanced payment associated with the issuance of the im port 
licence. Licences are not required as a condition to obtain foreign exchange for goods to be imported.  
3.47.  Special requirements apply for the importation of certain products. The importation of dairy 
products and meat and meat products requires approval o f the source country by the Veterinary 
Services  department ; this stamp must be affixed to the import licence verifying that the source is 
an approved one. For the importation of fireworks, handcuffs, chemshield, mace , and similar 
products, a letter from th e Defence and Security Division of the Prime Minister 's Office granting 
approval to import must be provided. The importation of used or reconditioned vehicles by dealers 
is also subject to specific rules. To be granted a licence, vehicles must be right -hand drive, not more 
than four years old, with less than 50,000  km, structurally and mechanically sound , and in generally 
good condition.5 Additionally, a guarantee for at least six months or 6,000  km must accompany each 
imported vehicle. The vehicle must al so be accompanied by a certificate of roadworthiness from an 
authorized agent in the country of origin and it must be fitted with new tyres.  
3.48.  Commercial importers of meat and animal products must pay an annual fee of BBD 500. 
Non-commercial importers of ani mals and animal products must pay a fee of BBD 25 per 
consignment (BBD  5 for beneficial insects).  
3.49.  For the importation of jet skis or wave runners, licences are only granted for replacements, 
as their overall number is capped. A letter of application and a certificate of registration or a permit 
for operating the jet  ski or wave runner must be provided.  
3.1.6   Anti-dumping, countervailing, and safeguard measures  
3.50.  Barbados' legislation on anti -dumping (AD) and countervailing (CV) duties, the Customs 
Duties (Dumping and Subsidies) Act of 1  March  1959, Cap. 67, has remained unchanged since it 
was notified to the WTO in 1995.6 The Act defines dumping and subsidy, and provides for the 
application of duties. However, since it predates the Uruguay Round, it does not fully allow the 
implementation of the Anti -Dumping Agreement and the Agreement on Subsidies and Countervailing 
Measures. Also, although the Act allows the Ministry in charge of trade to apply duties, there is no 
competent authority to initiate and conduct an investigation, and, thus, no AD or CV measures were 
applied during the period u nder review.  
3.51.  Articles  125 to 133 of the Revised CARICOM Treaty provide the legal basis for adopting 
AD measures, but only against imports from other CARICOM member States. A model CARICOM AD 
 
5 Excepti ons to the four -year and 50,000  km maximum criteria are imports from returning nationals and 
people holding valid work permits, provided that they have owned the vehicle for at least four years prior to its 
importation. Also, the importation of vintage veh icles is allowed.  
6 WTO document G/ADP/N/1/BRB/1, 30  October  1995.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 and CV measures law has been considered for a number of years and  was expected to be completed 
by 2015.  
3.52.  As notified to the WTO, Barbados does not have any national safeguards legislation and, 
accordingly, has never applied any safeguard measures.7 Barbados reserved the right to invoke the 
agricultural special safeguard s mechanism in the Uruguay Round. The provision was last invoked 
in 2019 (Section  4.1). 
3.2  Measures Directly Affecting Exports  
3.2.1   Customs procedures and requirements  
3.53.  Exportation of goods from Barbados generally requires the following documents: a customs 
declara tion form, a commercial invoice, a certificate of origin for preferential exports, a bill of lading, 
and a shipping instruction form. The requirement to submit a Central Bank Exchange Control Form 
was abandoned in 2019. Barbados has used ASYCUDA World for customs clearance since 2019; all 
documents can be submitted electronically. A documentary fee of BBD 10 applies for each 
consignment.  
3.54.  For exports, Customs uses a risk assessment system composed of three lanes: green, yellow , 
and red. For exports classifie d under the green lane, documentation processing is carried out online. 
For exports designated as belonging in the yellow or red lanes, all relevant documents must be 
presented at the Entry Processing Office of the port at which the goods are being shipped . Yellow 
lane procedures require document inspection only, while red lane procedures require document and 
physical inspection. Red lane procedures apply mainly to high -value goods such as rum. Exported 
goods may also be subject to physical examination when  there is a VAT refund.  
3.55.  Special conditions apply for the exportation of goods benefiting from regimes such as 
ex-warehouse, transhipment, and temporary admission. In these cases, a bond must be deposited 
with the Customs and Excise Department, which may al so examine the goods to be exported to 
verify quantities, descriptions, and values.  
3.56.  For exports under preferential conditions, certificates of origin are required. Export Barbados 
is the certifying authority for all trade agreements8 and unilateral arrang ements9 except for exports 
under the Economic Partnership Agreements with the E uropean  Union and the U nited Kingdom,  
which are certified by the Customs and Excise Department. Certificates issued by Export Barbados 
cost BBD 17.50 per consignment ( BBD 3.50 for exports under the Caribbean Basin Initiative (CBI)); 
certificates issues by Customs are free of cost.  
3.57.  The exportation of live animals requires a sanitary certificate from the Veterinary Office of the 
Ministry of Agriculture and Food and Nutritional Sec urity. The Veterinary Office also issues Veterinary 
Export Health Certificates for the exportation of fresh and processed foods of animal origin, if 
required by the recipient country. Prior to this, the exporter must obtain a certificate of 
wholesomeness f rom the Ministry of Health and Wellness. T his certificate is verified by Customs at 
the moment of exportation.  
3.2.2   Export taxes, charges, and levies  
3.58.  A levy is charged on cotton exports at BBD 0.17 per pound. The levy was introduced in 1935 
by the Cotton Export  Levy Act, last amended in 1948. Its proceeds are directed to the Barbados 
Cotton Growers Association (Chapter  4.1). The authorities indicate that  the proceeds of the tax are 
allocated "towards supporting the funding of research and development in the cotton industry". 
There are no plans at this time to abolish the levy. No information was available on annual proceeds.  
 
7 WTO document G/SG/N/1/BRB/1, 26  October  2004.  
8 CARICOM and CARICOM's agreements with Colombia, Costa  Rica, Cuba, the Dominican  Republic , and 
the Bolivarian Republic of Venezuela.  
9 The United  States ' Caribbean Basin Initiative, Canada's CARIBCAN, and Barbados' exports under the 
GSP. WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  3.2.3   Export prohibitions, restrictions, and licensing  
3.59.  Barbados applies various export prohibitions and restrictions, which are included in th e List 
of Prohibited and Restricted Exports of the Customs Act, as amended by the Customs (List of 
Prohibited and Restricted Imports and Exports) Order, 2009 (S tatutory Instrument (S .I.) 2009 
No. 127) and the Customs (List of Prohibited and Restricted Impo rts and Exports) (Amendment) 
Order, 2010 (S.I. 2010 No.  114). 
3.60.  Prohibited goods are listed in part  I of the Second Schedule of the Customs Act. They include 
substances or chemicals listed under HS heading Ex  29.03, namely halons and other ozone -depleting 
substances.  
3.61.  Goods listed in part II of the Second Schedule are restricted exports ; they include other 
ozone -depleting substances under HS heading Ex  29.03, as well as substances or chemicals under 
tariff heading Ex  38.24, mainly refrigerant blends capable of  depleting the ozone layer.  
3.62.  All animals and animal products must be accompanied by a health certificate when exported. 
Furthermore, goods listed in the Third Schedule of the Miscellaneous Controls Act, 1985 could, in 
principle, be subject to export licence s. The goods listed include tortoiseshell, sugar cane plants, 
various vegetables, rice, flour, peanuts, pasta, Portland cement, crude and other than crude 
petroleum oils, soap, sewing machines, certain furniture, and coin -operated betting machines. 
However , the exportation of most of these products is not restricted and the number of products 
subject to export restrictions is in practice more limited, mostly for public morals and safety reasons.  
3.63.  In practice, the following items are restricted for public mor als and safety reasons, and hence 
their exportation requires a licence: fireworks (HS Ex  36.04); chemshield (Ex  38.23); "mace" and  
similar products (Ex  38.23); handcuffs of plastic (Ex  39.26); handcuffs of iron or steel (Ex  73.26); 
ratchet knives, spring -loaded knives; flick knives (Ex  82.11); and jet skis/wave runners (Ex  89.03).  
3.64.  Other products requiring an export licence include black coral, tortoiseshell (S .I. 2004 No.  2); 
and radioactive chemical elements (S.I. 2004 No.  158). These restrictions are gene rally maintained 
for the implementation of international agreements. Export licences are obtained from the Director 
of Commerce in the Ministry of Industry, Innovation, Science and Technology. These licences are 
not automatic and apply irrespective of dest ination.  
3.2.4   Export support and promotion  
3.65.  Tax-funded Export Barbados is the Government's export promotion agency. Its objective is 
to contribute to the diversification and growth of Barbados' economy; it  had 78 staff as at May  2022. 
It is governed by Chapter  340 of the Laws of Barbados; according to the Act , its functions are to 
advise on, promote , and facilitate the development of exports.  
3.66.  In 2021, against the background of a debilitating hit from the C OVID -19 pandemic, Export 
Barbados also developed a new export strategy centring  around the bioeconomy, the ocean 
economy, and the design economy. A tiered system for export promotion was introduced; companies 
are assigned to one of five tiers based on their export values in 2020. As at June  2022, 
154 companies had received services f rom Export Barbados. Services offered by the Barbados 
Investment Development Corporation (BIDC) include trade advisory services, training, capacity 
building, rental of industrial estates , and certification. Fees are applicable only for certification 
servic es. Property rental rates vary by location.  
3.67.  Export Barbados also rents out 66 industrial buildings, 8 craft shop buildings (with a total 
of 27 craft shops), and 1 restaurant, with a total building space of some 1.5  million  square feet. It 
also rents out 13 estate sites designated for industrial development.  
3.68.  Barbados does not have any export processing zones.  
3.69.  Caribbean Export, established in 1996, is the trade promotion agency of CARIFORUM. It 
assists businesses with export potential or helps those that are already exporting to increase their 
capacity and competitiveness.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 3.2.5   Export finance, insurance, and guarantees  
3.70.  Export credit is provided by commercial banks. An export financing scheme operated by 
the CBB has been non -operational since 1992.  
3.71.  Until 2019, the C BB operated an export credit guarantee scheme for manufactured goods, 
which covered up to 75% of the amounts paid in advance of an export. Commercial and political 
credit risks after shipment were insured up to 90 % of gross invoice value. The scheme, estab lished 
in 1978, offered both pre -shipment and post -shipment coverage. Foreign -owned companies were 
eligible to participate in the scheme.  
3.72.  The BIDC is seeking to establish an Export Credit Agency. The authorities indicate that plans 
are still at an embryoni c stage.  
3.3  Measures Affecting Production and Trade  
3.3.1   Incentives  
3.73.  Operational until January  2022, the Special Technical Assistance (STA) Fund and the Technical 
Assistance (TA) Fund, both financed by the Government and managed by the BIDC, had the objective 
to en hance the competitiveness of local manufacturers, service providers , and small businesses 
through the provision of grants. Activities funded under the STA Fund included training and 
productivity enhancement, marketing, operational redesign, product develop ment, and international 
standards certification. To be eligible, non -exporting companies had to be 100% Barbadian owned, 
while exporting companies had to have a minimum of 51% Barbadian ownership. The maximum 
grant was BBD 100,000. The TA Fund was specific ally geared to micro, small , and medium -sized 
enterprises (MSMEs) and provides grants of up to BBD 25,000.  
3.3.2   Standards and other technical requirements  
3.74.  The development of technical regulations and standards in Barbados is the responsibility of 
the Barbados N ational Standards Institution (BNSI). The BNSI is a joint undertaking between the 
Government and the private sector, which was established in 1973 under the Companies Act and 
incorporated by private law as a non -profit organization. The BNSI oversees produ ct standards 
development, metrology, conformity assessment , and certification activities in Barbados.  
3.75.  Since September  2019, the BNSI has been governed by a 13-member board of directors 
responsible for making policy decisions, comprising representatives fro m the G overnment as well as 
NGOs and national trade, industrial , and professional associations. The Board replaces the previous 
General Council of BNSI, which was found to have a cumbersome structure. The new Board reports 
to the Minister of Energy and Business  Development . 
3.76.  The primary functions of the BNSI include: (i) the drafting and implementation of standards 
and technical regulations; (ii) the promotion of standardization, quality assurance , and simplification 
in industry and commerce; (iii) the certification of products, commodities , and processes; and 
(iv) confo rmity assessment and metrology activities. The BNSI is Barbados'  enquiry point for all 
TBT-related matters.10 
3.77.  The BNSI has been a full member of ISO since 1999. It is also a member of the Pan -American 
Standards Commission (COPANT), the CARICOM Regional Org anisation for Standards and Quality 
(CROSQ) , and the Interamerican Metrology System (SIM). It is also a member of the IEC Affiliate 
Country Programme, and a correspondent member of the International Organization of Legal 
Metrology (OIML). The BNSI is the N ational Contact Point for Codex Alimentarius matters, as well 
as the Standards Enquiry Point for Barbados.  
3.78.  In addition to the BNSI, two other organizations are charged by law with standards -related 
issues. The Technical, Vocational, and Educational Trainin g Institute (TVET) prepares guidelines for 
vocational training institutions, and provides competence -based certification (National Vocational 
Qualifications (NVQs) and Caribbean Vocational Qualifications (CVQs) ). The BNSI participates in the 
 
10 WTO document G/TBT/ENQ/30, 22  June 2007.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  approval of th ese standards: its Director chairs the TVET Standards Approval Committee. The Fair 
Trading  Commission (FTC) develops and evaluates standards for public utilities. The BNSI does not 
participate in the FTC's standards development process.  
3.79.  Barbados notified i n 1997 its acceptance of the Code of Good Practice for the preparation, 
adoption, and application of standards.11 Barbados has not notified any mutual recognition 
agreements with third countries.  
3.80.  The main legislation with respect to standards and technical  regulations includes the 
Standards Act , 2006, Cap. 326A; the Weights and Measures Act, 1977 , Cap. 331, and its Regulations 
(1985); the Control of Standards Regulations (1982); and the Barbados National Standards 
Institution (Certification Marks) Regulatio ns. The latter two regulations remain in force until replaced 
by new regulations made under the Standards Act. The authorities indicate that they are applied 
when they do not contradict the provisions of the Standards Act. The Government has agreed to 
repeal the Weights and Measures Act , Cap. 331, with a comprehensive Metrology Act. A Barbados 
National Metrology Act 2022 has been drafted to provide the legal structure for the administration 
of metrology; adoption is expected for the remainder of 2022. The G overnment is also committed 
to the implementation of a National Quality Policy and to use the application of the National Quality 
Infrastructure.  
3.81.  Barbados National Standards are prepared by the BNSI; this may include the adoption of 
standards established b y the CROSQ and by other standards bodies. The development of a standard 
may take place at the request of an interested party, or may be self -initiated by the BNSI. Barbados 
must adopt all standards formulated at the CARICOM level, while in the case of oth er international 
standards, adoption depends on their nature. Once formulated, the title of the national standard 
must be published in the Official Gazette  and in a daily newspaper. Barbados National Standards are 
published in the Standards Catalogue.  
3.82.  The BNSI maintains an annual standards development agenda. Standards, including those 
under development , are publici zed in the BNSI catalogue and circulated on the BNSI website. The 
areas currently considered include the development of standards for touris m, services, construction, 
energy, food, and safety in relation to the C OVID -19 pandemic. The harmonization of regional 
standards is also an objective.  
3.83.  The procedures to adopt technical regulations are contained in the Standards Act (Part  V). In 
accordance  with the Act, the Minister of Commerce has the faculty to declare a BNSI standard 
compulsory, that is, to turn it into a technical regulation. A standard may be declared compulsory 
for human health or safety reasons; to protect plant and animal health and  life; to ensure quality; 
to protect the economy of Barbados; to prevent fraud or deception; to provide adequate information 
to the consumer; to safeguard the public interest; and to safeguard the national security of 
Barbados. Procedures for the adoption of technical regulations include the publication of a notice in 
the Official  Gazette and in a daily national newspaper, and the granting of a period of at least 60  days 
from the publication of the notice for comments. The notice must also specify the inten ded date of 
effect for the technical regulation. The notice does not contain the full text of the proposed 
regulation. The title of the regulation, but not the full text, is published in a daily newspaper. A list 
of the titles of the technical regulations is also published in the Standards Catalogue . 
3.84.  As at July  2022, a total of 44 technical regulations were in force, the same number as in 
November  2014.12 They relate to food, labelling, health, public safety, and environmental protection. 
There are 160 BNSI Specifications, 75 adopted CARICOM standards, 80 ISO adoptions, and 20 BNSI 
Building Codes . 
3.85.  In October  2021, Barbados submitted its 10th notification t o the TBT Committee, concerning 
test standards for electrical lamps.13 Between 2003 and 2006, Barbados notified nine draft technical 
regulations, mostly related to food.14 No technical regulations were notified to the WTO as urgent 
 
11 WTO document G/TBT/CS/N/77 , 2 September  1997.  
12 BNSI 2022 Standards Cata logue.  
13 WTO document G/TBT/N/BRB/10, 19  October  2021.  
14 The technical regulations notified to the TBT Committee were: (i)  requirements for brewery products; 
(ii) grading requirements for certain types of rice; (iii)  requirements for pre -packaged eggs; (iv ) requirements 
for safety matches; (v)  requirements for match splinters; (vi)  requirements for rum; (vii) labelling WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 measures. No technical r egulations from trading partners have to date been recognized as 
equivalent. No specific trade concerns were raised against Barbados' TBT measures during the period 
under review.  
3.86.  The Department of Commerce and Consumer Affairs of the Ministry of Energy and  Business 
Development is responsible for enforcing technical regulations and verifying compliance with them. 
Under the Standards Act 2006, the BNSI is responsible for conformity assessment procedures for 
products, commodities, processes, services, and qual ity systems in Barbados. The BNSI also has 
responsibility for publishing certification marks , maintaining testing laboratories , and granting 
licences to use a standard mark. The fees charged for conformity assessments are applied equally 
to imported and do mestically  produced products. Inspections may be carried out either at the border 
(for imported goods) or within Barbados by Trading Standards Officers. In general terms, guides 
and recommendations issued by international standards -setting bodies are used for national 
conformity assessment procedures. However, no mutual recognition agreements for conformity 
assessment have been signed with specific foreign bodies. The authorities note that in most cases 
third-party assessments are recognized. However, the a uthorities may still check for conformity in 
cases where they believe it is necessary.  
3.87.  Certification is based upon type -testing. The BNSI has the authority to certify products and 
processes and to issue certification marks for which a Barbados National Sta ndard exists. As at 
June 2022, the BNSI had 164 applications for certification.  As with conformity assessment, the BNSI 
in practice resorts mostly to third -party certification. Marks from reputable institutions are generally 
accepted; in other cases, verif ication may take place. The firm interested in having a mark accepted 
must submit the mark and relevant details to the BNSI for assessment. If the applicant wishes to 
obtain a BNSI mark, the procedures for product certification require the submission by th e interested 
party of an application and a non -refundable application fee of BBD 50 to the BNSI. The BNSI then 
conducts a preliminary inspection of the manufacturing facility to assess the testing facilities and the 
quality assurance procedures for the man ufacturing process. Also, testing samples are taken to 
ascertain conformity to a standard 's specifications. A report of the preliminary inspection is then 
issued and a testing and inspection schedule is prepared. The costs of testing and inspection are 
borne by the applicant. Once these procedures are completed, a licence to use the BNSI mark can 
be issued. Licences are valid for one year and must be renewed annually; there is a BBD 100 annual 
licence fee. An application along with a BBD 20 application fee must be submitted in order to renew 
the mark.  
3.88.  There are currently no laboratory -accrediting organizations in Barbados. The BNSI functions 
as the country 's National Accreditation Focal Point (NAFP), where accreditation requests are 
facilitated and processed through the Caribbean Cooperation for Accreditation (CCA).  
3.89.  Barbados, through the  Ministry of Energy and Business Development , implements the 
CARICOM Rapid Alert System for the Exchange of Information on Dangerous Non -Food Consumer 
Goods (CARREX).  CARREX functions as a rapid information exchange mechanism between members 
and the CARICOM Secretariat, on preventive and restrictive measures taken by the members on 
consumer products found on the market that pose a serious risk to the health and safety of 
consumers. Consumers may lodge a complaint on the CARREX website.15 
3.3.3   Sanitary and phytosanitary requirements  
3.90.  The main institutions in the area of SPS measures in Barbados are the BNSI within the Ministry 
of Industry, Innovation, Science and Technology. It is also in charge of reviewing the existing 
legislation to ensure coherence with international agreements, standards , and codes of practice.  
3.91.  Barbados' main SPS -related legislation comprises the Animals (Diseases and Importation) 
Act, Cap . 253; the Animal s (Diseases and Importation Control) Regulations, 1961 ; the Plant 
Protection Act (No.  53, 2007) ; and the Food Safety Regulations under the Health Services Act.16 
 
requirements for pre -packaged meat and poultry parts/cuts, and fish and fishery products; (viii)  requirements 
for carbonated beverages; and (ix) labelling requirements (WTO documents G/TBT/N/BRB/1 -9). 
15 CARREX. Viewed at: https://carrex.caricom.org/ .  
16 Subsidiary legislation to the Animals (Diseases and Importation) Act include the  (Anthrax) 
Regulations, 1951; the (Epizootic Abortion) Regulations, 1951; the (Rabies) Regulations, 1951; the (Swine WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  3.92.  Licensing requirements apply to many agricultural imports . All animals are subject to 
quaranti ne when imported.  
3.93.  Currently, a national consultation is in progress , seeking to update and harmonize the key 
pieces of legislation governing the SPS regime, namely: the Draft Plant Protection Bill, 2021; the 
Draft Animal Health and Veterinary Public Health  Bill, 2021; and the Draft Food Safety and Quality 
Bill, 2021.  
3.94.  Fees are charged for SPS certificates required for the exportation of various animals and 
animal products : BBD 25 for each consignment of meat or meat products; BBD 5 per batch of 
poultry; BBD 50 per horse, donkey , or mule; BBD 30 per cat or dog; BBD 30 for a batch of three or 
fewer  caged birds; BBD 35 for a batch of four or more caged birds; and BBD 35 for other animals. 
Since the last Review, three emergency measures have been notified by Barb ados, all in 2015 
concerning the importation of live birds.17 
3.95.  No specific trade concern has been raised against Barbados' SPS measures during the period 
under review. A specific trade concern raised in 2004, concerning the importation of citrus fruits, 
was declared as resolved in 2020.18 
3.3.4   Competition policy, consumer protection and price controls  
3.96.  The authorities recognize low levels of competition and a generally high incidence of 
monopolistic and oligopolistic behaviour in their domestic market.  
3.97.  The F TC, established in January  2001, is tasked with safeguard ing the interests of consumers, 
regulate utility services supplied by providers, monitor ing and investigat ing the conduct of service 
providers and business enterprises, and promot ing and maintain ing effective competition in the 
economy. The laws enforced by the Commission are the Fair Trading Commission Act, C ap. 326B; 
the Fair Competition Act, C ap. 326C; the Consumer Protection Act, C ap. 326D; the Utilities 
Regulation Act, C ap. 282; and certain provision s of the Telecommunications Act, C ap. 282B, the 
Barbados Water Authority Act, C ap. 274A, and the Electric Light and Power Act, C ap. 278. 
3.98.  Under the Fair Competition Act, C ap. 326C, the FTC is tasked with prohibit ing the prevention, 
restriction , or distortio n of competition and the abuse of dominant positions in Barbados and within 
the CARICOM market. During the period under review, t he FTC responded to a number of allegations 
of anti -competitive conduct. The ensuing investigations centred on allegations of r efusal to supply, 
price squeez ing, excessive pricing, and an abuse of dominance. These matters occurred across 
various sectors including petroleum, financial services, agriculture, telecommunications, distribution , 
and manufacturing. Many of the investigat ions were resolved without adjudication.  
3.99.  During the period under review, the FTC also examined 19 mergers, in the petrochemical, 
telecommunications, automotive, financial services, hospitality, and manufacturing sectors. The FTC 
also conducted a number of inquiries to determine whether the merging parties were required by 
law to submit an application for permission to merge. These inquiries were related to financial 
services, manufacturing, and professional services.  
3.100.   The CARICOM Competition Commission, esta blished in 2008 and headquartered in 
Suriname, has the objective of promot ing and protect ing competition at the regional level. In 
particular, it shall apply the rules of competition in respect of anti -competitive cross -border business 
conduct. It may, in respect of cross -border transactions or transactions with cross -border effects, 
monitor, investigate, detect, make determinations , or take action to inhibit and penali ze enterprises 
whose business conduct prejudices trade or prevents, restricts , or distorts competition within the 
 
Fever) Regulations, 1951; the (Foot and Mouth Disease) Regulations, 1952; the (Diseases and Importation 
Control) Regulations, 1961; the Dis eases of Poultry Regulations, 1949 ; the Infectious Keratitis Regulations, 
1958; the Equine Encephalomyelitis Regulations, 1962; the Bovine Tuberculosis (Eradication) Regulations, 
1968; the Bovine Brucellosis or Contagious Abortion (Eradication) Regulations , 1968; the Animals (Diseases 
and Importation) (Amblyomma Variegatum, Heartwater and Dermatophilosis) (Prevention and Control) 
Regulations, 1994; and the Animals (Diseases and Importation) (Slaughter Fees) Regulations,  1999.  
17 WTO documents G/SPS/N/BRB/3 -5, 8 April 2015.  
18 WTO documents G/SPS/R/35, 13 January  2005; G/SPS/R/35/Corr.1 , 21 January  2005; and 
G/SPS/R/35/Corr.2 , 2 February  2005. WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 63 - 
 
 CARICOM market. The CARICOM Competition Commission cooperates with the FTC in the areas of 
policy development, capacity building , and monitoring of markets. However, it did not handle any 
cases in Barbados during the per iod under review.  
3.101.   The Consumer Protection Act , Cap. 326D of 2003 has the purpose of safeguard ing the rights 
of consumers in areas such as unfair trade practices, unfair contract terms , and misleading and 
deceptive conduct. Officers of the FTC deal with aro und 1,000 annual consumer complaints and carry 
out some 130 annual unannounced store visits to verify compliance with the law. The FTC also 
provides public education awareness, investigate s consumer complaints , and seek s amicable 
resolutions where possible . 
3.102.   The Ministry of Energy and Business Development is i n the process of establishing a National 
Consumer Protection framework, which the authorities expect to be finalized at end -2022.  
3.103.   As at July  2022, price controls apply to various refined petroleum goods (diesel fuel, 
gasoline, kerosene, and liquefied petroleum gas). Prices are set at both the wholesale and retail 
levels, in line with the Control of Price (General) Regulation 1983 (S.I. 1983 No.  29) and 
administered by the Department of Com merce and Consumer Affairs in the MESBE. Prices are set 
based on import costs plus a mark -up. 
3.104.   Utility prices for consumers and companies are regulated by the FTC; tariff increases require 
its approval. Prices regulated by the FTC also include feed -in tarif fs for small (below 1  MW) and 
medium -sized (between 1  MW and 10  MW) producers of renewable energy.  
3.3.5   State trading, state -owned enterprises, and privatization  
3.105.   In 2016 and 2018, Barbados submitted notifications to the WTO with respect to its state 
trading ent erprises.19 The notifications identify the  Barbados Agricultural Development and 
Marketing Corporation (BADMC) as Barbados' only state  trading enterprise for the years 2008 -15. 
The BADMC is a statutory corporation established in 1993 through the Barbados A gricultural 
Development and Marketing Act 1993 -12, to ensure the development of the local agricultural sector 
through innovative technological applications  and technical and marketing research, and to create 
opportunities for investment that engenders ente rprise, food security , and prosperity in the 
agricultural sector. The BADMC also provides support services to the non -sugar agricultural sector, 
collects data, and provides irrigation services to small farmers.  
3.106.   In 2015, the last year for which figures were  provided, the BADMC engaged in the 
importation of chicken meat, turkey meat, and onions. Only the BADMC has the right to import these 
goods duty -free. During the reporting periods, the BADMC did not engage in exports.  
3.107.   As at mid -2022, there were 54 state-owned enterprises, of which 33 are classified as 
commercial SOEs, while the remaining 21 have public service and regulatory objectives and are 
classified as non -commercial SOEs (Table  3.7). 
Table 3.7 State-owned enterprises, 2022  
Company  Activities  Annual 
turnover or 
budget  
(BBD million ) Net 
profit/(loss)  
(BBD million)  
COMMERCIAL     
Barbados Agency for Micro 
Enterprise Development Ltd  Financing of  MSMEs  2.37 (1.4) 
Barbados Agricultural 
Development and Marketing 
Corporation  Development of non -sugar agriculture  20.60  (4.1) 
Barbados Agricultural 
Management Corporation  Assisting agricultural businesses  18.40  (18.3)  
Barbados Agricultural Credit Trust  Management of debt of Barbados Sugar 
Industry Limited and certain heavily 
indebted plantations  0.54 (0.4) 
Barbados Conference Services Ltd  Management of Lloyd Erskine Sandiford 
Centre and event management services  6.85 (3.1) 
 
19 WTO documents G/STR/N/13 -15/BRB, 14  April 2016; and G/STR/N/16/BRB, 17  April 2018.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  Company  Activities  Annual 
turnover or 
budget  
(BBD million ) Net 
profit/(loss)  
(BBD million)  
Barbados National Oil Co. Ltd/  
Barbados National Terminal 
Limited  Economic exploration and production of 
hydrocarbons  466.22  (18.1)  
Barbados Port Inc . Port services  103.24  18.4  
Barbados Tourism Marketing Inc . Tourism development  48.35  8.3  
Barbados Tourism Investment 
Inc. Development of tourism -related properties  3.73 (0.0) 
Barbados Water Authority  Water supply and of wastewater treatment  154.53  (19.6)  
Barbados Revenue Authority  Collection of tax revenue and tax 
administration  36.54  7.1  
Caribbean Aircraft Handling Co. 
Ltd Airport ground handling and security 
services  9.34 (3.2) 
Caribbean International Airways 
Ltd Operation of VIP Meet and Greet service 
at the airport; holding of investment in 
Caribbean Aircraft Handling  1.13 0.3  
Caves of Barbados Ltd  Ownership of rights for operation of 
Harrison's Cave  5.92 3.1  
Caribbean Broadcasting 
Corporation  Public radio, television , and cable TV 
broadcaster  22.05  (10.5)  
Enterprise Growth Fund Limited  SME financing  4.44 1.6  
Grantley Adams International 
Airport Inc.  Airport management  41.74  (24.9)  
Home Ownership Providing 
Energy (HOPE) Inc . Provision of low -income housing  0.00 (1.8) 
Hotels and Resorts Ltd  Operation of Blue Horizon Hotel  3.48 (1.1) 
Kensington Oval Management Inc  Operation of Kensington Oval  2.93 (0.7) 
National Conservation 
Commission  Natural and historic conservation  68.34  26.5  
National Cultural Foundation  Cultural development  11.74  1.7  
National Housing Corporation  Sales and rentals of lands and houses  47.20  (10.3)  
National Petroleum Corporation  Distribution of natural gas  20.55  (15.3)  
Needhams Point Holding Ltd  Land development  37.11  (3.9) 
Needhams Point Development Ltd  Ownership and operation of Hilton Hotel  1.93 (1.7) 
New Life Investment Co. Ltd  Holding company for Resolution Life and 
related investments  0.08 (0.7) 
Queen Elizabeth Hospital  Operation of public hospital  288.63  37.8  
Resolution Life Assurance 
Company Ltd  Holding of residual assets of Clico 
International Life Insurance  Ltd, now in 
liquidation  1.62 (0.5) 
Sanitation Services Authority  Sanitary and disposal services  79.97  20.1  
Southern Meats Inc.  Slaughtering of animals  1.42 (0.2) 
Student Revolving Loan Fund  Provision of study loans  5.63 2.0  
Transport Board  Operation of public bus system  39.60  (8.0) 
NON-COMMERCIAL     
Air Transport Licensing Authority  Air transport  2.05 1.9  
Barbados Accreditation Council  Registration of educational institutions  2.15 0.1  
Barbados Aircraft and Aviation 
Services Company Ltd  Development of the aviation sector  0.00 0.6  
Barbados Community College  Tertiary education  0.00 0.0  
Barbados Defence Force  Territorial defence and internal security  51.71  6.3 
Barbados Investment and 
Development Corporation  Investment promotion and development  30.28  2.4  
Barbados National Standards 
Institute  Standardization  2.72 1.3  
Barbados International Business 
Promotion Corp.  Promoting foreign direct investment  6.30 (3.8) 
Barbados Tourism Product 
Authority  Tourism development  0.09 (0.8) 
Barbados Vocational Training 
Board  Provision of vocational training 
programmes  11.22  (0.6) 
Child Care Board  Provision of child care  21.16  (0.0) 
Community Legal Services 
Commission  Provision of legal aid to persons in need  1.72 (0.0) 
Fair Trading Commission  Regulation of utilities and fair competition  3.91 0.0  
Financial Services Commission  Regulation of non -bank financial sector  14.39  4.3  
National Assistance Board  Support of elderly and homeless people  20.57  11.6  
National Council on Substance 
Abuse  Education on drug and alcohol abuse  2.24 0.1  
National Sports Council  Funding of sports programmes  14.91  (3.2) 
Rural Development Commission  Rural development (housing, road 
improvement , etc.) 5.64 (3.2) WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Company  Activities  Annual 
turnover or 
budget  
(BBD million ) Net 
profit/(loss)  
(BBD million)  
Technical & Vocational Education 
& Training Council  Technical and vocational education and 
training  4.88 0.2  
Transport Authority  Public transport  2.89 (0.1) 
Urban Development Commission  Urban development and housing  17.62  3.4  
Source:  Information provided by the authorities.  
3.108.   With a view to reducing the fiscal drain caused by implicit SOE subsidization, 33  SOEs 
(22 commercial and 11 non -commercial) are currently undergoing reform under a memorandum of 
understanding between the Government and the IMF. Only limited privatization has taken place  
since 2014, such as the concession of Caves of Barbados and Barbados Conference Services Ltd to 
private companies.  
3.3.6   Government procurement  
3.109.   Barbados is not a party to the WTO plurilateral Agreement on Government 
Procurement  (GPA), nor does it participate or  have observer status in the Working Group on 
Transparency in Government Procurement. The authorities indicate that Barbados is not presently 
considering acceding to the GPA.  
3.110.   Central government expenditure on goods and services totalled BBD 493.2  million  in 
FY2021/22 (4.8% of GDP), while capital expenditure totalled BBD 419.2  million  (4.1% of GDP).  
3.111.   The Public Procurement Act 2021 is Barbados' main legislation on government 
procurement.20 The Act applies to all government agencies and SOEs. Implementing regu lations 
were still under preparation as at June  2022. For this reason, the Financial Management and Audit 
(Financial) Rules 2011 were still being utilized as at June  2022.  
3.112.   According to the Act, open tendering shall be used for all procurement of goods or s ervice s 
exceeding BBD 300,000 and works exceeding BBD 500,000. Restricted tendering can be used when 
the goods, works , or services to be procured are available from 10 suppliers or fewer , or when there 
is an urgent need for the goods, works , or services to  be procured and engaging in open tendering 
would be impractical. For all tenders, a notice is to be published in one daily newspaper with 
nationwide circulation, and on relevant government websites. There are no restrictions on the 
participation of foreig n suppliers.  
3.113.   All procurement above BBD 200,000 is carried out by the Government Procurement 
Department in the Ministry of Finance, Economic Affairs and Investment . For procurement below 
this threshold, every institution has its own procuring entity.  
3.114.   Article  9 of the Act prohibits the use of offsets such as the application of margins of 
preference for the use of domestic content or domestic suppliers, requirements for the licensing or 
the transfer of technology, domestic investment requirements, counte r trade , and similar actions.  
3.115.   Procurement decisions may be challenged administratively or judicially. Supplier s who 
participate in procurement proceedings and allege that they have suffered or are likely to suffer loss 
or injury because a decision or actio n of a procuring entity in relation to the proceedings does not 
comply with this Act may apply to the entity to reconsider the decision or action. Suppliers may 
appeal administrative complaints to the Tribunal. There were no court complaints during the per iod 
under review.  
3.3.7   Intellectual property rights  
3.116.   There were no major changes in the legal system for the protection of intellectual property 
rights ( IPRs) in Barbados during the period under review. Barbados is a member of the World 
 
20 While the Act was passed in  December 2021, it had not been proclaimed as at June  2022.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  Intellectual Property Org anization (WIPO) and a signatory to various international IPR agreements.21 
However, Barbados is not a member of the International Union for the Protection of Industrial 
Property (Paris Union) or of the International Union for the Protection of New Varieties of Plants 
(UPOV) Convention (1978). On 1  April 2020, Barbados accepted t he Amendment to the 
TRIPS  Agreement .22 
3.117.   The Corporate Affairs and Intellectual Property Office (CAIPO) in the Ministry of Energy and 
Business Development  is responsible for administering Barbados' IPR.23 It advises the Government 
on IP-related issues and is  responsible for granting patents and the registration of trade and service 
marks, industrial designs, and other IPRs, covering geographical indications, integrated circuits, and 
plant varieties.  
3.118.   Barbados ' IPR legislation is made up of the Copyright Act, t he Trademarks Act, the Patents 
Act, and the Geographical Indications Act. No changes have taken place in the legislation since the 
last Review . Most legislation was passed during the implementation period of the TRIPS  Agreement , 
with amendments to some act s introduced in 2004 (copyright) and 2006 (patents, industrial designs, 
and trademarks).  
3.119.   Barbados' patent legislation includes provisions on compulsory licensing. Compulsory 
licensing may be granted by the High Court in circumstances where a period of four  years has expired 
from the date of filing the patent application or three years from the date the patent was granted, 
whichever period expires later, and there has been a failure to exploit or sufficiently exploit the 
patented invention. Also, compulsory licensing may take place for the exploitation by the 
Government within Barbados of an invention protected by a patent, for national security, health, or 
nutritional reasons, as well as for the development of an essential sector in Barbados' economy, or 
for other reasons of public interest. The authorities indicate that there have been no cases of 
compulsory licensing since 2014.  
3.120.   An Advisory Committee on Intellectual Property was established in June  2019. The 
Committee was tasked with reviewing the provision s of the Copyright Act. The review, completed 
in 2021, aimed to bring the Act into conformity with the protocols relating to various international 
copyright treaties. The Cabinet has approved the paper outlining the necessary amendments; 
legislative instru ctions are now with the Chief Parliamentary Coun sel. As at June  2022, legislation 
on geographical indications was also subject to review, but at an earlier stage.  
3.121.   Table  3.8 shows the registration numbers of various IPRs during the period under review. In 
addition, there was one application for a geographical indication. The authorities indicate that there 
is no register of copyrighted works.  
3.122.   There are no legal provisions wit h respect to parallel imports; however, the authorities 
indicate that in practice they are permitted.  
Table  3.8 Number of IP registrations from 2014 -21 
Year  Trademarks  Patents  Industrial designs  
2014 770 42 0 
2015 184 46 3 
2016 499 0 1 
2017 570 28 0 
2018 511 14 4 
 
21 Barbados is a party to the Convention Establishing the World Intellectual Property Organization 
(1970); the Paris Convention for the Protection of Industrial Property, Stockholm Text (1883) as revise d in 
1967; the Nairobi Treaty on the Protection of the Olympic Symbol (1981); the Patent Cooperation Treaty 
(PCT), (1970); the Nice Agreement Concerning the International Classification of Goods and Services for the 
Purposes of Registration of Marks (1967) ; the Berne Convention for the Protection of Literary and Artistic 
Works (1986); the Rome Convention for the Protection of Performers, Producers of Phonograms and 
Broadcasting Organizations (1961); the Geneva Convention for the Protection of Producers of P honograms 
Against Unauthorised Duplication of their Phonograms (1971); and the TRIPS  Agreement  (1995).  
22 WTO document WT/LET/1466, 6  April 2020.  
23 CAIPO. Viewed at: https://caipo.gov.bb/home/index.php . WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Year  Trademarks  Patents  Industrial designs  
2019 257 2 3 
2020 250 4 0 
2021 331 4 0 
Source:  Information provided by the authorities.  
3.123.   Barbados ' IPR laws include various provisions for criminal sanctions and detail a minimum 
fine or a minimum term of imprisonment for offences. Remedies available in civil proceedings include 
injunctive relief, the delivery of goods, the destruction of goods, imposi tion of fines , and payment of 
damages and expenses.  
3.124.   In the case of copyrights, offenders may be sentenced to a fine of BBD 500,000 or to a term 
of imprisonment of 10  years. Remedies also include impounding of infringing copies, and the 
forfeiture and seizu re of the instruments or equipment used to produce them.  
3.125.   Upon application by the right -holder to the Comptroller of Customs or other authorized 
person, Customs authorities are authorized, under copyright and trademark legislation, to seize 
goods that infringe IPRs to prevent them from entering the country. There is no explicit legal 
provisio n with respect to ex officio  action by Customs officials.  
3.126.   The police may seize, remove, or detain any article that appears to be an infringing copy of 
an illicit recording. Under Section  138 of the Copyright Act, police officer s are empowered, once a 
warra nt is issued, to enter any premises or place ; stop, board , and search any civilian vessel or 
aircraft ; or stop and search any vehicle in which the officers reasonably suspect there is an infringing 
copy of a copyrighted work , illicit recording , or any arti cle used or intended for use in the production 
of infringing material.  
 WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  4  TRADE POLICIES BY SECTOR  
4.1  Agriculture and Fisheries  
4.1.1   Agriculture overview  
4.1.  Barbados has a small agriculture and fisheries sector, which account ed for slightly more 
than 1% of GDP on average during the period under review (Table  1.1). The sector, together with 
fishing, accounted for some 3.5% of total employment in the first quarter of 2022.1 
4.2.  Agriculture in Barbados faces challenges stemming from b eing on a small island – resources of 
land and water are scarce. The country has 43,000 hectares (ha) of land, about three  quarter s of 
which is arable. Since the beginning of the new millennium , the amount of agricultural land continues 
to shrink, in parti cular after the global financial crisis; the land area devoted to agriculture land 
declined from 16,000  ha in 2009 to 10,000  ha in 2019.2 One of the challenges faced by the 
agricultural sector is water scarcity. Water availability is estimated at 300 cubi c metres per citizen, 
placing it in the 15th position among the world's most water -scarce countries.3 This hinders 
agricultural competitiveness and limits the development of its agricultural production.  
4.3.  Competitiveness is also affected by the fact that agriculture is dominated by small farm 
operations, making it difficult to achieve economies of scale. Ac cording to the 1989 Agricultural 
Census, Barbados had a highly skewed land distribution pattern, with 94 holdings of less than 1% 
of the total, accounting for approximately 78% of total agricultural land, while the remaining 99%, 
some 17,000 holdings, acco unted for just 22% of agricultural land.4 The 1989 Agricultural Census 
also revealed that approximately 90% of the farmers in Barbados operate on holdings of 0.5  ha or 
less. Landless farmers, classified as those with holdings of less than 0.025  ha, accoun ted for 
approximately 24% (4,161) of the total number of holdings.5 
4.4.  Sugar was traditionally the main agricultural commodity in Barbados and a major export crop, 
but it has lost much of its importance since 2008. As the production and profitability of suga r have 
declined, there has been an increased interest in other products that offer greater scope to farmers. 
The recent growth in crop production is mainly due to the development of non -traditional subsectors, 
such as fruits and vegetables, root crops, and  herbs and spices (Table  4.1). 
Table  4.1 Crop production, 2015 -21 
('000  kg)  
2015  2016  2017  2018  2019  2020  2021  
Fruits and nuts 1,039.95  572.03  612.97  1,360.31  2,463.17  2,129.05  2,339.84  
Vegetables  8,382.72  8,189.15  7,773.93  10,838.01  11,709.41  11,653.97  6,360.41  
Herbs and spices 136.63  87.32  231.84  577.73  574.74  545.19  177.76  
Grains  0 0.23 0.25 1.82 0.69 0 0.01 
Cotton  34.65  18.42  5.53 6.64 14.87  12.63  .. 
Sugar cane 116,105.74  83,369.20  132,845.08  146,831.13  84,588.57  90,177.61  92,129.07  
.. Not available . 
Source:  Information provided by the authorities.  
 
1 Barbados Statistical Service (BSS), Statistical Bulletin. Continuous Household Labour Force Survey , 
Q1 January to March  2022. Viewed at: https://stats.gov.bb/wp -content/uploads/2022/06/LFS_1Q2022.pdf . 
2 Food and Agriculture Organization, Statistics : Barbados . Viewed at: 
https://www.fao.org/faostat/en/#country/14 .  
3 UNCTAD (2003), Turning Losses into Gains: SID S and Multilateral Trade Liberalisation in Agriculture . 
Viewed at: https://unctad.org/webflyer/turning -losses -gains -sids-and-multilateral -trade -liberalization -
agriculture .  
4 The large pieces of land were traditionally used for sugar plantations. As sugar became less dominant 
in the agriculture sector, some of the land originally for sugar was approved to change in use for other 
competing purposes (e.g. tourism and housing).  
5 It should be noted that the av erage size of holdings in excess of 50  ha was 180  ha, which would be 
considered small by international standards. However, this plot size is considered large by local standards.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 4.5.  In addition to root crops and other high -value crops, Barbados also engages in the production 
of livestock products, including beef, pork , and chicken meat , and dairy products and eggs 
(Table  4.2). 
Table  4.2 Production of livestock products, 2015 -21 
('000  kg)  
2015  2016  2017  2018  2019  2020  2021  
Beef 170.60  176.22  156.87  174.97  172.47  182.25  161.24  
Chicken  16,134.05  14,896.76  15,805.30  16,465.56  16,231.95  11,964.86  13,183.42  
Eggs 2,395.24  4,260.58  3,366.89  2,871.62  3,749.85  3,471.54  6,879.21  
Milk 5,227.43  4,549.38  4,862.16  4,799.38  4,318.17  3,977.95  4,340.66  
Mutton  101.77  110.46  95.79  107.01  92.17  95.51  65.41  
Pork 2,846.65  2,663.77  2,518.54  2,771.74  2,840.32  2,869.19  2,634.03  
Turkey  190.32  261.83  127.01  217.07  397.55  141.48  298.08  
Veal 1.96 1.19 6.21 0.60 0.43 43.61  0.60 
Source:  Information provided by the authorities.  
4.6.  Barbados remains a net importer of food. Imports of agricultural products and foods account 
for about 20% of total imports per year.  
4.1.2   Agricultural policy  
4.7.  The Ministry of Agriculture and Food and Nutritional Security (MAFS) is the line ministry 
responsible for setting policies for the agricultural sector. There is no general legislation governing 
the sector as a whole. Principal legislation include s the Food Security Act, the Sugar Industry Act, 
the Dairy Industry Act, and the Praedial Larceny Prevention Act , each of which govern s its relevant 
subsectors.  
4.8.  During the review period, a National Agricultural Policy6 was drafted and used as a reference 
document.7 The draft policy calls for an overhaul of the agric ultural sector, including institutional 
and physical infrastructure enhancement, and for developing sectoral and complementary policies, 
as well as capacity building. The policy takes into account the high food import dependency that 
Barbados faces, and pr oposes to address non -trade concerns over food and nutrition security, rural 
development and employment, and farm incomes.  
4.9.  With regard to food and nutrition security, the policy is focused on feeding the nation, and on 
coordinating food imports, production , safety, quality, and security. 8The Government recognizes 
that as a small island economy with limited land and other resources, total self -sufficiency in food 
production is unattainable, and that Barbados will always depend on regional and international  
markets for a significant proportion of its food supplies. Nonetheless, the attainment of a desired 
level of domestic production is considered an indispensable component of food security, in addition 
to its capacity to import food.9 The authorities furth er note that the general agricultural policy 
objective is aimed at increasing the local supply of food through initiatives that aim to encourage 
and facilitate the participation of persons in agriculture who may not otherwise be in a position to 
do so.  
4.10.  In this regard and to facilitate participation in agricultural activities, the Government began 
to implement, as from April  2019, the three -year Farmers' Empowerment and Enfranchisement 
Drive (FEED) programme. The FEED programme aims at facilitating the entry  into agricultural and 
livestock activities of key vulnerable people, including the young, women , and the unemployed, and 
at reducing agricultural imports so as to ensure national food and nutrition security. FEED, managed 
by the Barbados Agricultural Deve lopment and Marketing Corporation (BADMC) , provides assistance 
 
6 Ministry of Agriculture, Food, Fisheries and Water Resource Management (2013 ), National Agricultural 
Policy: A Vision for the Future of Agriculture in Barbados.  Viewed at: 
http://www.sice.oas.org/SME_CH/BRB/Policy_Paper_Agriculture_2013_e.pdf . 
7 The authorities confirm that the draft National Agricultural Policy was never formally instituted.  
8 Ministry of Agriculture, Food, Fisheries and Water Resource Management (2013), National Agricultural 
Policy: A Vision for the Future of Agriculture in Bar bados.  Viewed at: 
http://www.sice.oas.org/SME_CH/BRB/Policy_Paper_Agriculture_2013_e.pdf . 
9 UNCTAD (2003), Turning Losses into Gains: SID S and Multilateral Trade Liberalisation in Agriculture . 
Viewed at: https://unctad.org/webflyer/turning -losses -gains -sids-and-multilateral -trade -liberalization -
agriculture . WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  to farmers who desire to establish agricultural enterprises through subsidies for land lease and 
irrigation. The FEED programme guarantees a land lease of between 0.25  acres  and 5  acres for 
eligible farmers10 at an annual rate of BBD 300/acre. The land is leased primarily from 
government -owned lands, and the land lease size is allocated based on the participant's planned 
production.  Irrigation water is also provided at a reduced rate of BBD 0.6/M3 in most cases. The 
authorities also note that other services, materials , and infrastructure11 are offered to FEED 
programme participants at subsidized rates, or free of charge, in order to assist them with the initial 
start-up of their enterprise; these  start-up kits include clearing and preparation of land and provision 
of seeds and basic equipment. Except for 2019 when the programme was launched, the Government 
provides direct support for the FEED programme with funds of BBD 500,000 available per fiscal year.  
4.11.  Based on 2021 statistics, Barbados  maintains self -sufficiency in root crops (e.g. sweet 
potatoes, yams, and cassava) and eggs (100%), and domestic production covers a large share of 
demand in the case of chicken (93%), and, to a lesser extent,  pork (49%). There is no domestic 
food import policy currently in force. Nonetheless, together with its CARICOM partners, Barbados 
supports the "Twenty -five by 2025 Initiative" , which aims at reducing agri -food imports from outside 
CARICOM by 25% by the en d of 2025.  
4.12.  Barbados maintains state trading over poultry, onions, and brown sugar through the BADMC, 
which was notifie d as a state  trading enterprise to the WTO, most recently in 2018.12 The BADMC 
holds a statutory monopoly on the duty -free importation of the above -mentioned products. The 
authorities maintain that state trading activities are carried out on the grounds of social protection , 
as the Government seeks to provide affordable po ultry protein and food to low -income households . 
In order to do so, the BADMC has established a specific distribution system to the vulnerable for 
these duty -free imported products. During the review period, retail price controls on chicken wings, 
chicken backs and necks, and turkey wings were abolished. The authorities note that no other price 
control measures are applicable to agricultural goods.  
4.13.  The average applied tariff on agricultural products (WTO definition) was 35% in 2021, which 
is considerably hi gher than for non -agricultural products. There are certain products subject to tariffs 
with rates above 100% (Table  3.3). These products are, inter alia, edible vegetables and certain 
roots and tubers (with tariffs up to 216%); meat and edible meat  offal, certain fish (184%); peel of 
citrus fruit or melons (147%); and dairy products, eggs (141%). Barbados maintains tariff quotas 
for 24  products.13 All products sourced from the CARICOM region – whether sensitive commodities 
such as tomatoes, or less sensitiv e commodities such as yams – enter Barbados free of duty.  
4.14.  Under the WTO  Agreement  on Agriculture, Barbados reserved the right of applying special 
safeguard (SSG) measures for 36  products. During the review period, Barbados initiated SSG 
measures on more than 30  products, most of which were vegetables and fruits such as beet s, 
cabbage s, cauliflower, carrots, lettuce, tomato es, onions, and melons. The latest notification to the 
WTO on the use of the SSG provisions was submitted in 2018, covering the SSG measures used 
in 2016.14 The authorities are of the view that the SSG mechanism is not  achieving its original 
purpose, and call for its reform.  
4.15.  According to its latest ES:1 notification in 2017, Barbados notified to the WTO that no export 
subsidies were provided for agricultural products up until FY2015/16.15 The notifications concerning 
more recent years are pending. Currently, Barbados encourages the exportation of agricultural 
products under other schemes.  Under the Export Promotion Policy, 30% of international transport 
costs (capped at BBD 10,000) for primary agricultural products are c overed by the Government. 
 
10 The FEED programme seeks to promote the establishment of farmers interested in one of the 
following 11 activities: open field crop production, horticulture, greenhouse farming, temperature -controlled 
container farming, livestock production with  a special emphasis on blackbelly sheep production, fruit tree 
production/agroforestry, forage/fodder production, hydroponics, aquaponics, fish farming, and apiculture 
(bee-keeping).  
11 Services and materials that may benefit from the FEED programme include  land preparation, 
irrigation infrastructure (e.g. driplines), seeds (crop production, hydroponics, aquaponics), personal protective 
equipment (boots, gloves, etc.), water pump s and filter s (hydroponics, aquaponics), and beehive boxes.  
12 WTO document G/STR /N/16/BRB, 17  April 2018.  
13 The latest notification on imports under tariff quotas was submitted in 2001 for the calendar year 
2000. See WTO document G/AG/N/BRB/8, 9  November  2001.  
14 WTO document G/AG/N/BRB/27, 23  April 2018.  
15 WTO document G/AG/N/BRB/24, 20 June 2017.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Additionally, up to 75% of the costs of feasibility studies, new market evaluations, and the 
implementation of quality assurance schemes f or agricultural products are compensated by the 
Government.  
4.16.  Under the Cotton Export Levy Act , exports of cotton are subject to a levy at the rate of 
BBD 0.17 per pound. The proceeds of the levy are paid to the Barbados Cotton Growers Association. 
The authorities note that the revenues collected from the levy are to be used for research and 
develo pment in the cotton industry.  
4.17.  Barbados' latest notification to the WTO of its domestic support measures is for FY2015/16. 
Barbados notified to the WTO as belonging in the green box spending of slightly less than 
BBD 50 million for that fiscal year. The maj ority of the spending notified corresponds to 
infrastructure services (Table  4.3). 
Table  4.3 Domestic support spending, FY2013 -16 
(BBD million)  
 FY2013/14  FY2014/15  FY2015/16  
Pest and disease control  4.80 4.41 4.32 
Extension and advisory services  1.01 0.95 0.52 
Inspection services  2.32 2.14 2.21 
Infrastructural services  20.40  17.49  16.69  
Other  53.79  89.96  26.03  
TOTAL  82.32  114.95  49.77  
Source:  WTO documents G/AG/N/BRB/25 , 26 June 2017; G/AG/N/BRB/2 6, 27 June 2017; and 
G/AG/N/BRB/ 27, 23 April 2018. 
4.18.  Several incentives are accorded to farmers and farming organizations under the Agricultural 
Incentive Programme (AIP). The main support provided by the Programme to eligible far mers takes 
the form of cost compensation and per -hectare payments. Assistance for on -farm irrigation 
investment is also provided through the AIP.  The AIP is administered by the Ministry of Agriculture  
and Food and Nutritional Security. The Programme provid ed a total of BBD 660,147 for 522 projects 
in 2021, down from BBD 1.01 million  in 2015 for 616 projects. In addition, the Agricultural 
Development Fund (ADF) offers preferential loans16 for working capital, new technology, and for 
implementing best practices in agriculture and fisheries. The size of the loan ranges between 
BBD 50,00 0 and BBD 1 million , with a maturity period of up to 10 years. During the review period, 
a total of BBD 4.2 million  preferential loans were approved by the ADF (Table  4.4). 
Table  4.4 Agricultural incentives su pport, preferential loans, and grants, 2015 -21 
(BBD million  and number )  
2015  2016  2017  2018  2019  2020  2021  
AIP Project number  616 454 386 458 554 437 522 
Total value 1.01 0.92 0.33 0.85 0.96 0.60 0.66 
ADF Preferential loans  0.45 0.4 1.2 0.41 0 1.28 0.46 
Grants  1.46 0 0.5 0.9 0 0 0 
Source:  Information provided by the authorities.  
4.19.  Imports of agricultural inputs including live animals, planting materials, fertilizers and other 
chemicals, and machinery and equipment are duty -free. Also, agricultural businesses may claim a 
rebate on agricultural machinery (new or imported into Barbados for the first time) with the amount 
equal to the eligible income tax allowance. Income tax holidays up to 10 years are available for 
businesses in the cotto n industry, and for business of fruit production in the Scotland District.  
4.1.3   Fisheries  
4.20.  Although its contribution to GDP is small, the fishing industry is important both economically 
and socially. It comprises several types of small businesses engaged in acti vities such as fishing, 
 
16 The loan portfolio is divided into so -called social and commercial loans, where support to farmers is 
considered a social grant and commercial loans are for for -profit activities for the fund. Collateral is required 
for all loans.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  fish-processing, retailing and wholesaling, and fish export and distribution. The industry is also an 
avenue for earning vital foreign exchange through fish exports, in addition to being a major 
contributor to local food security.  
4.21.  The Fisheries Division, under the Ministry of Environment and National Beautification, is the 
competent authority for managing and developing the fisheries sector. The Division is responsible 
for formulating policies for sectoral development, enforcing the Fisheries Act, 1993 , Cap. 391, which 
is the main law governing the fishing industry, and preserving fisheries resources.  
4.22.  New Fisheries Management Regulations were being drafted as at July  2022. The authorities 
indicate that the draft new Regulations aim to  address the issues of endangered aquatic animal 
protection, such as for marine mammal s and sea turtle s, as well as other trade -related issues and 
to safeguard the market access of Barbadian fisheries exports.  
4.23.  Local fisheries are currently open to national s, with Barbadian citizens or permanent residents 
having access to the resources.  As of end -June 2022, there were 1,000 fishing vessels registered 
with the authorities, about 600 of which were operational . The authorities indicate that the current 
regulati on does not provide effective control measures (e.g. fish licensing) against overfishing; the 
only means currently available to the authorities is the safety compliance inspection of fishing 
vessels. The authorities further indicate that the newly  drafted regulations will rectify this 
shortcoming, by introducing activity licensing requirements, when they enter into force. In 2021, 
the Fisheries Division completed a fish stock assessment as a first step towards policy reform. 
According to the authorities, te chnical assistance may be needed for Barbados to continue its effort 
on fisheries policy reform.  
4.24.  Pursuant to the Fisheries Act, the Fisheries Division publishes the Fisheries Management Plan 
(FMP). According to the authorities, the FMP is drafted in close cooperation with other CARICOM 
partners, following the C aribbean  Regional  Fisheries Mechanism. The current FMP was published 
in 2020. The authorities note that the FMP is not a legal instrument, but a policy instrument for 
fishery resource conservation.  
4.25.  The Rural Development Fund provides preferential loans for fishing vessel owners to cover 
onboard equipment repairs. However, the authorities note that no other financial assistance is 
currently provided for upgrade of fishing gears or equipment.  
4.2  Energy  
4.26.  The Ministry of Energy and Business Development  is the line ministry responsible for 
formulating sectoral policies, overseeing regulatory functions, and licensing energy operators. The 
authorities note that no fuel subsidies are provided to household or busine sses. 
4.27.  In 2019, Barbados adopted the Barbados National Energy Policy 2019 -2030 (BNEP). The 
Policy sets out an ambitious target for the country to move away from fossil fuels to renewable 
energy, aiming at reaching 100% renewable energy and carbon neutral ity by 2030.  
4.28.  In order to achieve the target, the Government took measures to address issues on both 
energy demand and supply sides. On the demand side, the Government encouraged the adoption of 
energy efficiency technologies and the promotion of energy conser vation. In this respect and with 
this purpose, the Control of Inefficient Lighting Act was assented by the then Governor -General in 
July 2021. On the supply side, the Government is making plans to diversify the sources of energy, 
with an aim to increase su pply from renewable energy. Reaching the target by 2030 may be a 
challenge, as just 2% of the energy consumed in the country came from renewable sources as of 
end-2018. As a step in this direction, the authorities note that an Integrated Resource and Resil iency 
Plan was submitted to the Cabinet for approval.  
4.2.1   Electricity  
4.29.  According to the authorities, the electricity sector is fully liberalized, and there is no restriction 
on foreign capital participation in the sector. However, given the small size of the co untry, the 
Barbados Light & Power Company Limited (BLPC), a vertically integrated operator, is the dominant 
player in the sector. BLPC is a subsidiary wholly owned by Emera, a Canadian company.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 73 - 
 
 4.30.  With regard to power generation, BLPC operates three power pla nts, and a number of 
power -generating substations, with a total capacity of 252  MW. BLPC generates electricity using 
diesel, heavy fuel oil, and kerosene. Recently, BLPC installed a new photovoltaic (PV) plant with a 
capacity of 10  MW. The BNEP has set a target of having at least 35,000 buildings with rooftop or 
ground -mounted PV systems; the Government is also supportive of the development of bio energy 
(e.g. sugarcane) to generate baseload power.  
4.31.  When the Electric Light and Power Act (ELPA) entered into force on 4  May 2015, the BLPC lost 
its monopoly in the electricity generation market. The ELPA liberalized the segment of power 
generation, and introduced a licensing regime for the supply of electricity from independent power  
producers (IPPs). The feed -in tariff is regulated by the Fair Trading Commission (FTC). The 
authorities note that the liberalization of the power generation segment has facilitated the addition 
of 69  MW of renewable energy to be distributed on the grid. I n FY2020/21, the Government, with 
the aim of encourag ing the uptake of renewable energy, granted IPPs a special premium on top of 
the feed -in tariff. According to the authorities, a total of 84  GW electricity was generated by 
renewable energy in 2021, acco unting for 8% of the total electricity generation.  
4.32.  The BLPC manages the national grid, and is the sole distributor and retailer under franchise. 
The franchise is due to expire in 2028.17 Electricity retail prices are regulated by the FTC.  
4.2.2   Hydrocarbons  
4.33.  Barbados has a small oil reserve onshore. The Barbados National Oil Company Limited 
(BNOCL), a fully state -owned enterprise, took on oil exploration and production operations in 1982 
after the Government acquired the assets of Mobil Oil when that company relin quished its onshore 
lease. BNOCL's capacity of production is 385  barrels of crude oil per day. In 2021, BNOCL produced 
116,000 barrels, all of which were exported.  
4.34.  Barbados does not have oil refining capacity. All refined products are imported. With regard  
to the segment of fuel distribution, the authorities maintain that there are no restrictions/exclusive 
rights reserved for any operator in the market; however, BNOCL is the sole importer of refined oil 
products such as gasoline and diesel, while other ent ities may import heavy fuel for power generation 
on the island or for bunkering. The authorities indicate that the reason the private sector does not 
play a major role in the market might lie in commercial considerations, to avoid the risks associated 
with fluctuating energy prices. Under the Miscellaneous Controls Act , Cap. 329, the retail prices of 
gasoline, diesel, and kerosene are regulated; their maximum prices are reviewed and set on a 
monthly basis by the Ministry of Energy and Business Development. BNOCL does not own any gas 
stations for fuel retail.  
4.35.  With the aim of encouraging a reduction in the use of fossil  fuels for automobiles, in the 2022 
budget the Government provided fiscal incentives for the purchase of electric vehicles (EVs) and 
hybrid veh icles. These incentives include: (i) reduction of import duties on battery EVs and fuel cell 
EVs, and solar-powered vehicles, regardless whether they are new or used; (ii) import duty reduction 
for vehicles powered by liquefied petroleum gas and compressed  natural gas; (iii) reduction of excise 
tax for new fuel cell EVs; and (iv) a 24-month excise and VAT holiday for buying EVs (effective from 
1 April 2022). In addition, in April  2021 the Government introduced a policy for governmental 
agencies and state -owned entities to restrict the procurement of cars, sports utility vehicles , and 
light goods vehicles powered by fossil fuel.  
4.3  Manufacturing  
4.36.  The manufacturing sector in Barbados accounted for 4.7% of GDP in 2021 and for over 6% 
of employment . The Barbadian manufacturing sector concentrates mainly on the food processing, 
beverage , and tobacco subsectors.  
4.37.  Among manufacturing activities, food and agricultural -linked products continue to be of 
particular importance. Among these, alcoholic beverage s (traditionally rum) still account for a major 
part of export revenue. The agri -food sector benefits from tax incentives, which include an 
 
17 In 2019 , the Government and the BLPC commenced discussions to negotiate new non -exclusive 
public utility licences that replace the company 's current franchise agreement , which is expected to lapse in 
2028.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 74 - 
 
  investment allowance of up to 40% on the value of imported machinery to be used in sugar 
manufacturing and refining,  which is deductible from taxable income as capital expenditure.  
4.38.  During part of the period under review, the manufacturing sector could also benefit from a 
number of general incentive programmes that were provided by the Fiscal Incentive s Act, Cap. 71A, 
as amended. These incentives included: (i) waivers of import duties (including VAT) on inputs such 
as raw materials, machinery, equipment , and spares (motor vehicles excluded); (ii) a tax holiday of 
up to 15 years on a manufacturing business deemed to be hig hly capital intensive; and (iii) an 
investment allowance of 20% on plant machinery that is new or imported into Barbados for the first 
time.  The Fiscal Incentives Act was repealed  on 2 January  2019, and on that date the Government 
abolished the fiscal ince ntive of a 15 -year tax holiday for businesses engaged in the manufacturing 
of an approved product exclusively for export outside of CARICOM, or of an approved product 
containing a specified percentage of local value added. The authorities note that this wa s done to be 
in conformity with its obligations under the WTO  Agreement  on Subsidies and Countervailing 
Measures . 
4.39.  On 1 January  2019, the International Business Companies (IBC) Act , Cap. 77 was repealed. 
IBCs were companies resident in Barbados but deriving  income solely from sources outside 
Barbados. They were taxed at lower rates than domestic companies, according to their taxable 
income. IBCs with taxable income of up to BBD 10 million  were taxed at a rate of 2.5%; from 
BBD 10 million  to BBD 20 million , at a rate of 2.0%; from BBD 20 million  to BBD 30 million , at 1.5%; 
and those with taxable income above BBD 30 million , at 1%. IBCs were not subject to withholding 
tax on remittances of dividends, royalties, interest, management fees, fees, or other income paid 
by IBCs to persons outside Barbados. They were free from exchange controls, and enjoyed duty -free 
concessions on certain imports. Although the IBC Act was repealed on 1  January  2019, certain 
entities holding a valid licence issued prior to 17  October  2017 were grandfathered and continued 
to receive their benefits until 30  June 2021. The minimum rate of tax increased from 0.25% to 1% 
for those entities from income years commencing on or after 1  January  2019. The authorities 
confirmed that the inc entives accorded to then IBCs and international societies with restricted 
liability were discontinued on 30  June 2021 as a result of reappealing the International Business 
Companies (IBC) Act and the Societies with Restricted Liability Act.18 
4.40.  Under the Soc ieties with Restricted Liability (SRL) Act, Cap.  318B, corporation s or 
partnership s qualifying as SRLs could apply for a licence to operate as international SRLs and, as 
such, were taxed at the same rates as IBCs. The provisions of the SRL Act dealing with  international 
SRLs were repealed effective 1  January  2019. However, as in the case of IBCs, certain entities 
holding a valid licence issued prior to 17  October  2017 continued to receive benefits until 
30 June 2021.  
4.41.  The Small Business Development Act, Cap.  318C, accords small - and medium -sized 
enterprises (SMEs) a number of tax incentives. Under the Act, SMEs may be granted exemption 
from import duty on plant and equipment imported for use in the business; exemption from 
withholding tax on dividends and int erest earned on investment in an approved small business or in 
any fund approved for investment in small businesses; exemption from stamp duty; and a deduction 
of corporation tax of an amount equal to 20% of the actual expenditure in technology and market 
research. SMEs may also apply for a loan guarantee cover. To obtain approval as a small business 
and benefit from the scheme, companies must be incorporated in Barbados under the Companies 
Act with at least 75% of their shares owned locally and must have s hare capital of not more than 
BBD 1 million , annual sales not in excess of BBD 2 million , and not more than 25  employees. 
Beneficiary companies pay corporate income tax at a reduced rate of 15% and are exempt from the 
payment of import duties on equipment imported for use in the business and from stamp duty in 
some instances. Also, they may deduct for tax purposes up to 120% of certain expenditures directly 
 
18 Having implemented Action 5 of the OECD's Base Erosion and Profit Shifting (BEPS) Framework, 
Barbados on 31  December  2018 repealed the International Business Companies (IBC) Act and the Societies 
with Restricted Liability Act. Effective 1  January  2019, all IBCs and international societies with restricted 
liability (ISRLs) automatically became regular Barbados companies (RBCs) and societies (RBSs). Those IBCs 
and ISRLs that qualify for grandfathering are entitled to be so grandfathered until 30 June 2021. Also, from 
1 January  2019 onwards, all RBCs and RBSs that earn their income exclusively in foreign exchange may apply 
for a foreign currency permit that will afford them practically the same benefits previously enjoyed by IBCs and 
ISRLs.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 75 - 
 
 related to the development of the business. Investors in beneficiary SMEs are exempt from 
withholding  tax on the interest and dividends earned on their investment.  
4.42.  In addition, the Special Technical Assistance Programme provides assistance with 
performance enhancement for businesses in the manufacturing sector (Section  3.3.1). The 
authorities note that th is programme is currently being phased out and replaced with an Export 
Credit Agency providing loan financing arrangements at international market rates. The authorities 
also note that the Tourism and Manufacturing Guarantee Facility , which was designed to  provide 
loan guarantees for the manufacturing sector , is not operational and that no assistance has been 
provided to manufacturers under this facility.  
4.4  Services  
4.4.1   Financial services  
4.43.  Financial services accounted for 38. 1% of valued added (Table  1.1), and 4.9% of employment 
in 2021. Commercial banks continued to dominate the financial system, holding 54% of total 
financial assets in 2021, followed by the insurance sector  (17%), and the credit union 
segment  (13%). The share of mutual fund s in total asset s also gradually increased, reaching 12% 
in 2021 (Table  4.5). 
Table  4.5 Financial system structure, 2015 -21 
 
2015  2016  2017  2018  2019  2020  2021  
Number of institutions        
 
Banks        
 
Domestic banks (foreign -owned)  5 5 5 5 5 5 5 
Branches  32 33 35 35 32 30 28 
Bank holding companies  1 1 1 1 1 1 4 
Non-bank financial institutions         
Credit unions  34 33 35 33 33 32 32 
Insurance companies  21 21 23 22 22 22 24 
Mutual funds  16 16 16 16 16 16 19 
Assets ( BBD billion)         
Banks         
Commercial  banks 
(foreign -owned)  12.77  13.28  13.47  12.66  12.83  13.22  13.77 
Non-bank financial institutions         
Part 3 institutions  1.65 1.54 1.57 1.02 1.00 0.99 0.95 
Credit unions  1.88 2.04 2.21 2.42 2.60 2.79 2.94 
Insurance companies  3.07 3.42 3.57 3.47 3.65 3.78 3.79 
Mutual funds (net assets)  1.90 1.80 2.25 2.16 2.44 2.49 2.73 
Miscellaneous        
 
Share of the three  largest banks 
(%) 45.6 46.0 45.6 45.2 45.5 44.0 43.9 
Source:  Information provided by the authorities.  
4.44.  During the review period , the legal framework for financial services was overhauled – the 
separate regulatory regimes for offshore financial services were abolished; instead, omnibus 
supervisory frameworks were crea ted for the banking and insurance sectors. On 1  January  2019, 
the amended Financial Institutions Act (FIA) and the amended Insurance Act entered into force; 
with the application of both amended acts, the International Financial Services Act, Cap.  325 (IFSA ) 
that governed offshore banking services and the Exempt Insurance Act that governed offshore 
insurance services were repealed. The IFSA provided for the establishment of international banking, 
trust administration, and other related or ancillary services by eligible companies incorporated in 
Barbados or branches of qualified foreign banks. An annual licence fee of BBD 100,000 was payable 
by IFSA licensees receiving foreign money deposits, and of BBD 50,000 by IFSA licensees not 
involved in deposit -taking financial services. International financial service entities were exempt 
from exchange controls and are granted duty -free concessions on certain imports. They enjoyed the 
same tax advantages as IBCs. Although the Act was repealed on 1  January  2019, as noted above, 
certain entities holding a valid licence issued prior to 17  October  2017 continued to receive benefits WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  until 30  June 2021. The minimum rate of tax increased from 0.25% to 1.0% for those entities from 
income years commencing on or after 1  January  2019.  
4.45.  Under the new framework, commercial banks and trust and finance companies remain 
regulated and supervised by the Central Bank of Barbados (CBB), while the Ministry of Finance, 
Economic Affairs and Investment  is responsible for their licensing. The Financial Services 
Commission (FSC) continues its responsibility for regulating, supervising , and licensing non -bank 
financial institutions such as insurance companies, credit unions, pension funds , and securities 
companies.  
4.4.1.1   Banking  
4.46.  The banking sector is regulated by the FI A, Cap. 324-A. The FIA was amended in 2018 and 
repealed the IFSA on 31  December  2018. The authorities state that the amended legislation 
facilitates the continued regulation and supervision of those banking institutions conducting bus iness 
solely on foreign currency, and it also addresses recommendations arising from previous 
assessments of the banking sector. The authorities consider that the amended legislation enhances 
its supervis ory effectiveness of the banking sector.  
4.47.  In order to  provide commercial banking services, a bank must be incorporated locally; foreign 
banks may be incorporated as either a subsidiary or a branch. Each licensee is required to have at 
least BBD 4 million  as assigned capital , and at least one director of its board must be a citizen of a 
CARICOM countr y. There are no specific taxes on financial transactions. The authorities maintain 
that capital and reserve requirements are the same, regardless of the bank's ownership. Both 
domestic - and foreign -owned banks are  required to seek written approval from the CBB to make 
any substantial changes in their structure, the organization of their business, or in their assigned 
capital.  
4.48.  The minimum securities requirement and the minimum savings deposit rates for banks were 
abolished during the review period; the cash deposit rate, set by the CBB, is retained as a monetary 
policy instrument. According to the authorities, the rate is set dependent on several factors including, 
inter alia, liquidity levels in Barbados and the reg ion, and the desired path of economic activity.  
4.49.  Facing the economic disruption caused by the COVID -19 pandemic, the CBB attempted to 
stimulate credit growth by a combination of lower cash reserve requirements and regulatory 
forbearance on pandemic -induced non-performing loans. However, credit to the non -financial private 
sector has remained demand -constrained over that period and fell by 1.7% in 2021. Lending by 
commercial banks fell by 2.8%, but there were modest increases by other institutions. The declin e 
in commercial bank lending was mainly reflected in personal loans for mortgages and credit cards.19 
However, there were increases in credit to the business sector, particularly for utilities. Prudential 
indicators remained robust with non -performing loans of the banking sector stabili zing at 7.5% by 
the end of 2021, as banks wound down pandemic -related moratoria programs. Other prudential 
metrics , such as the provisions to non -performing loans and capital adequacy ratios , remained above 
generally accepted metrics at 59.9% and 16.3%, respectively.  
4.50.  The amended FIA introduce a new class of licensed banks – foreign currency earning banks.20 
A foreign currency earning bank is a bank only engaged in foreign currency earning activities, while 
foreign currency earning activities entail not only receiving and using foreign funds, but also 
accepting foreign assets,  including foreign currency, securities , or property, in trust.21 The licensing 
requirements for a foreign currency earning bank are similar to those for commercial banks, 
including requirements of local incorporation, minimum assignment capital, and at le ast one board 
member being a citizen of a CARICOM State and residing in Barbados. Foreign currency earning 
banks pay taxes at the same rates as commercial banks (ranging from 5.5% to 1.0% based on 
levels of income). Nonetheless, foreign currency earning ba nks may apply for exemption from 
paying: (i) withholding tax on dividends payment or other payments to non -residents; (ii) stamp 
duty and property transfer tax other than nominal duty of BBD 200 on all instruments and 
 
19 Total credit card balances outstandin g to the personal sector declined by 13.9% in 2021, a deeper 
decline than the 9.8% in 2020. This reduction reflected repayments outpacing the growth in new credit 
extended, as consumers continued to reduce short -term credit balances throughout the year.  
20 Detailed licensing requirements are set out in Part IIIB, the Financial Institutions (Amendment) Act.  
21 Financial Institutions (Amendment) Act , Section  41H. WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 agreements; and (iii) import duties (i ncluding VAT) on plants and machinery. As of April  2022, there 
were 18 foreign currency earning banks licensed in Barbados, holding asset s of BBD 36.2 billion  
(in 2021), three -fold of the assets held by commercial banks.  
4.51.  The Money Laundering and Financing of Terrorism (Prevention and Control) Act, 2011 governs 
anti-money laundering compliance in Barbados. Section  44 of the FIA allows information sharing on 
financial institutions to prescribed domestic agencies and foreign governmental agencies where there 
is a reciprocal arrangement. The CBB has a number of memoranda of understanding in place to 
facilitate reciprocal exchange of information with domestic regulators, regional regulators, the 
Canada Office of the Superintendent of Financial Institutions, and G uatemala's Superintendencia de 
Bancos.  
4.4.1.2   Credit unions  
4.52.  Credit unions play a significant role in the Barbadian economy. Despite accounting for a small 
share of the financial sector's assets, three  fourths of the economically active population are 
members of c redit unions. As of March  2022, the sector consisted of 31  firms, but the sector is very 
concentrated, with the two largest credit unions accounting for approximately 75% of assets, loans , 
and members.  
4.53.  Credit unions are also regulated, supervised , and lice nsed under the FSC Act 2010 -21. In 
addition, the Cooperative Societies Act , Cap. 378A and the Cooperative Societies Regulations 2008 
are also applicable. Under the FSC Act, the FSC has the power to carry  out onsite surveillance and 
reorganize and/or take over the management and operations of a credit union. In 2020, the FSC 
launched the risk -based supervision for credit unions.  
4.54.  Credit unions are relatively well  capitalized, with the average capital adequacy ratio (CAR) 
being in excess of 11%, above th e 10% benchmark set by the Act. On the other hand, with prudential 
norms being less strict than for banks, loan classifications and provisioning tend to be less stringent 
than in the banking sector. Non -performing loans increased from a pre -COVID -19 pandem ic level 
of 12% to a peak of 14% as at June  2021. Credit unions offered moratoria or loan restructuring to 
members in good standing to mitigate the impact of the pandemic and resultant high unemployment. 
The FSC enhanced monitoring and reporting requiremen t for large credit unions.  
4.4.1.3   Insurance  
4.55.  As the Exempt Insurance Act was repealed, the Insurance Act was amended in 2018 and 
entered into force on 1  January  2019. Under the amended Act, all insurance entities including those 
then exempt insurance companies and  qualified insurance companies are now regulated under a 
comprehensive regime. The amendment removed references to qualifying insurance companies. 
However, certain entities holding a valid licence issued prior to 17  October  2017 were grandfathered 
and taxed at the rate of 2% of taxable income up to 30  June 2021 in the case of entities carrying 
on general insurance business and 0.35% of gross investment for entities carrying on life insurance 
business.22 
4.56.  The amended Insurance Act provide three classes of lic ensed operators:  
• Class 1 Licence: insurance companies that write related party business;  
• Class 2 Licence: insurance companies that write third -party business; and  
• Class 3 Licence: insurance intermediaries (e.g. brokers, sales people , adjustors, loss 
assessor s, agents , and subagents) , insurance management companies , and insurance 
holding compan ies. 
4.57.  Class 2 licensed insurers were formerly classified as the "domestic/onshore" insurers. As of 
end-2021, there were 24 Class 2 licensed insurance companies, 15 of which are general insurance 
companies (one composite insurer). The life insurance sector is dominated by a single company that 
 
22 Qualifying for exemption under the Act were companies registered under the Insurance Act that 
derived at least 90% of their premiums from sources outside of CARICOM and at least 90% of whose risks 
originated outside of CARICOM.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
- 78 - 
 
  accounts for 90% of the total assets of the life insurance indust ry. The minimum capital requirement 
for a Class 1 or Class 2 licence is the same at BBD 250,000.  
4.58.  In order to write risks located in Barbados, insurers must be registered in Barbados, with 
various paid -up capital requirements depending on whether they are w riting general insurance, 
long-term insurance , or a combination of both. Foreign -owned insurance companies that provide life 
insurance must be locally incorporated. In addition, insurers must pay to the FSC various deposits 
prior to them c arrying on insura nce; the amount of the deposit depends on the type of insurance 
writing.  
4.59.  There is no mandatory insurance coverage reserved for domestic insurers. Foreign insurers 
or their affiliates can provide coverage against risk associated in Barbados via an insurance  company 
licensed by the FSC.  
4.60.  Class 2 and Class 3 licensed insurance operator s are subject to a tax on their income at a rate 
of 2%, while the tax rate for Class 1 licensees is zero.  
4.61.  Only Barbadian citizens or nationals of CARICOM member States may be regi stered as 
insurance intermediaries , such as insurance brokers, agents, subagents, and salespersons. As of 
end 2021, there were 25 licensed brokers, 50 agents (including 1 subagent), and 514 salespersons. 
Brokers are required to be insured with a registered  insurer against liability for not less than 
BBD 1 million  or such greater amount as may be prescribed for claims arising out of any error or 
omission on the part of the broker  or their  employees or agents.  
4.4.1.4   Securities  
4.62.  Barbados has a small securities market . Securities are governed by the Securities Act 2001 -3. 
The FSC is the regulator for securities. The Barbados Stock Exchange (BSE), headquartered in 
Bridgetown, was established in 1987 as a statutory , privately  owned, no t-for-profit body.23 The BSE 
is a se condary market for the trading of shares, operating fully electronic trading using the 
order -routing method. The Barbados Central Securities Depository Inc. (BCSDI)  is a wholly  owned 
subsidiary of th e BSE. Securities traded include ordinary shares , preferred shares , government 
debentures , and government treasury notes. 
4.63.  Companies are listed with the BSE on the Regular Market, the International Securities Market, 
or on the Junior Market. The Regular Market is the BSE's main domestic market, while the 
International Securities Market facilitates the listing and trading of securities by issuers who may or 
may not be incorporated in Bar bados and that would otherwise be listed and traded on other 
exchanges around the world. The Junior Market caters to smaller or newer public companies that 
may not meet all the necessary requirements for listing in the Regular Market. As of end -June 2022, 
there were 16 companies listed with the BSE, 14 of which were on listed as regular companies on 
the main market , and 2 on the international market. At that date, there were no listings on the 
Junior Market. During the review period, no new companies were l isted on the Regular Market and 
two companies were listed on the international market. Furthermore, seven companies were delisted 
during the review period.  
4.4.2   Telecommunications  
4.64.  The telecommunications sector has been liberalized since 2005. Barbados adopted t he WTO 
Basic Telecommunication s Agreement without any exceptions.24 
4.65.  The legal and institutional framework for the telecommunications sector remained largely 
unchanged during the review period. The Telecommunication s Unit, under the Ministry of Industry, 
Innovation, Science and Technology, remains as the sectoral regulator. The basic legislation is the 
Telecommunications Act , Cap. 282B, which entered into force in 2001. The Act was amended in  2012 
and 2018; the amendments were introduced for the purpose of e nhancing compliance and  
 
23 The BSE is administered through a board of directors and a general manager. The board consists of 
four designated members,  four elected members , and one independent. The four designated members 
represent the CBB, the Bar Association, the Barbados Chamber of Commerce and Industry , and the Institute of 
Bankers. The elected members are chosen from Membership of the Stock Exchang e. 
24 WTO document GATS/SC/9/Suppl. 1, 24  February  1998.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 accommodating the increasing number of amateur radio operators in Barbados.  Table  4.6 presents 
selected telecommunications indicators for the 2015 -19, the latest available information.  
Table  4.6 Selected telecommunications indicators, 201 5-19 
 2015  2016  2017  2018  2019  
Fixed telephone subscriptions ('000)  149.5  139.7  120.5  128.0  128.0  
Fixed telephone subscriptions per 100  inhabitants  52.4 48.9 42.1 44.7 44.6 
Mobile -cellular telephone subscriptions ('000)  334.80  332.20  329.60  329.30  329.30  
Mobile -cellular telephone per 100  inhabitants  117.3  116.2  115.1  114.9  114.7  
Internet users (%)  76.1 79.6 81.8 .. .. 
Fixed broadband subscriptions ('000)  78.3 86.9 89.3 89.3 106.8  
Fixed broadband subscriptions per 100 inhabitants  27.4 30.4 31.2 31.2 37.2 
Mobile broadband subscriptions ('000)  157.70  129.10  129.90  171.80  121.20  
Mobile broadband subscriptions per 100  inhabitants  55.3 45.2 45.4 59.9 42.2 
International bandwidth (Gbit/s)  52.9 49.5 60.6 60.6 45.2 
International bandwidth per Internet user (Kbit/s)  234.5  217.6  258.7  .. .. 
.. Not available . 
Source:  ITU, Statistics . Viewed at: www.itu.int/en/ITU -D/Statistics/Pages/stat/default.aspx . 
4.66.  During the review period, Barbados upgraded its telecommunications infrastructure. These 
efforts included the deployment o f Mobile 5G and Long-Term Evolution networks, as well as the 
removal of all existing copper cables and replacing them with fibre optics.  
4.67.  Anyone who wishes to provide public telecommunications services must apply for a licence 
from the Minister for Telecomm unications. In the case of a carrier, the applicant must be registered 
in Barbados, and at least 25% of the equity must be held by Barbadian natural/legal persons. The 
authorities note that mobile virtual network operators (MVNOs) are also subject to the s ame 
ownership structure requirement.  
4.68.  As of end -May 2022, there were three carriers in the country providing cellular mobile 
services, including Internet services; these carriers also handle international traffic.25 All of these 
carriers have foreign capital participation, including from the CARICOM region. The authorities note 
that there are no legal provisions pertaining to any limits on the total number of carriers operating 
in the country.  Cable and Wireless (Barbados) Limited is the sole licensee for domestic landline 
services including domestic fixed Wi-Fi services. Provision of Voice Over Internet Protocol (VoIP) 
services is allowed only by licence holders of Full Domestic Licence, Full Mobile/International Licence, 
or International Licence (i.e.  the three carriers).  
4.69.  Telecommunications infrastructure, including satellite earth stations as well as submarine 
cable landing stations, is privately owned. In addition to the last mile connection to end users, each 
of the licensed carriers has its own tel ecom network. Nonetheless, infrastructure policies encourage 
operators to share properties, facilities, and infrastructure through, for instance, a co -location 
arrangement.  
4.70.  Barbados takes a technology neutral position, and adopts an equal access and indire ct access 
policy. A licensed carrier must treat any other carriers connecting to its network on a fair, reasonable, 
and non -discriminatory basis; this obligation is also applied to the branches or subsidiaries of a 
dominant carrier.26 A dominant carrier is  the carrier determined by the Minister, and which is not 
effectively constrained by competitive forces in a particular telecommunication market;27 Cable and 
Wireless (Barbados) Limited has been declared by the Minister as having dominance in fixed telecom  
services and international telecom services.28 Interconnection agreements are negotiated between 
carriers; in the case that no agreement is reached, the FTC may intervene and the intervention is 
binding to all parties. The dominant carrier is required to submit its reference interconnection offer 
(RIO) to the FTC for approval.  
 
25 Telecoms Unit, Major Licence Holders in Barbados . Viewed at: 
https://www.telecoms.gov.bb/i ndex18b1.html?option=com_content&view=article&id=28&Itemid=130 .  
26 Telecommunications Act , Article  25. 
27 Telecommunications Act , Article  26(3) . 
28 Telecommunications (Declaration of Dominance) Regulations, 2005 , Article  4. WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  4.71.  Telephone numbers are allocated to licensed operators according to the National Numbering 
Plan. Numbers may be portable across operators. The authorities note that the Local Number 
Portability Project is scheduled to be completed by March  2023. Regarding radio frequency allocation 
for telecommunications services, the spectrum is assigned to carriers based on their demonstrated 
needs and is allocated to allow for equality of spectrum o ver the various bands.29 Spectrum is never 
auctioned. The authorities are of a view that their spectrum management scheme will enhance 
competition because no carrier has an inordinate monopoly on spectrum that gives them an unfair 
advantage over the other carriers.  
4.72.  Universal service is mandatory, and is provided by Cable and Wireless (Barbados) Limited. 
Currently, universal telecom service in Barbados covers only voice service. The authorities indicate 
that an amendment to the universal service regulation i s being drafted; in the draft amended 
regulation, universal service is expected to cover broadband service, and a universal service fund is 
expected to be establish ed to finance the universal broadband service once the amendment enters 
into force.  
4.73.  The Data  Protection Act, which entered into force on 1  March  2021, is the legislation 
concerning data localization requirements for the protection of privacy of data at rest or in transit. 
The authorities indicate that the Data Protection Act follows principles si milar to those provided in 
the General Data Protection Regulation (GDPR) of the European  Union . There is no legislation 
concerning international data traffic restriction.  
4.4.3   Tourism  
4.74.  The tourism sector is of vital importance to the economy; the sector and related activities 
contributed, directly and indirectly, to over 50% of GDP. Tourism is the main driver of economic 
growth, the largest recipient of foreign investment, and the most significant foreign exchange 
earner.  
4.75.  Tourists to Barbados arriving by air usually stay longer than 24 hours; those arriving via cruise 
ships are generally transit arrivals and usually visit the island over the time when the cruise ship is 
calling at the port (i.e. shorter than 24  hours). Visitors from the United  Kingdom and the 
United  States  are the major source of revenues, with some two  thirds of the total. During the review 
period, tourist arrival gradually increased until April  2020 when the COVID -19 pandemic hit the 
country; tourist arrivals further declined in 2021, standin g at 21% of the pre -pandemic level 
(Table  4.7). 
Table  4.7 Stayover arrivals by source, 2015 -21 
(Number)   
2015  2016  2017  2018  2019  2020  2021  
United  States  148,067  168,945  188,460  204,274  219,769  43,222  44,804  
Canada  74,494  78,903  85,047  86,600  81,577  32,932  17,316  
Europe  255,027  258,408  257,643  259,719  264,751  81,945  62,598  
United  Kingdom  214,175  218,638  217,441  221,167  226,992  63,923  53,639  
Germany  12,338  11,492  11,243  10,595  12,271  1,280  2,062  
Others  28,514  28,278  28,959  27,957  25,488  16,742  6,897  
CARICOM  87,980  99,679  103,030  103,051  100,253  22,390  13,908  
Trinidad  and Tobago  29,659  34,000  35,822  32,674  31,571  6,819  4,908  
Others  58,321  65,679  67,208  70,377  68,682  15,571  9,000  
Others  26,304  25,578  26,980  25,834  26,308  14,613  6,207  
Total  591,872  631,513  661,160  679,478  692,658  195,102  144,833  
Note:  Statistics of 2021 are preliminary figures.  
Source:  Barbados Statistical Service, Visitor  Arrivals Statistics . Viewed at: 
https://stats.gov.bb/subjects/social -demographic -statistics/visitor -arrivals -statistics/  
 
29 Telecommunications (Spectrum Management and Licensing) Regulations, 2003.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 4.76.  As explained in Section  1, the COVID -19 pandemic had a devastati ng impact on the tourism 
sector in particular, and on the economy in general.  In response, the Government launch ed the 
Barbados Welcome Stamp Initiative on 30  June 2020, which grant s a 12-month visa to approved 
applicants and their dependents. The Initiative targets long -stay visitors and "loyal visitors". As of 
end-March  2022, the authorities approved 2,308 of 3,511 applications received, among which 39% 
were family applications and 61% for individual travellers. The authorities consider that the I nitiative 
improved perception of Barbados' key brand attributes, and increased tourists' spending on the 
island.  
4.77.  For the purpose s of job protection and investment attraction against the devastation caused 
by the pandemic, the Government also developed the Barbados Employment and Sustainable 
Transformation (BEST) Programme. A total of BBD 300 million  was pledged in the Programme for 
supporting the tourism sector; support was provided through grants or preferential share 
investment, with an aim of enhancing t he cash flow of businesses so as to allow these businesses to 
continue hiring employees and transform their business model to adapt to the new reality.  
4.78.  In the National Agricultural Policy, tourism is identified as having linkages with the agricultural 
sector (e.g. the sugar industry), particularly for agrotourism and community tourism. The authorities 
note that community tourism is not a tourism product, but a concept of tourism development, with 
the potential for empowerment . The authorities expect that the success of community tourism will 
attract more returning tourists.  
4.79.  During the review period, the legal and institutional framework for tourism remained largely 
unchanged. The main legislation governing the sector is the Tourism Development Act , Cap. 341 
and the Special Development Areas Act , Cap. 273A. The Ministry of Tourism and International 
Transport is responsible for formulating sectoral development policies, while Barbados Tourism 
Investment Incorporated (BTI) is responsible for attracting and facil itating foreign investment in the 
sector. Barbados Tourism Marketing Incorporated (BTMI) is the tourism promotion entity responsible 
for marketing, market intelligence , and product development. The Barbados Tourism Product 
Authority (BTPA), under the Minis try of Tourism and International Transport, is the sectoral 
regulator, responsible for registering and licensing all products and operators, including classifying 
tourist accommodation and restaurants.  
4.80.  Foreigners may own land in Barbados to develop tourism  facilities.  The authorities note that 
there are no restrictions on foreign capital participation in the tourism sector, including hotel 
accommodation, restaurant and culinary services, recreational facilities, and tourism operators.  Most 
requirements for investors in tourism are related to service qualification and prudence. These 
requirements are equally applied to foreign nationals and Barbadian/CARICOM nationals.  
4.81.  Shared accommodation services providers (e.g. Airbnb) are allowed, as long as the property 
owners satisfy the conditions on accommodation registration and are licensed with BTPA. The 
authorities are of view that share d accommodation has a unique position in Barbados' community 
tourism policy.  
4.82.  Under the Tourism Development Act, Cap.  341, a qualif ying owner of a tourism project or of 
a completed tourism product may offset expenditures on construction or the provision of certain 
amenities against its profits. Under the Act, eligible businesses in the tourism sector, including 
tourism projects or pro ducts, may benefit from exemption (or refund) of import duties (including 
VAT) on building materials, a range of furniture, sports/recreational equipment, and other supplies 
that are required to manage efficiently the day -to-day operation of the tourism pr oduct. Hotels with 
a restaurant on the premises enjoy duty -free importation of stores of food and beverages (alcoholic 
and non -alcoholic). Beneficiaries may also enjoy income tax concessions with respect to the write -off 
of interest, accelerated deduction of expenditure, interest rate subsidy, equity financing, training, 
and marketing. They may also deduct approved capital expenditures from revenues for 15 years 
(except restaurants), for projects with a value of up to BBD 200 million . Hotels with capital 
expenditure over BBD 200 million  are allowed one additional year to write off expenditure for each 
additional BBD 20 million  expended, up to a maximum of 20 years.  
4.83.  As provided by the Special Development Areas Act, Cap.  273A, developers involved in 
constructing, renovating , or refurbishing buildings related to certain tourism activities in specific 
areas of the country are eligible for exemption from certain taxes. Tax exemptions relate to the WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  payment of import duties, the environmental levy , and VAT  on inputs for building works. Investors 
making loans for such projects are also exempt from income tax on the interest received. In addition, 
investors (including persons providing loans) are eligible for an investment tax credit to be offset 
against tax payable. Persons financing such work under the Special Development Areas Act are 
exempt from income tax on interest received. Approved developers are exempt from import duties 
and VAT on inputs for the construction or renovation of buildings, withholding t ax on repatriation of 
interest for a period of 15 years, land tax, and property transfer tax payable by vendors on the initial 
purchase of the company. Approved developers are subject to a corporate tax rate of 15%. According 
to the authorities, the terms and conditions attached to tax concessions do not include requirements 
to employ Barbadian nationals. However, to employ foreign nationals, the employer must prove that 
the required skill is not available in Barbados.  
4.4.4   Transport  
4.4.4.1   Air transport  
4.84.  Aviation is the main model of transport for people and goods entering in and departing from 
the country. During the review period, Barbados experienced an expansion of air transport, until the 
onset of COVID -19 pandemic in 2020. Since May  2020, passenger t raffic has declined sharply.  
4.85.  During the review period, the legal and institution framework for air transport remained 
unchanged. The principal legislation is the Civil Aviation Act , 2004, and its amendment in 2007. The 
Barbados Civil Aviation Department (B CAD), under the Ministry of Tourism and International 
Transport, is the sector's regulator. BCAD is responsible for formulating policies related to civil 
aviation, and performs regulatory oversight functions such as certifying operators and licensing 
opera tors' personnel. The Air Traffic Services within BCAD provides air navigation services and air 
traffic management for Barbadian air space. According to the authorities, the Government is 
undergoing a policy discussion on the overhaul of the aviation regula tory regime, including the 
creation of an independent civil aviation authority.  
4.86.  Anyone wishing to provide air transport services in Barbados must obtain an air operator 
certificate (AOC, for business authorization) and air operator licence (AOL, for safety  compliance) 
from BCAD. AOCs are issued only to applicants who are Barbadian or CARICOM nationals; the 
applicants must have their principal business address registered within the territories of any 
CARICOM member State, and the business must be effectively  controlled by Barbadian/CARICOM 
nationals. As of June  2022, there were two valid AOCs in operation, both of which are small operators 
providing short -distance commercial services such as air taxis. Barbados does not have a national 
airline/flag carrier. T he Government remains a major shareholder of LIAT, an airline operat ing 
inter-island scheduled services in the Caribbean.  
4.87.  Barbados maintains 30 bilateral air service agreements (BASAs) with its trading partners; the 
BASAs offer up to fifth freedom with res trictions on ownership. Due to the absence of a national 
carrier, Barbados in its BASAs applies CARICOM ownership, designating any CARICOM -based carriers 
as its national carrier when enforcing the agreements. The authorities note that two BASAs are "open 
skies agreements", namely the ones with the United  States  and with  the Bolivarian Republic of 
Venezuela. Barbados is a signatory to the CARICOM Multilateral Air Services Agreement (CARICOM 
MASA); this Agreement confers third and fourth freedom route rights to airlines owned and operated 
by Caribbean nationals, while fifth freedoms are exchanged on a bilateral basis, and day tour regimes 
may also be negotiated. Barbados also is a signatory to the Air Transport Agreement among the 
Member States of the Associat ion of Caribbean States.  
4.88.  Grantley Adams International Airport is the only airport, and serves as the main international 
gateway to the country. The airport is government -owned; state ownership is represented by 
Grantley Adams International Airport Incorpor ated (GAIA Inc.), a fully  government -owned 
enterprise. GAIA Inc. is the manager and operator of the airport. The authorities note that the 
airport's management and facilities operation by GAIA Inc . are not under concession from the 
Government. The authorit ies further indicate that the Government is also considering a reform of 
the airport 's management and operation, as part of the aviation regulatory regime overhaul.  
4.89.  Private sector operators are allowed to provide ground handling services such as passenger 
processing, cargo handling, catering, and ramp operations. Ground handling service providers must WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 sign a licence agreement with BCAD to provide the service. Currently, all ground handlers are local 
services providers, though the authorities note that forei gn services providers have expressed 
interest in participation. The authorities further indicate that contracting ground handling services is 
also included in the aviation regulatory regime overhaul.  
4.90.  The supply of jet fuel to foreign -registered aircrafts i s considered as re -export.  
4.4.4.2   Maritime transport  
4.91.  The Barbados Maritime Ships Registry (BMSR) deals with all foreign -going ships and all coastal 
and Caribbean ships over 150 tonnes. There are no restrictions on the ownership of vessels. Ships 
registered with B MSR benefit from a liberal tax regime. Shipping companies incorporated outside of 
Barbados may operate Barbados -registered ships; the ship 's earnings are not subject to taxes in 
Barbados and there is no requirement for foreign companies owning Barbados -registered ships to 
be incorporated in Barbados. Companies not incorporated in Barbados that operate 
Barbados -registered ships are also not liable for any Barbados tax. The Shipping (Incentives) Act, 
Cap. 90A encourages the development of Barbados ' shipping activities by granting relief from 
corporate income tax, import duty, withholding tax, and other concessions to approved shipping 
companies for a period of 10 years.30 
4.92.  Bridgetown Harbour, the only port of the country, is owned by the State. Simil ar to the 
situation in aviation, Bridgetown Harbour is managed and operated by Barbados Port Incorporated 
(BPI), a fully  government -owned enterprise. BPI's management and operation of the harbour is not 
under concession from the Government. Certain service s are provided by the private sector on behalf 
of BPI , including depot services, maritime agency services, maritime freight -forwarding services, 
stevedoring, and maintenance and repair of vessels.  
4.4.4.3   Land transport  
4.93.  Passenger transport service providers such a s buses, vans, tourist coaches, and taxi s are 
regulated by the Transport Authority, under the Ministry of Tourism and International Transport. All 
operators providing passenger transport services, regardless of whether they are fixed-route or not, 
must be registered with Transport Authority, and their vehicles must be licensed with the Barbados 
Licensing Authority. In the case that the land transporter is engaged in any tourism -related activities, 
the transporter must also be registered and licensed by BTPA . The authorities note that  there are 
no restrictions on foreign (i.e. non -CARICOM) participation in land transport.  
4.94.  Currently, the scheduled service on fixed routes is operated by a state -owned operator, the 
Barbados Transport Board. Passenger transport o n fixed routes is augmented with unscheduled 
demand -service operated by privately  owned operators. Fares for passenger transport, including bus 
tickets and taxi fares, are regulated. Taxi operators charge passengers a fixed price based on the 
distance they  travel. The authorities indicate that the structure of the taxi subsector and its fare 
structure are currently under review.  
4.95.  Ride-hailing services are currently not allowed. However, the authorities indicate that 
ride-hailing services are being considered  as part of the review of taxi subsector structure.  
4.96.  According to the authorities, the land transport sector is set to undergo a major 
transformation to a fossil -fuel-free sector by 2030. The Barbados Transport Board began 
electrification of its bus fleet. The authorities further indicate that the large programme upgrading 
the country's road system over the 2022 -26 period will support other investments in the 
decarbonization of road transport.  
 
30 An approved shipping company incurring in approved capital expenditure up to BBD 200 million  in 
respect of an approved shipping activity may deduct this expenditure for income tax purposes over a period of 
15 years. Also, an approved shipping company that  is granted income tax concessions under the Act may, for 
the purpose s of the assessment of income tax, carry forward, in respect of the first nine years of assessment 
after the expiration of the concession period, losses that were incurred during the conc ession period and were 
not written off.  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  5  APPENDIX TABLES  
Table  A1.1 Merchandise exports by HS section and main chapter, 2014 -21 
(USD  million and %)  
Description  2014  2015  2016  2017  2018  2019  2020  2021  
Total exports  481 483 517 485 458 444 345 350 
of which:  re-exports  197 230 255 230 202 .. 120 127  
(% of total exports)  
1 - Live animals; animal products  0.5 0.4 0.4 0.4 0.4 0.4 0.6 0.8 
03. Fish and crustaceans . molluscs and other 
aquatic invertebrates  0.1 0.1 0.1 0.1 0.1 0.0 0.1 0.4 
01. Live animals  0.2 0.1 0.2 0.1 0.2 0.2 0.4 0.3 
04. Dairy produce; birds' eggs; natural honey; 
edible products of animal origin  0.1 0.1 0.1 0.1 0.1 0.0 0.1 0.0 
2 - Vegetable products  1.0 1.0 0.8 0.8 0.8 0.8 0.8 0.8 
11. Products of the milling industry; malt; 
starches; inulin; wheat gluten  0.9 0.9 0.7 0.7 0.7 0.7 0.8 0.8 
3 - Animal or vegetable fats and oils; prepared edible 
fats 2.6 2.4 2.2 2.5 2.7 2.7 3.5 4.0 
4 - Prepared foodstuffs; beverages, spirits and 
vinegar; tobacco  16.7 15.3 15.0 18.9 17.7 17.0 19.9 22.4 
22. Beverages . spirits and vinegar  10.2 9.9 10.3 12.3 12.3 11.9 14.1 16.9 
19. Preparations of cereals . flour. starch or milk  2.5 1.9 1.7 1.9 2.1 2.3 2.9 3.2 
21. Miscellaneous edible preparations  0.2 0.3 0.2 0.3 0.3 0.4 0.8 0.7 
20. Preparations of vegetables, fruit, nuts or other 
parts of plants  0.9 1.1 1.1 1.1 1.2 1.1 0.9 0.5 
16. Preparations of meat, of fish or of crustaceans  0.4 0.4 0.3 0.4 0.4 0.5 0.3 0.4 
5 - Mineral products  34.1 22.4 18.6 25.7 31.0 34.4 31.1 27.9 
27. Mineral fuels, mineral oils and products of their 
distillation  30.0 18.7 15.0 22.2 26.4 28.7 26.5 23.8 
2710. Petroleum oils and oils obtained from 
bituminous minerals, other than crude  24.2 15.7 13.1 19.5 23.8 24.4 23.4 20.9 
2709. Petroleum oils and oils obtained from 
bituminous minerals, crude  5.5 2.9 1.7 2.6 2.4 3.4 2.7 1.7 
2713. Petroleum coke, petroleum bitumen and 
other residues  0.0 0.0 0.1 0.1 0.1 0.9 0.4 1.2 
25. Salt; sulphur; earths and stone; plastering 
materials, lime and cement  4.1 3.8 3.6 3.4 4.5 5.7 4.6 4.0 
6 - Products of the chemical or allied industries  14.8 15.6 13.8 14.6 13.0 10.1 16.3 14.1 
30. Pharmaceutical products  9.9 10.2 8.8 7.3 6.5 6.1 7.0 7.0 
38. Miscellaneous chemical products  2.5 2.1 2.1 1.9 1.9 0.7 6.7 3.9 
32. Tanning or dyeing extracts and their 
derivatives; dyes, pigments and paints  1.4 1.5 1.5 1.7 2.2 2.0 1.6 1.6 
33. Essential oils and resinoids; perfumery, 
cosmetic or toilet preparations  0.7 1.4 1.1 3.6 2.1 1.1 0.5 1.2 
7 - Plastics and articles thereof; rubber and articles 
thereof  1.0 1.0 1.1 1.2 1.3 1.2 1.5 1.9 
39. Plastics and articles thereof  0.8 0.9 0.9 1.0 1.2 1.2 1.2 1.2 
40. Rubber and articles thereof  0.2 0.2 0.2 0.2 0.1 0.1 0.3 0.7 
8 - Raw hides and skins, leather, furskins and articles 
thereof; travel goods, handbags; articles of animal gut  0.9 1.4 1.2 2.0 0.7 0.3 0.1 0.3 
42. Articles of leather; travel goods, handbags; 
articles of animal gut  0.9 1.4 1.2 2.0 0.7 0.3 0.1 0.3 
9 - Wood and articles of wood; wood charcoal; cork 
and articles of cork  0.0 0.1 0.1 0.2 0.1 0.1 0.1 0.2 
10 - Pulp of wood or of other fibrous cellulosic 
material; paper and paperboard and articles thereof  3.6 3.1 3.2 3.3 4.0 3.8 5.2 5.6 
48. Paper and paperboard; articles of paper pulp, 
of paper or of paperboard  3.1 2.8 2.9 3.0 3.7 3.5 5.0 5.2 
49. Printed books, newspapers, pictures and other 
products of the printing industry  0.4 0.3 0.3 0.3 0.3 0.2 0.2 0.4 
11 - Textiles and textile articles  1.6 2.7 2.7 3.5 2.2 1.5 1.4 1.7 
62. Articles of apparel and clothing accessories, not 
knitted or crocheted  0.8 1.5 1.6 2.0 1.3 0.7 0.7 0.8 
63. Other made up textile articles  0.4 0.4 0.4 0.6 0.5 0.4 0.6 0.5 
61. Articles of apparel and clothing accessories, 
knitted or crocheted  0.3 0.5 0.5 0.9 0.4 0.3 0.2 0.2 
12 - Footwear, headgear, umbrellas; prepared 
feathers and articles; artificial flowers  0.4 1.6 1.4 1.9 0.8 0.5 0.4 0.6 
13 - Articles of stone, plaster, cement, etc.; ceramic 
products; glass and glassware  0.6 0.5 0.6 1.2 1.1 1.4 1.0 0.6 
14 - Natural or cultured pearls, precious or semi -
precious stones, precious metals  3.4 8.5 18.0 4.9 6.1 4.9 1.2 2.9 
15 - Base metals and articles of base metal  3.1 3.4 3.1 3.5 4.6 4.8 5.2 5.5 
76. Aluminium and articles thereof  1.0 1.1 1.0 1.2 1.3 1.2 1.5 1.9 
73. Articles of iron or steel  1.6 1.7 1.5 1.5 2.1 1.7 1.9 1.9 
72. Iron and steel  0.4 0.3 0.3 0.4 0.7 1.4 1.7 1.5 
16 - Machinery and mechanical appliances; electrical 
equipment; television image and sound recorders  3.5 4.4 4.4 4.3 3.5 2.6 4.8 3.9 
85. Electrical machinery and equipment; sound 
recorders and reproducers  2.3 3.5 3.0 3.0 2.4 1.9 2.4 2.5 
84. Nuclear reactors, boilers, machinery and 
mechanical appliances  1.2 0.9 1.4 1.3 1.1 0.7 2.3 1.4 WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Description  2014  2015  2016  2017  2018  2019  2020  2021  
17 - Vehicles, aircraft, vessels and associated 
transport equipment  2.5 2.6 1.4 1.8 1.0 1.4 1.8 1.2 
87. Vehicles other than railway or tramway rolling -
stock, parts and accessories  1.0 2.2 0.7 0.6 0.6 0.6 0.8 0.7 
88. Aircraft, spacecraft, and parts thereof  0.3 0.2 0.2 0.1 0.2 0.3 0.3 0.3 
89. Ships, boats and floating structures  1.2 0.1 0.5 1.0 0.1 0.5 0.8 0.2 
18 - Optical, photographic, precision, medical or 
surgical instruments; clocks and watched; musical 
instruments  8.3 11.7 9.9 7.3 6.3 8.6 2.8 4.2 
90. Optical, photographic, precision, medical 
instruments and apparatus  5.3 5.6 6.1 5.3 4.6 4.4 2.6 3.4 
91. Clocks and watches and parts thereof  3.0 6.0 3.7 2.0 1.7 4.2 0.2 0.8 
19 - Arms and ammunition  0.0 0.0 0.1 0.1 0.0 0.0 0.0 0.0 
20 - Miscellaneous manufactured articles  0.4 1.2 1.5 1.2 2.1 1.3 1.3 0.8 
94. Furniture; bedding, mattresses, mattress 
supports, cushions and similar stuffed furnishings  0.3 0.9 1.2 0.9 1.9 1.1 1.2 0.7 
21 - Works of art, collectors' pieces and antiques  0.0 0.0 0.0 0.1 0.1 0.0 0.0 0.0 
Others  0.9 0.8 0.7 0.6 0.7 2.3 0.8 0.7 
.. Not available.  
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  Table A1.1b Merchandise domestic exports by HS sections and main chapters, 2014 -21 
(USD million and %)  
Description  2014  2015  2016  2017  2018  2019  2020  2021  
Total domestic exports  283 253 262 255 255 .. 225 224  
(% of total domestic exports)  
1 - Live animals; animal products  0.8 0.7 0.8 0.8 0.8 .. 0.9 1.2 
03. Fish and crustaceans, molluscs and other 
aquatic invertebrates  0.1 0.2 0.2 0.1 0.2 .. 0.1 0.6 
01. Live animals  0.3 0.3 0.3 0.3 0.4 .. 0.7 0.5 
04. Dairy produce; birds' eggs; natural honey; 
edible products of animal origin  0.2 0.2 0.2 0.1 0.1 .. 0.1 0.1 
2 - Vegetable products  1.6 1.8 1.5 1.5 1.4 .. 1.2 1.3 
11. Products of the milling industry; malt; 
starches; inulin; wheat gluten  1.5 1.6 1.4 1.4 1.3 .. 1.2 1.2 
3 - Animal or vegetable fats and oils; prepared edible 
fats 4.3 4.5 4.2 4.7 4.9 .. 5.4 6.2 
4 - Prepared foodstuffs; beverages, spirits and 
vinegar; tobacco  26.5 26.6 27.2 29.9 26.9 .. 29.2 33.5 
22. Beverages, spirits and vinegar  16.4 17.5 18.8 19.8 19.0 .. 21.1 25.2 
19. Preparations of cereals, flour, starch or milk; 
pastrycooks' products  4.3 3.7 3.4 3.5 3.7 .. 4.5 5.0 
21. Miscellaneous edible preparations  0.3 0.5 0.4 0.5 0.5 .. 0.8 1.0 
20. Preparations of vegetables, fruit, nuts or 
other parts of plants  1.6 2.1 2.1 2.1 2.1 .. 1.4 0.8 
5 - Mineral products  16.8 12.9 10.7 11.7 12.7 .. 11.8 10.9 
25. Salt; sulphur; earths and stone; plastering 
materials, lime and cement  6.9 7.1 7.2 6.5 8.1 .. 7.0 6.3 
27. Mineral fuels, mineral oils and products of 
their distillation; bituminous substances  9.9 5.8 3.6 5.2 4.6 .. 4.8 4.7 
6 - Products of the chemical or allied industries  15.9 18.3 17.3 13.8 14.3 .. 17.0 14.0 
38. Miscellaneous chemical products  3.8 3.9 3.9 3.4 3.3 .. 9.3 6.0 
30. Pharmaceutical products  9.2 10.8 10.0 6.8 6.7 .. 4.5 4.4 
32. Tanning or dyeing extracts; tannins and their 
derivatives; dyes, pigments and other colouring 
matter, etc.  2.3 2.8 2.9 3.0 3.8 .. 2.3 2.3 
33. Essential oils and resinoids; perfumery, 
cosmetic or toilet preparations  0.4 0.5 0.4 0.4 0.5 .. 0.7 0.9 
7 - Plastics and articles thereof; rubber and articles 
thereof  1.3 1.3 1.3 1.4 1.8 .. 1.6 1.7 
39. Plastics and articles thereof  1.2 1.3 1.3 1.4 1.8 .. 1.6 1.7 
8 - Raw hides and skins, leather, furskins and articles 
thereof; travel goods, handbags; articles of animal 
gut 0.1 0.1 0.1 0.1 0.1 .. 0.0 0.0 
9 - Wood and articles of wood; wood charcoal; cork 
and articles of cork  0.0 0.0 0.1 0.3 0.2 .. 0.1 0.2 
10 - Pulp of wood or of other fibrous cellulosic 
material; paper and paperboard and articles thereof  5.8 5.7 6.0 6.0 6.9 .. 7.5 8.2 
48. Paper and paperboard; articles of paper pulp, 
of paper or of paperboard  5.0 5.1 5.4 5.4 6.4 .. 7.2 7.5 
49. Printed books, newspapers, pictures and 
other products of the printing industry  0.7 0.5 0.6 0.5 0.5 .. 0.3 0.7 
11 - Textiles and textile articles  0.8 1.2 0.8 1.0 0.8 .. 0.7 0.9 
63. Other made up textile articles; sets; worn 
clothing and worn textile articles; rags  0.6 0.7 0.7 0.8 0.7 .. 0.7 0.7 
52. Cotton  0.1 0.4 0.1 0.1 0.1 .. 0.0 0.1 
12 - Footwear, headgear, umbrellas; prepared 
feathers and articles; artificial flowers  0.0 0.0 0.0 0.0 0.0 .. 0.0 0.0 
13 - Articles of stone, plaster, cement, etc.; ceramic 
products; glass and glassware  0.7 0.3 0.2 1.0 1.5 .. 1.3 0.7 
68. Articles of stone, plaster, cement, asbestos, 
mica or similar materials  0.4 0.1 0.1 0.8 1.3 .. 1.1 0.5 
70. Glass and glassware  0.3 0.2 0.1 0.1 0.2 .. 0.1 0.2 
14 - Natural or cultured pearls, precious or semi -
precious stones, precious metals  1.7 1.9 1.2 1.3 1.1 .. 0.5 0.5 
15 - Base metals and articles of base metal  5.1 5.9 5.2 5.7 7.7 .. 7.8 8.2 
76. Aluminium and articles thereof  1.7 2.0 1.8 2.1 2.3 .. 2.2 2.9 
73. Articles of iron or steel  2.6 3.0 2.5 2.6 3.6 .. 2.9 2.8 
72. Iron and steel  0.6 0.5 0.5 0.7 1.3 .. 2.6 2.4 
16 - Machinery and mechanical appliances; electrical 
equipment; television image and sound recorders  5.0 4.6 5.8 5.8 5.7 .. 6.7 5.3 
85. Electrical machinery and equipment and parts 
thereof; television image and sound recorders 
and reproducers  3.3 3.8 4.7 3.9 4.0 .. 3.6 3.6 
84. Machinery and mechanical appliances; parts 
thereof  1.7 0.8 1.1 1.9 1.7 .. 3.1 1.7 
17 - Vehicles, aircraft, vessels and associated 
transport equipment  3.0 1.0 1.9 2.8 1.0 .. 2.2 1.0 
88. Aircraft, spacecraft, and parts thereof  0.5 0.4 0.5 0.2 0.4 .. 0.4 0.5 
87. Vehicles other than railway or tramway 
rolling - stock and parts and accessories thereof  0.5 0.5 0.8 0.5 0.3 .. 0.7 0.4 
18 - Optical, photographic, precision, medical or 
surgical instruments; clocks and watched; musical 
instruments  8.4 9.8 11.7 9.4 7.6 .. 2.9 4.2 WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Description  2014  2015  2016  2017  2018  2019  2020  2021  
90. Optical, photographic, cinematographic, 
measuring, checking, precision, medical or 
surgical instruments and apparatus  7.3 9.7 11.0 9.3 7.5 .. 2.8 4.1 
91. Clocks and watches and parts thereof  1.1 0.1 0.7 0.1 0.2 .. 0.0 0.0 
19 - Arms and ammunition  0.0 0.0 0.1 0.1 0.0 .. 0.0 0.0 
20 - Miscellaneous manufactured articles  0.6 1.6 2.3 1.6 3.3 .. 1.8 1.0 
94. Furniture; bedding, mattresses, mattress 
supports, cushions and similar stuffed 
furnishings; lamps and lighting fittings  0.5 1.5 2.3 1.6 3.3 .. 1.8 1.0 
21 - Works of art, collectors' pieces and antiques  0.1 0.0 0.1 0.1 0.1 .. 0.0 0.0 
Others  1.5 1.5 1.4 1.1 1.1 .. 1.3 1.1 
.. Not available.  
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  Table A1. 2 Merchandise imports by HS section and main HS chapter, 2014 -21 
(USD  million and %)  
Description  2014  2015  2016  2017  2018  2019  2020  2021  
Total 1,740 1,618 1,621 1,600 1,600 1,581 1,501 1,673  
(% of total imports)  
1 - Live animals; animal products  4.7 4.7 4.4 4.7 5.1 4.6 4.8 4.7 
04. Dairy produce; birds' eggs; natural honey; edible 
products of animal origin  2.1 1.9 1.7 1.9 2.1 2.0 2.0 1.9 
02. Meat and edible meat offal  1.6 1.8 1.6 1.8 1.8 2.0 1.8 1.9 
03. Fish and crustaceans, molluscs and other aquatic 
invertebrates  1.0 1.1 1.0 1.0 1.1 0.6 0.9 0.9 
2 - Vegetable products  4.2 4.5 4.6 4.6 4.7 4.7 5.0 5.0 
08. Edible fruit and nuts; peel of citrus fruit or 
melons  0.9 1.1 1.1 1.1 1.1 1.2 1.2 1.3 
10. Cereals  1.1 1.0 1.0 0.9 0.9 0.9 1.0 1.1 
07. Edible vegetables and certain roots and tubers  0.8 0.8 0.9 1.0 1.0 1.1 1.0 1.0 
12. Oil seeds and oleaginous fruits; miscellaneous 
grains, seeds and fruit  0.8 0.9 0.9 0.8 0.8 0.8 0.8 0.9 
11. Products of the milling industry; malt; starches; 
inulin; wheat gluten  0.4 0.4 0.5 0.4 0.4 0.5 0.5 0.5 
09. Coffee, tea, maté and spices  0.2 0.3 0.2 0.3 0.3 0.2 0.3 0.3 
3 - Animal or vegetable fats and oils; prepared edible 
fats 0.7 0.6 0.6 0.6 0.8 0.6 0.8 0.6 
4 - Prepared foodstuffs; beverages, spirits and vinegar; 
tobacco  10.3 11.7 11.7 12.3 12.2 12.0 12.8 11.8 
21. Miscellaneous edible preparations  1.9 2.2 2.3 2.3 2.4 2.6 2.7 2.6 
22. Beverages, spirits and vinegar  2.4 3.0 3.0 3.0 3.0 2.8 2.7 2.4 
19. Preparations of cereals, flour, starch or milk  1.5 1.8 1.7 1.8 1.8 1.9 2.0 1.8 
20. Preparations of vegetables, fruit, nuts or other 
parts of plants  1.3 1.4 1.4 1.5 1.5 1.5 1.4 1.3 
17. Sugars and sugar confectionery  1.2 1.1 1.1 1.3 1.2 1.1 1.4 1.3 
16. Preparations of meat, of fish or of crustaceans  0.8 0.9 0.9 0.9 1.0 0.9 1.1 1.1 
5 - Mineral products  25.7 19.1 15.9 19.9 23.7 20.3 18.0 21.0 
27. Mineral fuels, mineral oils and products of their 
distillation  25.6 18.7 15.5 19.6 23.2 19.9 17.3 20.5 
2710. Petroleum oils and oils obtained from 
bituminous minerals, other than crude  24.5 18.0 14.8 18.7 22.2 19.0 16.3 19.3 
2711. Petroleum gases and other gaseous 
hydrocarbons  0.6 0.5 0.6 0.7 0.8 0.6 0.8 0.8 
25. Salt; sulphur; earths and stone; plastering 
materials, lime and cement  0.2 0.4 0.4 0.2 0.5 0.4 0.7 0.5 
6 - Products of the chemical or allied industries  9.7 9.8 9.7 9.4 9.0 8.1 9.5 9.1 
30. Pharmaceutical products  4.0 3.9 3.8 3.2 3.1 2.9 3.0 2.8 
38. Miscellaneous chemical products  1.3 1.2 1.3 1.3 1.2 0.9 1.9 2.1 
33. Essential oils and resinoids; perfumery, cosmetic 
or toilet preparations  1.3 1.4 1.4 1.6 1.4 1.2 1.3 1.1 
34. Soap, organic surface -active agents, washing 
and lubricating preparations  1.1 1.2 1.2 1.2 1.2 1.2 1.3 1.1 
32. Tanning or dyeing extracts and their derivatives; 
dyes, pigments and paints  0.8 0.8 0.8 0.9 0.9 0.9 0.9 0.9 
7 - Plastics and articles thereof; rubber and articles 
thereof  4.1 4.3 4.2 4.1 4.3 3.9 4.4 5.0 
39. Plastics and articles thereof  3.3 3.4 3.4 3.3 3.5 3.2 3.7 4.2 
40. Rubber and articles thereof  0.8 0.9 0.8 0.8 0.8 0.7 0.7 0.9 
8 - Raw hides and skins, leather, furskins and articles 
thereof; travel goods, handbags; articles of animal gut  0.4 0.5 0.5 0.4 0.3 0.3 0.2 0.2 
42. Articles of leather; travel goods, handbags; 
articles of animal gut  0.4 0.5 0.5 0.4 0.3 0.3 0.2 0.2 
9 - Wood and articles of wood; wood charcoal; cork and 
articles of cork  1.8 1.8 1.8 1.9 1.6 1.3 1.8 2.1 
44. Wood and articles of wood; wood charcoal  1.7 1.8 1.8 1.8 1.6 1.2 1.7 2.0 
10 - Pulp of wood or of other fibrous cellulosic material; 
paper and paperboard and articles thereof  3.0 3.2 3.2 3.0 3.1 3.4 3.2 2.9 
48. Paper and paperboard; articles of paper pulp, of 
paper or of paperboard  2.4 2.6 2.6 2.5 2.6 3.0 2.8 2.5 
49. Printed books, newspapers, pictures and other 
products of the printing industry  0.5 0.6 0.6 0.5 0.5 0.5 0.4 0.4 
11 - Textiles and textile articles  2.4 2.6 2.6 2.6 2.6 2.1 2.2 2.0 
63. Other made up textile articles  0.6 0.6 0.6 0.6 0.7 0.6 0.8 0.7 
62. Articles of apparel and clothing accessories, not 
knitted or crocheted  0.9 1.0 1.0 1.0 1.0 0.7 0.7 0.7 
61. Articles of apparel and clothing accessories, 
knitted or crocheted  0.3 0.4 0.4 0.4 0.4 0.3 0.2 0.2 
12 - Footwear, headgear, umbrellas; prepared feathers 
and articles; artificial flowers  0.9 1.0 1.0 0.9 0.8 0.7 0.5 0.5 
64. Footwear, gaiters and the like; parts of such 
articles  0.8 0.8 0.8 0.7 0.6 0.5 0.3 0.4 
13 - Articles of stone, plaster, cement, etc.; ceramic 
products; glass and glassware  1.9 1.7 2.1 2.0 1.6 1.3 1.6 1.8 
70. Glass and glassware  0.9 0.8 1.0 0.9 0.8 0.7 0.8 0.8 
14 - Natural or cultured pearls, precious or semi -
precious stones, precious metals  1.3 1.6 4.8 1.4 1.4 0.8 0.0 0.0 
15 - Base metals and articles of base metal  4.1 4.5 4.2 4.5 4.1 4.5 4.7 5.2 
73. Articles of iron or steel  1.7 1.8 1.7 1.8 1.6 1.9 2.0 2.0 
72. Iron and steel  0.7 0.8 0.6 0.8 0.7 0.8 0.7 1.0 WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Description  2014  2015  2016  2017  2018  2019  2020  2021  
76. Aluminium and articles thereof  0.7 0.8 0.7 0.8 0.7 0.7 0.9 0.9 
16 - Machinery and mechanical appliances; electrical 
equipment; television image and sound recorders  14.5 16.7 15.7 14.7 12.8 13.0 18.2 17.0 
84. Nuclear reactors, boilers, machinery and 
mechanical appliances  6.9 9.4 8.8 8.5 7.4 8.2 9.6 10.3 
85. Electrical machinery and equipment; sound 
recorders and reproducers  7.6 7.3 6.9 6.1 5.3 4.8 8.6 6.7 
17 - Vehicles, aircraft, vessels and associated transport 
equipment  4.4 5.1 6.3 6.7 5.9 6.2 6.7 5.2 
87. Vehicles other than railway or tramway rolling -
stock, parts and accessories  4.1 4.8 5.9 6.1 5.5 5.8 6.5 4.9 
89. Ships, boats and floating structures  0.2 0.2 0.3 0.5 0.2 0.2 0.0 0.1 
18 - Optical, photographic, precision, medical or surgical 
instruments; clocks and watched; musical instruments  2.8 3.1 3.5 2.6 2.9 2.4 2.6 2.0 
90. Optical, photographic, precision, medical 
instruments and apparatus  1.9 2.1 2.5 1.9 2.2 2.1 2.6 2.0 
19 - Arms and ammunition  0.0 0.0 0.1 0.0 0.0 0.0 0.0 0.0 
20 - Miscellaneous manufactured articles  2.6 2.8 2.8 3.5 2.7 2.5 2.6 3.0 
94. Furniture; bedding, mattresses, mattress 
supports, cushions and similar stuffed furnishings  1.9 2.0 1.9 2.7 1.9 1.7 1.9 2.2 
95. Toys, games and sports requisites; parts and 
accessories thereof  0.4 0.5 0.5 0.5 0.5 0.5 0.5 0.5 
21 - Works of art, collectors' pieces and antiques  0.0 0.0 0.0 0.1 0.0 0.0 0.0 0.0 
Others  0.4 0.4 0.4 0.3 0.4 7.3 0.4 0.5 
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  Table A1.3 Merchandise exports and re -exports by trading partner, 2014 -21 
(USD  million and %)  
Description  2014  2015  2016  2017  2018  2019  2020  2021  
Total exports  481 483 517 485 458 444 345 350 
of which:  Re-exports  197 230 255 230 202 .. 120 127  
(% of exports)  
Americas  64.3 72.6 73.2 67.8 67.5 66.9 66.2 68.6 
United  States  17.0 32.6 34.4 25.8 22.7 20.9 13.3 19.2 
Other America  47.3 40.0 38.8 41.9 44.8 46.0 52.9 49.4 
Jamaica  4.0 4.6 4.2 5.9 5.0 7.0 8.2 7.7 
Guyana  5.2 5.3 4.5 4.9 5.9 6.7 7.6 7.5 
Trinidad and Tobago  12.4 8.2 7.7 7.5 6.9 6.5 6.8 7.3 
Saint Lucia 4.2 3.7 3.7 3.8 4.6 3.9 4.9 5.0 
Canada  2.5 1.8 1.8 1.8 2.8 3.4 4.4 3.5 
Antigua and Barbuda  2.3 2.2 2.5 2.5 3.9 2.8 2.9 3.0 
Saint Vincent and the 
Grenadines  2.7 2.6 2.7 2.6 2.7 3.0 3.5 3.0 
Grenada  2.4 2.0 2.0 2.2 2.5 2.5 2.9 2.7 
Saint Kitts and Nevis  1.5 1.5 1.5 1.7 2.0 2.1 1.7 1.7 
Dominica  0.9 0.9 0.9 0.9 1.9 2.1 1.8 1.5 
Bahamas  0.8 0.9 1.0 0.9 0.7 0.7 1.2 1.1 
Dominican  Republic  0.4 0.5 0.5 0.4 0.5 0.4 1.2 0.8 
Curaçao  2.4 1.5 0.6 0.7 0.5 0.5 0.6 0.6 
Suriname  0.5 0.6 0.7 0.9 1.1 1.3 1.0 0.6 
Virgin Islands , British  0.7 0.7 0.6 0.7 0.9 0.9 0.5 0.6 
Nicaragua  0.3 0.2 0.2 0.3 0.5 0.3 0.3 0.5 
Europe  8.1 7.0 7.2 8.4 5.6 5.5 8.2 8.0 
EU-27 4.5 3.9 3.7 4.5 3.6 3.2 5.5 6.6 
France  2.1 2.2 2.1 2.5 2.0 1.7 3.0 3.3 
Netherlands  0.3 0.5 0.6 0.7 0.7 0.7 0.9 1.2 
Spain  0.4 0.4 0.2 0.1 0.1 0.4 1.0 1.0 
Germany  0.6 0.2 0.4 0.3 0.1 0.1 0.2 0.5 
Denmark  0.0 0.0 0.0 0.1 0.1 0.0 0.0 0.2 
EFTA 0.2 0.2 0.2 0.4 0.0 0.2 0.0 0.0 
Switzerland  0.2 0.2 0.2 0.4 0.0 0.2 0.0 0.0 
Other Europe  3.4 3.0 3.3 3.5 2.0 2.1 2.7 1.4 
United  Kingdom  3.3 2.9 3.1 3.3 1.8 2.0 2.5 1.4 
Türkiye  0.1 0.1 0.1 0.3 0.2 0.1 0.1 0.0 
Commonwealth of Independent 
States (CIS)a 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 
Africa  0.0 0.0 0.0 0.0 0.2 0.2 0.1 0.0 
Middle East  0.5 0.3 0.3 0.8 0.3 0.4 0.3 0.4 
United Arab Emirates  0.3 0.2 0.2 0.8 0.2 0.2 0.2 0.3 
Asia 2.9 4.4 6.2 3.4 2.6 2.5 1.6 2.1 
China  2.2 2.6 4.3 1.2 0.3 0.0 0.8 1.2 
Japan  0.0 0.1 0.0 0.0 0.0 0.0 0.0 0.0 
Other Asia  0.7 1.7 1.9 2.2 2.3 2.5 0.9 0.9 
Thailand  0.0 0.1 0.1 0.0 0.1 0.0 0.0 0.5 
Chinese  Taipei  0.3 0.1 0.1 0.1 0.1 0.1 0.1 0.1 
India 0.0 1.2 1.4 0.0 0.1 0.1 0.1 0.1 
Korea , Democratic People's 
Republic of  0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 
Other  24.2 15.7 13.1 19.5 23.8 24.4 23.5 20.9 
Memorandum:          
EU-28 7.8 6.7 6.9 7.8 5.4 5.3 8.0 7.9 
CARICOM  37.5 33.1 31.9 34.2 37.7 39.0 43.5 41.9 
.. Not available.  
a Commonwealth of Independent States, including certain associate and former member States.  
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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 Table A1.3b Merchandise domestic exports by trading partner, 2014 -21 
(USD  million and %)  
Description  2014  2015  2016  2017  2018  2019  2020  2021  
Total domestic exports  283 253 262 255 255 .. 225 224  
(% of domestic exports)  
Americas  85.1 81.3 77.0 81.9 86.7 .. 85.8 84.8 
 United  States  16.8 18.9 16.5 19.1 17.0 .. 16.1 18.9 
 Other America  68.3 62.3 60.5 62.8 69.7 .. 69.7 65.8 
     Jamaica  5.4 7.1 6.5 7.2 7.7 .. 12.2 11.4 
     Guyana  8.8 10.0 8.8 8.8 10.3 .. 11.0 11.4 
     Trinidad and Tobago  18.4 13.2 11.6 13.2 12.0 .. 9.9 11.2 
     Saint Lucia 5.7 5.6 5.7 5.7 6.3 .. 5.2 5.6 
     Canada  3.9 3.4 3.4 3.3 4.9 .. 6.6 5.4 
     Antigua and Barbuda  3.3 3.2 3.2 3.2 5.7 .. 3.3 2.9 
     Saint Vincent and the 
Grenadines  3.6 3.8 4.1 3.7 3.7 .. 4.0 2.9 
     Grenada  3.3 3.0 3.2 3.2 3.6 .. 2.9 2.8 
     Saint Kitts and Nevis  1.8 2.3 2.4 2.6 3.0 .. 2.0 2.0 
     Dominica  1.1 1.3 1.3 1.4 2.9 .. 2.0 1.8 
     Dominican  Republic  0.7 0.9 0.9 0.8 0.8 .. 1.8 1.2 
     Bahamas  0.8 1.0 1.4 1.0 1.0 .. 1.4 1.2 
     Suriname  0.9 1.1 1.4 1.7 1.9 .. 1.3 1.0 
     Curaçao  3.6 2.4 0.9 1.0 0.8 .. 0.9 0.9 
     Nicaragua  0.6 0.4 0.5 0.6 0.8 .. 0.4 0.7 
     Belize  0.5 0.6 0.6 0.7 0.4 .. 0.6 0.6 
Europe  9.4 10.1 10.4 11.0 7.9 .. 11.1 11.3 
 EU-27 4.7 5.0 4.7 5.5 5.1 .. 7.6 9.4 
     France  1.6 2.0 1.7 2.1 2.8 .. 4.1 5.2 
     Netherlands  0.6 0.9 1.2 1.4 1.2 .. 1.4 1.7 
     Spain  0.6 0.8 0.5 0.1 0.2 .. 1.6 1.5 
     Denmark  0.0 0.0 0.1 0.2 0.3 .. 0.1 0.4 
     Germany  0.4 0.4 0.8 0.6 0.3 .. 0.1 0.3 
 EFTA 0.1 0.2 0.3 0.2 0.0 .. 0.0 0.0 
     Switzerland  0.1 0.2 0.2 0.2 0.0 .. 0.0 0.0 
 Other Europe  4.7 4.9 5.5 5.3 2.8 .. 3.5 1.9 
     United  Kingdom  4.4 4.8 5.2 4.8 2.5 .. 3.2 1.9 
     Türkiye  0.3 0.1 0.2 0.5 0.3 .. 0.2 0.1 
Commonwealth of Independent 
States (CIS)a 0.0 0.0 0.0 0.0 0.0 .. 0.0 0.0 
Africa  0.0 0.0 0.0 0.1 0.3 .. 0.2 0.0 
Middle East  0.8 0.6 0.6 0.6 0.5 .. 0.4 0.5 
     United Arab Emirates  0.5 0.4 0.5 0.5 0.3 .. 0.3 0.5 
Asia 4.7 8.0 11.9 6.4 4.6 .. 2.4 3.2 
 China  3.7 4.9 8.4 2.2 0.6 .. 1.2 1.9 
 Japan  0.0 0.0 0.0 0.0 0.0 .. 0.0 0.0 
 Other Asia  1.0 3.0 3.5 4.2 4.1 .. 1.2 1.3 
     Thailand  0.0 0.1 0.2 0.1 0.2 .. 0.1 0.9 
     Chinese  Taipei  0.5 0.3 0.1 0.2 0.3 .. 0.2 0.1 
     Korea, Democratic People's 
Republic of  0.0 0.0 0.0 0.0 0.0 .. 0.1 0.1 
     India 0.0 2.3 2.8 0.0 0.1 .. 0.1 0.1 
Other  0.0 0.0 0.0 0.0 0.0 .. 0.0 0.0 
Memorandum:          
EU-28 9.1 9.8 9.9 10.3 7.6 .. 10.8 11.3 
Caribbean Community 
(CARICOM)  53.8 52.4 50.4 52.6 58.9 .. 56.3 55.2 
.. Not available. No details on re -exports are provided for the year 2019. As a consequence, domestic 
exports could not be calculated.  
a Commonwealth of Independent States, including certain associate and former member States.  
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
  WT/TPR/S/ 431/Rev.1  • Barbados  
 
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  Table A1. 4 Merchandise imports by trading partner, 2014 -21 
(USD  million and %)  
Description  2014  2015  2016  2017  2018  2019  2020  2021  
Total imports  1,740 1,618 1,621 1,600 1,600 1,581 1,501 1,673  
(% of imports)  
Americas  72.7 70.0 65.9 70.0 70.7 64.6 70.5 74.9 
United  States  35.0 39.2 39.1 39.5 39.5 37.6 42.6 47.0 
Other America  37.7 30.7 26.7 30.5 31.2 27.0 27.9 27.9 
Trinidad and Tobago  20.5 15.8 13.4 16.8 17.9 15.0 13.8 12.5 
Canada  2.3 2.3 2.3 2.4 2.1 2.3 2.4 2.6 
Panama  0.3 0.3 0.4 0.3 0.5 0.4 3.3 2.3 
Antigua and Barbuda  0.0 0.0 0.0 0.0 0.0 0.4 0.0 2.3 
Jamaica  0.6 0.7 0.8 0.9 0.8 0.9 1.1 1.4 
Dominican  Republic  0.6 0.6 0.7 0.6 0.7 0.7 0.7 0.9 
Mexico  2.4 2.4 1.7 1.7 1.7 1.8 0.9 0.7 
Costa  Rica 0.6 0.5 0.5 0.6 0.7 0.8 0.8 0.7 
Brazil  1.1 1.4 1.4 1.1 1.1 1.0 0.5 0.7 
Colombia  0.3 0.3 0.3 0.3 0.4 0.4 0.5 0.5 
Guyana  0.8 0.9 0.9 1.0 0.6 0.6 0.5 0.5 
Saint Lucia 2.3 2.5 1.8 0.4 0.2 0.3 0.7 0.4 
Saint Vincent and the 
Grenadines  0.5 0.6 0.5 0.4 0.4 0.5 0.5 0.4 
Europe  13.5 15.5 16.8 14.1 14.1 20.3 18.6 14.4 
EU-27 7.5 9.7 10.1 8.6 8.3 14.5 12.6 9.1 
Netherlands  1.0 1.5 1.9 1.5 2.4 8.3 5.5 3.2 
Sweden  0.8 1.1 0.8 1.0 0.8 0.7 0.8 1.1 
Germany  1.4 1.7 2.0 1.4 1.2 1.4 1.0 0.8 
Spain  0.5 0.6 0.8 0.6 0.4 0.6 0.4 0.8 
Italy 0.8 0.9 1.2 0.8 0.6 0.7 0.6 0.7 
EFTA 1.5 1.3 1.3 1.1 1.2 1.0 0.2 0.3 
Switzerland  1.5 1.3 1.3 1.0 1.1 1.0 0.2 0.3 
Other Europe  4.4 4.5 5.4 4.4 4.7 4.9 5.8 5.0 
United  Kingdom  4.0 4.2 4.8 4.0 4.1 4.2 4.8 4.4 
Türkiye  0.4 0.3 0.6 0.4 0.5 0.6 0.9 0.5 
Commonwealth of Independent 
States (CIS)a 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 
Africa  0.2 0.3 0.3 0.2 0.2 0.2 0.1 0.2 
South  Africa  0.2 0.1 0.1 0.1 0.1 0.1 0.1 0.1 
Middle East  0.1 0.2 0.2 0.2 0.1 0.1 0.6 0.2 
United Arab Emirates  0.0 0.0 0.0 0.0 0.0 0.0 0.5 0.1 
Israel  0.1 0.2 0.1 0.2 0.1 0.1 0.0 0.1 
Asia 13.5 14.0 16.8 15.4 14.8 14.8 10.2 10.3 
China  5.3 5.7 7.3 5.8 5.9 5.8 2.6 4.0 
Japan  1.8 2.1 2.7 2.8 2.6 2.5 3.1 2.2 
Other Asia  6.4 6.2 6.8 6.8 6.4 6.4 4.5 4.1 
New Zealand  1.6 1.2 1.1 1.3 1.4 1.3 1.1 0.9 
Hong Kong,  China  0.4 0.3 0.5 0.3 0.2 0.4 0.6 0.7 
Thailand  1.1 1.4 1.6 1.7 1.6 1.3 0.7 0.6 
Korea, Republic of  0.8 0.7 0.9 0.8 0.6 0.7 0.4 0.5 
India 0.9 1.0 1.1 1.0 0.8 1.1 0.8 0.5 
Other  0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 
Memorandum:          
EU-28 11.5 13.9 14.9 12.6 12.5 18.6 17.4 13.5 
CARICOM  29.1 21.6 18.1 22.2 22.7 18.3 17.2 18.1 
a Commonwealth of Independent States, including certain associate and former member States.  
Source:  WTO Secretariat calculations, based on data from UN Comtrade database.  
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