Central Bank Governor: 2025 Economic Growth Linked to Tourism and Inflation Drop

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NASSAU, BAHAMAS – The country is experiencing a slightly moderate pace of growth linked to several factors according to the latest figures released by the Central Bank.

A major factor was the increase in tourism numbers, according to Central Bank Governor John Rolle.

Last week, the government reported a record-breaking 12.5 million visitors in 2025.

On the heels of that announcement by the tourism minister in Parliament, Rolle says while they’d like to see improvements in stop-over visitors, the numbers did have a positive impact.

John Rolle – Governor, Central Bank of The Bahamas

“Although those stop-over performance was constrained by limited auto sector capacity and soft U.S. travel demands, earnings were still bolted by appreciated product. Pricing sustained expansion, and vacation rental sales and arrivals gains from non-U.S. visitors notably from Canada.”

“The cruise market also continue to experience robust growth, buttressed by steady investment in private destination facilities.”

Rolle says last year the economy grew at a rate of nearly 3% compared to 3.4% growth in 2024.

He also notes it’s above the medium-term potential, which is still projected under 2% every year.

John Rolle – Governor, Central Bank of The Bahamas

“Expanded domestic lending supported both consumer spending and local investments as loan default risks further reduced. The economy also supported [improving] fiscal indicators and further narrowing in the overall deficit.”

Additionally, the Bahamian dollar’s moderate growth, and diminished lending risks, also play an important role.

Rolle says since early January, the external reserves are estimated at $2.86 billion, $200 million more compared to this same time last year.

John Rolle – Governor, Central Bank of The Bahamas

“The recent inflation experience, reflects savings in energy cost, and reduce pressure and import prices up to the middle of the year.”

“It should be expected though, that the inflation rate would’ve experienced some uptick over the remainder of 2025 as we would have experience more of the U.S. tariff policy effects…”