Release Date: 3 April Monthly Economic and Financial Developments February In an effort to provide the public with more frequent information on its economic surveillance activities, the Central Bank has decided to release monthly reports on economic and financial sector developments in The Bahamas. The Bank monitors these conditions as part of its monetary policy mandate, to assess whether money and credit trends are sustainable relative to levels of external reserves required to protect the value of the Bahamian dollar and, if not, the degree to which credit policies ought to be adjusted. The main data source for this surveillance is financial institutions daily reports on foreign exchange transactions and weekly balance sheet statements. Therefore, monthly approximations may not coincide with calendar estimates reported in the Central Bank s quarterly reports. The Central Bank will release its Monthly Economic and Financial Developments report on the Monday following its monthly Monetary Policy Committee Meeting. Future Release Dates: : April 30 th, June 4 th, July 2 nd, July 30 th, September 3 rd, October 1 st, October 29 th, December 3 rd Page 1
1. Domestic Economic Developments During the review month, initial data suggests that the growth momentum was maintained, buoyed by steady increases in construction related tourism investments, as well as moderate growth in domestic demand. Monetary developments for the year so far featured a contraction in domestic credit which, combined with increased net foreign currency inflows, reinforced gains in both external reserves and liquidity. In tourism developments, hotel performance indicators for the year revealed broad-based revenue gains in all major markets. Overall receipts firmed by 4.2% to $370.4 million, propelled by the 6.3% hike in average daily room rates, which outpaced the 2.2% fall in occupancy rates. With regard to the main destinations, average room revenues in New Providence improved by 4.1%, benefiting from the 4.5% increase in room rates. In Grand Bahama, despite the 12.0% contraction in room occupancy, an expansion in average room prices by 14.1% resulted in revenue firming by 5.5%. Hotel revenues in the Family Islands grew by 3.2%, as gains in room rates (9.3%) outpaced declines in average occupancy (3.2%). Average consumer price inflation, as measured by changes in the Retail Price Index, advanced to 2.13% for the 12-month period ending February, from 1.88% in the corresponding period a year earlier. The most significant cost increases were recorded for other goods & services (7.54%); food & beverages (4.36%); medical care & health (2.34%); housing (1.46%) and clothing & footwear (1.03%). Preliminary data for the first seven months of FY/07 indicate a narrowing in Government s overall deficit by 2.2% to $69.4 million, as the 14.2% expansion in revenue and grants to $749.4 million, outstripped the 12.6% growth in expenditures to $818.8 million. Tax revenues firmed by 12.0% to $679.3 million, reflecting in part gains in taxes on international trade & transactions (9.0%), stamp taxes (11.1%) and property taxes (43.2%). Expenditures broadened by 12.6% to $818.8 million, due primarily to the 9.4% increase in current spending to $706.9 million for consumption and the purchase of goods & services, while elevated outlays for asset acquisitions and capital formation, boosted capital outlays by 35.4% to $76.6 million. 2. International Developments The world economy continued on the path of steady growth during the first two months of, supported by increased exports, growing domestic demand and a moderation in global oil prices. As inflation remained relatively contained, several major central banks left their key interest rates unchanged. Real GDP in the United States grew at a reduced annual rate of 2.2% in the fourth quarter, and primarily reflected positive movements in exports, consumer expenditure and state and local Government spending. During the month of January, the goods and services deficit moderated by $2.4 billion to $59.1 billion. In February, the unemployment rate remained unchanged from its January figure of 4.5%, and average prices firmed by 0.4%, due to higher food and energy costs. Meanwhile, the economy continued to grapple with the ongoing effects of the slowdown in the housing market in February, as reports of the meltdown in the sub-prime mortgage market and the consequent tightening in lending standards reduced potential buyers financing options. As a result, sales of single homes in February fell by 3.9% to an annual rate of 848,000, while permits for construction activity declined by 2.5% to an annual value of 1.5 million units. In light of the Page 2
countervailing forces of softness in the housing market and high inflation risks, the Federal Reserve continued its neutral stance in February, maintaining the target and primary rates at 6.25% and 5.25%, respectively. The Chinese economy expanded by 10.7% in ; however, expectations are that output will moderate in, as the growth in fixed asset investment is reduced. The country s trade surplus in February widened on a month-on-month basis by $7.9 billion, on account of a 51.7% rise in exports, which outweighed the 13.1% expansion in imports. In currency markets, the Yuan registered a marginal (0.06%) appreciation against the dollar to 7.7355 in February, and has appreciated by 7.0% since the 10-year peg to the US dollar was terminated in 2005. In January, the consumer price index rose at an annualized rate of 2.2%, while the unemployment rate was 4.1% for the three-months ending January. As part of its continuing effort to absorb the high level of liquidity in the banking system, the People s Bank of China raised its required reserves ratio in February, by 0.5 percentage points to 10.0%. In Japan, real economic activity firmed to 2.2% in from 1.9% in 2005, and was attributed to increases in business fixed investment, housing, and production activity. The unemployment rate stood unchanged at 4.0% in January; however, the number of unemployed persons decreased by 9.6% to 2.8 million when compared to the same period last year. The consumer price index declined by 0.4% in February, extending the 0.2% drop in the previous month. In an effort to maintain the current level of economic activity, while keeping monetary policy accommodative, the Bank of Japan retained its key overnight call rate at 0.5% in February, but raised the interest rate on the complimentary lending facility, by 0.25 percentage points to 0.75%. The economy of the United Kingdom grew by 0.8% in the fourth quarter, reflecting expansions in services, construction and household expenditure. Despite the economic improvements, the unemployment rate in the quarter ending January was steady at 5.5%; however, this rate represented a 0.4 percentage point increase over the previous year s value. In the external sector, the trade deficit for goods and services narrowed to $3.8 billion in January from $4.5 billion a month earlier. Domestic inflation rose marginally by 0.1 percentage points to 2.8% compared to the previous month, as higher average prices were recorded for transportation and food & beverages. Although inflation remained above the Bank of England s target rate of 2.0%, the Board voted to leave interest rates unchanged at its February meeting at 5.25%, in an effort to allow previous rate hikes to take effect in the economy. Amid increased investment and exports, fourth quarter growth in the Euro Zone improved to 0.9%, from 0.6% in the previous three-month period. The area s current account deficit expanded to 79.4 billion in, from 63.8 billion in 2005. In February, the unemployment rate contracted marginally by 0.1 percentage points to 7.4%; however, the inflation rate was unchanged on a month-on-month basis at 1.8%. The improvement in the inflation outlook prompted the European Central Bank to keep its Bank rate at 3.5%. During the month of February, average crude oil prices firmed by 11.7% to $61.08 per barrel, reflecting, among other factors, sharp reductions in temperatures in the Western Hemisphere, which boosted demand for heating oil. However, non-opec supply averaged approximately 50.5 million barrels per day (mb/d), an increase of 0.5 mb/d over the previous year s total. With regard to other major commodities, the price of silver and gold rose by 4.5% and 2.5%, to $14.13 and $669.35 per ounce, respectively, as investors repositioned their portfolios, following moderate declines in global stock markets. Page 3
In the United States the S&P 500 and the Dow Jones Industrial Average contracted by 2.36% and 2.8%, respectively. Similarly, in Europe, declines were recorded for the CAC 40 (1.64%), Germany s DAX (1.09%) and the United Kingdom s FTSE 100 (0.51%). However, in Japan, the main the Nikkei 225 Index rose by 1.27%. 3. Domestic Monetary and Credit Trends During February, monetary conditions benefited from increased foreign currency inflows, which supported an improvement in banks liquidity positions and external reserves. These gains were reinforced by a slight moderation in the overall growth of Bahamian dollar credit. February vs. During the review month, excess reserves advanced by $29.6 million to $212.1 million, in contrast to a decline of $14.5 million in. Likewise, last year s $17.3 million drop in excess liquid assets was reversed to a $25.8 million rise to $84.2 million, with banks increasing their holdings of Government securities. Underlying this improvement was a more than four-fold hike in commercial banks net purchase of foreign currency from customers to $462.3 million which supported a shift in the Central Bank s transaction with banks, to a net purchase of $65.6 million from a mere $2.3 million at year-end. This outpaced an almost four-fold gain in the net sale to the public sector to $23.8 million, for a $43.8 million advance in external reserves to $555.6 million. In external developments, Exchange Control data revealed a tapering off in both oil (69.3%) and non-oil imports (29.1%) payments, to $10.4 million and $82.1 million, respectively. Bahamian dollar domestic credit expanded at a slightly reduced pace of $52.3 million vis-à-vis $56.4 million in. This outcome included a moderation in private sector credit by $15.0 million to $33.4 million, as accretions to mortgages slowed by 15.7% to $22.6 million, while growth in consumer credit was relatively unchanged at $10.1 million. In contrast, net claims on the Government firmed to $17.8 million from $8.7 million in, and credit to the rest of the public sector was reversed to a $1.1 million advance from a $0.6 million decrease in. Growth in domestic foreign currency credit slowed by 60.0% to $9.1 million, led by a $3.4 million contraction in repayments by public corporations. After expanding by $27.7 million in, credit to the public sector contracted by $3.42 million. However, private sector credit expanded by $11.9 million, compared to a $0.3 million falloff last year, and net credit to Government grew by $0.7 million, reversing the previous year s $4.5 million decline. Total Bahamian dollar deposits rose by $46.6 million, up slightly from $44.7 million in. Savings deposit growth more than doubled to $14.0 million, while demand deposits increased by $9.0 million after contracting by $3.4 million in. In contrast, accretions to fixed deposits receded by 45.2% to $23.6 million. Interest rate conditions showed moderate firming in average rates during February. The weighted average deposit rate at banks rose by 10 basis points to 3.70%, with the highest rate offered of 6.50% for fixed maturities of one month and over 6 to 12 months. Similarly, the weighted average loan rate grew by 4 basis points to 10.13%. Page 4
January February For the first two months of, a slowing in credit growth, alongside increased net foreign currency, inflows boosted excess reserves by $75.9 million vis-à-vis last years $14.9 million expansion. Correspondingly, excess liquid assets strengthened by $18.9 million to $74.7 million. Growth in external reserves was significantly higher at $103.7 million compared to $15.5 million in, largely explained by the net receipt of public sector borrowing proceeds and increased foreign currency inflows associated with tourism and related foreign investment projects. In particular, commercial banks net purchase of foreign currency from their customers almost doubled to $100.7 million, and their corresponding net sale to the Central Bank increased more than two fold to $99.3 million. In turn, the Bank s net sale to the public sector dwindled to $0.2 million from $29.5 million a year ago, elevating its overall net purchase to $99.1 million from $12.6 million in. In addition, Exchange Control data showed contractions for both oil and non-oil import payments, by 40.9% and 7.3% to $38.7 million and $229.6 million, respectively. Following a gain of $37.8 million a year ago, Bahamian dollar credit fell by $24.9 million, as the public sector utilized loan proceeds to reduce its indebtedness to the banking system by $51.6 million, compared to a $7.3 million decrease a year earlier. Reflecting a combination of tightened liquidity conditions and seasonal borrowing trends, growth in private sector credit slowed by 41.7% to $52.6 million. For mortgages, which represent approximately 43.7% of private sector credit, the expansion slackened by $10.0 million to $36.7 million, and overshadowed the slight $1.0 million rise in consumer credit growth to $17.7 million. The decline in net claims on the Government was lower at $25.9 million from $45.2 million in the previous year. Domestic foreign currency credit declined by $7.6 million, in contrast to the previous year s growth of $20.4 million, partly as a result of the reduced gains in private sector credit of $1.9 million compared with $11.1 million in. Credit to the rest of the public sector contracted by $9.6 million, a turnaround from last year s increase of $13.9 million, while net credit to Government, which fell by $4.6 million in, grew marginally by $0.1 million. Accretions to Bahamian dollar deposits rose by $66.0 million to $78.3 million, as increases in fixed and savings balances offset declines in demand deposits. Occasioned in part by the favorable interest rate environment, fixed deposits firmed by $86.0 million, more than double the previous year s expansion. Savings deposit growth strengthened to $17.1 million from $2.5 million in ; however, the decline in demand deposits was slightly reduced at $24.8 million. 4. Outlook The outlook for the domestic economy during the year remains positive, buttressed by tourism related investment inflows, which should support further improvements in both liquidity and external reserves. Steady construction activity and generally healthy consumer demand fundamentals should contribute favourably to this outcome. Although domestic prices have firmed, largely reflecting the pass-through effects of global oil price increases experienced over the past year, expectations are that future cost increases will be relatively contained. Page 5
Recent Monetary and Credit Statistics (B$ Millions) FEBRUARY Value Change Change YTD 1.0 LIQUIDITY & FOREIGN ASSETS 1.1 Excess Reserves 210.26 212.08-14.50 29.62 14.89 75.92 1.2 Excess Liquid Assets 168.24 84.17-17.29 25.77 55.79 74.74 1.3 External Reserves 598.44 555.64-2.16 43.84 15.52 103.73 1.4 Bank s Net Foreign Assets -590.22-706.33-10.07-65.88-30.49-73.94 1.5 Usable Reserves 267.17 237.09-0.79 28.49 7.05 78.39 2.0 DOMESTIC CREDIT 2.1 Private Sector 5,019.34 5,702.53 48.00 45.24 101.47 54.50 a. B$ Credit 4,546.27 5,206.22 48.34 33.36 90.33 52.64 of which: Consumer Credit 1,666.51 1,904.06 10.80 10.08 16.67 17.70 Mortgages 1,953.11 2,276.95 26.86 22.63 46.72 36.67 b. F/C Credit 473.07 496.31-0.33 11.87 11.14 1.86 of which: Mortgages 15.15 32.28 1.38 1.47 2.87 0.96 2.2 Central Government (net) 598.00 656.25 4.18 18.53-49.87-25.79 a. B$ Loans & Securities 724.64 752.47 15.08 9.11-26.27-36.74 Less Deposits 133.33 112.99 6.42-8.73 18.97-10.86 b. F/C Loans & Securities 14.00 18.97 0.73 0.00 0.73 0.00 Less Deposits 7.31 2.20 5.22-0.69 5.37-0.09 2.3 Rest of Public Sector 306.51 298.48 27.10-2.35 6.59-61.20 a. B$ Credit 91.01 80.14-0.60 1.07-7.29-51.62 b. F/C Credit 215.50 218.34 27.70-3.42 13.88-9.57 2.4 Total Domestic Credit 5,923.84 6,657.26 79.28 61.41 58.19-32.49 a. B$ Domestic Credit 5,228.58 5,925.85 56.41 52.27 37.80-24.86 b. F/C Domestic Credit 695.26 731.42 22.87 9.14 20.39-7.62 3.0 DEPOSIT BASE 3.1 Demand Deposits 1,024.56 1,051.98-3.38 9.00-31.06-24.78 a. Central Bank 44.38 18.27 5.60-1.37 14.51 1.05 b. Banks 980.18 1,033.71-8.98 10.37-45.57-25.83 3.2 Savings Deposits 885.41 967.77 5.06 14.03 2.52 17.06 3.3 Fixed Deposits 2,617.88 2,866.99 42.97 23.55 40.84 86.04 3.4 Total B$ Deposits 4,527.86 4,886.74 44.65 46.58 12.30 78.32 3.5 F/C Deposits of Residents 139.31 155.29 1.90-5.25-20.58-25.63 3.6 M2 4,713.98 5,085.45 51.79 54.24-7.05 51.87 3.7 External Reserves/M2 (%) 12.70 10.93-0.19 0.75 0.35 1.95 3.8 External Reserves/Base Money (%) 102.59 90.57 1.43 2.27 3.50 10.18 Value Year to Date Change Month YTD 4.0 FOREIGN EXCHANGE TRANSACTIONS 4.1 Central Bank Net Purchase/(Sale) -3.99 41.75 12.61 99.13 45.74 86.51 a. Net Purchase/(Sale) from/to Banks 2.25 65.56 42.14 99.29 63.32 57.15 i. Sales to Banks 34.83 9.38 49.18 20.70-25.45-28.48 ii. Purchases from Banks 37.08 74.95 91.32 119.99 37.86 28.67 b. Net Purchase/(Sale) from/to Others -6.23-23.81-29.53-0.16-17.58 29.36 i. Sales to Others 20.74 33.87 63.30 90.63 13.14 27.33 ii. Purchases from Others 14.50 10.06 33.78 90.47-4.44 56.70 4.2 Banks Net Purchase/(Sale) 14.65 62.31 52.93 100.73 47.67 47.80 a. Sales to Customers 241.57 229.45 518.99 534.58-12.11 15.59 b. Purchases from Customers 256.21 291.76 571.92 635.30 35.55 63.39 4.3 B$ Position (change) -19.41 0.52 5.0 EXCHANGE CONTROL SALES 5.1 Current Items 243.29 166.87 512.06 465.75-76.42-46.31 of which Public Sector 40.80 3.85 81.43 53.29-36.95-28.15 a. Nonoil Imports 115.75 82.09 247.68 229.62-33.66-18.06 b. Oil Imports 33.79 10.38 65.50 38.71-23.40-26.79 c. Travel 13.94 14.87 33.41 36.17 0.93 2.76 d. Factor Income 3.21 7.59 7.59 10.21 4.38 2.62 e. Transfers 4.84 4.74 11.36 16.12-0.10 4.76 f. Other Current Items 71.77 47.20 146.52 134.93-24.56-11.59 5.2 Capital Items 32.65 8.28 41.52 19.17-24.37-22.34 of which Public Sector 0.09 2.54 6.58 10.06 2.45 3.48 5.3 Bank Remittances 82.00 1.00 82.00 6.00-81.00-76.00 Sources: Research Department Weekly Brief Database and Banking Brief for the weeks ending:march 01, and FEBRUARY 28, Exchange Control Sales figures are as at month end. Page 6 Notes: 1.0, 2.0 and 3.0 YTD change reflects change of current month over previous year end; for 4.0 and 5.0 change is over corresponding period of previous year. Components may not sum to totals due to round-off error.
SELECTED MONEY AND CREDIT INDICATORS (B$ Millions) 250 Excess Reserves 250 Excess Liquid Assets 200 200 150 150 100 50 100 0 750 Central Govt. Credit (Net) 400 Rest of Public Sector Credit 700 350 650 600 300 550 250 5800 Private Sector Credit 5400 M3 5600 5400 5200 5000 5200 5000 4800 4800 4600 100 Changes in Money, Credit & Ext. Reserves 0-100 -200 3 10 17 24 31 7 14 21 28 Jan Feb M3 Domestic Credit External Reserves Page 7
Selected International Statistics A: Selected Macroeconomic Projections (Annual % Change and % of labor force) Real GDP Inflation Rate Unemployment Bahamas 4.0 4.5 1.7 2.7 n/a n/a United States 3.4 2.9 3.3 2.6 4.8 4.9 Euro-Area 2.4 2.0 2.3 2.2 7.9 7.7 Germany 2.0 1.3 2.0 2.2 8.0 7.8 Japan 2.7 2.1 0.6 1.1 4.1 4.0 United Kingdom 2.7 2.7 2.7 2.2 5.3 5.1 Canada 3.1 3.0 1.9 2.0 6.3 6.3 Sources: IMF World Economic Outlook, September B: Official Interest Rates - Selected Countries (%) With effect CBOB ECB (EU) Federal Reserve (US) Bank of England Bank Refinancing Primary Target Repo Rate from Rate Rate Credit Funds Rate Rate January 5.25 2.25 5.50 4.50 4.50 February 5.25 2.25 5.50 4.50 4.50 March 5.25 2.50 5.75 4.75 4.50 April 5.25 2.50 5.75 4.75 4.50 May 5.25 2.50 6.00 5.00 4.50 June 5.25 2.75 6.25 5.25 4.50 July 5.25 2.75 6.25 5.25 4.50 August 5.25 3.00 6.25 5.25 4.75 September 5.25 3.00 6.25 5.25 4.75 October 5.25 3.25 6.25 5.25 4.75 November 5.25 3.25 6.25 5.25 5.00 December 5.25 3.50 6.25 5.25 5.00 January 5.25 3.50 6.25 5.25 5.25 February 5.25 3.50 6.25 5.25 5.25 Page 8
Selected International Statistics C. Selected Currencies (Per United States Dollars) Currency Feb-06 Jan-07 Feb-07 Mthly % Change YTD % Change 12-Mth% Change Euro 0.8389 0.7673 0.7559-1.5-0.2-9.9 Yen 115.8 120.69 118.56-1.8-0.4 2.4 Pound 0.5703 0.5088 0.5092 0.1-0.3-10.7 Canadian $ 1.1368 1.1768 1.1699-0.6 0.3 2.9 Swiss Franc 1.3117 1.2441 1.2196-2.0 0.0-7.0 Source: Bloomberg as at February 28, D. Selected Commodity Prices ($) Commodity Feb Jan Feb Mthly % YTD % Change Change Gold / Ounce 561.55 653.2 669.35 2.5 5.1 Silver / Ounce 9.74 13.52 14.13 4.5 9.5 Oil / Barrel 61.58 54.7 61.08 11.7 0.5 Source: Bloomberg as at February 28, E. Equity Market Valuations February, (%chg) BISX DJIA S&P 500 FTSE 100 CAC 40 DAX Nikkei 225 1 month 1.88-2.80-2.36-0.51-1.64-1.09 1.27 3 month 5.28-1.56-1.37-0.79-0.46 1.80 2.20 YTD 5.28-1.56-1.37-0.79-0.46 1.80 2.20 12-month 29.35 11.60 9.86 6.56 10.32 15.86 8.63 Sources: Bloomberg and BISX F: Short Term Deposit Rates in Selected Currencies (%) USD GBP EUR o/n 5.23 5.29 3.55 1 Month 5.28 5.37 3.70 3 Month 5.29 5.47 3.82 6 Month 5.25 5.58 3.91 9 Month 5.22 5.65 3.99 1 year 5.16 5.69 4.03 Source: Bloomberg, as at February 28, Page 9
SUMMARY ACCOUNTS OF THE CENTRAL BANK (B$ Millions) VALUE CHANGE Jan. 03 Jan. 10 Jan. 17 Jan. 24 Jan. 31 Feb. 07 Feb. 14 Feb. 21 Feb. 28 Jan. 03 Jan. 10 Jan. 17 Jan. 24 Jan. 31 Feb. 07 Feb. 14 Feb. 21 Feb. 28 I. External Resrves 481.93 509.50 514.00 510.29 511.81 513.39 531.57 544.52 555.64 30.02 27.57 4.50-3.70 1.51 1.58 18.18 12.95 11.12 II. Net Domestic Assets (A + B + C + D) 79.55 74.66 69.34 74.41 67.80 73.68 57.59 63.99 57.85-30.68-4.89-5.32 5.07-6.61 5.88-16.09 6.40-6.14 A. Net Credit to Gov t( i + ii + iii - iv) 183.11 182.30 180.46 185.76 182.84 183.16 177.92 172.95 173.26-40.79-0.81-1.84 5.30-2.93 0.32-5.23-4.97 0.30 i) Advances 61.99 61.99 61.99 61.99 61.99 61.99 61.99 61.99 61.99 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 ii) Registered Stock 76.37 76.35 76.36 76.49 76.46 76.35 76.24 76.21 75.99 0.02-0.03 0.01 0.13-0.03-0.11-0.11-0.03-0.22 iii) Treasury Bills 52.21 52.14 52.14 52.14 51.14 51.14 45.17 40.21 40.21-39.93-0.08 0.00 0.00-0.99 0.00-5.97-4.97 0.00 iv) Deposits 7.47 8.17 10.02 4.85 6.75 6.32 5.48 5.45 4.93 0.88 0.70 1.85-5.17 1.90-0.42-0.84-0.03-0.52 B. Rest of Public Sector (Net) (i + ii - iii) -0.61-6.05-8.91-9.21-12.68-7.95-15.01-5.93-11.31 9.59-5.45-2.86-0.30-3.47 4.73-7.06 9.08-5.37 i) BDB Loans 7.03 7.03 7.03 7.03 6.96 6.96 6.96 6.96 6.96 0.00 0.00 0.00 0.00-0.06 0.00 0.00 0.00 0.00 ii) BMC Bonds 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 iii) Deposits 7.63 13.08 15.93 16.23 19.64 14.91 21.97 12.90 18.27-9.59 5.45 2.86 0.30 3.41-4.73 7.06-9.08 5.37 C. Loans to/deposits with Banks 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 D. Other Items (Net)* -102.95-101.59-102.22-102.15-102.36-101.53-105.33-103.03-104.10 0.52 1.36-0.63 0.07-0.21 0.83-3.80 2.30-1.07 III. Monetary Base 561.48 584.16 583.34 584.70 579.61 587.06 589.15 608.51 613.49-0.66 22.68-0.82 1.37-5.10 7.46 2.09 19.35 4.98 A. Currency in Circulation 298.76 276.18 261.24 260.24 269.42 268.06 265.33 264.86 274.23-19.12-22.58-14.94-1.00 9.18-1.37-2.73-0.47 9.38 B. Bank Balances with CBOB 262.72 307.98 322.10 324.46 310.18 319.00 323.82 343.65 339.26 18.46 45.26 14.12 2.36-14.28 8.82 4.82 19.83-4.39 * Includes capital, provisions and surplus account, fixed and other assets, and other demand liabilities of Bank Page 10
FISCAL/REAL SECTOR INDICATORS (B$ MILLIONS) (% change represents current month from previous month) JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN YEAR TO DATE 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / 2005/ / Fiscal Operations P (Over previous year) 1. Government Revenue & Grants 90.6 106.1 94.7 106.7 86.6 114.1 79.9 79.4 103.0 115.7 90.59 104.04 111.1 123.3 75.6 102.0 91.7 98.1 98.4 109.2 92.617 121.902 76.1 130.8 656.37 749.39 % change -29.02% -18.87% 4.52% 0.59% -8.53% 6.87% -7.74% -30.44% 28.90% 45.83% -12.02% -10.10% 22.67% 18.53% -31.98% -17.26% 21.31% -3.86% 7.28% 11.30% -5.84% 11.65% -17.83% 7.30% 0.189 0.142 2. Import Duties 34.32 37.80 37.39 46.30 32.69 34.37 31.53 38.04 42.37 43.41 31.85 36.44 45.06 40.90 30.827 41.293 32.9 42.5 38.098 36.9 35.021 44.4 82.1 48.4 255.20 277.26 % change -38.60% -0.22 0.09 0.22-0.13-0.26-0.04 0.11 0.34 0.14-24.83% -16.05% 41.50% 12.24% -31.59% 0.96% 6.62% 2.90% 15.92% -13.12% -8.08% 20.21% 134.43% 9.07% 0.143 0.086 3. Recurrent Expenditure 84.748 99.63 91.63 93.09 84.52 90.67 93.11 103.10 98.01 111.25 95.18 85.12 98.67 124.00 89.1 96.2 81.0 93.0 95.0 91.1 93.2 94.3 126.0 98.1 645.87 706.86 % change 24.63% 0.02 0.08-0.07-0.08-0.03 0.10 0.14 0.05 0.08-2.88% -23.49% 3.66% 45.67% -9.69% -22.39% -9.10% -3.36% 17.27% -2.05% -1.91% 3.54% 35.24% 4.00% 0.122 0.094 4. Capital Expenditure 5.489 5.55 6.02 11.71 14.90 13.00 7.37 11.29 6.80 10.33 9.39 13.63 6.59 11.05 7.4 11.3 4.5 13.4 7.6 7.3 7.964 12.0 25 32.4 56.55 76.55 % change -0.574-0.83 0.10 1.11 1.48 0.11-0.51-0.13-0.08-0.08 38.13% 31.92% -29.79% -18.90% 12.91% 2.51% -39.09% 18.02% 68.12% -45.06% 4.53% 63.62% 213.91% 169.60% 0.877 0.354 5. Deficit/Surplus* 0.30-0.75-4.00 1.13-16.58 3.23-24.46-41.65-5.64-8.68-20.59-3.24-0.002-19.47-23.5-9.4 3.0-13.7-8.9 4.9-18.0 4.8-80.4-27.7-70.98-69.44 % change -99.30% -0.97-14.17-2.50 3.14 1.85 0.48-13.90-0.77-0.79 265.24% -62.63% -99.99% 500.40% ######### -51.79% -112.88% 45.95% -394.84% -136.01% 102.13% -1.99% 346.42% -672.24% -26.55% -2.17% JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC 2005 2005 Debt P ** 6. Total Debt 2,309.2 2,380.7 2,310.0 2,370.6 2,289.9 2,290.3 2,316.5 2,316.3 2,297.4 2,287.3 2,396.7 2,381.2 2,381.5 2,381.2 2235.2 % change 3.31% -0.02% 0.03% -0.42% -0.87% -100.00% 0.02% #DIV/0! 1.14% #DIV/0! -0.01% #DIV/0! -0.82% #DIV/0! -0.44% #DIV/0! 4.78% #DIV/0! -0.65% #DIV/0! 0.01% #DIV/0! -0.01% #DIV/0! December 7. External Debt 286.5 287.0 287.3 286.9 287.2 285.9 285.9 285.7 286.8 286.7 286.1 285.6 286.4 287.0 284.6 % change 0.67% 0.00% 0.27% -0.03% -0.02% -100.00% -0.48% #DIV/0! 0.00% #DIV/0! -0.04% #DIV/0! 0.36% #DIV/0! -0.03% #DIV/0! -0.21% #DIV/0! -0.17% #DIV/0! 0.27% #DIV/0! 0.21% #DIV/0! 8. Internal F/C Debt 0.0 1.6 0.0 1.6 0.0 0.0 2.3 2.5 2.5 2.5 2.5 2.5 2.5 2.5 1.6 0.0 % change -100.00% 0.00% 0.00% 0.00% 0.00% 0.00% 225.78% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% -36.37% #DIV/0! 9. Bahamian Dollar Debt 2,022.7 2,092.1 2,022.7 2,082.1 2,002.7 2,002.2 2,028.1 2,028.1 2,008.1 1,998.1 2,108.1 2,093.1 2,092.6 2,092.6 1948.7 % change 3.80% -0.02% 0.00% -0.48% -0.99% -100.00% -0.02% #DIV/0! 1.29% #DIV/0! 0.00% #DIV/0! -0.99% #DIV/0! -0.50% #DIV/0! 5.51% #DIV/0! -0.71% #DIV/0! -0.02% #DIV/0! 0.00% #DIV/0! 10. Total Amortization 1.0 0.5 0.1 10.1 20.6 1.9 26.6 0.1 20.0 10.1 5.6 16.5 0.5 1.0 10.1 % change -90.12% -50.94% -92.16% 1915.69% 26166.94% -100.00% -90.88% #DIV/0! 1317.39% #DIV/0! -99.55% #DIV/0! 16544.34% #DIV/0! -49.61% #DIV/0! -44.39% #DIV/0! 193.70% #DIV/0! -96.96% #DIV/0! 103.84% #DIV/0! check 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 260.54 335.70 260.59 334.00 283.16 281.26 310.92 304.10 300.25 300.23 292.92 291.15 290.81 339.64 11.Total Public Sector F/C Debt 547.1 624.3 547.9 622.5 570.4 0.0 569.4 0.0 599.3 0.0 592.3 0.0 589.5 0.0 589.4 0.0 581.5 0.0 579.2 0.0 579.7 0.0 628.2 0.0 869.8-37.10% -0.63% -12.24% 13.62% 4.11% -100.00% -0.18% #DIV/0! 5.25% #DIV/0! -1.16% #DIV/0! -0.48% #DIV/0! -0.02% #DIV/0! -1.34% #DIV/0! -0.39% #DIV/0! 0.07% #DIV/0! 8.37% #DIV/0! YEAR TO DATE JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC Real Sector Indicators 2005 2005 2005 2005 2005 2005 2005 2005 2005 2005 (Over previous year) 12. Retail Price Index 117.8 121.2 117.8 121.4 116.5 117.8 117.2 118.9 117.6 119.6 117.6 119.8 117.8 120.2 118.2 120.4 117.6 120.4 117.8 120.7 118.0 120.6 117.9 120.6 235.57 242.6 % change -0.10% 0.51% 0.02% 0.14% -1.12% -2.98% 0.7% 1.0% 0.3% 0.6% 0.1% 0.2% 0.1% 0.4% 0.3% 0.1% -0.5% 0.0% 0.2% 0.3% 0.2% -0.1% -0.1% 0.0% 1.26% 3.00% 13. Tourist arrivals (000's) 388.4 417.3 393.8 513.0 503.5 495.9 496.9 405.6 404.7 394.3 408.5 469.5 418.1 373.4 348.9 289.7 269.5 346.8 297.6 430.1 489.4 388.40 0.0 % change; over previous year -6.73% -100.00% 0.00% -5.64% 0.00% -1.85% 0.00% 0.2% 0.00% -0.2% 0.00% 3.6% 0.00% -11.0% 0.00% -6.6% 0.00% -7.0% 0.00% -14.2% 0.00% -100.0% 0.00% -100.0% -6.73% -100.00% 14. Air arrivals (000's) 109.8 125.6 128.7 165.3 171.6 145.4 159.3 136.7 138.4 149.7 152.2 164.3 151.1 121.5 113.3 72.9 69.3 84.8 82.5 115.7 128.6 109.80 0.0 % change; over previous year 5.60% -100.00% 0.00% 2.47% 0.00% 3.79% 0.00% 9.6% 0.00% 1.2% 0.00% 1.7% 0.00% -8.0% 0.00% -6.7% 0.00% -4.9% 0.00% -2.8% 0.00% -100.0% 0.00% -100.0% 5.60% -100.00% 15. Occupied Room Nights 187.7 189.3 202.0 241.2 241.5 211.8 216.6 187.5 201.7 216.9 206.7 230.0 214.8 199.9 183.4 122.9 121.3 147.3 131.8 182.7 169.7 187.70 0.0 % change; over previous year 9.82% -100.00% 0.00% 6.70% 0.00% 0.14% 0.00% 2.26% 0.00% 7.6% 0.00% -4.7% 0.00% -6.6% 0.00% -8.2% 0.00% -1.4% 0.00% -10.5% 0.00% -100.0% 0.00% -100.0% 9.82% -100.00% 16. Res. Mortgage Commitments-New Const. 42.5 54.5 51.5 49.6 49.8 35.1 50.5 0.00 0.0 % change; over previous qtr. #DIV/0! 9.52% 21.2% -9.0% -3.3% -29.2% 1.4% -100.0% #DIV/0! #DIV/0! * Includes Net Lending to Public Corporations ** Debt figures pertain to central government only unless otherwise indicated p - provisional Annual/Y-T-D Retail Price data are averages. Page 11