Antigua and Barbuda’s economy is now expected to grow by approximately four percent in 2026, down from the previously projected six percent growth.

Prime Minister and Minister of Finance Gaston Browne said the revised forecast reflects the impact of rising global fuel and food prices, driven in part by ongoing tensions in the Middle East and uncertainty in international markets.

Browne explained that the government began the year with a more optimistic outlook but adjusted its projections as global economic conditions changed. He noted that concerns surrounding the Strait of Hormuz and disruptions in the energy sector have contributed to higher fuel costs, which affect Antigua and Barbuda because it relies on imported petroleum products.

The Prime Minister also warned that increased transportation and fertilizer costs are driving up food prices worldwide, creating additional pressure on import-dependent economies.

Despite the downgrade, Browne said a four percent growth rate remains strong and compares favourably with forecasts for several other Caribbean countries. He added that the government remains hopeful that improving global conditions could boost economic activity later in the year and support stronger growth heading into 2027.