Barbados economy declines

The Barbados Central Bank is anticipating a three per cent contraction in the economy and increased unemployment for the remainder of the year.



According to Governor Marion Williams economic activity fell by an estimated three per cent during the first half of this year, the first such contraction since 2002.



Governor Williams attributed the assessment to the global financial crisis.



She says the island\'s tourism industry is among the hardest hit by the economic slump, as long stay arrivals fell by eight per cent between January and May.



There was also a ten per cent rise in unemployment.



Governor Williams says domestic economic activity is expected to continue on the downward trend for the rest of 2009 given predictions that the global economy is unlikely to recover before the middle of next year.