June 9 – The International Monetary Fund (IMF) has given the green light for Antigua and Barbuda to access about US$117.8 million over the next three years. A fifth of that – about US$24.5 million – is available immediately.

The total loan figure represents 600 percent of Antigua and Barbuda’s Special Drawing Rights (SDR) IMF quota.

Antigua and Barbuda’s tourism-dependent economy has been severely impacted by the global economic and financial crisis. Falling tourism and foreign direct investment (FDI)-related construction activities have contributed to a sharp decline in government revenue and a seven percent contraction of the economy in 2009 – the worst recession in decades.

The recession and associated fiscal crisis coincides with already weak public finances and mounting problems in the financial sector, including the collapse of the Stanford Group and the Trinidad-based CL Financial Group.