It isn’t a secret that the world is in a profound financial slump right now. Virtually every industry has been negatively affected by the global meltdown, particularly the banking sector, which has responded by significantly tightening credit lending, and the housing sector, with its record number of home foreclosures in the U.S., the most advanced economy on the planet.

Over in Europe, problems with sovereign debt levels are rife. Greece came close to an outright default on its financial obligations before being recently bailed out by a joint Euro-zone/IMF plan. The situation is still ‘touch and go’ there, with regular protests taking place over the implementation of strict austerity measures that the country has to employ for a chance to get back to fiscal health.

China just suffered an economic downgrade this week, of sorts, when a key measure of its growth was revised back from a higher number, casting doubt on the country’s long-term prospects.

So, the question is, in the midst of all this financial misery, how can St. Kitts and Nevis find its way through the gauntlet to reach a point where it can thrive in these bad times?

Part of the answer lies in the recently announced re-opening of the Four Seasons Resort on Nevis. According to multiple sources, a mid-December date is being targeted and the expectation is that, barring any unforeseen setbacks, the goal is an achievable one. The resort once employed upwards of 40 percent of the Nevis’ workforce, and sustained many peripheral commercial enterprises staffed by persons not working directly for the hotel.

If the revitalized Four Seasons can be effectively marketed as a reasonably-priced alternative to other Caribbean resorts, it could find itself in an ideal position to draw a disproportionate amount of tourist traffic from among the pool of vacationers looking for a good deal, but longing for the idyllic weather conditions that subsist solely in this beautiful region of the world.

Of course, one cannot rely on one business entity to lift an entire nation, and other planned financial measures need to be successful, as well. Whether the up-coming Value Added Tax (VAT), scheduled for a November 1 implementation, will ultimately achieve one of its main aims to help reduce the Federation’s high national debt level remains to be seen.

Another part of the puzzle is to focus on local production to reduce the country’s reliance on imports, particularly food. The Dept. of Agriculture’s recently organized Eat Local Day emphasized the importance of both producing and consuming locally-grown foodstuffs. Less required importation carries the dual benefits of reducing the amount of money being paid to outside sources, and aiding in beefing up a key domestic industry.

While St. Kitts and Nevis possesses a small economy, and is thus very vulnerable to economic developments occurring in other parts of the world, on the plus side, being small with a relatively low population allows for a certain degree of flexibility that many major markets cannot match.

In the final analysis, athough the overall economic picture doesn’t look great, all is not ‘doom and gloom’. There is always a silver lining within every cloud. Let us hope that the Federation’s policymakers will be able to identify key market niches that will allow the country to ride out the current global financial storm.