 |
|
 |
 |
 |
 |
|
|
Info
Regions
|
|
|
|
|
|
|
|
|
|
|
|
|
Country Guide > Caribbean > Antigua and Barbuda | |
|
Business Profile Economy Antigua was one of the first Caribbean islands to actively encourage tourism, beginning in the late 1960s; the late 1980s brought another phase of major development. Tourism and financial services are now the main components of the service sector, which accounts for over three-quarters of the Antiguan economy. Both have suffered problems in recent years – tourism because of repeated hurricanes, finance because of questionable associations with money-laundering operations. For instance, in June 2000, Antigua was identified by the Organization for Economic Cooperation and Development (OECD) – the world’s 30 largest economies – as one of 35 ’tax havens’ whose financial laws are considered inadequate. It must tighten its regime or face sanctions. Fears of an over-reliance on tourism and finance have led the government to try and diversify the economy into manufacturing, agriculture and fisheries. Local agriculture and fisheries have been promoted to reduce dependency on imported food – a range of fruit and vegetables is now produced and many fish farms have been established. There are numerous light industries producing such items as clothing, paper, furniture and household appliances. A final source of revenue for the government is the rent on two US military bases. However, the difficult period for the hotel industry has seemingly continued despite such efforts. National debts are high - in excess of 130 per cent of GDP. The 2005 budget included cuts to the public service salary, with 2600 jobs from a 13,000 workforce being cut. It was assured that those made redundant would be given assistance in finding employment in the private sector and establishing their own businesses. The Prime Minister and the Cabinet have taken a 10 per cent salary cut. Income tax was also reintroduced for those earning more than EC$3000 (US$1,111) monthly, ranging from a 10 per cent to a 25 per cent tax. Antigua & Barbuda has large trade and balance of payments deficits and relies heavily on foreign aid. The country’s main trading partners are the USA, UK and Canada, as well as countries within the CARICOM Caribbean trading bloc, of which Antigua & Barbuda is a member. Business A lightweight suit, a long- or short-sleeved shirt and a tie are suitable for most business visits. Handshaking is the normal greeting for acquaintances and for formal introductions. Calling cards are expected from people who do not live on the islands. Office hours: Mon-Fri 0800-1200 and 1300-1630. Government office hours: Mon-Thurs 0800-1630, Fri 0800-1500. Commercial Information The following organisations can offer advice: Antigua & Barbuda Investment Authority, Redcliffe Street, St John's (tel: 462 1033; e-mail: ldb@candw.ag) or the Antigua and Barbuda Chamber of Commerce and Industry Ltd, PO Box 774, Corner of Popeshead Street and North Street, St John’s, Antigua (tel: 462 0743; fax: 462 4575; e-mail: chamcom@candw.ag). Conferences/Conventions Around 20 per cent of the members of the Antigua Hotels & Tourist Association (see Accommodation for details) offer meeting facilities. Information is available direct from the Antigua & Barbuda Tourism Offices. The following organisation can also offer advice: Alexander Parrish (Antigua) Ltd, PO Box 45, Travel Department, Redcliffe Street, St John’s (tel: 462 0638; fax: 462 4457; e-mail: apal@candw.ag). |