Non-energy sector sluggish

Government has acknowledged that the the performance of the non- energy sector of the economy, continues to be “somewhat sluggish,” according to the Review of the Economy 2004. Projected growth for 2004 is estimated at 2.9 percent, down from 3.3 percent in 2003, according to the document, which was presented at last Friday’s Budget statement in Parliamment. On the external accounts, Trinidad and Tobago’s balance of payments surplus increased to US$334.2 million in 2003 from US$48.9 million in 2002, the document said. The improved external position reflected a robust current account surplus of US$984.7 million, it said, noting that as the merchandise trade balance expanded more than five fold due to buoyant international commodity prices and increased export volumes of petroleum and petrochemicals.

Meanwhile for the first quarter of fiscal year 2003/2004, Trinidad and Tobago recorded an overall visible balance of trade surplus of US$328.9 million while its surplus in respect of its Caricom trade was US$354.3 million. In 2003/2004, the fiscal operations of the Central Government is expected to generate an overall surplus of TT$437.1 million (0.6 percent of GDP) compared with TT$775 million (1.2 percent of GDP) in 2002/2003. The current account is projected to realise a surplus of TT$1,943.4 million or 2.8 percent of GDP in 2003/04. This represents an improvement from the balance of TT$1,723.2 million or 2.6 percent of GDP recorded in the previous year. These projections are based on a weighted average oil price of US$30.60 per barrel in 2003/2004. Meanwhile, gross public sector debt stock is projected to increase to TT$37,125 million (52.7 percent of GDP) by the close of fiscal 2003/2004. Central Government Debt is expected to expand to TT$21,842 million or 31 percent of GDP while Contingent Liabilities are projected to grow to $14,283 million or 21.7 percent of GDP.