Providing detailed local construction market intelligence and data
In 2024, the Caribbean continued its trajectory of economic growth, with tourism and construction emerging as twin pillars of development. Countries across the region, from Anguilla to Trinidad and Tobago, have harnessed the power of these sectors to drive investments in infrastructure, enhance visitor experiences, and foster sustainable development. The regional economy is projected to continue growing throughout 2025, albeit at a slower rate than in 2024. The anticipated Gross Domestic Product (GDP) growth is approximately 2.5% when excluding Guyana, and around 8.7% when including Guyana. This economic boom is primarily driven by Guyana’s oil reserves and a rise in tourism. This growth, however, is not without challenges. Climate change looms large, manifesting in rising sea levels, extreme weather events, and the pressing need for resilient infrastructure to safeguard livelihoods and economies.
Establishing the Caribbean as a Top Luxury Destination:
There is a strong focus on positioning the Caribbean as a premier luxury destination. Tourism is currently
at an all-time high, and this surge in tourism has led to a greater demand for hospitality and residential
property development. Numerous hotel construction and tourism infrastructure projects are underway
across the islands, with some scheduled to open in 2025 and others scheduled for completion within the
next few years.
Plans for Investment and Future Prosperity:
The Peace, Love and Happiness (PLH) project on Barbuda, when completed, will consist of over 700 luxury
holiday homes. Since its launch in 2020, the project has already seen an investment of more than $500
million, with plans for an additional investment of $120 million in 2025.
Additionally, Barbados 2035, titled “A Plan for Investment in Prosperity and Resilience,” envisions upgrades to key infrastructure in Barbados. This includes major roads, drainage systems, the international airport, and Bridgetown Port, along with the development of five new luxury sustainable hotels, the construction of 1,000 new homes, and the retrofitting of 30,000 vulnerable homes.
In summary, the outlook for the Caribbean in 2025 remains cautiously promising, driven by a combination of continued tourism recovery, sustainable development, economic diversification, and regional collaboration.
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