- File Size 295.93 KB
- File Count
- Create Date Aug 7, 2019
- Last Updated Apr 22, 2020
GDP Growth and Public Finance in Seychelles: FY2019/20
The Seychelles are renowned for their natural splendour and vibrant cultures. But the economy has started to slow down, as can be seen by the real GDP growth rate, which has started declining since 2018. However, real GDP had increased from 4.9% in 2016 to 5.3% in 2017 until 2018. Real GDP growth then declined from an annual average of 4.9% from 2015 to 2017, to 3.6% in 2018. The reduction in GDP growth was largely due to the increase in international oil prices, lower tourism volumes, and the global economic slowdown. During the period of improving real GDP growth the Government of the Seychelles (GoS), took advantage of the rising government revenue and spurred on by the robust real GDP growth, to reduce its liabilities. The GoS reduced public debt, which declined from an annual average of 69.7% of GDP from 2015 to 2017, to 62.7% of GDP in 2018. In response to the declining real GDP, the GoS increased public spending in 2019.