Grenada - Economy and Tourism

Economy and Tourism

Economic progress in fiscal reforms and prudent macroeconomic management have boosted annual growth to 5%–6% in 1998–99; the increase in economic activity has been led by construction and trade. Tourist facilities are being expanded; tourism is the leading foreign exchange earner. Major short-term concerns are the rising fiscal deficit and the deterioration in the external account balance. Grenada shares a common central bank and a common currency (the East Caribbean dollar) with seven other members of the Organisation of Eastern Caribbean States (OECS)

Grenada is a leading producer of several different spices. Cinnamon, cloves, ginger, mace, allspice, orange/citrus peels, wild coffee used by the locals, and especially nutmeg, providing 20% of the world supply, are all important exports. The nutmeg on the nation's flag represents the economic crop of Grenada; the nation is the world’s second largest producer of nutmeg (after Indonesia).

Tourism is Grenada’s main economic force. Conventional beach and water-sports tourism is largely focused in the southwest region around St George, the airport and the coastal strip; however, ecotourism is growing in significance. Most of these small ecofriendly guesthouses are located in the Saint David and Saint John parishes. The tourism industry is increasing dramatically with the construction of a large cruise ship pier and esplanade. Up to 4 cruise ships per day were visiting St. Georges in 2007–2008 during the cruise ship season.

The island has also pioneered the cultivation of organic cocoa which is also processed into finished bars by the Grenada Chocolate Company.

Tourism is concentrated in the southwest of the island, around St. George, Grand Anse, Lance Aux Epines, and Point Salines. Grenada has many idyllic beaches around its coastline including the 3 km (1.9 mi) long Grand Anse Beach in St George which is considered to be one of the finest beaches in the world and often appears in countdowns of the world's top 10 beaches.

Flights at the Maurice Bishop International Airport connect with other Caribbean islands, the United States, and Europe. There is also a daily fast ferry service between St. George and Hillsborough. Beginning in October 2009 new passenger ferry service between Grenada, Barbados, St. Vincent, St. Lucia, and Trinidad provided by Grenada-based BEDY Ocean Line is scheduled to begin.