The Tribune

By LEANDRA ROLLE

Tribune Chief Reporter

lrolle@tribunemedia.net

PRIME Minister Philip “Brave” Davis expects the country’s unemployment rate to fall to 9.1 percent this year.

Unemployment dropped to 9.3 percent in the second quarter of 2025, down from 10.8 percent in the first quarter, according to the latest statistics.

Mr Davis predicted a further drop yesterday, saying the rate is projected to ease slightly to 9.1 percent.

He credited increased investment, particularly in the cruise sector, for helping to to lower unemployment, citing projects such as Royal Caribbean’s Royal Beach Club and Carnival’s Celebration Key.

“In more recent years, unemployment averaged 14.1 percent between 2017 and 2020, then moved to an average of 9.9 percent in the four years following the 2021 election, supported by a broad recovery in services particularly tourism and steady growth in construction and retail,” Mr Davis said during his mid-year budget contribution yesterday.

On inflation, he noted that May 2025 data showed a modest 0.4 percent increase compared with the same period in 2024.

The largest price rises were in furnishings and household equipment, clothing and footwear, and health services, while gasoline and diesel prices declined by 7.3 percent and 7.8 percent, respectively.

“Overall, The Bahamas continues to demonstrate steady economic progress, supported by strong tourism performance, improving labour market conditions, and contained inflation,” he added.