Barbados COVID-19 Response and Recovery DPF

closed

The development objective of the COVID-19 Response and Recovery Development Policy Financing in Barbados is to support Barbados’ response to the COVID-19 crisis and to promote the post-crisis economic recovery. This operation supports the government in responding to the COVID-19 pandemic and in creating the conditions for the country’s economic recovery. Pillar 1, strengthening the response to COVID-19, focuses on continuing to deliver a strong economic response. As the economy has contracted over the last two years and poverty has likely risen as a result, the government has developed several policies to place emphasis on social safety net measures to protect vulnerable groups and help displaced workers find new employment. It also reduces adverse labor market effects due to COVID19, and reduces transmission of COVID-19 by prioritizing people for vaccination. Pillar 2, enhancing macroeconomic and fiscal management, improves macroeconomic and financial stability, the Borrower has approved legislation aimed at strengthening the Central Bank’s governance and independence while maintaining accountability and ensuring compliance with internationally recognized accounting standards. It also improves fiscal transparency and strengthens monitoring of fiscal risks. Pillar 3, promoting trade and finance for a sustainable recovery, improves fiscal transparency and strengthens monitoring of fiscal risks. It improves the business environment and enhances international competitiveness of its economy, as well as enhancing the disaster and climate resilience of the insurance industry.