2002
Prepared by
Statistics Department,
Ministry of Finance and
Economic Development
April 2003
PREFACE TO 2002 NATIONAL ACCOUNTS
The National
Accounts Statistics report is published every year by the Statistics Department
of the Ministry of Finance, Economic
Development, Investment and Commerce in collaboration with the Eastern Caribbean Central
Bank. It is based on the results of
questionnaires mailed to businesses with employees within relevant sectors. Tables are prepared and revised every year
by officers within the Statistics Department with technical assistance from the
Eastern Caribbean Central Bank.
I would like to take this opportunity to thank all
those business people who took time out to complete the survey questionnaires
mailed to them. Without their cooperation it would be impossible to produce
this publication. I would also like to thank Hazel Corbin of the Eastern
Caribbean Central Bank for their technical advice and assistance in compiling
these tables and also Cheprene Browne and Deavene Guishard of the Statistics
Department for their dedication in ensuring that survey responses were
received.
As the economy of Anguilla develops, there is a
greater need for more reliable, accurate and timely economic statistics. These statistics can only be prepared with
the support of the private sector. The
primary users of this information are the Eastern Caribbean Central Bank and
planners within the public sector. We
hope that the information contained in this publication will benefit the
economic and social planners as well as the private sector. Any suggestions
that may assist us in improving the quality and content of future publications
are welcome.
Chief Statistician
REVIEW OF ECONOMIC ACTIVITY IN ANGUILLA IN 2002
Economic activity, in 2002, declined in real terms by 3.2% after positive growth of 2.1% in 2001. In current prices the percentage growth in 2002 was 1.1% and in 2001 it was 1.5%. Total economic activity, as measured by gross domestic product (GDP) at factor cost and current prices was EC$240 million compared to EC$237 million in 2001. With an estimated year-end population of 11,920 the GDP per capita stood at EC$20,094 or US$7,498. GDP per capita was at a level comparable to 1998.
Inflation, as measured by the change in the Consumer Price
Index (CPI) in 2002 was –1.4%, in 2001 it was 2.9 % and 6.5 % in 2000.
The decline in economic growth in 2002 was mainly due to the poor performance of the tourism retail and construction sectors. The decline would have been even larger were it not for the strength of utilities which include electricity, communications and water.
The government sector, which represents 18 percent of the economy showed the slowest rate of growth of the sector since 1995 at 2.6% in real terms and 6.9% nominally.
The tourism sector continued to be the largest contributing sector to overall economic activity, albeit at a lower proportion than in 2001. Its contribution declined from 31% in 2001 to 28% in 2002. The hotels and restaurants produced EC$66.5 million in current prices in 2002. The real rate of decline for hotels and restaurants was 8.3% compared to a growth of 9.5% in 2001. While the total number of visitors in 2002 was higher than in 2001, the increase was in sea visitors, which tend to be day excursionists. The number of visitors by air decreased to thirty thousand in 2002 compared to thirty two thousand in 2001. Visitors who travel by air are usually people who stay over in hotels and villas and stay longer, thus making a greater contribution to the economy than day-trippers, cruise ship visitors or yachters. The decline was due to the slowdown in the American economy, the country from which most of Anguilla’s visitors come.
Visitors to Anguilla, 1990 - 2002
|
Year |
Air (Stay over) |
Sea (Ferries and Yachts) |
Total Visitors |
|
1990 |
22,100 |
68,400 |
90,500 |
|
1991 |
22,400 |
68,140 |
90,540 |
|
1992 |
24,140 |
69,030 |
93,170 |
|
1993 |
28,720 |
82,630 |
111,350 |
|
1994 |
32,800 |
92,800 |
125,600 |
|
1995 |
29,500 |
77,600 |
107,100 |
|
1996 |
27,900 |
58,300 |
86,200 |
|
1997 |
32,600 |
81,200 |
113,800 |
|
1998 |
28,900 |
84,800 |
113,700 |
|
1999 |
28,540 |
78,190 |
106,730 |
|
2000 |
28,570 |
83,890 |
112,460 |
|
2001 |
32,070 |
72,900 |
104,970 |
|
2002 |
29,654 |
81,464 |
111,118 |
Government services continued to be the second most significant industry sector contributing EC$43.5million or 18.2% to GDP in 2002.This represented a nominal increase of 6.9% from 2001 or 2.6% in real terms. Government current expenditures according to the National Accounts definitions barely grew in 2002 while revenues increased 20% after declining for three years in a row. The result was a small surplus on the current account according to National Accounts definitions of $1.4 for the first time since 1999. The main contributors to the increase in government revenues were indirect taxes excluding import duties and property taxes.
Banking and insurance showed a slight decline in 2002 after strong growth in the previous two years. This sector has become the third most important contributor to GDP after tourism and government services. In current dollars the banking and insurance industry contributed EC$34.6 million or 15% to GDP in 2002. There are four commercial banks and four insurance companies with their own offices, operating in Anguilla. There are a number of companies who operate as insurance agents and brokers and these represent a number of companies from overseas. Banks and insurance companies’ output decreased 7.5% in constant prices, down from 22% growth in 2001.
The importance of the construction sector to the economy in 2002 continued to decline as no new major projects were started in 2002. Construction contributed EC$24.74 million or 10% to GDP in 2002 compared to a high of 17% in 1999. Construction activity was back to its 1995 level.
Activity within the communications sector grew in 2002 by 9.0% in current terms or 7.5% in real terms after a decline of 4% in current and 4.3% in constant prices last year. The communications sector represents EC$23 million or 9.4% of GDP.
Wholesale and retail trade activity continued to decline in 2002 reducing its contribution to GDP from 8.4% in 2000 to 8.0% in 2001 to 7.2% in 2002. Total economic activity of this industry was EC$17 million in the year 2002, which was a decrease of 9% compared to 2001. The retail sector is comprised mainly of 4 large supermarkets and car sales. There are many smaller retailers and shops catering to the tourist sector.
Output in quarrying and transport also contracted in real terms in 2002 by 3.6% and 5.8% respectively. The quarrying industry’s poor performance is a result of the continued weakening of the construction industry. Road and air transportation was affected by the decline in tourists to Anguilla.
Crop production continued to recover in 2002 after hurricane damage in 1999. Livestock and fishing continued to show some improvement resulting in an overall increase in output of the agricultural sector in real terms of 15.1%. Utilities continued to show positive growth in 2002 growing by 9.2% in real terms. All other industry sectors experienced positive economic growth in 2002.