Barbados: Investing in island growth

Barbados: Investing in island growth

Barbados: Investing in island growth

Under the leadership of Prime Minister Mia Mottley, Barbados, one of the largest economies in the Eastern Caribbean and home to nearly 300,000 people, is enjoying rapid and inclusive economic growth while spearheading initiatives to reform international climate finance.

Since becoming Barbados’ first female prime minister in 2018, Mia Mottley has led this outward-facing Caribbean nation through a period of economic transformation, emerging as a global standard-bearer for climate justice. 

With landmark legislation like the Economic Recovery and Transformation (BERT) Plan, Mottley has helped enhance the country’s fiscal stability and unlock the potential of industries such as renewables. BERT has helped Barbados achieve more sustainable and inclusive growth, with the economy expanding by 4% in 2024 and similar estimations for 2025. 

Our macroeconomic performance has been strong, with economic activity surpassing pre-pandemic levels.

Mia Amor Mottley Prime Minister of Barbados

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“Our macroeconomic performance has been strong, with economic activity surpassing pre-pandemic levels,” Mottley says. 

Resilience is at the heart of Mottley’s vision for Barbados’ economic future—resilience to external shocks, to natural disasters, and above all, resilience to climate change. 

At a volatile time for global trade, Mottley is forging new ties with Barbados’ neighbors in the Caribbean and is strengthening what she calls “the decades-long friendship” between the U.S. and Barbados. In a meeting this year with Secretary of State Marco Rubio, Mottley called for greater cooperation between the U.S. and Barbados in areas ranging from defense and security to trade, tourism, and energy.

Recognizing that climate change requires a global response, Mottley is also leading efforts to reform international climate finance. In 2022, Mottley launched the Bridgetown Initiative. Named after the island’s capital, the plan aims to mobilize trillions of dollars from rich nations to support developing countries most at risk from climate change. The program has been instrumental in allowing governments to suspend debt repayments in the event of a natural disaster.

Leading from the front, this year Barbados is set to become the first country to use an innovative “debt-for-resilience” facility, which will enable developing nations to channel money away from debt repayments and into climate resilience and adaptation projects.

“We are changing the rules of the game, shock-proofing our economies, and dramatically increasing the financing for sustainable development goals and climate action,” Mottley says. 

Mottley’s climate leadership has turned her into a prominent figure on the world stage, and the Barbados Prime Minister is now seen as a major contender for the post of UN Secretary General.

America’s go-to getaway 

Barbados has become the destination of choice for discerning American travelers looking to relax, explore, and recharge in style.

Ever since George Washington came to Barbados as a young man, the island has exercised an enduring spell on American visitors. Just a short flight from the U.S., it offers breathtaking beaches, rich heritage, a diverse and welcoming culture, and some of the finest cuisine in the Caribbean.  
When the government of Prime Minister Mia Mottley prioritized expanding the number of air routes from the U.S., American travelers did not hesitate to seize the opportunity. In 2024, U.S. arrivals to Barbados surged by 29% to nearly 230,000—an influx that saw the U.S. overtake the U.K. as the island’s leading source of tourists. 

To manage these growing numbers, the country is making significant investments across its transportation and tourism industries.  

At Grantley Adams International Airport, a $300 million expansion program is underway that will increase capacity and allow Barbados to add flights and welcome new travelers from around the world. “We have been successful in getting more visitors from the U.S.,” Tourism and International Transport Minister Ian Gooding-Edghill says. “We are now going after key emerging markets. That will be a major source of additional growth.”  

Meanwhile, the country’s seaport is increasing its capacity to allow more cruise ships to dock. Plans are afoot for even more ambitious expansion in the future, Gooding-Edghill says. 

Major investments are also underway in ecotourism, training, heritage preservation, and niche tourism products such as health and wellness. And with the continuation of the Welcome Stamp Visa Program, enabling remote workers to base themselves in Barbados for a period of 12 months, the island has never been more accessible, offering a paradise getaway on America’s doorstep.

When you come to Barbados and invest, you get a good rate of return.

G.P. Ian Gooding-Edghill, Minister of Tourism and International Transport

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Barbados is boosting airlift, cruise capacity, and incentives for investors. Minister of Tourism and International Transport Ian Gooding-Edghill outlines the island’s tourism growth strategy. 
 
Q: What initiatives has your ministry implemented to ensure growth in the tourism industry? 

The most strategic decision we made was to go to the market to increase airlift. As a result of that increase, we have been able to drive growth to Barbados, both in arrivals and visitor spending. When we met with airlines, they were very receptive. As a result, we have increased the number of visitors traveling to Barbados. That is a very significant accomplishment for us. 

Q: How would you like Barbados to be perceived by U.S. visitors? 

We want to be perceived as a very warm, welcoming, and friendly destination—one that is rich in heritage, where you can come to relax and enjoy yourself. We maintain the quality of service and ensure that we offer all the products and attractions visitors might need while on vacation. 

Q: What advantages does Barbados’ tourism sector offer investors? 

From a historical perspective, when you come to Barbados and invest, you get a good rate of return. We also offer a number of incentives that support not only product improvement but also new investment in the country. For any prospective American investor, you can be assured that our incentives regime supports not only a viable investment but also a highly profitable one. 

Q: What is your outlook for growth in tourism from the U.S.? 

We have a new airlift into the United States through Delta, and we also added a new route out of Philadelphia with American Airlines. Both have contributed to the growth we are now seeing. Thanks to Delta’s expansion, we have been able to bring in even more passengers. That has directly helped us drive more visitors to local properties. 
We have also benefited from additional flights from both British Airways and Virgin Atlantic. BA has been serving Barbados for over 70 years, and Virgin for more than 25. 

Q: How are you upgrading the port to handle more cruise traffic? 

We have been able to increase the number of cruise calls to Barbados by constructing a new berth: the Berth 6 Project. With this addition, we can reduce cruise congestion and provide another safe docking space, ultimately bringing more tourists to the island. There is a port master plan, and we are actively expanding the port in stages. It’s a significant investment.

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This article was published 27 August 2025
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