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A gradual recovery in the number of projects on construction firms’ order books for 2017 is expected. Current performance in the sector hints that an improvement could come, based on a moderate pick-up in the energy sector and greater public sector demand. Progress is being made to develop public-private partnerships and push forward with the project pipeline. Although the real estate market has slowed somewhat during the course of 2016, the domestic residential market continues to show signs of relative strength, while the luxury and energy-related sectors have seen a cooling off. However, estate agents and industry executives note that the sector has experienced these cycles before and is on track for recovery.

Trinidad and Tobago’s manufacturing sector is the largest in the English-speaking Caribbean. In 2016 it was expected to represent 7.8% of overall GDP, with total output worth an estimated TT$8.29bn ($1.2bn), according to government estimates. This made it the third-largest sector of the economy after the energy and services industries. Approximately 47,700 people, or 7.3% of the total active labour force, are employed in manufacturing. The country holds several competitive advantages, including cheap electricity and natural gas, two international ports that are well served by shipping lines, good availability of local or imported raw materials, a captive domestic market and relatively easy access to regional markets through trade agreements. This chapter contains an interview with Dominic Hadeed, Managing Director, Blue Waters Products.

With a declining economy restricting premium-income growth and bringing rates under sustained pressure, 2016 was a challenging year for Trinidad and Tobago’s insurance sector. The relative scarcity of foreign exchange has also caused some issues with regard to the payment of reinsurers. Penetration remains relatively low, meaning local companies have significant room to expand. Total premiums represent around 2.6% of GDP, while the OECD average is more than three times higher. Barring any similar storms in the upcoming season, the sector will likely benefit from a recovery period. This will be aided by a turnaround in the energy sector, which will be a key driver of financing. While there are challenges ahead, the insurance sector seems set to re-enter a growth environment in the near term. This chapter contains an interview with Ravi Tewari, Group CEO, Guardian Group.

Following the 6% fall of Trinbagonian stocks in 2016, fund managers agreed that 2017 would bring further but more modest losses. Manufacturers and exporters in Trinidad and Tobago that incorporate local materials and have a strong brand could benefit from a weaker T&T dollar in 2017. With the national buy-and-hold mentality enduring, the expected listing of further tranches of First Citizens Bank and National Gas Company subsidiary NGL would bring some welcome trading activity in 2017. Nevertheless, the likelihood of continued high T&T dollar liquidity remains the central challenge to developing deeper and more liquid capital markets. This chapter contains an interview with Subhas Ramkhelawan, Managing Director, Bourse Securities.

Following another positive year of continuing profitability and financial strength in the face of challenges related to a wider economic slowdown, in 2017 Trinidad and Tobago’s banking sector is poised to play a key role in supporting new growth. While the demand for credit has slowed somewhat in light of volatility in oil prices, liquidity in the banking system has remained high. Executives in the sector expect the economy to begin rebounding in late 2017 and into 2018. In the meantime, they are seeking to maintain a competitive edge and increase their readiness to deal with the increasing pace of technological change. This chapter contains an interview with Anya Schnoor, Managing Director, Scotiabank; and President, Bankers Association of Trinidad and Tobago.

The new administration of Tobago takes office at a time of both opportunity and challenge. Tobago is one of the most beautiful, unspoiled islands in the Caribbean, which is a highly attractive proposition in today’s competitive tourism environment. Tobago is ready for take-off, with the island at a critical point in its economic development. After years of abundance, largely based on a share of the oil and gas revenues generated by Trinidad and Tobago, the island is now facing a fiscal squeeze. Tobago’s GDP slumped sharply in 2016, while its tourism sector has been underperforming for some time. However, these difficulties also present a major opportunity for growth. This chapter contains an interview with Kelvin Charles, Chief Secretary, Tobago House of Assembly.