82 / 173
2018 Annual Economic and Financial Review
MONTSERRAT
______________________________________________________________________________
72
Eastern Caribbean Central Bank
However, this improved performance was
partly tempered by a decline in the number of
cruise ship passengers by 39.8 per cent (2,834
persons) to 4,294 persons. Value added by
dependent tourism-related services sectors
also increased; namely the transport, storage
and communications (5.0 per cent); and the
real estate, renting and business activities
(1.5 per cent).
The construction sector, which contributed
3.9 per cent to GDP, increased by 5.0 per cent
in 2018 in contrast to a decrease of
32.7 per cent in 2017. The improved activity
in this sector was attributable to an increase in
private sector activity, evidenced by an
expansion of credit of $5.9m during the period
under review. A deceleration in public sector
activity, as reflected in a $2.7m decline capital
spending, provided a partial counter to the
overall expansion. Other sectors that
contributed positively to the increased level of
economic activity in 2018 were fishing
(35.0 per cent); mining and quarrying
(15.0 per cent); education (10.8 per cent);
wholesale and retail trade (8.0 per cent);
electricity and water (2.5 per cent);
manufacturing (2.0 per cent); health and social
work (1.8 per cent) and financial
intermediation (1.0 per cent). These sectors
combined contributed 32.0 per cent of GDP.
The overall increase in real output was also
moderated by a decline of 1.0 per cent in the
public
administration,
defence
and
compulsory social security sector, which
contributes over one-third of total GDP on
average, and a reduction of 8.9 per cent in
agriculture, livestock and forestry sector.
Prices, Wages and Employment
The rate of inflation rose by 2.4 per cent,
on an end of period basis compared with
1.7 per cent in 2017.
The growth in inflation
was largely associated with a 3.5 per cent
increase in the housing, utilities, gas and fuels
sub-index. Higher prices were also reflective
of upward movements in the transport
(3.4 per cent), communication (3.4 per cent)
and alcoholic beverages, tobacco and