The Central Bank is reporting that higher crude oil and petrochemical production spearheaded a return to positive growth in energy sector activity during the fourth quarter of 2021.
This positive development is highlighted in the Bank’s latest Monetary Report.
The Central Bank said the rollback of COVID-19 restrictions boosted business operations in some non-energy sectors while inflation, though rising, remains relatively contained.
The report said Bank financing has supported private sector business activity, as evidenced by the uptake in business lending.
It said sluggish employment conditions may have adversely impacted consumer lending, which continued to decline.
The Central Bank said recent high international energy prices have boosted the public finances and external accounts, creating a welcome space for financing further adjustment to the lingering effects of the Covid-19 pandemic.
However, the Central Bank cautioned that in the very uncertain global setting care must be taken to not consider this ‘windfall’ as permanent, and to continue much needed structural reforms to strengthen Trinidad and Tobago’s competitiveness.
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