What problem faces with debt burden in Saint Vincent and the Grenadines?

Answer 1

Saint Vincent and the Grenadines faces significant challenges related to its high debt burden, which has been exacerbated by factors such as natural disasters, the COVID-19 pandemic, and reliance on tourism. The country's debt-to-GDP ratio remains elevated, limiting its fiscal space and ability to invest in critical areas like infrastructure and public services. Additionally, servicing this debt diverts resources away from essential development programs, hindering long-term economic growth and stability. Addressing these challenges requires effective fiscal management and potential restructuring of debt obligations.