On Aug. 18, 2008, Standard&Poor's Ratings Services affirmed its 'BBB+/A-2' foreign currency and 'A-/A-2' local currency sovereign credit ratings on Barbados. The outlook remains stable. The ratings weigh the country's social cohesion and political stability as well the fiscal flexibility provided by the National Insurance Scheme surpluses against the vulnerabilities posed by the narrowness of the economic base and sizeable external imbalances. Consensus policymaking provides a social safety net and a predictable business environment that we expect to bring per capita GDP to more than $13,500 this year (versus the $8,700 for the 'BBB' median). Standard&Poor's expects the central government deficit to narrow to 2.7% of GDP in 2008 from 3.1% in 2007, as corrective revenue-generating
