Barbados' fiscal adjustment again fell short of stemming another increase in debt to GDP, which is already very high and a key credit constraint. Central bank financing of the government's deficit continues, exacerbating Barbados' financial and external weaknesses. As a result, we are lowering our long-term foreign and local currency sovereign credit ratings on Barbados to 'B-' from 'B'. The outlook on the long-term rating is negative, reflecting a greater than one-in-three chance of a downgrade, should the government be unable to lower its fiscal deficits, or if growth fails to strengthen, putting additional pressure on the country's weakening external position. On Sept. 23, 2016, S&P Global Ratings lowered its long-term foreign and local currency sovereign ratings on Barbados to
