Economy shrank by 8.2% in first three quarters of 2020

Economic activity in the Cayman Islands is estimated to have contracted by 8.2% in the first nine months of 2020, when measured as the gross domestic product in real terms.

The economic downturn, amid COVID-19-related lockdown measures and border closures, was led by significant declines in the hospitality sector (-64.7%), other services (-25.8%), wholesale and retail trade (-12.4%), and transport (-12.1%), according to the Economic and Statistics Office’s third quarter economic report.

The finance and insurance services sector decreased by an estimated 0.7% for the period.

This contraction would have been larger, had there not been an increase in domestic business activity during the third quarter due to the removal of some lockdown restrictions, the ESO said.

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