THE HAGUE – A newly developed index measuring the economic resilience of Caribbean countries has found that prosperity alone does not determine how well an economy can withstand external shocks, with Jamaica and Barbados emerging as the region's strongest performers.
The new Resilience Index Caribbean (RICa) was developed by researchers from Economisch Bureau Amsterdam and compares the economic resilience of countries across the Caribbean using a broad range of economic and institutional indicators.
According to the study, the index measures more than economic output by assessing how well countries are able to absorb and recover from crises. The researchers conclude that smaller economies are not necessarily less resilient and that higher income levels do not automatically translate into greater economic strength.
Jamaica and Barbados ranked among the Caribbean's most resilient economies, while Haiti and Saint Lucia were identified as among the most vulnerable. The findings highlight significant differences in resilience across the region despite similarities in geography and economic structure.
The researchers say the index is intended to provide governments and policymakers with a tool to identify structural strengths and weaknesses that may not be visible through traditional economic indicators such as gross domestic product or per-capita income.
The report notes that resilience depends on a combination of factors, including institutional quality, economic diversification, public finances, and the ability to withstand external shocks such as natural disasters or global economic downturns.
The introduction of the RICa index comes at a time when Caribbean governments are increasingly focusing on strengthening economic resilience in response to climate change, geopolitical uncertainty, and global market volatility.