Price Compact Revival? Probably Not | Barbados News

Economists say reviving Barbados’ old Price Compact to cap prices on essentials is unlikely now—conditions that made it work back in 2022 simply don’t exist. While the original plan aimed to freeze markups on groceries and hygiene items and even roll back some taxes, its success relied on a specific economic climate: strong consumer demand and businesses able to absorb costs. Today, growth stems mostly from big investments that funnel money to developers, not everyday shoppers. Rising import costs drain local resources, making it hard for businesses to sustain fixed pricing without cutting supply. With tighter government finances and less fiscal room thanks to depleted BERT buffers, new relief would require tough trade-offs—like slashing tax revenue or borrowing more—which could jeopardize stability. So, brace for prices to keep climbing, not a return to price controls. Listen in comfort:Get a discount on a Soli Pillow: http://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/56a3ba55c15945ad