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Kitts and Nevis, St. Lucia, and St. Vincent and the Grenadines, the governments have limited borrowing to what they can obtain on concessional terms, although guarantees for private borrowing have caused some problems. The private sector in the islands has also received substantial inflows of direct investment. The other OECS countries and Belize, however, have managed less well. Governments in Belize, Dominica, and Grenada resorted to non-concessional borrowing, and typically they have to repay more in principal than they are receiving in new loans; grants help keep their total capital flows positive.

Caribbean AreaEconomic conditions.  Caribbean Area Economic policy.  Title.  Series. S. S. S. S. 5 Net Foreign Direct Investment in the Caribbean 20 Page v List of Acronyms CARIBCAN Caribbean Community/Canada Technical Cooperation Agreement CARICOM Caribbean Community Secretariat CBI Caribbean Basin Initiative CGCED Caribbean Group for Cooperation in Economic Development DOD Debt Outstanding and Disbursed DBMC Dominica Banana Marketing Corporation ERP Economic Recovery Program EU European Union FDI Foreign Direct Investment FTAA Free Trade Area of the Americas GALs Guaranteed Access Levels GDP Gross Domestic Product GNFS Goods and Non-factor Services GNP Gross National Product GSP Generalized System of Preference IDA International Development Association IDB Inter-American Development Bank IMF International Monetary Fund NAFTA North America Free Trade Agreement OECD Organization for Economic Cooperation and Development OECS Organization of Eastern Caribbean States SITC Standard International Trade Classification Page 1 Introduction A Travel Poster of Tourists in an unspoiled tropical lagoon shows one side of the Caribbean, but not the side where most of the region's 20 million people livestruggling close to or below the poverty line.

2). In 1983, textile apparel exports constituted only 6 percent of the exports of the Caribbean countries to the United States, but by 1994 their share reached 39 percent. 7 Within the free-trade zones, manufacturing is subject to minimal taxation. Material inputs and machinery enter duty-free, and investment is freed from most regulations, although the national environmental and labor regulations still apply. 1). S. 3). The Dominican Republic and, to a lesser extent, Jamaica are the leading exporters of apparel and footwear to the United States among the Caribbean countries.

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