Against a backdrop of widespread household financial strain driven by skyrocketing living costs across the Caribbean, regional government leaders and private sector stakeholders have finalized a coordinated package of actionable measures designed to cut import expenses, upgrade cross-border transportation connectivity, eliminate unnecessary trade restrictions, and make basic consumer goods more accessible to vulnerable populations.
The landmark agreements were reached during the second High-Level Breakfast Dialogue, a gathering that brought together CARICOM Heads of Government, the CARICOM Private Sector Organisation (CPSO), and the OECS Business Council (OBC). The event was hosted in Saint Lucia alongside the 51st Regular Meeting of the Conference of CARICOM Heads of Government, held July 6 under the overarching theme “Meeting the Affordability Challenge: Toward a Proactive Agenda for Member States and the Private Sector.” More than 120 senior stakeholders, including private sector executives, leaders from 13 CARICOM member nations, organized labor representatives, development partners, and officials from regional institutional bodies, took part in the day’s discussions.
Attendees centered their talks on concrete, implementable solutions to the region’s rising cost pressures, with priorities ranging from cutting transportation and logistics overhead to diversifying import sources, stimulating intra-regional investment, and forging stronger connections between the Caribbean’s dominant tourism sector and local domestic industries.
One of the most significant outcomes of the dialogue was a renewed focus on improving regional mobility and connectivity. Leaders formally committed to advancing development of a private-sector-led regional ferry service, a project expected to cut cross-border transportation costs dramatically. A September 2026 deadline was set to finalize the full regulatory framework required for the initiative, including rules for mutual recognition of insurance coverage, operating licenses, and road taxes—all critical preconditions to launching the service. In the near term, stakeholders have agreed to move forward with interim operational arrangements to get the service up and running ahead of full regulatory completion.
The dialogue also marked a milestone for regional air cargo connectivity, with attendees welcoming the launch of Executive Air Cargo, a new service that already began moving agri-food products between CARICOM member states, helping reduce food waste and cut delivery times for local producers.
On trade barriers, participants agreed to adopt a targeted “pairwise” approach to address the 57 non-tariff barriers that private sector businesses have identified as major obstacles to intra-regional commerce. Under this framework, the countries maintaining each restrictive policy will work directly with the affected trading nations, supported by private sector groups and relevant government agencies, to develop time-bound plans for elimination or reform.
Import diversification emerged as another key strategy to cut long-term costs, with analysis showing the region could save approximately $2 billion USD by shifting a portion of non-fuel imports to regional suppliers instead of relying solely on foreign sources. Additional savings are projected as Caribbean nations accelerate their transition to renewable energy, reducing their heavy dependence on costly imported fossil fuels.
Short-term relief for consumers was also a core topic of discussion. Barbados Prime Minister Mia Mottley put forward a formal call for a tripartite compact bringing together governments, the private sector, and organized labor, focused on stabilizing prices for a basket of essential consumer products. Mottley also urged businesses to accept reduced profit margins on essential goods to ease the financial burden being carried by Caribbean households.
Dialogue participants also prioritized mobilizing regional capital for strategic infrastructure investment, identifying renewable energy projects, desalination facilities, battery storage systems, and port upgrades as key priority areas. Attendees agreed that all regional investment opportunities should be published on a shared regional platform to improve accessibility for local investors, with agriculture highlighted as a sector that needs increased targeted investment.
The gathering also reaffirmed broad support for completing the ongoing Tourism Linkages Project, an initiative designed to strengthen connections between the Caribbean’s $50 billion tourism industry and regional agriculture, manufacturing, and service sectors, ensuring more tourism revenue stays within local economies.
On climate policy, private sector representatives reaffirmed their commitment to supporting regional climate action, but raised urgent concerns about the potential economic impact of the International Maritime Organisation’s Net-Zero Framework. Stakeholders warned the policy could drive up shipping costs, placing additional strain on consumers, small island economies, and the tourism sector that forms the backbone of most CARICOM nations’ economies.
To ensure all agreed commitments are delivered on, participants approved the establishment of dedicated working groups with clear timelines and measurable performance targets to track implementation progress. The CPSO will partner with the CARICOM Single Market and Economy (CSME) Prime Ministerial Sub-Committee to lead coordination of the agenda moving forward.
The dialogue closed with a unified commitment from all three sectors—government, private business, and organized labor—to advance the agreed practical measures, with the shared goal of delivering tangible, meaningful improvements to the quality of life for all people across the CARICOM community.