Barbados is a high-income country, with a private sector being the main economic engine with tourism continuing to play an important role. Barbados, like many other countries in the Caribbean, was severely affected by the global economic crisis and the impact continues to be felt through the economy.
EU cooperation 2014-2020
Under the 11th EDF, Barbados benefits from a EUR 3.5 million allocation which will focus on the energy sector and, more specifically, on renewable energy and energy efficiency.
EU cooperation 2008-2013
Under the 10th EDF, Barbados received €8.33 million for the implementation of its Human Resources Development Programme, thereby increasing competitiveness and developing the country's human resources to achieve economic diversification, improve productivity and to increase its global competitiveness. This programme was complemented by the €42 million EU’s sugar accompanying measures scheme (2010-2016) which assisted African, Caribbean and Pacific (ACP) countries - which are heavily dependent on sugar production - to diversify their economy.
As a member of the Caribbean Community (CARICOM) and the Forum of the Caribbean Group of African, Caribbean and Pacific ACP States (CARIFORUM), Barbados benefits from regional programmes funded under the Caribbean Regional Indicative Programmes.
The country is also a signatory of the CARIFORUM-EU Economic Partnership Agreement (EPA), a comprehensive free trade agreement with a strong focus on development cooperation.