Political Information

Source: Economic Intelligence Unit, CIA World Factbook

Political and Economic Stability

Saint Lucia is an independent state member of the Organization of Eastern Caribbean States (OECS). The OECS is a union of nine countries from the eastern Caribbean. OECS countries agreed to promote cooperation and assistance in the development of each nation after gaining independence from Great Britain (except Anguilla). The OECS shares a common supreme court and is governed by seven departments that cover all the nations: the Authority, the Council of Ministers, the Assembly, the Economic Affairs Council, the Commission, the Institutions department and The Secretariat. The OECS Secretariat is located in Saint Lucia and its Export Development Unit is located in Dominica.

The tropical eastern Caribbean island of Saint Lucia boasts beaches, mountains, exotic plants and the Qualibou volcano with its boiling sulphur springs.

Saint Lucia’s late history between English and French contest during the 17th and 18th century left a lasting effect on the country’s culture and political system. English is the official language, however, French patois is commonly spoken among the islanders. The main industries attracting foreign investment include tourism and offshore banking. Before the visitor influx, banana exports sustained St Lucia, especially after 1964 when it stopped producing sugar cane.

The tourism industry represents 65% of GDP and is vulnerable to hurricanes and external economic shocks. Saint Lucia has the most diverse manufacturing industry in all of the OECS, ranging from electrical equipment to cocoa and edible fruits.  Crops such as bananas, mangos, and avocados continue to be grown for export.

High public debt of -77%, a result of the global economic downturn of 2008 and its effect on tourism, continues to limit St. Lucia’s economic development and the public sector investment in infrastructure.

Business Climate

The World Bank’s annual Doing Business report ranks economies from 1 to 189 (with 1 being the best) on their ease of doing business. In the 2014 report, Saint Lucia ranked between 64 overall and 104 for Trading Across Borders, which measures the ease with which a standardized shipment of goods can be imported or exported across its borders. The average time to export goods in Saint Lucia is 14 days, with an average estimated cost of $CAD 1,044.86 per 20-foot container.

Although there are many reputable exporters in Saint Lucia, Canadian importers should be aware that corruption could be an issue when doing business in the country. Saint Lucia ranked between 71 out of 175 in Transparency International’s 2013 Corruption Perceptions Index, where 1st place indicates highly corrupt.  Canadian companies are advised to exercise strict due diligence before working with a company from Saint Lucia to ensure that it is a bona fide and reputable entity. It is suggested that Canadian importers commission a report by a credit information provider to verify the financial strength of the partner.