Bad luck for the Guadeloupean economy. The IEDOm figures confirm a further deterioration. Tourism, construction, households everyone toasts. The only ray of sunshine is prices which are falling, very slightly.
The Issuing Institute of Overseas Departments (IEDOM) presents the main developments in the Guadeloupean economy for the third quarter of 2024. Clearly, the economic situation is deteriorating. The business climate is deteriorating again.
The professionals interviewed report a decline in activity exacerbated by power outages linked to the EDF-PEI social conflict at the end of September. In addition to a deterioration in their cash flow and an increase in their operating costs, business leaders are concerned about the lengthening of payment terms from their customers.
At the same time, political and fiscal uncertainty at the national level weighs on investment decisions. Household consumption is sluggish, in a context of growing tensions around the subject of “cost of living”.
However, prices are falling slightly. On the job market, company workforces are holding up, despite less favorable indicators.
Trade and tourism professionals note a drop in customer spending. In industry, market services excluding tourism and construction, activity is slowing down. Business leaders remain pessimistic for the end of 2024, anticipating a deterioration in their financial indicators. They limit new projects but continue current investments, while maintaining staff numbers. A price increase is planned for the last quarter of 2024.
The business climate fell by 6.3 points due to a drop in activity, cash flow problems, an increase in charges and an extension of payment terms.
Household consumption and private investment are stagnating. Inflation decreases slightly: -0.1% compared to the second quarter of 2024.
The job market is slowing down with an 11.7% drop in job offers recorded by France Travail.
Imports of investment goods and durable consumer goods fell by 8.4% and 7.7% respectively.
Economic vulnerability is increasing. Business failures increased by 4.4% over one year, while payment incidents and personal loans soared: +62% over 9 months.
Note, however, a 23.5% reduction in over-indebtedness cases over one year.
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