MORE BARBADIANS are expected to be on the breadline next year as Barbados' Gross Domestic Product (GDP) slows down.

However, Prime Minister David Thompson is anticipating that the increased levels would remain in the single digits.

Delivering his first Financial Statement and Budgetary Proposal as Prime Minister in the House of Assembly yesterday, he projected that for the first two quarters of 2009, growth in most of the non-traded sectors would slow down compared with this year.

He also predicted that with the anticipated dip in tourism, the output of wholesale and retail, transportation, storage and communications and business, other services sectors would slow down.

He added that the moving rate of inflation was also anticipated to be about 7.9 per cent by year-end, influenced by trends in international markets and other commodity prices which would continue throughout 2009.

Thompson, also Minister of Finance, said growth in the Barbadian economy slowed down to an estimated 1.8 per cent during the first six months of this year.

In outlining the various areas which declined, he said the average output in the non-traded sectors grew by only two per cent, substantially below the 5.1 per cent average recorded between 2005 and 2007.

Thompson said the completion of projects relating to Cricket World Cup 2007, and a reduction in residential and real estate activity in the private sector, saw the construction sector falling by about6.7 per cent.

The traded sectors have also recorded fall-offs with declines in manufacturing output, sugar production and moderation in tourism value-added. (JR-B)