The immediate exodus of global companies from Barbados following the increase in corporate tax to nine per cent appears not to have materialised, according to president of BIBA, the Association for Global Business, Marlon Yarde.
The higher corporation tax rate took effect on January 1, 2024, replacing the previous regime of 5 per cent. Nearly two years after the change, available data suggests the flight of companies from the jurisdiction that some observers had feared has not occurred.
Yarde made the remarks during BIBA’s 2026 Economic Outlook Luncheon Seminar, at Hilton Barbados, where Dr Kevin Greenidge, governor of the Central Bank of Barbados, delivered the keynote address.
“Anecdotally, we often hear that companies are leaving for other jurisdictions. Yet the Central Bank’s statistics present a more balanced – and indeed more encouraging picture.
“The data shows growth in the number of foreign currency permits holders, as well as increases in salaries within the sector,” Yarde informed the capacity audience.
The BIBA president, who is also general manager of the Barbados Stock Exchange, acknowledged that a “relatively small number of companies . . . have not renewed their permits”, noting that this could mean “adjustments within the sector are still unfolding”.
However, he pointed to positive developments within the industry, including the registration of 108 new trust companies, which he described as signalling a “promising new area of growth” for Barbados’ global business sector.
At the same time, Yarde cautioned against complacency, stressing that “time will ultimately, tell the full story”.
He also highlighted continued steady growth in the captive insurance sector, which he described as a “pillar” of the island’s international financial services offering.
In that regard, he encouraged participation in BIBA’s 6th Annual Barbados Risk & Insurance Management Conference (BRIM), scheduled for March 26 and 27 at Wyndham Grand Barbados Sam Lord’s Castle, where developments in the insurance and risk management sectors will be highlighted.
Meanwhile, Yarde drew attention to the business and economic risks caused by deepening global uncertainty exacerbated by geopolitical tensions, trade disputes and supply chain disruptions.
While acknowledging that these developments present challenges, he urged business leaders not to overlook the opportunities that could also emerge.
The BIBA president said well-regulated, stable and internationally respected jurisdictions such as Barbados, with a broad treaty network, skilled professionals, strong governance structures and a credible regulatory environment, remain well positioned to navigate the evolving global landscape.
