Bridgetown.
Loans and advances to the tourism and contruction sectors have fallen by 2.4 percent and 8.7 percent respectively. This was revealed in the first issue of the Central Bank of Barbados' Financial Stability Report.
The report which covers the financial developments in Barbados late last year and earlier this year, pointed to some challenges tourism businesses faced in replaying loans.
The amount outstanding on two large impaired tourism loans increased by $4 million since the third quarter of 2011, the report stated.
Hotels, restaurants, contruction firms and households accounted for 86 percent of the increase in non-performing loans, says the report.
It added: "The principal impact of the weak economic environment on the financial sector continues to be anaemic poans across the sector".
