High Oil Prices Could Trigger Caribbean Crisis

High energy prices could prompt political and economic crises in Caribbean countries, particularly in those juggling with financial imbalances.

Helena Hessel, a senior analyst with Standard and Poor's is quoted in a Caribbean Media Corporation story predicting a regional political and economic fallout: “Apart from the impact on the balance of payments, in a number of countries in the Caribbean, like Grenada, Belize and Jamaica, where socio-political issues are somewhat difficult, if gasolene prices continue to rise, the impact would be negative."

From Hessel’s point of view only two countries would be spared from such a trend: Surinam and Trinidad and Tobago. They both have sound finances.

A regional crisis would strengthen even more Hugo Chavez’s influence in the Caribbean.