This week the Central Bank of The Bahamas will release its Review of Domestic Economic Developments for the Second Quarter 2004.

The Regulatory Authority has issued an "early release" summary indicating, for example:

• continued strengthening of the economy

• robust tourism expenditure growth

• initial signs of increased construction sector expenditures on major resort developments

• expansion of money supply (M3)

• reduction in the current account deficit

• easing of average inflation

Based on developments through to the second quarter, the CBB had projected that economic expansion would continue at a healthy pace in the medium term.

Taking into account damages related to the early September Hurricane Frances, the tourism sector was still expected to experience cumulative growth in 2004 and to resume its upward trend in 2005.