Clean Energy Push Positioned to Strengthen St. Kitts and Nevis Economy – IMF

Basseterre, Saint Kitts and Nevis, March 03, 2026 (PMO) – The International Monetary Fund (IMF) has identified Saint Kitts and Nevis’ energy transition agenda as a major opportunity to strengthen the Federation’s medium-term economic growth, reinforcing the Government’s strategic push toward renewable energy and sustainability.

In its Staff Concluding Statement of the 2026 Article IV Mission, the IMF pointed to the significant upside potential of the country’s clean energy initiatives, stating clearly: “On the upside, a successful energy transition could strengthen medium-term growth.”

This independent international assessment closely aligns with the Government’s Sustainable Island State Agenda (SISA), which places renewable energy, energy security, and climate resilience at the center of national development planning.

The Government of Saint Kitts and Nevis has, over the past two years, accelerated one of the most ambitious clean energy transformations in the Caribbean.

A cornerstone of this transition is the geothermal energy project in Nevis, for which the Government has secured full financing. The initiative is expected to deliver reliable baseload renewable energy for both islands, reduce dependence on imported fossil fuels, and lower electricity costs for consumers and businesses. 

Production drilling for the geothermal plant is projected to commence this year, 2026, following strong international interest, with five globally recognized firms submitting bids for the project. 

Complementing geothermal development is the Federation’s large-scale solar expansion programme, including plans for a 50-megawatt solar farm, forming part of the broader push toward energy independence and sustainability. 

Together, these initiatives represent a transformational shift in the country’s energy architecture.

Ultimately, the IMF’s assessment provides further international endorsement of the Federation’s policy direction and underscores the importance of maintaining momentum in the transition to sustainable energy.

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