Dominica economy is supported by a number of sectors or industry. The economy which was always considered to be stable took a deep in 2003 and the IMF (International Monetary Fund) was brought in to help the government improve the economy of Dominica. The official currency of Dominica id the Eastern Caribbean Dollar (XCD) and the banks on the island are regulated by the Eastern Caribbean Central Bank (ECCB).
Before the 2000s bananas was the mainstay of the country’s economy with exports to the United States and Europe but increased competition from the Latin American countries meant a decrease in banana production in Dominica. Today bananas are still exported but the introduction of other crops for export has helped boost the agricultural industry in Dominica. The export of citrus fruits, root crops (yams, dasheen), mangoes and other fruits is also done.
In terms of manufacturing there are a few successfully areas in Dominica. The export of soap and soap products, bay oil, coconut oil and other local products such as pepper sauce is done. Government offers incentives for investors who are interested in setting up on the island of Dominica.
Dominica is considered a tax haven and in order to invite investors and increase revenue the government of Dominica in 1996 introduced the incorporation of Dominica company and offshore banking was introduced at a later date. Dominica offshore companies are tax free companies which only pay government fees on the island. The Dominica economic citizenship program was also started in order to generate capital for government programs and projects. Dominica passport and citizenship s granted to qualifying applicants in exchange for an economic contribution towards the country.