Gross Domestic Product for the Commonwealth of the Northern Mariana Islands (CNMI), 2018

CNMI GDP decreases successful 2018;
Gaming manufacture revenues and visitant arrivals decline

CAPITOL HILL, SAIPAN (November 7, 2019) -- Today, nan Bureau of Economic Analysis (BEA) is releasing estimates of gross home merchandise (GDP) for nan Commonwealth of nan Northern Mariana Islands (CNMI) for 2018, successful summation to estimates of GDP by manufacture and compensation by manufacture for 2017.1   These estimates were developed nether nan Statistical Improvement Program funded by nan Office of Insular Affairs (OIA) of nan U.S. Department of nan Interior.

Revised estimates of GDP for 2015 to 2017, arsenic good arsenic revised estimates of GDP by manufacture and compensation by manufacture for 2015 and 2016, are besides presented successful this release.

Gross Domestic Product for 2018

The estimates of GDP for nan CNMI show that existent GDP—GDP adjusted to region value changes—decreased 19.6 percent successful 2018 aft expanding 25.5 percent successful 2017 (see Table 1.3). For comparison, existent GDP for nan United States (excluding nan territories) accrued 2.9 percent successful 2018 aft expanding 2.4 percent successful 2017.

The diminution successful nan CNMI system chiefly reflected decreases successful exports of services and backstage fixed finance that were partially offset by maturation successful authorities spending.

Exports of services decreased 38.8 percent, owed to a alteration successful visitant spending, including connected casino gambling (see Table 1.3). Revenues from casino gambling dropped complete 50 percent. The number of visitors to nan CNMI decreased 21.5 percent, reflecting nan effects of Typhoon Yutu, which made landfall connected Saipan and Tinian successful October 2018.

Private fixed finance decreased 19.8 percent, reflecting a diminution successful business spending connected building and equipment. However, business spending connected building and instrumentality remained astatine historically precocious levels, supported by continued improvement of nan casino edifice connected Saipan and nan commencement of post-typhoon repairs and reconstruction activity (see Table 1.2).

Partly offsetting nan declines successful exports of services and backstage fixed finance was maturation successful authorities spending, peculiarly by nan national authorities (see Table 1.4). Federal authorities spending much than doubled from nan erstwhile year, chiefly owed to betterment activities pursuing Typhoon Yutu.

Gross Domestic Product by Industry and Compensation by Industry for 2017

The estimates of GDP by manufacture for nan CNMI show that some nan backstage and authorities sectors contributed to nan maturation successful nan system successful 2017 (see Table 2.5). The largest contributor was accommodations and amusement, reflecting maturation successful tourism and output of nan casino industry.

The compensation by manufacture estimates, which are measured successful existent dollars, show trends successful compensation for awesome industries (see Table 2.6). Total compensation accrued successful 2017, reflecting maturation successful each industries shown isolated from manufacturing. The largest contributors were accommodations and amusement and nan territorial government.

The accompanying tables coming estimates for GDP and its awesome components, GDP by industry, and compensation by industry. Also included successful this merchandise are estimates for nan awesome components of gross home income.

Revisions to GDP

Estimates for 2015 to 2017 that were released connected October 18, 2018 person been revised successful bid to incorporated improvements to root data, including recently disposable information for territorial authorities spending and revenues from authorities financial statements and reports, updated world waste and acquisition information provided by nan CNMI government, and restatements of backstage institution financial accusation for nan gaming sector. The revised estimates show a akin shape of inflation-adjusted maturation arsenic nan antecedently published estimates (see Table 1.7).

Future Directions

Moving forward, an statement betwixt OIA and BEA will widen and amended nan estimates of GDP for nan CNMI. The accusation provided by nan CNMI authorities will proceed to beryllium captious to nan successful accumulation of these estimates.

BEA will behaviour a broad update of GDP for nan CNMI adjacent year. Estimates of GDP will beryllium revised to bespeak methodological improvements and nan readiness of much complete information complete time, successful immoderate cases backmost to 2002. Information from nan Census Bureau’s 2017 Economic Census of Island Areas, nan astir broad manufacture information disposable for nan CNMI and nan different land areas, will beryllium incorporated astatine this time. BEA presently plans to merchandise these estimates, successful summation to caller GDP estimates for 2019, successful nan autumn of 2020. GDP by manufacture and compensation by manufacture estimates for 2018 will besides beryllium released.

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1 These estimates are based connected constricted root information and are taxable to revision.