Strengthening Tax Policy for Climate-Resilient Growth in Dominica

Overview & Synopsis

The objective of this report is to examine Dominica’s tax framework and identify key tax policy reforms that can broaden and diversify the tax base, with an emphasis on integrating green growth and climate resilience measures into the existing framework. Currently, Caribbean economies, including Dominica, rely on a narrow tax base and are highly dependent on indirect taxes. It is therefore important for countries in the region to identify alternative revenue sources. Furthermore, promoting green growth and strengthening resilience to climate change through tax policy are high priorities for SIDS. The analysis identifies policy measures to strengthen tax revenue mobilization in Dominica and regional challenges that could be addressed collectively