Caribbean lenders still face challenges to growth, as shown in The Banker's Top 50 Caricom Banks ranking for 2016, but many have turned the corner in terms of profits. 

Panama retains its position as one of the best markets for banking in Central America, but success stories can also be found in Nicaragua and Guatemala.

Slowly but surely, the Caribbean is emerging from a long and painful recession. The president of the Caribbean Development Bank, Warren Smith, explains how diversifying the region's economy beyond tourism and establishing a renewable energy sector will help protect against future crises. 

While BAC Panama remained in top position, other Colombian-owned lenders fared less well in the Top 100 Central American Banks ranking, leaving the way open for Panamanian, Costa Rican and Guatemalan banks to make up ground.

Bank earnings across the Caribbean are down, as the region's lenders continue to struggle against a difficult economic backdrop. But there are still some bright spots, with a handful of banks managing to boost their asset base and retain impressive profitability.

While Panama's banks held their lead as the biggest banks in Central America, Nicaragua steamed ahead in terms of return on capital and return on assets. 

Growing public debt, falling GDP rates and rising unemployment are casting a shadow over the Caribbean region. Banks are responding by raising capital and many are still delivering good returns.