PM Announces New Policy for Transitioning Jamaica to Inclusive Growth

• Prime Minister, Dr. the Most Hon. Andrew Holness, has outlined a comprehensive strategy to transition Jamaica towards robust and inclusive economic growth. The new policy statement comes after a decade of economic stabilisation and represents the Government’s focus on pursuing growth that creates tangible benefits for all Jamaicans.
• Reflecting on Jamaica’s economic journey, Prime Minister Holness highlighted the achievements recorded over the past decade, including a reduction in the debt-to-gross domestic product (GDP) ratio from 146.0% to under 70.0%, and a fall in the unemployment rate from 15.0% to a record low 4.2%.
• Dr. Holness declared “mission accomplished” on economic stability and said the Government is now pivoting towards transformative and inclusive growth. Key imperatives under the policy are Urban Renewal Tax Credit – revamping tax credits to attract private investments in underserved areas; National Infrastructure Fund – establishing a fund for public-private partnership projects; and Accelerated Tax Write-offs – incentivising businesses to modernise facilities and adopt advanced technologies¹.
• The Prime Minister also outlined the six pillars of the new growth agenda: Human Capital Development, Economic Diversification, Infrastructure Development, Reducing Red Tape, Safety and Security, and Inclusive Growth. He stated that ensuring no one is left behind is critical to this strategy, aligning with the Jamaica Social Protection Strategy.
• This new policy initiative aims to foster a more equitable economy that benefits all Jamaicans while ensuring sustainable growth for future generations.

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¹Other initiatives include the Removal of Taxes on Tips – aiming to reward service excellence in hospitality and service sectors; and the Consolidation of Payroll Taxes – moving forward with long-awaited tax reform.

(Source: JIS)