• Jamaica has seen an impressive surge in visitors from Latin America (LATAM) in recent months. This growth comes at a time when LATAM has emerged as a key market for Jamaica’s tourism sector. The revelation was made by Alex Pace, Chief Executive Officer of Global Marketing and Sales and Jamaica Tourist Board (JTB) regional representative, during the Jamaica Product Exchange (JAPEX).
• With LATAM countries, including Argentina, Chile, and Peru, contributing significantly to Jamaica’s tourism arrivals, the country is making strategic moves to strengthen its ties with this growing market. In a press briefing on September 23, 2025, Pace confirmed that Jamaica was on track to reach a 77% increase in visitor arrivals compared to the previous year from LATAM as travel connections and trade relationships continue to improve. The growth in airlift capacity, with nearly a 75% increase in available seats, signals that the demand for Jamaican tourism is growing rapidly in Latin America, especially among wealthier travellers.
• Jamaica’s tourism sector has been significantly impacted by these positive changes, as direct flights from key cities, such as Buenos Aires, Santiago, and Lima, have become more frequent. These routes are crucial to ensuring the steady flow of tourists from the region, while also creating opportunities for business tourism and trade partnerships.
• Argentina has emerged as the top contributor to Jamaican tourism from Latin America, with a 111% increase in arrivals compared to last year. Chile and Peru have also seen substantial growth, with Chile ranking as the second-largest contributor and Peru showing a 444% increase in tourist arrivals. This surge is partly attributed to the strategic involvement of LATAM Airlines, which has made it easier for Latin American tourists to travel directly to Jamaica through its hub in Lima, Peru.
• The rising interest from travellers has prompted the Jamaican government to invest more in regional tourism and promote the island as a desirable vacation destination. To support the growing influx of visitors from LATAM, Jamaica has been actively enhancing its tourism infrastructure and marketing strategies. Direct flight connections and improved airlift capacity have made it easier for Latin American tourists to visit Jamaica. The increase in seat capacity and new flight routes have opened up more opportunities for tourism growth while reducing the barriers for travellers.
• The increase in tourist arrivals from LATAM has directly impacted Jamaica’s economy, especially in sectors related to hospitality, transportation, and local businesses. The expected surge in visitor numbers is also expected to create a ripple effect throughout the economy, boosting local businesses, creating jobs, and increasing demand for hotel accommodations and tourist services.
• Overall, the Jamaican government aims to achieve one million tourist arrivals by the end of 2025, further solidifying the country’s position as a leading tourism destination in the Caribbean. As at mid-2025, the country has already seen record arrivals, and strong partnerships with Latin American countries will continue to be a key driver of this success. With Jamaica’s tourism industry showing signs of resilience and growth, the country is positioning itself to attract even more international tourists in the coming years.

(Source: Travel and Tour the World)

• Minister of Agriculture, Fisheries and Mining, Hon. Floyd Green, noted that Jamaica’s agricultural sector continues to show resilience, despite experiencing setbacks. Speaking at the Jamaica Agri-Business Investment Forum (JAIF) 2025, held at the Montego Bay Convention Centre in St. James, Mr Green said, despite the shocks, the sector has maintained growth.
• He pointed to major projects being advanced by the Government, including the Pedro Plains Irrigation Expansion Project and the Essex Valley Agricultural Development Project. These projects represent a major advancement in irrigation and food security and could open thousands of hectares of land for increased productivity.
• Minister of Industry, Investment, and Commerce, Senator the Hon. Aubyn Hill, also underscored the importance of increasing investment in agriculture and pointed to Jamaica’s strong economic position as a key factor in attracting investors. “When you look at Jamaica, the fundamentals are strong. We have a stable economy, we have the rule of law, and we have the resilience of our people. Agriculture must be a part of that investment conversation,” he underscored.
• Agriculture will likely contribute to Jamaica’s economic growth, as it is a primary contributor to the country’s exports. Both the International Monetary Fund (IMF) and the Bank of Jamaica (BOJ) anticipate that economic growth for 2025 and into 2026 will be driven by a rebound in the agricultural industry, supported by the full recovery of crop production from adverse weather conditions in 2024, along with improvements in other sectors^[1].
• That said, the industry remains vulnerable to weather-related risks and the broader impact of climate change on domestic crop production. These risks further emphasise the need for greater investments in the sector to enhance resilience and improve productivity.

(Sources: JIS, STATIN, NCBCM Research)

^[1] After facing Hurricane Beryl-related setbacks in Q3 2024 (-4.0%), the value added to the economy by the agriculture and fishing industries grew by 7.8% and 2.2% for Q4 2024 and Q1 2025, respectively. Furthermore,

• Noting that the global economy has demonstrated surprising resilience, the Organisation for Economic Cooperation and Development (OECD) raised its forecast for Mexico’s Gross Domestic Product (GDP) from 0.4% to 0.8% for 2025.
• The OECD also projected a 1.3% increase in the Mexican economy in 2026; an improvement compared to that body’s previous forecast of 1.1%. The positive news comes just days after the International Monetary Fund (IMF) revised its Mexico GDP forecast to 1.0% this year, up from -0.3% in April, while projecting 1.5% growth in 2026.
• Issued on Tuesday, the “OECD Economic Outlook, Interim Report September 2025” cited a stronger-than-expected performance in Mexico’s exports despite a volatile global trade environment. However, the organisation noted that “the full effects of tariff increases have not yet been felt, although they are becoming increasingly evident in spending decisions, labour markets and consumer prices” around the world.
• As for inflation in Mexico, the OECD bumped up its forecast for this year to 4.2% (its previous estimate was 3.4%), but foresees improved containment in 2026, projecting inflation of 3.6%. This reflects persistent cost pressures that should gradually moderate in the coming years, it said.
• While inflation remains a challenge, the OECD called for a “vigilant” monetary policy, urging Mexico’s central bank (Banxico) to “react promptly to shifting risks to price stability.” The organisation foresees Banxico continuing its monetary easing policy with additional rate cuts in its effort to moderate inflationary pressures. Along with Mexico’s resilient export sector, it said, lower interest rates could provide additional support to domestic demand in 2026, complementing the ongoing momentum from trade, paving the way for more stable growth.
• Given the global outlook, the OECD urged policymakers to observe fiscal discipline to safeguard long-term debt sustainability and maintain room for manoeuvre to respond to future crises.
• It also warned of downside risks in the short-term, citing additional tariff hikes and increased concerns about fiscal liabilities, including volatile crypto-assets, all of which could pose additional financial stability concerns. The upward trend is based on the strength of Mexico’s external sector, which the OECD regards as a stabilising force, despite the increasing trade frictions.

(Source: Mexico Daily News)

• Venezuela has sharply escalated its war of words with neighbouring Trinidad and Tobago, accusing the twin-island nation of supporting U.S. military operations in the Caribbean and announcing a new military campaign to crack down on smuggling and alleged criminal activity along their shared maritime border.
• Defence Minister Vladimir Padrino López said that Operation Cumanagoto 200 is now underway in the eastern state bordering the Caribbean Sea, with 60 military units deployed across 15 municipalities to conduct reconnaissance and root out “terrorist groups or drug trafficking organisations” operating illegally in the region.
• The move follows public statements by Trinidad and Tobago Prime Minister Kamla Persad Bissessar, who recently voiced support for U.S. President Donald Trump’s decision to deploy military warships in the Caribbean, describing the action as a necessary step to combat drug trafficking. Persad Bissessar also said her country would be willing to allow U.S. forces to operate from Trinidad and Tobago if Venezuela were to invade Guyana, a fellow Caribbean Community (CARICOM) member.
• The tensions come as the U.S. military continues operations in the Caribbean, with Trump claiming American forces have bombed three vessels allegedly carrying drugs, killing more than 14 people. Venezuela has called on the United Nations to investigate what it describes as “serial executions” of Venezuelans during the U.S. missions.
• Padrino warned that any attack on Venezuelan territory would be met with a forceful military response, underscoring the region’s growing volatility amid heightened geopolitical friction.

(Source: Caribbean News Weekly)

• Fed Chair Jerome Powell emphasised the need to carefully weigh the risks of stubborn inflation against signs of a weakening labour market. He stressed that policy is “not on a preset course,” with rate decisions depending on incoming data.
• Vice Chair Michelle Bowman argued for faster, proactive cuts to protect the labour market, warning it is easier to support jobs now than to repair them later. In contrast, regional Fed presidents, including Austan Goolsbee, urged caution, given inflation remains above target.
• Powell acknowledged softening conditions, with job growth averaging just 25,000 over the past three months, below breakeven, but noted other indicators remain broadly stable. Unemployment sits at 4.3%, near full employment, though momentum is slowing.
• Inflation remains nearly a point above target, worsened by tariffs that lifted goods prices. Powell warned against easing too aggressively, which could reignite inflation, but also against keeping rates high for too long, which could needlessly damage the labour market.
• Powell’s remarks come amid Trump administration pressure to cut rates, including challenges to Fed independence. He defended past emergency interventions during crises, noting they likely prevented deeper economic damage, and stressed the importance of preserving public trust as his term nears its May end.

(Source: Reuters)

• Global growth is holding up better than expected, but the full brunt of the U.S. import tariff shock is still to be felt as AI investment props up U.S. activity for now and fiscal support cushions China's slowdown, the OECD said on Tuesday.
• In its latest Economic Outlook Interim Report, the Organisation for Economic Cooperation and Development (OECD) said the full impact of U.S. tariff hikes was still unfolding, with firms so far absorbing much of the shock through narrower margins and inventory buffers.
• Many firms stockpiled goods ahead of the Trump administration's tariff hikes, which lifted the effective U.S. rate on merchandise imports to an estimated 19.5% by end-August, the highest since 1933, in the depths of the Great Depression.
• Global economic growth is now expected to slow only slightly to 3.2% in 2025 from 3.3% last year — compared to the 2.9% the OECD had forecast in June. However, the Paris-based organisation kept its 2026 forecast at 2.9%, with the boost from inventory building already fading and higher tariffs expected to weigh on investment and trade growth.
• The OECD forecast U.S. economic growth would slow to 1.8% in 2025, up from the 1.6% it forecast in June, from 2.8% last year before easing to 1.5% in 2026, unchanged from the previous forecast. An AI investment boom, fiscal support and interest rate cuts by the Federal Reserve are expected to help offset the impact of the higher tariffs, a drop in net immigration and federal job cuts, the OECD said.
• In the euro zone, trade and geopolitical tensions were seen offsetting the boost from lower interest rates, the OECD said. The bloc's economy was seen growing 1.2% this year - revised up from 1.0% previously - and 1.0% in 2026 - down from 1.2% - as increased public spending in Germany lifts growth while belt-tightening weighs on France and Italy.
• With growth slowing, the OECD said it expects most major central banks to lower borrowing costs or keep policy loose over the coming year, as long as inflation pressures continue to ease.

(Source: Reuters)

• The Jamaica Business Development Corporation (JBDC) has ramped up efforts to drive the digital transformation of micro, small and medium-sized enterprises (MSMEs). At least 500 businesses are set to digitise one internal process this year under the European Union (EU)-funded ‘Digital Jamaica’ Project.
• The three-year initiative, launched in 2023, is managed by the Ministry of Industry, Investment and Commerce and aims to accelerate the adoption of digital solutions across the MSME sector. Targeted areas include e-payments, payroll, human resource systems, customer relationship management software, e-commerce, contracts, invoicing, and vendor management.
• JBDC Acting Chief Executive Officer, Harold Davis, underscored the programme’s role in equipping entrepreneurs with the requisite tools and competencies to navigate and succeed in an increasingly digital marketplace. Mr Davis noted that a survey at the start of the project revealed that only 32% of local MSMEs were comfortable using digital solutions, with the majority of engagement confined to social media platforms. “With the support of the EU, we embarked on the Digital Jamaica Project to move that needle, because it is essential if our MSMEs are to compete internationally and grow sustainably,” he added.
• Chantol Dormer, Manager for JBDC’s Project Management and Research Department, noted that while training remains central to the programme, the current phase is focused on helping MSMEs implement practical solutions to improve their operations.
• In its inaugural year (2024–2025), the Digital Jamaica Project surpassed expectations, training approximately 1,200 entrepreneurs islandwide, well above the initial target of 700. The broader objective is to equip 2,700 MSMEs with the tools and competencies for digitisation, digitalisation, and full digital transformation by 2026.

(Source: JIS)

• Guyana’s Ministry of Natural Resources announced on Monday that it has approved ExxonMobil’s Hammerhead project, a US$6.8Bn venture that will increase oil production capacity by 150,000 barrels per day (b/d).
• Oil from Hammerhead, discovered in the southwestern part of the Stabroek Block in 2018, will be produced using a very large crude carrier (VLCC) conversion-type floating production, storage, and offloading (FPSO) vessel to be built by MODEC. Production will be facilitated through 10 production wells and 8 injection wells. A total of 445 million barrels of oil is forecast to be produced, the Ministry said.
• In addition to lifting installed oil production capacity to 1.5 million b/d, the associated gas from Hammerhead will be transferred to the Gas-to-Energy (GtE) pipeline for delivery to shore. The gas from that project is expected to be used for power generation and the sale of natural gas liquids (NGL).
• The Ministry stated that the Hammerhead license offers improvements in several areas compared to previous licenses. Some of these include its alignment with the Oil Pollution Prevention, Preparedness, Response and Responsibility Act 2025; improved management of production levels and new conditions to cover off-specification fluid discharges and the transfer of associated gas from the Hammerhead development to the GtE pipeline.
• The Ministry expects the Hammerhead project to boost energy security, drive industrial growth, and create employment across various sectors as it joins a growing portfolio of developments that continue to position Guyana as a key player in the global energy landscape. It is expected to start up in the second quarter of 2029.

(Source: Oil Now Guyana)

• The Minister of Finance and Economy, Magín Díaz, highlighted that the Dominican Republic is enjoying solid and sustainable macroeconomic stability, supported by US$14Bn in international reserves and an estimated US$4.8Bn in foreign investment.
• Díaz noted that these strong fundamentals have helped to maintain a stable exchange rate, allowed access to financing on favourable terms, and continue to keep country risk at historic lows. The minister contrasted the country’s internal stability with global economic challenges, particularly U.S. trade and fiscal policies, which have slowed international growth.
• He pointed out that the U.S. economy is growing at half its historical pace and faces inflationary and debt pressures affecting emerging markets. Díaz also recalled that since 2001, the Dominican Republic has improved its sovereign debt issuance, moving from five-year bonds at 9% to terms of up to 40 years under better conditions, reflecting growing investor confidence.
• Díaz reaffirmed his commitment to Goal 2036, aimed at removing growth constraints and preparing the country for eventual OECD membership through concrete fiscal, institutional, and social reforms.

(Source: Dominican Today)

• Euro zone consumers have altered their consumption habits in anticipation of U.S. tariffs, moving away from American products and reducing discretionary spending, a study published by the European Central Bank on Monday found.
• Euro zone consumers, sitting on ample savings built up in the years since the pandemic, have been cautious in making purchases all year as uncertainty over tariffs kept key parts of the bloc's economy in limbo.
• The ECB found that around 26.0% of its survey respondents reported switching away from U.S. products. Around 16.0% indicated they have reduced their overall spending. "High-income households are more likely to switch away from U.S. goods, while lower-income households are more inclined to cut back their overall spending," the ECB said, adding that financial literacy also impacted these decisions.
• Nearly all of the spending cuts impacted discretionary items while spending on necessities remained largely unaffected, the ECB added. The central bank also added that some consumers have adjusted their inflation expectations upward, including for the longer term, suggesting that the perceived impact of tariffs on inflation may not be entirely transitory.

(Source: Reuters)