PM Announces New Policy for Transitioning Jamaica to Inclusive Growth

Prime Minister, Dr. the Most Hon. Andrew Holness, has outlined a comprehensive strategy aimed at transitioning Jamaica towards robust and inclusive economic growth.

This announcement was made in a landmark address titled: ‘The Next Chapter: Pivot to Inclusive Growth’, which was delivered at the Office of the Prime Minister on Tuesday (November 19) before an audience of key business and civil society stakeholders.

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 per cent to under 70 per cent, and a fall in the unemployment rate from 15 per cent to a record low 4.2 per cent.

He expressed gratitude to all stakeholders involved in this transformation, stating, “I vow never to forget the sacrifices of the Jamaican people, and declare my solemn pledge as Prime Minister that we will never allow Jamaica to return to the dark economic days of the past.”

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 technologies.

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

The Prime Minister also outlined the six pillars of the new growth agenda, which are: 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.

“The next chapter will not happen overnight. Just as it took a decade of dedication and sacrifice to secure our economic stability, achieving economic independence and robust growth will require time, effort and steadfast attention,” Dr. Holness pointed out.

He encouraged all Jamaicans to unite in this endeavour, emphasising that “when we come together as one people, there is nothing we cannot achieve.”

This new policy initiative aims to foster a more equitable economy that benefits all Jamaicans, while ensuring sustainable growth for future generations.

The Tag Line for the New Growth Agenda will be ASPIRE Jamaica:

A – Access to Economic Opportunity for All (Inclusive Growth)

S – Safety and Security

P – People (Human Capital Development)

I – Infrastructure Development

R – Reform of the Bureaucracy (Ease, Speed and Cost of Doing Business)

E – Economic Diversification/New Industries