Flat economic growth estimated for Jamaica in June quarter

 

The Planning Institute of Jamaica estimates that the local economy was relatively flat in the April to June 2024 quarter.

 

In the latest preliminary estimates delivered on Wednesday, Director General at the PIOJ, Dr. Wayne Henry, said Gross Domestic Product for the three months, was 0.1 per cent, compared with the similar period last year. 

 

"The outturn for the review quarter largely reflected the normalisation of performances of most industries following the return to pre-COVID-19 levels of output in 2023. Specifically, the performance mainly reflected the estimated downturns in the wholesale and resale trade, repair and installation of machinery, and construction industries, as well as a slowing in the pace of growth in most other industries," Dr. Henry reported. 

 

The PIOJ Director General said a number of factors contributed to the marginal increase in output, including the strengthening of consumer confidence, as well as relatively high levels of employment, which supported increased levels of domestic demand for goods and services. 

 

Additionally, he pointed to growth in the economies of Jamaica's major trading partners, which supported external demand; the challenges associated with a fire at Petrojam's refinery in March 2024, which negatively impacted production during the review quarter, and a fall in business confidence, as less firms believe that the climate is good for investment.