Nov 2014 Financial News

STATIN reports 1.8 per cent growth for June quarter

Nov 10, 2014

PRELIMINARY data from the Statistical Institute of Jamaica (STATIN) shows that Jamaica achieved economic growth for a fifth consecutive quarter, recording 1.8 per cent for the period ending June 30, 2014.

Finance and Planning Minister Peter Phillips says STATIN has confirmed that the out-turn for the June quarter "is, in fact, stronger than had been originally estimated by both the Planning Institute of Jamaica (PIOJ) and Bank of Jamaica (BOJ).

"So... the out-turn for the quarter was 1.8 per cent annualised for that (period)", Phillips told the Institute of Chartered Accountants of Jamaica's (ICAJ) business conference, at the Jamaica Conference Centre, downtown Kingston on Saturday.

In relation to the July to September quarter, Dr Phillips said, the out-turn is expected to be impacted by the severe drought conditions which affected the island, especially the agriculture sector.

He said consequent on this, and the fact that the sector continues to be one of Jamaica's main drivers of economic growth, there

is the need to undertake significant improvements that will result in, among other things, reduced dependence on imports.

"Agriculture still constitutes the main employer of labour in the country; and if you're going to overcome poverty, as a country, as a whole, it is going to require raising the levels of productivity and incomes in the sector," Dr Phillips said.

He pointed to signs that production will increase in various commodities, while noting that transformation is currently taking place in some factories and businesses that now export various agricultural produce.

"For instance, the sugar producers are looking at (developing) co-generation facilities, selling electricity to the grid, and looking at creating other products out of the cane than just sugar," he said.

Dr Phillips also pointed to the tourism sector and the Business Process Outsourcing industry as areas of the economy where growth is occurring.

— JIS

Source:
Jamaica Observer
Monday November 10, 2014    

http://www.jamaicaobserver.com/business/STATIN-reports-1-8-per-cent-growth-for-June-quarter_17908646