Today we were the members of Hlclub talking about paradise destinations and we have chosen Jamaica as a reference: Caribbean, beaches, relaxation … Then we have entrusted Joaquim, in charge of the Economy of the company, to make us an economic study of the region This has been the economic, political and social report that has been extracted. Full, right? If you want, you customers, any research on sites where you want to invest, we are here for your needs.
Jamaica is a country that has sparked the curiosity of Hlclub members. We are surprised by its situation, even if it is a peripheral country with regard to economic macro data. It is true that it has a large trade deficit and it depends on other countries but the majority of indicators (GDP, GDPpc …) suggest a progressive growth that is gradually improving the welfare of its citizens. Negative data is also favorable (such as the trade balance) as they present improvements, reducing the deficit.
The demographic area emphasizes that it must improve in many ways but in some indicators, such as the birth rate, it has better numbers than the countries in the center. An almost exact gender parity has also attracted my attention. One of the great problems that I have detected in the demographic field is that this birth rate is going downhill and in the long term, it can pose major problems: coverage and subsidies can not be given to an increasingly smaller population and to an increase in the higher population at 65 years old. Another big problem is the small inclusion of women in the labor market but it seems that in recent years has been increasing.
The activity of the population has made me see one of the great differences between the peripheral and the center countries. This difference is that the populations of the center have undergone a transition from the first to the second sector and then to the third. On the other hand, in Jamaica this has not been the case: Since the 90s, a large tourist structure has been implemented that has led to a transition to the direct services sector. A peasant society to dedicate itself to the services. The transitional stage that occurred in the middle of the 20th century in the center is a phenomenon unknown in Jamaica since it has never gone through an intense industrializing phase. One problem that has caught my eye is that they have a structural unemployment that has not changed much in the years of the study: It seems that this unemployment, at the moment, is not enough tools to manage it.
The quality of life is the most alarming aspect I have encountered on the island: 20% of children are not vaccinated against tetanus, a high percentage of the population (the poorest who often lives in rural areas) He suffers from diseases that are easily treatable in the West (Gonorres, Gastrointeritis …) become causes of death. There are 40% of children who are not included in the school system.
Finally I want to mention the trends that can be developed. Jamaica, after doing the study, appears to me as a weak country but in a good direction. The macro economic indicators tell us that the economy and its environment is growing and that it improves almost all of them. Is true; However, I do not see that the economy of Jamaica has a great deal of power over the markets that support it, its products are not strong enough to sustain a possible economy in crisis, I see that it is a totally dependent country. The only sector that I find it harder does not work is tourism, although for people to continue choosing the island as their destination, security must be inspired. More public spending on the health of its citizens and on infrastructures could give future surplus dynamics to the Jamaican economy.
Joaquim-Fèlix, Economic Department of HLCLUB
