Jamaica

Thomas Farnum

Overall score: 67.7 Rank: 48

Jamaica quick facts / United states

  • Population: 2.8 million / 316.4 million
  • GDP: 25.2 billion / 16.8 trillion
  • GDP Growth: 0.5%/1.9%
  • GDP Per Capita: $9,048/ $53,101
  • Unemployment: 15%/ 7.5%
  • Inflation: 9.4%/ 1.5%
  • Foreign Direct Investment: $567.1 million / $187.5 Billion

7 MAJOR SOURCES OF ECONOMIC PROGRESS

Legal System

Jamaicans see corruption as the cause of their high crime rate. In May 2014, a license to a Hong Kong–based company for a major power project was vetoed after arguments of the law being created. The inefficient legal system weakens property rights and the rule of law.

COMPETITIVE MARKETS

Jamaica’s average tariff rate is 7.5 percent. Tariffs are an important source of government revenue. The competitive market of Jamaica thrives off tariffs on trading throughout the country.

limits on government regulation

With no minimum capital required, the business start-up process takes only two procedures in the Jamaican lifestyle. Completing licensing requirements can take over four months on average. Most prices are set by the market, but the government regulates the prices of several goods and services.

an efficient capital market

The government does not automatically screen foreign investment in Jamaica. Incorporating new provisions related to the financial system, the Banking Services Act was approved in June 2014 In Jamaica. There is no minimum capital required in Jamaica.

Monetary stability

Jamiacas monetary stability has increased greatly over the past decade. From 1995 to 2015 there monetary stability has almost completely become free. Inefficiencies in the labor market continue to cause high unemployment and underemployment.

Low tax Rates

Jamaica’s top individual income tax rate is 25 percent, and its corporate tax rate is down to 25 percent from 33.3 percent. Other taxes include a property transfer tax and a general consumption tax. Their taxes have been very steady at mostly free from 1995-2015.

Free Trade

Jamaica scores only about average on trade and financial freedom, a serious problem for an island nation dependent on imports for basic goods and fuel.

Turning Jamaica's economy around

Turning Jamaica's Economy Around

Major Jamaican goods They produce