Jamaica's economy dips by 2.8 per cent during July to September 2024 quarter

Jamaica's economy contracted by 2.8 per cent in real value added during the July to September 2024 quarter due mainly to Hurricane Beryl which cost Jamaica $32 billion, according to the Planning Institute of Jamaica (PIOJ).

“The estimated out-turn for the review quarter largely reflected the adverse impact of Hurricane Beryl and other hydrological events," according to PIOJ Director General Dr Wayne Henry at his quarterly presentation on Wednesday.

"The downturn is due to an estimated contraction in both the Goods-Producing and the Services industries."

The activity in the goods and services industries when combined determines economic output.

During the quarter, the goods-producing industry contracted by 6.5 per cent, due to lower output by all industries in the category.

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The services industry was estimated to have contracted by 1.2 per cent.

Several key industries bore the brunt of the hurricane's devastation, with agriculture, mining, tourism, and infrastructure services experiencing the most significant impacts.

“The cost of damage associated with the passage of Hurricane Beryl was estimated at $32.2 billion or 1.1 per cent of gross domestic product (GDP),” said Henry.

The short-term prospects for the economy are “negative” due to the lingering effects of the hurricane, added the state agency.