Economy of Jamaica

Jamaican Economy is a free-market economy. It includes state enterprises as well as private sector business. Agriculture, mining, manufacturing, tourism, insurance services are the major sources of Economy. Foreign exchange is mainly earned from tourism and mining. Financial institutes are quite active.

As part of Jamaican Economy a programming of economic liberalization and stabilization has been introduced by the Government since 1991 by removing exchange controls, floating the exchange rate, cutting tariffs, stabilizing the Jamaican currency, reducing inflation and removing restrictions on foreign investments. Strict fiscal discipline, greater openness to trade and financial flow is maintained.

The 1991 macroeconomic stabilization program which focused on monetary policies and tight fiscal reduces the inflation rate successfully. In 1996-97 the GDP decreased due to problem in financial sector and also because of the 1997 drought.

Recent results show that Jamaican Economy is recovering. The wide varieties of industrial and commercial activities have contributed a lot. Jamaica became one of the pioneering members of the CARICOM and CSME in 2006.