Articles

May, 2014

Much of the discussion about Jamaica’s favourable prospects of becoming the 4th global logistics hub, emphasize the country’s physical attributes and natural endowments. Little reference, however, is made to a glaring deficiency in the quality of shiprelated and logistics services in Jamaica.

May, 2014

Senior officials in the government argue that changes in global manufacturing, trading and shipping – along with the proposed expansion of the Panama Canal to accommodate the new mega- liners – offer a unique opportunity for Jamaica to become a major player in global logistics. The opportunity is strengthened by a Chinese offer to invest some US $1.5 billion in new port and related facilities. They are bullish on the prospects for jobs and growth. Others say history suggests caution in making assumptions about gains to come from foreign direct investment

December, 2012

Jamaica's pre-Olympic Training Camp in the English city of Birmingham offers a template for exploiting transnational business opportunities between Jamaica and the Diaspora.

 

 

December, 2012

Raby Danvers 'Danny' Williams is, arguably, Jamaica's most respected businessman with a highly successful career as both visionary and implementer over the half century of Jamaica’s Independence. And he continues to innovate and serve. As the country embarks on the next 50 years of its journey towards economic growth and human development, MSBM Business Review spoke with him about the evolution of Jamaican business since Independence, his role in that process and his expectations for the immediate, uncertain period ahead.

 

December, 2012

As part of its monthly forums with the investor community, Mayberry Investments Limited hosted Conversations on 50 years of Business July 18, 2012 for reflection as well as looking ahead. The presenters were: Maurice Facey (Chairman, Pan-Jamaican Investment Trust Ltd.), Stephen Facey President & Chief Executive Officer, Pan-Jamaican Investment Trust Ltd.),Robert Levy (Chairman, Jamaica Broilers Group) and Christopher Levy (President & Chief Executive Officer, Jamaica Broilers Group).

December, 2012

The Jamaican Government should ensure that there is at least an increase in local jobs in return for providing any of the tax incentives listed above. In particular, the tax incentives should be directly tied to specific areas of job creation and  innovation.

 

December, 2012

The Global Competitiveness Report makes for uncomfortable reading: Jamaica’s competitiveness position has slipped from 63 (in 2006) to 101 (in 2011). Although the number of countries ranked in 2006 moved from 117 to 142 in 2011, Jamaica’s competitiveness position has deteriorated. This decline is manifested in the weak economic growth and, in some cases, negative growth that the economy has experienced over the last four decades and even more-so over the last five years.

 

December, 2012

In recent years, several Jamaican companies have used the Jamaica Stock Exchange as a source for business expansion capital. Using the equity market as a capital structure tool has allowed these firms to build capacity within the midst of the recession which started in 2008, and is, by many accounts, still on-going.

 

December, 2012

The acid test of system sustainability comes not when things are going well, but when things are going badly. This  is the situation with the Euro Zone (EZ for short) where the current common currency arrangement is failing this test. More to the point, the Euro Zone, as we know it, will be  significantly different by the end of calendar 2012.

This article on the future of the Euro considers three questions. First, what are the requirements for a sustainable currency area and did the Euro meet them? Second, what can be done to avert a breakup of the EZ? Third, what are the implications for the Caribbean and more specifically, Jamaica?
December, 2011

 A study by Jamaica Productivity Centre (JPC) offers evidence of the performance gap between JPS power generation and other domestic power producers; ranks the JPS distribution operations among the least efficient in the region for total distribution losses, non-technical losses and reliability; and places JPS in the group with the highest electricity prices. At issue is whether modifications to the current operations of JPS and changes to the orientation of regulation could deliver significant short term benefits by way of lower electricity prices.

December, 2011

 The continued operation of all four alumnia plants in Jamaica, including even the most efficient, CAW, depends on the industry having a long-term source of competitive energy as well as resolving certain bauxite reserves issues. Two actions are necessary to achieve these objectives: Substituting oil with a cheaper fuel and making the necessary investments to accommodate the new fuel; making the necessary investments to improve the efficiency of whatever fuel is used.

 

March, 2011

Jamaica has passed the first three quarterly performance tests required by the 27-month Stand-By Agreement with the International Monetary Fund (IMF) signed in January 2010. The US$1.27-billion loan is disbursed in tranches subject to meeting the conditionalities of the Agreement. To get the loan request approved and receive the first drawdown of approximately US$610-million, the government had to take “prior actions” in the form of imposing a tax package equivalent to 2% of GDP in December 2009, completing the Jamaica Debt Exchange (JDX), and selling Air Jamaica, both by January 2010.

March, 2011

 The Jamaica Debt Exchange has succeeded in slowing the rate of ‘crowding out’ private sector borrowers from financial institutions as government’s demand for funds has been reduced. However, for the JDX to achieve longterm success there must be some immediate accompanying measures including stability in monetary policy; creating an efficient market for interest rate and significant reduction in the cost of financial transactions.

March, 2011

 The Jamaica Debt Exchange (JDX) allowed the country to reduce its debt obligation by exchanging high interest government paper for lower interest paper at longer maturities. Collectively, Jamaican taxpayers have benefited from a lower debt profile and interest savings of over US$500-million in 2010. That said, Jamaican borrowers have yet to reap the benefits of a low interest rate regime. Hence the paradox – it costs the nation less than 9% per annum to borrow money from local investors, yet borrowers continue to pay upwards of 33% to borrow money from the financial sector.

March, 2011

   In his book on Jamaican theatre Errol Hill notes the existence of two kinds of ‘native’ theatre, populist and art theatre. Populist theatre, usually in the vernacular language, Patwa, caters to large audiences with comic, often bawdy content-- while English-speaking art theatre, altogether more serious in plot and outlook has lofty aspirations to uplift the moral and intellectual fibre of its audiences.