Business

Economy grows by less than 1%

Friday, December 29, 2017

Print this page Email A Friend!


The Jamaican economy grew by 0.8 per cent when compared to the third quarter of 2016, according to the Statistical Institute of Jamaica (STATIN).

The increase was attributed to improved performances in both the services industries which grew 1.0 per cent, and the goods-producing industries, 0.3 per cent.

According to Statin, all industries within the services industries recorded increased levels of output: electricity and water supply (2.4 per cent), hotels and restaurants (3.9 per cent), transport, storage and communication (1.1 per cent).

Real estate, renting and business activities wholesale and retail trade; repairs; installation of machinery and equipment; finance and insurance services; producers of government services and other services also recorded increases of 0.6 per cent, 0.6 per cent, 0.9 per cent, 0.1 per cent and 0.9 per cent, respectively.

The report noted that the growth in the hotels and restaurants industry was influenced by an improvement in hotels and short-stay accommodation and restaurants, bars and canteens.

However, while there was an 11.8 per cent increase in foreign national arrivals, the growth in accommodation services was tempered by a decline in the average length of stay in hotels and short-stay accommodation. The average length of stay fell to 8.6 nights in 2017 from 9.1 nights in 2016.

GOODS-PRODUCING INDUSTRIES

Output for the goods-producing industries increased by 0.3 per cent, largely due to a 2.3 per cent increase in manufacturing and a 1.2 per cent increase in construction.

Statin said the manufacturing industry's performance was attributed to increased output from the food, beverages and tobacco and other manufacturing sub-industries. Growth in the food, beverages and tobacco sub-industries was due largely to the increase in meat and meat products, manufacture of bakery products, manufacture of animal feeds, sugar and molasses production and the manufacture of beverages.

The construction industry's performance reflected increased activities in both the civil engineering and building construction components.

AGRICULTURE DOWN

Agriculture, forestry and fishing, however, declined by 0.8 per cent while mining and quarrying fell by 7.8 per cent. The performance of the agriculture, forestry and fishing industry was largely attributed to unfavourable weather as a result of heavy rainfall. The decrease in the mining and quarrying industry resulted from a fall in alumina production and bauxite mining.

When compared with the second quarter of 2017, the economy grew by 1.4 per cent. This was largely the result of a 2.0 per cent increase in the goods producing industries and 1.2 per cent in the services industries.

ADVERTISEMENT




POST A COMMENT

HOUSE RULES

1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper � email addresses will not be published.

2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.

3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.

4. Please do not write in block capitals since this makes your comment hard to read.

5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.

6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.

7. Lastly, read our Terms and Conditions and Privacy Policy



comments powered by Disqus
ADVERTISEMENT

Poll

ADVERTISEMENT
ADVERTISEMENT

Today's Cartoon

Click image to view full size editorial cartoon
ADVERTISEMENT