The opposition People’s National Party

(PNP) has urged Jamaicans to brace for likely economy shrinkage due to the

most-recent growth statistics as well as the adverse effects the novel coronavirus

(COVID-19) has put on global markets.

In a statement, the PNP alluded to data

from the Planning Institute of Jamaica (PIOJ)—which indicated a

less-than-impressive growth rate of 0.1 per cent in the Jamaican economy for the

final quarter of 2019.

Considering the sluggish growth, the PIOJ further

reduced its projection for the 2019/20 fiscal year to 0.6 per cent.

 “With

growth having ground to a virtual halt in the second half of 2019, and the

impact of the coronavirus now looming, the Jamaican economy could well be

headed into a period of economic contraction,” the party said.

For his part, Shadow Minister of Finance

and Planning Mark Golding pointed out that the country and several key

industries were at risk.

“Key sectors of the economy are already in

negative territory, with the construction sector shrinking by two per cent in

the fourth quarter of 2019, and bauxite/alumina in a deep tailspin with the

closure of Jisco/Alpart,” Golding argued.

 “Bauxite/alumina

faces waning demand from the dislocation in China, tourism is vulnerable due to

vacationers’ reluctance to risk international travel, and manufacturing is

exposed to serious disruption in the international supply chain and much higher

prices for alternative sources,” he noted further.

According to him, the COVID-19 outbreak is

already affecting the island, as logistics activity at the Port of Kingston has

seen a sharp reduction, with port workers being told to take a pay cut or face

layoffs.

“It cannot be business as usual. It is

clear the economy has been slowing, and serious challenges lie ahead. The

Government needs to level with the people and indicate what measures will be

pursued to mitigate the adverse impact of this economic storm on ordinary

Jamaicans. The Opposition stands ready to join in a national response to the

looming crisis, but the Government must lead and not bury its head in the sand

as events unfold,” Golding said.