Jamaica’s economy expands 1.1% in Q1
Statin overhauls national accounts, upgrades GDP
JAMAICA’S economy expanded by 1.1 per cent in the first quarter of 2025 from a year earlier, the Statistical Institute of Jamaica (Statin) said on Thursday, as the country implemented sweeping changes to its national accounting framework in line with international standards.
The growth figure, which revises upward the Planning Institute of Jamaica’s (PIOJ) earlier estimate of 0.8 per cent, comes as Jamaica adopts the United Nations’ 2008 System of National Accounts (SNA 2008) and the Jamaica Industrial Classification 2016 (JIC 2016). The overhaul rebases constant-price GDP calculations to 2015 from 2007 and incorporates updated data sources, including the 2017 Household Expenditure Survey, to better capture household spending and informal sector activity.
Statin said the methodological updates resulted in an average increase of 7.8 per cent in historical GDP levels between 2015 and 2023. The changes are intended to provide a more accurate reflection of Jamaica’s economic structure and improve the comparability of its data with over 100 countries now using the SNA 2008 framework.
“Our revised accounts provide a clearer lens on Jamaica’s economic structure, ensuring alignment with global standards for evidence-based policymaking,” said Statin Acting Director General Leesha Delatie-Budair.
Sectoral Performance
The January-March quarter saw a 2 per cent rise in goods-producing industries and a 0.8 per cent increase in services, Statin said. Within goods, agriculture, forestry and fishing led with 3.1 per cent growth, followed by manufacturing at 1.7 per cent, construction at 1.4 per cent, and mining and quarrying at 0.7 per cent.
In services, the information and communication sector posted the strongest performance, up 6.4 per cent, reflecting the reclassification of publishing and media activities into the sector under the new JIC 2016 system. Transportation and storage grew by 1.9 per cent, while accommodation and food service activities, and financial and insurance activities each rose by 1.2 per cent. Electricity, water supply and waste management increased by 1.1 per cent, and other services by 1 per cent. Real estate and business services and wholesale and retail trade were the only sectors to decline, down 0.4 per cent and 0.8 per cent, respectively.
Reclassification and Methodological Changes
The adoption of JIC 2016 brings Jamaica’s industry classification in line with international standards. Publishing is now included in information and communication rather than manufacturing, utilities now cover waste management, and real estate and business services have expanded to include travel agencies and veterinary clinics. Statin also refined its approach to calculating financial intermediation services indirectly measured (FISIM), in accordance with SNA 2008 recommendations.
The International Monetary Fund has validated Jamaica’s transition, noting improved cross-country comparability. Statin said a full National Income and Product Report for 2023 will be published by July 31, 2025.
Jamaica’s first-quarter growth follows a contraction of 0.4 per cent in 2024, when the economy was hit by Hurricane Beryl and softer US demand. The Government expects modest but positive growth in 2025, supported by domestic demand and the statistical boost from the new accounting standards, though external risks remain.
Statin said it will continue to refine data sources and estimation techniques as part of ongoing efforts to improve the quality and relevance of Jamaica’s economic statistics.