JAMAICA’S economy grew faster in the second quarter than initially estimated, with the central bank now forecasting an acceleration to as much as four per cent in the third quarter, signalling a strengthening recovery.

The economy expanded by 1.6 per cent between April and June compared to the same period in 2024, the Statistical Institute of Jamaica has reported.

This figure was an upward revision from the 1.4 per cent preliminary estimate published by the Planning Institute of Jamaica in August.

The performance marks a second-consecutive quarter of growth, and the momentum appears to be building.

The Bank of Jamaica (BOJ) stated that the economy “is estimated to have expanded in the June and September 2025 quarters”, with growth for the July-September period projected in a range of three to four per cent.

“This continued expansion is consistent with a tight labour market and anecdotal information on elevated wage growth,” the central bank noted, indicating that economic activity is broadening.

The standout performer in the second quarter was the agricultural sector, which rocketed 9.2 per cent as farmers reported bumper harvests of yams, vegetables, and fruits, aided by better weather. This powered a 3.6 per cent overall surge in the goods-producing sector.

The vital tourism industry also delivered, with a 4.1 per cent rise in accommodation and food services driven by increased foreign arrivals.

However, the mining sector, a traditional source of foreign exchange, contracted by 4.8 per cent. The decline was pinned on operational challenges at alumina refineries, a reminder of the fragility of this key industry.

Looking ahead, the BOJ expects the expansion to be maintained over the next two years, suggesting the island’s economy is on its steadiest recovery path in years.