Small businesses across the second city are reeling in the wake of Hurricane Melissa, as operators struggle to rebuild amid massive losses, slow restoration of critical services, and what sector stakeholders describe as inadequate support for the island’s most vulnerable entrepreneurs.

Curtis Hylton, Montego Bay chapter leader of the Small Business Association of Jamaica (SBAJ), told the
Jamaica Observer that similar to what has been happening in most parts of the island, the devastation has been staggering.

“Since the passage of the hurricane, 95 per cent of micro, small and medium-sized enterprises (MSMEs) on this side have been undergoing severe challenges, as the majority of them have not only lost their homes but also their shops and goods valued at thousands of dollars. A lot of containers were also washed away by flood waters,” he said, during a telephone interview with the Business Observer this week.

Compounding the damage, Hylton said, is also the sluggish return of electricity across St James. He estimates that at present, only 48-50 per cent of power has been restored, leaving many business operators still unable to resume operations.

“Sales in some cases have been down by as much as 80 per cent and above,” he further stated, while noting that access challenges have made it difficult for some operators to replenish stock. “While road access has improved since last week, early delays severely restricted the movement of goods.

“Small businesses in MoBay are faced with a crisis with many suffering. It’s going to take a long time for things to get back on track as Western Jamaica is right now on go-slow,” Hylton stressed, criticising what he believes has been a weak Government response.

He said that although funds have been allocated by the Development Bank of Jamaica (DBJ) for recovery loans, only a small number of MSMEs are in a financial position to take on additional debt.

The DBJ, through its M5 Business Recovery Programme, recently announced a series of financing measures aimed at assisting the small business sector. Under phase one of the programme, $1 billion is to be made immediately available to approved financing institutions and microfinancing institutions for onlending to business operators. In subsequent phases, up to $7 billion will be allocated to support the rebuilding of specific sectors, supply chains, and other economic actors.

“How many MSMEs can right now afford a million-dollar loan, much more $20 million? The playing field is not level and I think there is no real interest in supporting small businesses,” Hylton said.

DBJ Managing Director Dr David Lowe, in acknowledging the scale of the need, noted however that while $10 billion will not address all challenges, it is “robust enough to start”.

As the region pushes forward, stakeholders warn that without timely, accessible financial support, especially in the form of grants, many MSMEs may never fully reopen, threatening jobs, livelihoods, and the broader economic recovery of Western Jamaica.

Montego Bay was among the hardest-hit areas when the Category 5 Hurricane tore through the island, leaving behind mass flooding, widespread property destruction and significant damage to infrastructure and productive assets.

For many small business operators in the city — the road to recovery will be long and uncertain.

Among those affected are small businesses operating at the island’s largest airport, where shops dealing in food and beverage, craft and souvenirs have seen operations grind to a halt. Beyond electricity issues, tourist arrivals have plunged, leaving operators with little to no customers.

SBAJ President Garnett Reid, following a recent tour of the facility, said he observed numerous shuttered shops suffering from both personal and business losses.

“During my visit, I counted several shops closed and when I investigated, I was told that many of the owners have lost their homes and were out dealing with those matters,” he said while indicating that notwithstanding the personal challenges, MSMEs have long been struggling and still continue to do so.”

A torn section of the airport roof and earlier road blockages, he noted, have contributed to delays in restocking and reopening, forcing some businesses to lay off staff and slowing recovery efforts even further.

While welcoming the announcement of grants by the National Housing Trust for which it has initially advocated as a very good move, Reid emphasised that MSMEs will need far more support to properly recover.

“Though the DBJ has provided some funds for lending, I’m yet to hear about grants for businesses. To date, there have been no cash grants and we are not pleased about that. People need money to grow their businesses and to get commerce back on track as quickly as possible,” he said.

As recovery efforts get underway, the SBAJ head said the organisation — representing nearly 700 members and advocating for more than 400,000 small businesses islandwide — continues to push for greater financial and logistical support. The body is still collecting and compiling damage assessments, and is working with the Government and other stakeholders to secure additional resources for the sector.

“We continue to work with key stakeholders to get some players back on their feet — even in the smallest way,” Reid said.

Beyond electricity issues, tourist arrivals have plunged, leaving many operators in the second city with few to no customers.

SBAJ President Garnett Reid is photographed at a food shop during his recent tour of businesses operating at the Montego Bay airport.