THE Jamaica Stock Exchange (JSE) is preparing listed companies for a new era of investor scrutiny as climate risk, transparency, and long-term resilience become central to how investments are assessed.

The shift was outlined Tuesday night at the opening of the JSE Investments and Capital Markets Conference at the Jamaica Pegasus hotel in Kingston, where JSE Chief Executive Officer Livingstone Morrison set the tone for changes aimed at strengthening investor confidence and positioning the market for sustainable growth beyond Hurricane Melissa. Morrison told delegates that investor confidence ultimately rests on economic stability and whether businesses are positioned for sustainable growth and profitability. He argued that in a region repeatedly exposed to extreme weather events, resilience is no longer optional but has become a core investment consideration.

“If investors see Jamaica investing in climate-resilient infrastructure, using financial instruments to manage disaster risk, and strengthening the institutions in which they invest, they are more likely to view the country as a safe vehicle for long-term investment,” Morrison said.

He described resilience as “the new currency”, noting that while the Caribbean remains among the most climate-vulnerable regions in the world, its capital markets also hold the potential to transform that vulnerability into innovation and unlock new investor opportunities. Against the backdrop of Hurricane Melissa, Morrison said strengthening investor confidence must go beyond recovery efforts and focus on preparing businesses and institutions for future shock. As such, the JSE intends to play a more active role in supporting national resilience efforts, particularly as global expectations around sustainability and climate-related disclosures continue to evolve.

Morrison drew attention to IFRS S1 and S2, issued by the International Sustainability Standards Board in June 2023, which establish a global baseline for sustainability-related financial disclosures. The standards are designed to give investors clearer insight into how sustainability and climate risks affect a company’s financial performance and long-term prospects. While the timeline for adopting the standards in Jamaica rests with the Institute of Chartered Accountants of Jamaica (ICAJ), Morrison said the JSE is taking a proactive approach by working alongside the ICAJ to prepare listed companies for the demands and opportunities that the standards present.

“Over the next several weeks, we will be engaging stakeholders to ensure our listed companies are fully prepared for the future adoption of these standards,” he said.

He added that the exchange will focus on building awareness around the standards, implementation challenges, and the opportunities they create for strengthening investor confidence in the sustainability and future viability of listed companies.