Gov’t Pushes for Greater Local and Foreign Investments in Jamaica

Minister of Industry, Investment and Commerce, Senator the Hon. Aubyn Hill, continues to advocate for increased domestic and foreign investments in Jamaica.

Addressing Tuesday’s (April 15) Jamaica Special Economic Zone Authority (JSEZA) Special Economic Zone (SEZ) Investor Briefing at the AC Hotel by Marriott Kingston, Senator Hill highlighted why now is an opportune time to invest in Jamaica.

Among the reasons outlined were a record low 3.5 per cent unemployment rate, low inflation, cut in taxes and reduction in crime.

Senator Hill said consequent on these and other key factors, the country is now “stable and investable” and is not the “same Jamaica that we were 10 years ago”.

He further highlighted that there are benefits to be derived by investing in Jamaica through SEZs.

“All those goods that you bring in to build up your [operations] will come in duty-free. When you start making money in year four, year five, six, and you invest that money, the profits you make from that, we will charge you only 50 per cent of the corporate rate. The corporate rate in Jamaica is now 25 per cent, so you will be paying 12.5 per cent. But you could drop it lower by how many Jamaican people you employ and trade with, and it could go down to 7.75 per cent,” Senator Hill outlined.

He also explained that there are benefits for people who operate within developments in these SEZs.

“If you’re an operator within the master developer’s place, you get your customs duty in and you only pay 12.5 per cent tax, which could also go down to 7.75 per cent. So, you see, this would be a logistics and manufacturing distribution powerhouse in the Caribbean,” the Minister further stated.

In addition to the tax benefits, Senator Hill highlighted Jamaica’s physical location – 90 minutes from Miami, three hours from Panama and seven hours from Europe –describing it as the centre of the global logistics chain.

He also noted the highly skilled and vast expertise of the Jamaican population in various industries, including technology and digital transformation, trade and manufacturing, and the ongoing training, reskilling and upskilling of the populace to meet the demands of the rapidly evolving global economy.

“We are saying to you there are great opportunities here. We are building corridors of prosperity from Kingston to Montego Bay, from Spanish Town to Black River to Negril. Jamaica offers you a strategic location, world-class seaports and airports, a skilled English-speaking work force, a stable democracy and a business environment that is open, reforming and pro-investment,” Minister Hill declared.

In the meantime, the Jamaica Special Economic Zone Authority (JSEZA) has expanded the SEZ landscape to attract investments in sectors such as film production, green energy, artificial intelligence (AI) and pharmaceuticals.

These include the development of large-scale projects, among them, the Caymanas Special Economic Zone; Olympus Project, focusing on sports development; Xanadu 77 Technopolis, and Pandora Pharmaceutical SEZ.

Meanwhile, Minister of Finance and the Public Service, Hon. Fayval Williams, in her remarks, said SEZs are important now more than ever due to the ever-shifting global economy.

“These zones, paired with sound fiscal policy and modern infrastructure, are creating the environment that we need to lower the cost of doing business, attract high-quality local and international investments, connect MSMEs (micro, small and medium-sized enterprises) to global supply chains and elevate Jamaica’s competitiveness on the world stage,” Minister Williams said.

Tuesday’s briefing was held under the theme ‘Unlocking Investment Opportunities Through SEZ Infrastructure and Partnerships’.

Source: JIS