PIOJ Growth-Inducement Strategy - Planning Institute of Jamaica

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B ____________________ Community Renewal Programme Carol Narcisse Convenor, Civil Society Coalition 1.0 Introduction First, a quote from the document: GUIDING PRINCIPLES: “A Growth- Inducement Strategy for Jamaica in the Short and Medium-Term” • unleash entrepreneurial dynamism by unlocking latent wealth tied up in idle assets • investments in infrastructure as a catalyst for job creation through strengthening resiliency of the built and natural environment • build an innovative and competitive modern economy of big and small firms by strengthening business networks and removing supply-side constraints • modernize and improve the efficiency of government • social inclusion through community renewal, expanded self-agency and equity • proactive partnership between government and private sector. The Community Renewal Programme (CRP) now brought into the framework of the growth-inducement strategy is potentially a brilliant strategy – potentially, it could signal that Jamaica is ready to begin to acknowledge and repair the structural and systemic barriers that have frustrated the aspirations of the majority of its citizens. It could signal that Jamaica is ready to fly by dint of the elimination of the impediments that serve to render as under-utilised and under-developed the single greatest asset it has – its people. The plan, therefore, has game-changing potential. The document notes that : The deadweight of that history now hangs heavily over the present. The reference is to the Jamaican economy(which) has been in a chronic state of near stagnation for at least 35 years. The CRP, placed within the context of the growth- inducement strategy, has another deadweight of history to address, namely, the historical ‘less-counting’ marginalization 209
and exclusion of the majority of the people of the country – the largely rural poor and urban second class citizenry. The question is: Does the way the CRP is elaborated in the Strategy reflect this in terms of how it ‘images’ the residents of the targeted communities and how it frames the nature of the enterprise being undertaken. Fundamentally: Who do we think of when we hear the term “private sector” and what is there in the strategy that seeks to shift this mind-set or change this paradigm? The document indicates that what is required for the process of awakening and recovery from our state of inertia is a systematic approach to designing and implementing integrated policy solutions aimed to modernize and transform the economy so as to meet the challenges of operating in a dynamic, competitive world where the country has lost ground relative to others that it led or equalled some 50 years ago. Who has lost this ground? Our athletes? cultural producers? (think music, fashion, food, literature, film, fine art, dance, theatre, Rastafarians, naturopaths, etc our skilled professionals who are in high demand elsewhere? our colleges and universities? How central are these to the conceptualization of the private sector led growth-inducement strategy? What are the provisions to accelerate their development in the short to medium term? How would we have to calibrate things (including the CRP) if these were to be the engine of growth as much as the existing tourism, mining and quarrying, construction/infrastructural development etc as important as these remain. The document notes that: In essence, it captures the reality of the present moment which demands re-orienting our economic policy towards a sharpened focus on enhancing growth as the necessary basis for realizing sustained improvements in the social well-being of citizens, consistent with the goals of Vision 2030 Jamaica. Much of development literature, not the least of which is the 20 th Anniversary Edition of the HDR 2010 set out clearly that growth is not a sufficient condition for “sustained improvement in the social well-being of citizens…” Indeed, the 2010 HDR illustrates that political will and commitment to human and social well-being, reflected in budgeting priorities, result in some low growth countries having higher HDI than high growth countries. It isn’t an either or proposition, however, let us be clear that our choices in how we allocate sources are not neutral. 2.0 The conceptualization of the CRP in the Strategy Document Para 2.6 Sets out the cost of crime and is the entry point for reference to the CRP, specifically, 210
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i A GROWTH-INDUCEMENT STRATEGY FOR
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To the many ordinary Jamaicans who
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Preface The Jamaican economy has ex
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for making a determined start on th
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the private sector groups, listed b
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Citibank N.A. Jamaica Branch Grace
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need for “additional fiscal space
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Chapter 2 ________________ Summary
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1.0 The Economic Situation Today 1.
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expected to provide an essential an
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Table 2.1. The Policy Framework: A
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programme of social inclusion that
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Strategic Focus Table 2.2. Growth S
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6.0 Short-Term Growth Stimulus 6.1
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decline of 2.0 - 2.2 percentage poi
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Table 2A.2. NWA Projects To be Fast
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Table 2A.5. Community Renewal Proje
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Table 2B.3. Impact of Repairing Far
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Appendix 2C Methodology of the Grow
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Part I _________ Overview 28
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2.0 Vision 2030 Jamaica Before delv
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3.0 May 2010 Security Event and Aft
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the longer than anticipated global
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April July October January April Ju
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Three industries recorded increases
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9.0 Proposals for Growth-Stimulus I
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targeted economic and social infras
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partnering with government to disco
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3.0 Growth Inducement Strategy The
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Growth-Inducement Strategy Alignmen
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50 Part II _________ Situational An
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inadequate provision of public infr
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2.0 Macroeconomic Assessment 2.1 In
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Increased global oil consumption wa
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$4,742.0 million and $688.4 million
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Non -Traditional Domestic Exports E
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negative impact of the Jamaica Debt
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ethanol and paint, whereas lower de
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Analysis of preliminary GCT data re
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The number of ship calls to the isl
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industry was, however, estimated to
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4.0 Projected Performance 4.1 Calen
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increased marketing and extension s
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Electricity & Water For FY 2010/11,
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J$ Million Figure 5.1. Private Sect
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2011/12). These extreme weather eve
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Chapter 6 ________________ Assessme
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creates allocative inefficiencies,
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Million $ Per cent Jun-10 Mar-10 De
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Table 6.1. Employed Labour Force by
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J$ million Mar-10 Dec-09 Sep-09 Jun
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FIGURE 7: GROSS NATIONAL SAVINGS RA
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4.10.2. However, the extent of the
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Part III ____________ Analytical Fr
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functional relationship between the
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It follows that: (5) s = I/Y = [S -
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However, the existence of measureme
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(d) v* = Y*/K* This is a measure of
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in Chapter 8. The mutual interactio
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Transforming the complex set of str
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Appendix 7A A Methodological Note T
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Chapter 8 ____________________ Asse
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The DBI focuses more narrowly on qu
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to ask, is it possible to predict g
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can be made to serve a very useful
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For further elaboration of the cons
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progressive Jamaica-based firms and
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Table 8.2. Jamaica: Doing Business,
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Table 8.4. Global Competitiveness I
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Table 8.5 (continued) Rank Indicato
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Rank* Constraint Table 8.7 Business
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Chapter 9 ___________________ Inter
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3.0 The Burdens of LAC’s Logistic
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conditions. These combined with a p
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Figure 9.4. Proportion of Primary A
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6.0 Logistics are Essential for Tou
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7.0 Fundamental Steps Forward for J
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Part IV ________________ Policies a
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Current Status: Cabinet by decision
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e more than compensated for by the
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B ____________________ Eliminating
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Commercial Bank loan rates have als
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5.0 Expected Outcomes These measure
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capital, mainly in the form of equi
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Page 179 and 180: 5.0 Recommendations Based on the ma
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Page 201 and 202: 3.0 Transparency Guarantees By desi
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Page 207 and 208: Figure I.1. Functions of National P
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Page 217 and 218: With the benefit of hindsight, some
Page 219: ight. Where we as a society fail is
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