Jamaica on alert but #stillbelieving

Observer column published 19 August 2019

by Jean Lowrie-Chin

We are borrowing Kingston Mayor Delroy Williams’ hashtag #stillbelieving as we reflect on the global economic jitters that have resulted from US-China trade conflicts.  Additionally, the price of aluminum has tumbled and threatens our bauxite industry.  However, we recall the last recession in 2008 when Jamaica was able to weather the storm as we had battened up our financial governance after the Finsac fallout. Indeed, an investor who had initially introduced Flow to Jamaica, noted that it was his Jamaican holdings that had shored him up when Wall Street was tumbling.

Well, as someone who has lived, worked and invested in my country for decades, I continue to be positive on Jamaica, even as I know that we have to be alert to the signals and be careful in our planning. My optimism is further bolstered by an opinion piece by World Bank Vice President Axel van Trotsenburg published in the Miami Herald on May 16 this year. Mr van Trotsenburg refers to our emergence from economic doldrums as ‘a silent revolution’, noting that “Jamaica has shown a macroeconomic turnaround that is quite extraordinary … After decades of high debt and low growth Jamaica has changed its growth trajectory, with positive economic growth for 16 consecutive quarters and growth getting closer to two per cent.”

He continued: “During that period, the Jamaica Stock Exchange went up more than 380 per cent. The credit agency Fitch upgraded the island's debt to B+ rating with a stable fiscal outlook, and unemployment hit eight per cent in January, the lowest in decades.”

He credits this and the previous administration with our serious belt-tightening: “The fiscal turnaround and economic transformation were possible because of the strong commitment across political parties over two competing administrations and electoral cycles. The country also critically benefited from a sustained social consensus for change and the strong backing of the private sector.”

Jamaica Economic Programme Oversight Committee (EPOC), first chaired by Richard Byles, who assumes the post of Bank of Jamaica Governor today and now by Keith Duncan, have played a significant role in monitoring and reporting on the various aspects of our economy.  There is an IMF standby agreement, but Keith Duncan makes it clear: “This is Jamaica’s Plan, not an IMF Plan.”

However, we cannot rest on our laurels.  With a new wave of school-leavers and university graduates in the job market, we have to be creative in supporting business start-ups and employment opportunities. Mr van Trotsenburg notes, “Despite unemployment at a new low, still too many young people are struggling to find a job. For Jamaica to continue to grow and prosper, it also needs to develop the skills for the workforce of tomorrow, especially in the areas of technology and digitalization. This requires a sharp focus on creating the conditions for youths to strive and succeed in the modern business world and close cooperation with the private sector in this respect.”

Digital transformation

Mr van Trotsenburg’s timely advice on technology and digitalization must be taken seriously and acted on urgently. As we type an email and see sentences being eerily completed in our writing style, we understand how much artificial intelligence has insinuated itself into our lives. Indeed ‘google’ is now more verb than noun as it is the library that sits in our smartphone. 

IDB Caribbean Manager Therese Turner-Jones and Minister of Science, Energy and Technology Fayval Williams have challenged us to stay in step digitally with developed countries on whom we depend for trade and investment.

In an address at the Mona School of Business in June, reported by Abbion Robinson in the Jamaica Observer, Minister Williams reminded, “We are in the digital era where the only constant is change. The technological revolution and transformation which are characteristics of the digital age have significantly changed and reshaped the way we operate on a daily basis and in business.”

She concluded: “Our future is digital in many respects and we cannot, at this moment, even begin to fathom the extent and the reach of this transformation … I implore you to equip your business and leaders to evolve with times.”

Here again “the conspiracy of mediocrity” (my words) can rear its ugly head.  Technology-averse managers may exclude bright young workers who can create greater efficiencies for their companies, thus holding back not only promising personnel but also the organisation at large.  This is a time when boards of governance must be vigilant, lest they find themselves endorsing flat-footed response to the business imperative of digital transformation.

I congratulate our Jamaican innovators for setting the pace, including tech pioneer Ingrid Riley, Edward Alexander and Christopher Reckord of tTech, Tyrone Reid of iCreate Institute, Gordon Swaby of Edufocal, Kadeem Petgrave of Educatours and Kemal Brown of Digita Global. They have helped us to see the huge promise of technology – it’s a promise that will take Jamaica to more places than we can ever imagine.

Digitally reaching seniors

Our budget was modest, so we used MailChimp, Facebook and Twitter to promote a new health insurance plan for seniors. It worked. Hundreds turned out for the launch of the new CCRP health plan last Wednesday and we had a continuous stream of applicants for the rest of the week. We have heard of social media platforms being used for negative purposes, but without these, low-budget organisations which seek to do good would be at a disadvantage. 

What we have been noticing however, is that some seniors who have smartphones are using them to make calls only. One lady said, “There was I trying to figure out this WhatsApp and the next thing I know, my friend is calling me to ask me why I sent her a photo of my feet!” Spare some time to sit with your elders and walk them through the nifty apps that will make them more engaged. Load up some of their favourite music as well.