Jamaica Embraces Trade instead of Aid as Prime Minister Portia Simpson-Miller visits China

Jamaican Prime Minister Portia Simpson-Miller (r), accompanied by Chinese Premier Li Keqiang, inspects a guard of honor at the Great Hall of the People in Beijing, Aug 21, 2013. PHOTO/AP

The economy of Jamaica continues to recede. Latest numbers released by the Bank of Jamaica confirmed a fifth consecutive quarter of negative growth. Past International Monetary Fund (IMF) policies forced on the island-nation have had a devastating effect on the economy and capacity for growth.

In a bid to improve the economy, and reduce unemployment (which presently stands at 16.1 percent), Jamaica is looking east. The island-nation is moving to replace aid with trade and investment – given that the traditional aid model has yielded very poor results.

Prime Minister Portia Simpson-Miller is on a working visit to China – the first such visit by a Jamaican head of government.

China has rapidly expanded its economic ties with Jamaica over the last ten years, with billions of dollars in foreign direct investment (FDI) to the island-nation. The capital Kingston is now the Caribbean headquarters for China Harbor Engineering Company, which has been contracted to conduct major infrastructural projects in the country.

Jamaica and China have signed a number of agreements during Simpson-Millers visit – it is hoped that these attract more investment into the country which in the medium to long term translates to jobs.

Read more: Global Times