- Language: English
- Published: May 2015
- Region: North America, United States
Country Report Jamaica
- ID: 2105438
- July 2015
- Region: Jamaica
- 24 Pages
- The Economist Intelligence Unit
According to the latest surveys by the Jamaica Conference Board, conducted between April and June, business confidence slipped slightly and consumer confidence remained unchanged when compared with the first quarter of 2015. However, optimism remained high among firms and households.
Businesses have expressed more optimism during the past nine months than during any comparable period over the past decade. Nearly two-thirds of all firms expected their financial health to improve during the year ahead, down from the all-time record of 74% in the first quarter of 2015, but above the 62% recorded a year before. A major reason behind the optimism felt by businesses is their perception of prospects for the economy-43% anticipated an improvement during the year ahead, which was more than the 39% who expected this outcome in the first quarter of this year. Unsurprisingly, the favourable outlook for the economy translated into robust investment plans: 62% of all firms reported that it was a good time to expand their productive capacity, only slightly below the all-time peak of 65% recorded in the last quarter of 2014.
Consumers' purchasing plans remained largely unchanged in the second quarter of 2015. Plans to purchase homes were expressed by 8% of households, up from 7% in each of the past four quarters. Thirteen percent of consumers held plans to buy vehicles, down from 14% in the previous quarter. Holiday plans jumped to 32%, up from 22% a year earlier. Spending plans have been tempered by stable income expectations-36% of consumers expected income to either increase or remain the same as the previous quarter-albeit the highest level since late 2012. Households reporting receiving remittances also remained unchanged at 38%, but larger receipts were reported by 39% of these, the largest proportion to report an increase since 2008. Consumers were more optimistic about job prospects for the year ahead than had been the case over the past three years. However, 49% still expected weaker job prospects. SHOW LESS READ MORE >
Country Report Jamaica
Business and consumer confidence slip
Impact on forecast