As Jamaica’s resilience against the COVID-19 pandemic continues to fuel the economy’s gradual recovery from the resulting fallout, more persons are being encouraged to become entrepreneurs.
This urging comes from Minister of State in the Ministry of Industry, Investment and Commerce, Dr Norman Dunn, who was speaking during the recent Young Entrepreneurs Association (YEA) Young Entrepreneur Success Summit and Expo.
The event was held at the Jamaica Conference Centre in downtown Kingston under the theme ‘Rising with Resilience’.
Dunn noted several positive indicators, which he said are encouraging signs of Jamaica’s recovery.
Among these are US$5.7 billion in tourism earnings generated since Jamaica’s borders were reopened in June 2020, after being closed for three months, and a decline in the unemployment rate, which stood at 6.6 per cent in July 2022.
“This is a very good time to be an entrepreneur, as the economy is strong and showing every sign of continuity along the path of stability. We expect that with the Government’s strategy to strengthen resilience in different sectors of the economy, Jamaica will continue on the present, very positive growth trajectory,” the state minister added.
Dunn said that while 9,943 new business names and 3,277 entities were added to the Companies Office of Jamaica’s (COJ) register between January and August this year, “we are aware that, regrettably, some companies closed during the pandemic”.
“But the uptick in company registrations is testament to the resurgence in consumer and business confidence,” he maintained.
Meanwhile, Dunn advised of a plethora of resources available to support entrepreneurs, the majority of which, he noted, are micro, small and medium-sized enterprises (MSMEs).
“MSMEs constitute over 90 per cent of the Jamaican private sector and contribute over $100 billion in taxes. The Government recognises the strategic importance of this sector, and we at the Ministry of Industry, Investment and Commerce take our responsibility to enable and nurture MSMEs very seriously,” he stated.
Dunn pointed out that access to financing remains the most significant challenge for many start-ups.
This, he said, is partly because financial institutions prefer to see a track record of success before investing in new enterprises.
“A basic requirement to ensure the resilience and sustainability of businesses is access to the capital, which is needed to expand product lines, explore new markets, purchase equipment, and pay the staff needed to allow the business to grow,” the state minister reasoned.
He said to address this issue, the Government has been making funding available through various channels.
“We have partnered with international agencies, such as the World Bank and the Inter-American Development Bank, as well as with local financial institutions, to make grants and loans available at preferential rates,” Dunn indicated.
He also highlighted several capacity strengthening initiatives available through the Ministry’s agencies, intended to identify and address operational gaps entrepreneurs might experience.
“We identify those… areas where our entrepreneurs are particularly vulnerable and develop them into thematic areas for training, to help ensure the longevity and profitability of businesses,” the state minister pointed out.
Dunn advised that a key thrust for the Ministry over the next financial year is to increase exports, adding that “we look forward to engaging many of you [entrepreneurs] in discussions about how we can help to make you export-ready or find new markets overseas”.
“We are committed to using all the resources at our disposal to continue to create a sustainable business environment and ensure your resilience,” he assured.
