Peter Bunting.<\/p>\n
KINGSTON, Jamaica\u00a0\u2014\u00a0Jamaica\u2019s long-term economic growth remains among the weakest in the developing world according to Opposition Spokesman on Productivity, Efficiency and Competitiveness, Peter Bunting.<\/p>\n
According to the Member of Parliament for Manchester Southern, real GDP growth has averaged approximately one per cent per annum over several decades.<\/p>\n
\u201cLabour productivity has declined. Foreign direct investment inflows have fallen sharply from their previous highs. Gross fixed capital formation has weakened. Real wages remain under pressure,\u201d said Bunting.<\/p>\n
He was speaking Wednesday in the House of Representatives during his contribution to the Sectoral Debate.<\/p>\n
The Opposition spokesman said \u201cfar too many of our brightest and best continue to leave in search of opportunities elsewhere\u201d, adding that, \u201cIn short, we have stabilised the economy without transforming it\u201d.<\/p>\n
Bunting pointed to the International Monetary Fund, World Bank and the Organisation for Economic Co-operation and Development which he noted have all reached broadly similar conclusions regarding the drivers of sustained economic growth.<\/p>\n
He argued that, \u201cCountries that prosper over long periods do so because they continuously improve productivity, strengthen institutions, invest in human capital, encourage innovation and create an environment in which businesses can compete and grow\u201d.<\/p>\n
\u201cCountries that fail to improve productivity, eventually encounter a ceiling beyond which growth becomes difficult, wages stagnate and economic opportunities diminish. That is precisely where Jamaica finds itself today,\u201d he stated.<\/p>\n
He critiqued the recent sectoral presentation of the \u00a0Minister of Efficiency, Innovation, and Digital Transformation, Audrey Marks who he noted cited \u00a0increased numbers of online transactions, electronic payments and digital government services as evidence of progress.<\/p>\n
\u201cWhile these developments are welcome, activity should not be confused with productivity,\u201d said Bunting while pointing out that many Jamaican businesses continue to encounter duplicated reporting requirements, fragmented government systems and lengthy approval processes.<\/p>\n
He highlighted that more than 70 per cent of transactions in Jamaica are still cash-based with \u00a0JAM-DEX adoption being negligible despite significant effort by the Bank of Jamaica.<\/p>\n
Bunting noted that inter-bank payment systems continue to operate within constraints that reflect outdated institutional arrangements rather than the needs of a modern 24\/7 economy. He cited that the BOJ\u2019s Real Time Gross Settlement (RTGS) operates from 8:30 am to 2:30 pm, while the Commercial Banks\u2019 Automated Clearing House (ACH) is still next day payment.<\/p>\n
\u201cMy point is straightforward. Technology is an enabler, not a substitute for reform. If inefficient processes are simply transferred from paper to computer screens, what emerges is not efficiency but digital bureaucracy.<\/p>\n
\u201cProductivity gains arise when processes are fundamentally redesigned, responsibilities are clarified, duplication is eliminated and institutions become more responsive. Technology can facilitate that transformation, but it cannot replace it,\u201d Bunting declared.<\/p>\n
He also told his fellow lawmakers that \u201cIf there is one statistic that should concern every member of this House, it is the performance of Jamaica\u2019s labour productivity over the last quarter century\u201d.<\/p>\n
He lamented that Jamaica\u2019s labour productivity today, measured by real GDP per worker, remains below where it stood 25 years ago. He said during the same period, labour productivity in the United States increased by approximately 50 per cent and by more than 400 per cent in China.<\/p>\n
\u201cCloser to home, countries in Latin America and the Caribbean with which Jamaica competes directly for investment and export opportunities, have achieved substantially stronger outcomes,\u201d Bunting said.<\/p>\n
\u2014\u00a0\u00a0\u00a0\u00a0Lynford Simpson<\/p>\n","protected":false},"excerpt":{"rendered":"Peter Bunting. KINGSTON, Jamaica\u00a0\u2014\u00a0Jamaica\u2019s long-term economic growth remains among the weakest in the developing world according to Opposition…\n","protected":false},"author":2,"featured_media":683740,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[28,101],"class_list":["post-683739","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/683739","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=683739"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/683739\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/683740"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=683739"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=683739"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=683739"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}