Jamaica tourism revenue hits US$2.5 billion amid economic recovery challenges

Jamaica has welcomed 2.34 million visitors through August 31, generating approximately US$2.5 billion in spending. However, the tourism sector and broader economy continue to face significant challenges following the impact of Hurricane Melissa last October.

Tourism Minister Edmund Bartlett reported that visitor numbers are 17 percent lower and tourism revenue has decreased by 18 percent compared to the same period last year. While approximately 70 percent of hotel capacity is now operational, 30 percent remains out of use. Aviation capacity has also not yet fully recovered, though available flights maintain high occupancy rates. Global aviation issues, including limited aircraft and parts availability, have contributed to higher ticket prices.

The economic impact extends beyond tourism. In the first quarter, goods exports fell by more than 22 percent, and service exports decreased by 20.1 percent. The Jamaican economy contracted by an estimated 5.9 percent in the first quarter compared to the previous year, with the accommodation and hospitality sector seeing a decline of over 20 percent. Remittances from Jamaicans living abroad rose by 7.4 percent in the first quarter, serving as a key economic buffer.