Updated September 23, 2021
Jamaica
Political and Economic Environment
levels of public debt. As a result, public debt fell below
Jamaica, the most populous English-speaking Caribbean
100% of GDP in 2019 and was expected to decline to
nation, has had a relatively stable parliamentary political
below 60% by 2026, according to the World Bank. The
system stemming from its history of British colonial rule,
pandemic set back Jamaica’s austerity plans, as the
though extensive political violence often marred elections
government moved to protect the economy and vulnerable
in the 1970s and 1980s. Two political parties—the center-
groups through increased spending and increased financing
left People’s National Party (PNP) and the center-right
provided by the IMF, World Bank, and Inter-American
Jamaica Labour Party (JLP)—have dominated the political
Development Bank. Public debt is now estimated at 106%
system since before the country’s 1962 independence.
of GDP but is expected to fall once again as the economy
recovers.
Figure 1. Jamaica Map
Jamaica at a Glance
Population:
2.7 mil ion (2020 est., IMF)
4,244, slightly smaller than
Area (square miles): Connecticut
GDP (current
$13.95 bil ion (2020 est., IMF)
prices):
1.0% (2019); -10.2% (2020 est.); 1.5%,
Real GDP Growth:
(2021, projected) (IMF)
Per Capita Income
$5,096 (2020 est., IMF)
(current prices):

Source: CRS.
U.S. Imports, $384 mil ion
U.S. Trade:
U.S. Exports, $1.7 bil ion (2017,
Current Prime Minister Andrew Holness of the JLP was
DOC)
first elected in 2016 when his party defeated the PNP, led
Bicameral Parliament, with 63-
by then-Prime Minister Portia Simpson Miller, who had led
member elected House of
the government since 2011. Holness and the JLP won a
Legislature:
Representatives and 21-member
second term in September 2020 in which the party
appointed Senate
substantially increased its representation in parliament from
a slim majority to control 49 out of 63 seats in the House of
Sources: International Monetary Fund (IMF) and U.S. Department of
Representatives. Although turnout was low, Holness’s
Commerce (DOC), as presented by Trade Data Monitor.
popularity reportedly helped secure the JLP’s victory.
As of September 23, 2021, Jamaica reported over 1,800
The Jamaican economy, which is heavily dependent on
deaths from COVID-19 since the pandemic began, with a
services, especially tourism, has been hard hit by the
mortality rate of 61 per 100,000, according to Johns
Hopkins University. The country experienced a third wave
Coronavirus Disease 2019 (COVID-19) pandemic. Even
before the pandemic, the World Bank characterized Jamaica
of cases in July 2021 that only began to decline in
as an upper-middle-income country struggling due to low
September. Vaccine accessibility and rollout in Jamaica
have been slow compared with most other Caribbean
growth; high public debt; exposure to natural disasters, such
as hurricanes and flooding; and the effects of climate
countries. As of September 23, Jamaica had fully
change. According to the International Monetary Fund
vaccinated 7.4% of its population. To date, Jamaica has
received almost 528,000 vaccine doses through the
(IMF), the economy contracted an estimated 10.2% in 2020
and is projected to grow 1.5% in 2021 and 5.7% in 2022.
COVID-19 Vaccines Global Access (COVAX) Facility, a
Tourist arrivals fell significantly because of the pandemic.
mechanism developed by global health organizations to
facilitate equitable distribution of COVID-19 vaccines.
Remittances from Jamaicans abroad are an important
Vaccine hesitancy has been a significant challenge.
source of income and, despite the pandemic, grew nearly
20% in 2020 to about $2.9 billion.
High rates of crime and violence have plagued Jamaica for
Jamaica had been making progress since 2013 in
many years. Since the 1990s, much of the violent crime has
implementing an ambitious economic reform program—
been associated with drug trafficking and related intra-gang
and inter-gang feuds. The inflow of illegal firearms also has
supported by the IMF, World Bank, and Inter-American
Development Bank—that helped reduce the country’s high
been a factor. In 2020, although Jamaica’s 1,301 homicides
were a slight decline from the previous year and a
https://crsreports.congress.gov

---

Jamaica
significant improvement from earlier years, the country still
in 2020 (a 2% decrease from 2019), with aluminum ores
had the highest homicide rate—45.5 per 100,000 people—
and oxides accounting for 44%. Jamaica has been a
in all of Latin America and the Caribbean, according to
beneficiary of the Caribbean Basin Initiative, a U.S.
Insight Crime. Violent crime has increased further in 2021.
preferential trade program for Caribbean imports, since its
Since 2017, the Holness government has used zones of
inception in 1984. The country is also a beneficiary of the
special operations in certain communities to contain the
Caribbean Basin Trade Partnership Act, a program begun in
rise in crime and violence; these zones include enhanced
2000 that provides tariff preferences for apparel imports.
powers for the security forces and social programs to help
The United States and CARICOM countries signed a trade
vulnerable populations in areas affected by high crime. In
and investment framework agreement in 2013 as a forum
2018, the government began using more stringent states of
for discussions on commercial issues.
emergency to curb crime, but Jamaica’s Supreme Court
ruled these unconstitutional in 2020.
Antidrug Efforts. Jamaica is the largest Caribbean supplier
of marijuana to the United States and a transit point for
U.S.-Jamaica Relations
cocaine trafficked to the United States and other markets,
U.S. relations with Jamaica are close, characterized by
according to the State Department’s 2021 International
significant economic and cultural linkages and by
Narcotics Control Strategy Report. Marijuana is also
cooperation on a range of bilateral and transnational issues,
trafficked to other Caribbean countries, especially Haiti, in
including efforts to enhance regional security and stability
exchange for firearms and other contraband. The State
through the Organization of American States. In December
Department reported that anti-drug cooperation between the
2020, the United States and Jamaica held an inaugural
United States and Jamaica remains strong but also noted
Strategic Dialogue and issued a joint statement in which
that significant progress will depend on Jamaica’s efforts to
they agreed to hold annual high-level meetings to advance
target high-level drug traffickers, combat corruption,
shared interests in security, prosperity, and democracy in
increase extraditions, finalize and implement a national
the Western Hemisphere. According to the State
drug strategy, and strengthen the judicial system so
Department, the dialogue’s various include enhancing
traffickers are held accountable.
security cooperation; addressing climate change; and
accelerating private-sector growth in clean energy, digital
U.S. Foreign Aid. Total U.S. foreign assistance to Jamaica
industries, and green infrastructure projects.
for FY2019 (obligations, latest full year available)
amounted to $24.2 million to support various security,
In April 2021, Secretary of State Antony Blinken met in a
economic development, health, education, and
virtual roundtable with Caribbean Community
environmental projects. According to the U.S. Agency for
(CARICOM) foreign ministers to demonstrate the U.S.
International Development (USAID), U.S. assistance to
commitment to work with all countries in the region to
Jamaica has included promoting greater transparency and
advance bilateral and regional interests. Blinken
good governance practices, fostering Jamaican participation
emphasized the strong U.S. partnership with the Caribbean,
in regional security, strengthening basic education,
including plans to respond to the pandemic and promote
supporting clean energy and decreasing vulnerability to the
Caribbean regional recovery; cooperation on increasing
impacts of climate change, and reducing the prevalence of
climate resilience; and continued collaboration on
HIV/AIDS. In July 2021, USAID announced it was
strengthening security, democratic values, and human
partnering with the World Bank to issue a catastrophe bond
rights. Prime Minister Holness participated in the April
to provide Jamaica with financial protection of up to $185
2021 White House-sponsored virtual Leaders’ Summit on
million for tropical storms through December 2023.
Climate, where he spoke about the special needs of small
island developing states in accessing climate finance.
Under the Caribbean Basin Security Initiative, the United
States has provided Jamaica with support since FY2010 to
Economic Linkages. A majority of the millions of tourists
reduce illicit trafficking and advance public safety and
visiting Jamaica each year come from the United States,
security. Jamaica has received assistance for training,
including both stopover and cruise-ship visitors. The large
equipment, and technical assistance to increase its
Jamaican-American community in the United States,
capabilities to interdict suspect sea vessels, investigate and
concentrated in New York and Florida, sends billions of
seize criminal assets, counter public corruption, combat
dollars in remittances to Jamaica annually. U.S. foreign
organized crime, enhance the efficiency of prosecutors and
direct investment on a historical-cost basis in Jamaica was
criminal courts, and support community policing and youth
estimated at $118 million in 2020, according to the
workforce programs.
Department of Commerce, and more than 100 U.S.
companies have offices in Jamaica.
With regard to COVID-19 support, the U.S. Embassy in
Jamaica reports the United States has contributed over $12
The United States is Jamaica’s most important trading
million in support of virus protection and control
partner, accounting for about 44% of Jamaica’s total trade.
throughout the country, including the donation of a field
Because Jamaica has a services-based economy, it
hospital and a host of medical supplies. In August 2021,
traditionally runs a large trade deficit in goods. In 2020, the
Jamaica received a first tranche of over 208,000 COVID-19
United States exported almost $1.7 billion in goods to
vaccine doses donated by the United States.
Jamaica (a 33% decline from 2019 due to the pandemic),
with petroleum exports accounting for about 28%. The
Mark P. Sullivan, Specialist in Latin American Affairs
United States imported $384 million in goods from Jamaica
IF10912
https://crsreports.congress.gov

---

Jamaica


Disclaimer
This document was prepared by the Congressional Research Service (CRS). CRS serves as nonpartisan shared staff to
congressional committees and Members of Congress. It operates solely at the behest of and under the direction of Congress.
Information in a CRS Report should not be relied upon for purposes other than public understanding of information that has
been provided by CRS to Members of Congress in connection with CRS’s institutional role. CRS Reports, as a work of the
United States Government, are not subject to copyright protection in the United States. Any CRS Report may be
reproduced and distributed in its entirety without permission from CRS. However, as a CRS Report may include
copyrighted images or material from a third party, you may need to obtain the permission of the copyright holder if you
wish to copy or otherwise use copyrighted material.

https://crsreports.congress.gov | IF10912 · VERSION 3 · UPDATED

---