Public-private partnerships market in Jamaica
In 2019, Canadian exports to Jamaica were valued at Can$301.2 million. Canada and Jamaica have a significant trade and investment relationship, with Canada being an important player in Jamaica’s financial sector. Two of the five commercial banks in Jamaica are Canadian-owned: Scotiabank and CIBC FirstCaribbean International Bank.
Jamaica’s Privatisation and Public-Private Partnership (P4) Programme facilitates private-sector investment in Jamaica by providing a range of investment opportunities. Investors may be invited to own or operate state-owned assets and enterprises, or to partner with the Jamaican government to deliver public infrastructure and services.
The P4 Programme is a key element of the government’s medium-term economic growth strategy. The Development Bank of Jamaica is the government’s central implementing agency for the program.
Privatization began in the early 1980s and has resulted in the successful exit of the Jamaican government’s interests in financial institutions, utilities, tourism and agro-processing, while public-private partnerships (P3s) have been used in a limited way to provide public infrastructure (mainly airports and highways) since 1994. Since 2009, privatization and P3 transactions have facilitated over US$1.7 billion in actual revenue sales, projected investments in Jamaica’s economy and created world-class infrastructure and award-winning operations.
Successful transactions under the P4 Programme include those in:
- Caymanas Track Limited
- Petroleum Company of Jamaica Limitedf
- Kingston Container Terminal
- Mavis Bank Coffee Factory
- Jamaica Pegasus Hotel
- Wallenford Coffee Company
- Bloody Bay Hotel Ltd. (Grand Lido - Bloody Bay)
- Sangster International Airport
- Highway 2000
- North South Highway
Recognizing the importance and increased participation of the private sector in Jamaica’s medium-term economic growth strategy and development activities, the government approved a revised privatization policy in 2012 and created a P3 policy. These policies ensure that transactions are executed in a consistent and equitable manner, engendering confidence in a transparent process.
In 2014, a further commitment to the P4 Programme was made by the Jamaican government with the establishment of the World Bank-funded Foundations for Competitiveness and Growth Project (FCGP). To increase private-sector investment, the FCGP funds technical studies and the engagement of advisors to increase the capacity of promoting agencies to deliver well-packaged investment opportunities to the private sector.
Several projects are in various stages of development or execution and are expected to be available to the private sector in 2022, including in the infrastructure, wastewater treatment and logistics sectors. Strategies used by the government to facilitate investment include the sale of assets or shares, leases, joint ventures and concessions.
Jamaica is committed to improving its infrastructure in various areas and is willing to see more Canadian companies developing those projects. The decision is yours!
For additional information please contact Lesley-Ann Ennevor, Lesley-Ann.Ennevor@international.gc.ca.
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