Prime Minister Andrew Holness Issues Dire Warning on Economic Stability in Address to Young Jamaica
Kingston, Jamaica – In a stirring address at the Young Jamaica General Meeting held at the University of the West Indies on Wednesday night, Prime Minister Andrew Holness expressed grave concerns over the potential recurrence of economic instability, drawing lessons from the tumultuous era of the Financial Sector Adjustment Company (Finsac) disaster.
Reflecting on the economic challenges that arose from the Finsac crisis nearly three decades ago, Holness highlighted the devastating impact it had on Jamaica’s economy. Established in January 1997 to stabilize the country’s financial institutions, Finsac’s efforts have been widely criticized for precipitating a massive "fire sale" to foreign investors and failing to achieve its intended objectives. The financial debacle reportedly cost Jamaica around $120 billion, equating to about 40% of the nation’s gross domestic product (GDP) at the time.
Addressing the young audience, Holness stressed the importance of maintaining economic stability, warning that a relapse could prove catastrophic. “I shudder to think what could happen if stable hands were removed from the wheel,” he said, referencing his administration’s efforts to amend past economic missteps. He vividly recounted the difficulties faced during Finsac’s fallout, noting how it decimated the country’s entrepreneurial spirit through poor regulatory practices and misguided policy decisions.
Holness criticized what he described as a "lazy set of entrepreneurs" fostered by the era’s policies, who he claims are now aspiring to govern the country. He underscored the need to prevent these detrimental notions from resurfacing, emphasizing his administration’s success in redefining entrepreneurship and wealth creation.
In a passionate appeal, the Prime Minister urged the current generation not to be misled by individuals who profited from the crisis. He accused these individuals, some of whom seek leadership roles, of enriching themselves at the expense of the populace. “I will not allow that to happen, and I hope that my voice is carrying,” Holness stated fervently.
Despite acknowledging that Jamaica has not reached its financial goals, Holness praised the considerable progress made under his governance. Under his leadership, the country’s unemployment rate has reportedly dropped from 13% to 4%, a transformation he attributed to incentivized investment and reduced government borrowing. He described Jamaica’s current trajectory as one of "promise and progress," moving towards prosperity.
Holness concluded by reaffirming his commitment to avoiding the pitfalls of the past. He pointed to the significant changes implemented by the Jamaica Labour Party in fostering an environment conducive to genuine investment and employment growth.
The Prime Minister’s address underscored his administration’s efforts to safeguard the country’s economic future, acknowledging the painful lessons of history while championing continued growth and resilience.
