Holness aims to eliminate absolute poverty

Prime Minister Dr Andrew Holness says that as the country continues to experience economic successes, his administration is also weighing their impact on the everyday lives of Jamaicans.

Speaking at a post-Cabinet press briefing on Thursday, Holness was asked whether the country’s economic growth and falling poverty levels could improve the Jamaica Labour Party’s (JLP) chances of securing a third term in the upcoming general election, due by September.

“In our jurisdiction, in our country, there is always, as I’ve said, the need for the voter to reconcile their lived experience with the data that is provided, and we have to not take it for granted that the voter is making that reconciliation in their heads,” he stated.

According to the Planning Institute of Jamaica (PIOJ), the national poverty rate fell to 8.2 per cent in 2023 – the lowest level recorded since measurements began in 1989 – down from 16.7 per cent in 2021. There was no data for 2022 as the Jamaica Survey of Living Conditions was not conducted that year due to the commencement of the National Population and Housing Census, but poverty figures for 2024 are expected later this year from the Statistical Institute of Jamaica.

The economy also grew by an estimated 0.8 per cent in the first quarter of 2025 compared to the same period in 2024, the PIOJ reported.

While celebrating the economic and social progress, Holness acknowledged the public’s scepticism, noting that there is often a “very high level of cynicism” when these numbers are presented to the average person. This, he theorised, is a biased conditioning resulting from years of a negative economic outlook.

He emphasised that changing public perception takes time.

“Our job is to change perceptions. Perceptions don’t change overnight. It takes a long time, and it takes repeating over and over again,” Holness said.

Describing the drop in poverty as a “big deal for all Jamaicans”, Holness attributed the gains to strategic policies targeting the root causes of poverty such as expanding social safety nets and job-training initiatives.

ADMINISTRATION’S FOCUS

“This administration has been the most focused on treating with the macroeconomic elements of poverty, dealing with the social safety net, putting in place things like the social pension, which didn’t exist before. We are now looking at unemployment insurance, didn’t exist before, giving access to training in HEART, and all the programmes that we have put in that would have enabled households to access employment,” he stated.

Labour and Social Security Minister Pearnel Charles Jr also pointed to enhancements in social programmes. These include increased allocations for the Programme of Advancement Through Health and Education, a 74 per cent boost in social pension benefits, and the introduction of a social pension scheme benefiting more than 11,000 people. Additionally, the minimum wage was raised by 44 per cent in 2023, and funding for the ministry’s entrepreneurship grant increased from $44.5 million in 2020-2021 to $69.4 million in 2022-2023.

“This low poverty rate is not just a statistic. It is a powerful story of Jamaica’s transformation, of resilience, and, I dare say, of leadership,” he said. “Thousands of Jamaicans are moving on from struggle to stability, from survival to success.”

Finance Minister Fayval Williams added that income inequality is also improving

“When we compare the data, 2023 to 2021, our consumption … showed a decrease towards zero, and that is good,” she said.

Looking ahead, Holness said the Government is focused on eliminating absolute poverty.

“At eight per cent, we are within striking distance. We can end absolute poverty,” he said. “We want to ensure that we push this poverty prevalence number way, way down, and then, at that point, we can revise what’s the new threshold for somebody to be considered at or below the poverty line.”

sashana.small@gleanerjm.com

Defining poverty

Jamaica uses an absolute measure of poverty represented by a poverty line. The poverty line indicates the level of consumption needed to maintain an acceptable standard of living at the lowest cost. The calculation of the poverty line involves the costing of a basket of basic food and non-food items. The food poverty line is defined by the costing of the food portion of the minimum basket. Persons whose consumption is below the poverty line are considered to be in absolute poverty while those who consume below the food poverty line are considered to be in extreme poverty.