Jamaica's economy was just beginning to enjoy a renaissance when a
bout of political violence last July that left 25 people dead was
followed by the disastrous drop in tourism revenues after the
September 11 terrorist attacks in the US. But the country is
working hard to revive its economy and prepare for an uncertain
Jamaica, like other Caribbean nations that depend on tourism,
first began to notice the effects of the softening economy in the
US last June as the number of visitors to the island slowed. The
Ministry of Finance now estimates tourism revenues will drop 12%
this year. Jamaica was quick to revise its economic targets agreed
with the International Monetary Fund in December. It expects the
economy to grow 1.5% this year, half the previous forecast and the
current account deficit could widen to 8% instead of 5.3%.
Unemployment is also likely to rise.
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