July 24, 2025
As Jamaica advances local action on climate resilience, a new study urges the nation to fully transition to a green and climate-resilient economy. This proposed model is based on the development of green industries and technologies, sustainable agriculture and tourism, and renewable energy.
According to the study, this green growth model is expected to boost household income, reduce poverty, create jobs, and place the economy on a more diversified and sustainable growth path. It also aims to strengthen Jamaica’s resilience to the climate crisis.
The study, titled Green Economic Growth Model, was developed with support from the United Nations Development Programme (UNDP) Multi Country Office in Jamaica and the International Labour Organization (ILO) Office for the Caribbean. It was officially presented to the Ministry of Economic Growth and Job Creation and the Ministry of Labour and Social Security in Kingston.
Recognizing the significance of the study’s policy recommendations, UNDP Resident Representative Dr. Kishan Khoday encouraged the government to give serious consideration to the five key policy actions outlined for a just and equitable transition. These include promoting social dialogue and protection, enhancing skills training, fostering green enterprise development and entrepreneurship, and reforming fiscal policy.
The study highlights the need for social protection to assist workers affected by job restructuring and households that may be negatively impacted by the energy transition. It also emphasizes the integration of green technologies and climate-smart practices into training curricula to meet growing demand for jobs in the STEM and green service sectors. Additionally, the study recommends fostering green enterprises to help diversify the economy and suggests fiscal reforms as critical to supporting economic restructuring.
One of the key proposals is a fiscally neutral and progressive fossil fuel or carbon tax. Revenues from this tax would be redirected from wealthier households to those with fewer resources. The study recommends channeling these revenues into a just transition fund that would finance skills training, green technology investments, and social protection for those most affected. It also proposes that this tax be coupled with a reduction in labor taxes.
Dr. Khoday further called on the government to initiate a national dialogue on the Green Economic Growth Model. He emphasized the importance of inclusive consultations with the private sector, civil society, academia, and vulnerable communities.
As Jamaica considers deepening its commitment to a climate-resilient economy, Dr. Khoday noted that the transition must be inclusive and equitable. He stressed that ensuring no community is left behind requires thorough consultation, adequate resources, and alignment of programmes to support meaningful participation and benefit sharing within the green economy.
The Green Growth study projects the creation of up to 8,000 new jobs and nearly one percent higher GDP growth compared to a business-as-usual scenario. It was developed under UNDP’s Climate Promise: Pledge to Impact Programme, which supports over 120 countries in enhancing and implementing their Nationally Determined Contributions (NDCs) under the Paris Agreement. This flagship programme is supported by the governments of Germany, Japan, the United Kingdom, Sweden, Belgium, Spain, Iceland, the Netherlands, Portugal, and other UNDP core contributors. It also supports the NDC Partnership and contributes to preparations for this year’s UN Climate COP30 gathering in the region.
Source: (Caribbean News Global)
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