As Hurricane Melissa, the first major storm of the Atlantic hurricane season, approaches Jamaica, the Small Business Association of Jamaica (SBAJ) has voiced grave concerns about the potential devastation to the island’s small and medium-sized enterprises (SMEs). SBAJ President Garnet Reid warned that the hurricane could deliver a ‘double whammy’ to businesses already struggling to recover from the COVID-19 pandemic and ongoing economic challenges. Speaking to the Jamaica Observer, Reid emphasized that many SMEs may face permanent closures if the storm hits as projected, potentially ruining the upcoming holiday season for countless businesses. The hurricane, expected to cause billions in losses, has already disrupted operations with widespread flight cancellations and business closures. Reid highlighted limited access to finance as a critical barrier to SME recovery and called for urgent government intervention, including the establishment of a special emergency fund through entities like the Development Bank of Jamaica (DBJ). He also expressed strong opposition to a proposed increase in electricity rates by the Jamaica Public Service Company (JPS), arguing that such a move would exacerbate the economic hardships faced by small businesses. Reid urged the government to reject any rate hikes and focus on restoration and recovery efforts instead. Additionally, he advocated for greater competition in the energy sector, suggesting that a monopoly stifles fair pricing and consumer choice. The small business sector, often described as the engine of Jamaica’s economy, plays a vital role in employment and tax revenue, making its recovery crucial for the nation’s overall economic stability.
