Boosting Innovation, Growth and Entrepreneurship Ecosystems

Over the past decades, Jamaica has experienced low levels of economic growth – less than 1% yearly average – and debt levels to GDP ratios of over 100%. As the COVID-19 pandemic proved its devastating impact on economy, tackling health security issues and the need for availability and access to water, sanitation, and hygiene are thus of utmost importance to boost the country’s entrepreneurship.

Through LACIF, the EU spearheads a collective initiative by the Inter-American Development Bank (IDB) and the Development Bank of Jamaica (DBJ), supporting the Jamaican government to undertake specific economic measures, such as the provision of grants and support to the most affected. The project translates into a total investment of 28.695.000 euros to promote inclusive growth and productivity by fostering innovation in the private sector. It also carries a strong gender-responsive component, since Jamaican women played a disproportionate role in responding to the pandemic and thus faced increasing infection risks. All this in a bid to provide Jamaican MSMEs with the means to become resilient, particularly in their post-COVID19 recovery.

This project is declined in three components:

• Innovation and Growth for Established MSMEs. This component targets established MSMEs and promotes efficiency and growth through development and adoption of innovation that enable MSME to adapt to the post-COVID-19 requirements. It also allows participating MSMEs to use inputs and factors in more productive ways thereby enabling faster growth.
• Facilitating Innovation and Growth for Scalable Startups. This component targets scalable startups to accelerate operations and technical assistance to scale-up services. This component also supports startups that provide new services aligned with the requirements of the COVID-19 and post COVID-19.
• Facilitating Innovation and Growth for High Potential Startups. This component serves early entrepreneurs or MSMEs that have potentially successful value propositions and that could become scalable startups. This component supports entrepreneurs that provide new services aligned with the requirements of the COVID-19 and post COVID-19.