Blue Economy Accounting: Measuring the Blue Economy in Jamaica and the Bahamas

The technical paper explores the economic contributions of the Blue Economy in Jamaica and The Bahamas, two Caribbean nations with vast marine resources and growing interest in a sustainable ocean economy. The Blue Economy, defined as the sustainable use of ocean resources for economic growth, improved livelihoods, and ocean ecosystem health, is increasingly recognized as a critical pathway for climate resilience, economic diversification, nature positive and inclusive development in the region. The key insights from the research that utilizes the existing System of National Accounts (SNA) and satellite accounts related to the ocean economy, reveal the following: The methodology applied satellite accounting methods adapted from the United States National Oceanic and Atmospheric Administration (NOAA) and the Caribbean Development Bank (CDB) blue economy methods, to estimate the Gross Value Added (GVA) of various sectors of the Blue Economy. While constrained by data availability, the approach provides a replicable framework for other Caribbean nations but there are challenges to its use and adoption. These include measurement gaps, limited disaggregated data, and informal sector dominance hinder comprehensive valuation. Institutional, regulatory, and financing constraints also limit the sectors growth. Nevertheless, there are opportunities that are seen arising from this assessment of the Blue Economy, including identification of emerging sectors such as marine renewable energy, biotechnology, and blue carbon markets, which offer new avenues for investment; the strengthening of inter-industry linkages and regional integration, and reducing competition to maximize shared marine resources. The recommendations coming out of the research include, (i) the need to institutionalize Blue Economy Satellite Accounts within national statistical systems to improve data collection and policy targeting; (ii) enhance regional cooperation to reduce competition and maximize shared marine resources; (iii) invest in capacity building and financing mechanisms to support MSMEs and innovation in blue sectors; (iv) integrate circular economy principles to reduce marine pollution and create value from waste streams like sargassum; and (v) promote inclusive development by targeting youth, women, and vulnerable communities in Blue Economy strategies.
Jamaica: The Blue Economy contributed approximately 3% of GDP between 2012 and 2019, with strong growth in tourism, maritime transport, and fisheries. It employed 37% of the workforce in 2020, with tourism and port logistics showing significant potential for expansion. The Bahamas: The Blue Economy accounted for 5.5% of GDP at basic prices in the base year of analysis, with strong linkages to tourism, fisheries, and maritime industries. The country is a global leader in ship registry and is exploring blue carbon markets and marine biotechnology. The methodology applied satellite accounting methods adapted from the United States National Oceanic and Atmospheric Administration (NOAA) and the Caribbean Development Bank (CDB) blue economy methods, to estimate the Gross Value Added (GVA) of various sectors of the Blue Economy. While constrained by data availability, the approach provides a replicable framework for other Caribbean nations but there are challenges to its use and adoption. These include measurement gaps, limited disaggregated data, and informal sector dominance hinder comprehensive valuation. Institutional, regulatory, and financing constraints also limit the sectors growth. Nevertheless, there are opportunities that are seen arising from this assessment of the Blue Economy, including identification of emerging sectors such as marine renewable energy, biotechnology, and blue carbon markets, which offer new avenues for investment; the strengthening of inter-industry linkages and regional integration, and reducing competition to maximize shared marine resources. The recommendations coming out of the research include, (i) the need to institutionalize Blue Economy Satellite Accounts within national statistical systems to improve data collection and policy targeting; (ii) enhance regional cooperation to reduce competition and maximize shared marine resources; (iii) invest in capacity building and financing mechanisms to support MSMEs and innovation in blue sectors; (iv) integrate circular economy principles to reduce marine pollution and create value from waste streams like sargassum; and (v) promote inclusive development by targeting youth, women, and vulnerable communities in Blue Economy strategies.