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Jersey Publishes Economic Development Business Plan For 2008,
by Jason Gorringe, Tax-News.com, London
Monday, December 31, 2007
Jersey's Economic Development Department has this month published its 2008
Business Plan.
The Department stated that its aim is to achieve sustainable economic growth
and diversification in the economy, and suggested that every economic indicator
pointed to economic growth in 2007.
It added that employment continues to grow strongly with almost all the growth
in the private sector, split fairly evenly between the finance and non-finance
sectors of the Jersey economy.
Bank deposits, funds under administration and trust activity are also at record
levels, and on the macro-economic level, the jurisdiction's economic growth
is being accompanied by low inflation.
Economic Development Minister, Senator Philip Ozouf observed, with regard to
this, that:
"One of the biggest challenges, if not the biggest in managing a growing
Island economy is keeping inflation in check. Inflation is the thing that undermines
all businesses and today it undermines efficiency and erodes our competitiveness."
He continued:
"We will try to break the cycle seen in past years that when the economy
sees strong growth, inflation picks up and this feeds through into higher wages,
rents and other costs that in turn feed through into even higher prices, compounding
the inflation problem."
Commenting on the publication of the Economic Development Department's Business
Plan, Mike King, the Department's Chief Executive Officer, explained that:
"The second year of Ministerial Government saw both the pace and scale
of Economic Development Department (EDD) activity increase significantly, most
notably through the full implementation of the Enterprise and Business Development
Strategy that directly addresses growth in existing businesses, export trade
development, business start up and broad based inward investment."
"Our objective remains clear - delivering economic growth at or above
target levels across all sectors whilst constraining both inflation and the
inevitable population related consequences of sustained growth."
Key objectives outlined in the Plan included:
Sustainable long term economic growth, at or above planned targets, delivering
additional tax receipts and more diverse employment opportunities for local
people whilst managing inflationary pressures within the economy;
New enterprises and companies with high value-added potential developed;
A co-ordinated approach to developing the skills required to support the
economy;
A Financial Services Industry with an international reputation for integrity;
A vibrant visitor economy which adds value to Island life;
A diverse working countryside;
A regulatory environment in which business can prosper;
A comprehensive external transport strategy which benefits both business
and residents;
An Airport that meets the economic and social needs of the Island, the
expectations of passengers and the expectations of airlines;
A modern port that meet the economic and social needs of the Island, the
expectations of passengers and the expectations of carriers; and
Staff and resources managed so as to improve performance and provide value
for money.
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