Jamaica came in for more praise from the International Monetary Fund (IMF) in its forth review under the Stand-By Arrangment on Wednesday.
Jamaica’s “impressive performance continues”, noted Uma Ramakrishnan IMF mission chief for Jamaica, via teleconference at the IMF offices at the Bank of Jamaica in downtown Kingston on Wednesday.
She noted that Jamaica has also done very well on most of the tests in the Financial Stability Assessment Programme, though more needed to be done in terms of data collection and further capacity building for financial institutions. She noted that some of those institutions were so good that empoyees were highly sought after.
Questioned about volatility in the exchange rate, with the Jamaican dollar recently strenthening by about $10 against the US dollar, Ramakrishnan said, “We wern’t worried when the rate was 137 and we aren’t worried now it’s 127.”
“It’s not a matter of concern,” she said, noting the “movement is due to market forces. This is a baby market and it still needs to mature.” The swings are likely to tame down as the market matures, she added.
One matter of concern, however, was the growth rate, and with it the apparant reluctance of the private sector to step up its investment in the economy.
“After nearly six years of economic reforms, unemployment is at an almost 11-year low, poverty is at a nine-year low, inflation is low, public debt is firmly on a downward trajectory, and international reserves are at historically high levels,” the IMF said in its official statement.
http://www.jamaicaobserver.com/business-report/imf-impressed-by-jamaica-s-performance_149158
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