On track to match inflation in trading partners — BOJ

BY AVIA COLLINDER Business reporter collindera@jamaicaobserver.com

Inflation for the September 2016 quarter is projected to accelerate due to stronger domestic demand conditions, but the Bank of Jamaica (BOJ) is expressing confidence that core inflation, towards fiscal year end, will remain moderately low.

The bank has set a target of 4.5 per cent to 6.5 per cent inflation for the year, projecting that inflation will rise to meet the target by the end of the fiscal year with an uptick in the second half of the fiscal year due to a moderate increase in commodity prices.

In its Quarterly Monetary Policy Report (QMPR) for the April to June 2016 quarter, bank head Bryan Wynter outlined that 12 -month inflation decelerated to 2.5 per cent in June 2016 from three per cent in March 2016.

Information from STATIN confirmed a further deceleration to 2.1 per cent in July 2016.

http://www.jamaicaobserver.com/business/Inflation-down-to-2-1–for-July_73130