Lack of competition in banking sector concerns IMF

Citing a lack of competition in the Jamaican banking sector, the International Monetary Fund (IMF) is calling for the creation of a body to oversee the implementation of measures to improve credit access.

“Given the high market concentration of the banking sector in Jamaica, a thorough assessment should be conducted on the adequacy of competition in the banking sector,” the Fund stated in the 13th review of the extended fund facility agreement, released last week.

The Fund noted that with two banks holding more than 80 per cent of total assets, “a thorough assessment should be conducted on the adequacy of competition in the banking sector”.

It stated further that “a financial inclusion council should be created without further delay in order to implement the financial inclusion strategy.”

http://www.jamaicaobserver.com/business/Lack-of-competition-in-banking-sector-concerns-IMF_75358