IMF disburses $258m to Jamaica

The International Monetary Fund (IMF) has disbursed SDR191.45 million ($258 million) to Jamaica under the Resilience and Sustainability Facility (RSF) after completing the third reviews of Jamaica’s Precautionary and Liquidity Line (PLL) and RSF. The PLL, treated as precautionary, has an approved access of SDR 727.51 million ($980 million).

Jamaica’s economy has demonstrated resilience, achieving an estimated 2 per cent growth in FY 2023/24, driven by a strong recovery in tourism and mining. Inflation has returned to the Bank of Jamaica’s target band, and international reserves reached a record $5.2 billion by March 2024.

The country’s ambitious reform agenda continues to strengthen its fiscal, financial, and climate policy frameworks, enhancing economic stability.

According to the IMF, the island’s GDP growth is expected to align with its potential, with public debt projected to fall below 60 per cent of GDP by FY 2027/28. Moreover, while Jamaica remains exposed to global economic shifts and natural disasters, its robust policy frameworks and proven track record in managing shocks mitigate these risks.

The RSF has supported Jamaica’s climate resilience efforts, including reforms to increase renewable energy, manage climate risks in financial institutions, and develop a green-bond framework, potentially attracting future climate financing.

Attribution: IMF

Subediting: M. S. Salama