As COVID-19 cases spike, risks to economic recovery remain high
The EPOC met on February 5, 2021 to review the macro fiscal programme of the Government of Jamaica (GOJ) and the monetary performance of the Bank of Jamaica (BOJ) for the fiscal year 2020/21. The following were key highlights noted by EPOC:
✔ The GOJ tables third Supplementary budget as Tax Revenues projected to fall below previous targets
✔ Macro-fiscal risks increase as GDP growth projections weaken
✔ Pace of global economic recovery remains uncertain as global demand for vaccines outstrip supply
✔ International Reserves remain strong due to higher than expected increase in Remittance Inflows
Based on the performance of the fiscal and monetary indicators, the GOJ and the BOJ are on track to meet the selected quantitative targets under the GOJ Economic Reform Programme (ERP) as at the end of December 2020,
with the exception of the Tax Revenues target. The implementation of the majority of the Priority Actions for the GOJ ERP continues to be delayed relative to the timelines established in November 2019, due, in large part, to the impact
of the COVID-19 pandemic. The timelines and scope of these priority commitments are to be reviewed.
