Jamaican economy continues on a growth path; inflation remains a concern for the BOJ; monetary policy remains tight

The EPOC met on June 4, 2023 to review the Fiscal and Monetary Quantitative Performance indicators under the Government of Jamaica’s Economic Reform Programme.

The following were key highlights noted by EPOC:

  • Inflation rate continues to trend downwards, albeit ending May 2023 at 6.1%, just outside BOJ’s target range
  • For April-May 2023, Tax Revenues grow year over year by $18.7B (18.3%) and exceeds YTD targets by $10.5B (9.6%)
  • For April-May 2023, Total Expenditure grew by $30.7B (26.1%) year over year driven by Public Sector Compensation growth of $23.8B (52.8%)
  • Net International Reserves (NIR) of US$4.2B as at May 31, 2023 remain strong
  • Jamaica kicks off IMF programme strong, exceeding quantitative targets and meeting structural
  • Real GDP grew by 4.2% for the January-March 2023 quarter and by 4.7% for FY2022/23
  • Real GDP has surpassed pre-COVID levels
  • Debt-to-GDP exceeds target of 79.7% to close FY2022/23 at 77.1% down from 94.2% for FY2021/22