IMF Praises Jamaica’s Fiscal Discipline
IMF Highlights Decade of Debt Reduction, Stable Inflation, and Resilient Economic Response to Shocks
In its 2025 Article IV Mission staff concluding statement, the International Monetary Fund (IMF) has commended the Government of Jamaica for its continued commitment to sound fiscal management.
The statement, published on Wednesday, follows a series of consultations held from April 30 to May 7.
These engagements involved both physical meetings in Kingston and virtual sessions with Jamaican officials, members of the private sector, civil society, and development partners.
According to the IMF, over the past decade, Jamaica has made notable progress in key macroeconomic areas.
The Fund highlighted the country’s success in reducing public debt, anchoring inflation and inflation expectations, and strengthening its external position.
The IMF observed that Jamaica has built a commendable record of institutional investment and a sustained focus on macroeconomic stability.
It further noted the country’s ability to respond to global economic shocks and natural disasters with agility, prudence, and measures that support growth.
Despite a decline in Gross Domestic Product (GDP) for the 2024/25 fiscal year—attributed to the impact of Hurricane Beryl and Tropical Storm Raphael on agriculture, infrastructure, and tourism—the IMF projects that economic activity will normalise as the effects of these events subside.
The Fund also noted that Jamaica’s unemployment rate fell to an all-time low of 3.7% in January 2025.
Inflation, it reported, has converged to the Bank of Jamaica’s target range of 4 to 6%.
Additionally, the country’s current account has remained in modest surplus for two consecutive fiscal years, supported by strong tourism earnings and high remittance inflows.
The IMF further stated that Jamaica’s international reserves position continues to improve.
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