Jamaica on Course for 74% Debt to GDP Ratio by March 2024

• Jamaica is on course to lower its debt-to-gross domestic product (GDP) ratio to 74% by the end of March 2024, says Prime Minister, the Most Hon. Andrew Holness. This, he noted, will be “well below pre-COVID-19 pandemic levels and the lowest in 25 years.”
• The Prime Minister was delivering the main address during the Jamaica Dental Association’s 60th annual convention at the Royalton Blue Waters Resort in Falmouth, Trelawny, earlier this week.
• Mr Holness, who highlighted that Jamaica's debt had previously increased to as much as 150%, stated that the reduction, as an economic indicator, would signal that the government has done extraordinarily well in terms of fiscal responsibility.
• Meanwhile, the Prime Minister said his Administration remains committed to continuing on a path of fiscal responsibility, fully aware of the hard work and sacrifices that were made in securing the notable economic gains Jamaica has recorded to date.
• As the government continues to lower the debt-to-GDP ratio, it expands its fiscal capacity to spend more on critical infrastructures such as hospitals and schools, which form the backbone of economic development. Additionally, the government may be required to borrow less to fund its expenditures, thus minimising the crowding out effect, and may be in a strong position to negotiate better financing terms from lenders.

(Sources: JIS & NCBCM Research)