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FINANCE MINISTER SAYS INFLATION TARGET WILL REMAIN AT FOUR TO SIX PER CENT

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KINGSTON, May 8 (JIS):

Minister of Finance and the Public Service, Dr. the Hon. Nigel Clarke, has informed that the current inflation target for the Bank of Jamaica will remain at four to six per cent.

Dr. Clarke made the announcement during a statement to the House of Representatives on Tuesday (May 7).

He explained that the process for setting and renewing the target was codified into law via the Bank of Jamaica Amendment Act 2020, which, among other things, formally introduced Jamaica’s inflation targeting regime.

Dr. Clarke stated that in April 2021, after consultation with the Bank of Jamaica, documents were tabled advising of the renewal of the inflation target of four to six per cent, which was effective for three years.

“Following consultation with the Governor of the Bank of Jamaica, who is also Chairman of the Monetary Policy Committee, I confirm and have so tabled documents advising that the inflation target for Jamaica, calculated as the 12-month point-to-point percentage change in the consumer price index as measured by STATIN, will remain at four per cent to six per cent for the next three years,” Dr. Clarke said.

“The midpoint of this range of five per cent will be the operational target for the Monetary Policy Committee. This target remains consistent with Jamaica’s economic structure and stage of development,” he added.

The Minister noted that a lower inflation target than what currently obtains would require higher interest rates for longer, which could be detrimental to growth and to fiscal dynamics.

Furthermore, Dr. Clarke said Jamaica’s recent experience has highlighted that there are constraints to targeting a lower inflation rate at this time.

“In particular, the frequency of economic shocks, labour market rigidities, low productivity, a weak monetary transmission system and regulated price adjustments, constrain the ability of the Bank of Jamaica to deliver a lower inflation rate than what is currently targeted in the near term,” the Minister said.

Dr. Clarke stated that these constraints speak to inherent challenges that as a country “we must tackle if we are to target and enjoy the levels of inflation of our main trading partners”.

“Going forward, I will support all efforts to ameliorate these constraints. On the other hand, setting the target higher than four per cent to the six per cent range would be problematic for most Jamaicans who do not have the independent means to protect themselves against higher targeted inflation,” he noted.

Dr. Clarke explained that it is for these reasons that the inflation target for Jamaica, calculated as the 12-month point-to-point percentage change in the consumer price index as measured by the Statistical Institute of Jamaica (STATIN), will remain at four to six per cent for the next three years.

 

CONTACT: LATONYA LINTON

 

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Government Progressing with Plans to Build Seven STEM and STEAM Schools

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#MontegoBay, July 3, 2024 – The Government is progressing with plans to construct six Science, Technology, Engineering and Mathematics (STEM) Schools and one Science, Technology, Engineering, Arts and Mathematics (STEAM) Academy.

Deputy Prime Minister and Minister of National Security, Hon. Dr. Horace Chang, says arrangements to build the STEAM school, being cited in Montego Bay, are “proceeding.”

“The land is acquired and the budget is in place from the Ministry of Finance [and the Public Service]. By the end of the year the Ministry of Education [and Youth] can give a timeframe on it,” he stated.

Regarding construction of the STEM Schools, Dr. Chang advised that  “we will be opening the first one in Portmore [St. Catherine] very soon.”

He was speaking during the University of Technology (UTech) Western Campus’ recent STEM Summer camp launch at the institution’s campus in Montego Bay, St. James.

The camp, being held in western Jamaica for the first time, will see some 100 youth from communities in Hanover, Trelawny and St. James engaging in several STEM-related activities.

For his part, Montego Bay Chamber of Commerce and Industry (MBCCI) President, Oral Heaven, said Jamaica has been declared a ‘STEM island’, adding that the camp serves as testament to the country’s growing prominence in the global STEM landscape.

“This designation opens the door for so many things, through multinational STEM investments [and] real money for our people, positioning Jamaica as a hub of innovation and technological advancement,” he outlined.

Dr. Chang pointed out that there is “a legacy of STEM activity” in the west, noting that the Government is committed to expanding opportunities in the sector.

“It is imperative, therefore, that we attract some of these investments to Montego Bay”, adding that, “we must focus on the positives and potential solutions that STEM can offer.”

The STEM Summer Camp will be held in two phases for junior and senior participants under the theme: ‘Think, Collaborate and Innovate to Grow and Be Resilient’.

Junior participants will attend from July 8-19, and the older youth between July 15 and 26.

 

Contact: Serena Grant

Release: JIS

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Persons in Low-Lying Areas Urged to Evacuate as Hurricane Beryl Approaches

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#Kingston, Jamaica, July 1, 2024 – As Hurricane Beryl approaches Jamaica, persons living in low-lying and flood prone areas are being urged to assess their situation and make the decision to relocate as early as possible.

Prime Minister, the Most Hon. Andrew Holness, made the call during a press conference at Jamaica House on Monday (July 1).

“I quite understand that people don’t want to leave their property; but the most important thing is your life. So I would encourage you, please, the security forces or emergency services would not be able to operate in the heights of the hurricane and even just before, and there might even be a delay afterwards,” he noted.

“We encourage you to please secure yourself by moving to higher ground and moving to safer ground. Make arrangements with your family members to find a safer place to be. So if you live, particularly in low-lying areas, starting from the most eastern end of the island, that would be anywhere in Portland and St. Thomas coming up to the Manchioneal area, and if you are in areas in East Rural St. Andrew, please, you’re going to be impacted, so take the necessary steps,” Mr. Holness advised.

He said the Government is making the necessary arrangements to respond quickly after the hurricane has passed, including ensuring that persons can access food and water.

“We have two weeks supply of fuel, our telecommunication services have been investing significantly in improving the resilience of their hard infrastructure and we expect that they should stand up,” the Prime Minister indicated.

“But if there is any disruption or a break, we are pursuing alternatives to ensure that we are still connected, particularly for government entities,” he assured.

Meanwhile, Mr. Holness encourages all citizens to pay close attention to the government information outlets and the traditional, credible, well-established media sources.

He informed that the Jamaica Information Service (JIS) will be working directly with the Office of Disaster Preparedness and Emergency Management (ODPEM), which oversees the coordination and response of Jamaica’s emergency preparations.

“An important part of our emergency response is how we communicate with the public; and so JIS will be working directly, now, with ODPEM to ensure that it gets out the information. So the JIS will be your central source. But all the media that are here, are established, credible sources. They will be getting their information from the JIS. So there will be a consistent and even flow of information to the public to help you to make the decisions necessary for your safety,” Mr. Holness said.

Regarding curfews, he said the Government is not yet contemplating any limitation on movement.

“But as we get closer to the time, and we are able to assess the intensity of the hurricane, then we will make those decisions and that will be communicated,” Mr. Holness stated.

 

Contact: Latonya Linton

Release : JIS

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C&W Communications mobilising aid for those impacted by Beryl  

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MIAMI, Florida (July 3rd, 2021) – Leading telecoms provider C&W Communications, the operators of Flow, Flow Business, C&W Business and BTC, is mobilising resources and aid for those impacted by Hurricane Beryl.

Beryl roared across the Caribbean Sea after bringing devastation to the Windward Islands as it made landfall on Carriacou as a Category 4 storm with 150mph sustained winds. It is the strongest known hurricane to pass through the Grenadines, according to data from NOAA that goes back to 1851.

“Our hearts and thoughts are with our Caribbean brothers and sisters, especially those in the Windward Islands, including Grenada and St. Vincent and the Grenadines,” said Inge Smidts, Chief Executive Officer, C&W Communications.

“We recognise the immense challenges they are facing, and we are deeply moved by the strength and resilience they have shown. Their courage and community spirit are truly inspiring, and we stand with them during this challenging time.”

The company has deployed resources through the Cable & Wireless Charitable Foundation to provide shelter and comfort to those most in need, and US$400,000 has been allocated to support disaster recovery efforts including a donation to the World Central Kitchen – a commitment that will provide immediate relief and long-term support.

“World Central Kitchen is known for its rapid response in delivering meals to those in need, especially during emergencies. Together, we will work to ensure that nutritious meals reach the most vulnerable individuals and families impacted by Hurricane Beryl,” added Smidts.

To further help support impacted communities, the company is also providing free data for prepaid mobile users, and disconnections for postpaid users has been suspended.

“Our networks have taken a hit as is expected with such a formidable storm, but we will build back better and stronger. We have been operating in the Caribbean for more than a century and we have that experience, we are well equipped, and we stand ready to respond to this adversity,” said Smidts.

“And to the communities in the North Caribbean in Beryl’s path, especially Jamaica and the Cayman Islands, we also stand with you, and we are committed to providing support and assistance in any way we can.”

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