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Jamaica: Ninth Review Under the Arrangement Under the Extended Fund Facility and Request for Modification of Performance Criteria—Staff Report

Summary: Macroeconomic indicators are improving, but growth remains sluggish. Growth has been revised down to 1.4 percent for FY2015/16 as drought continues to impede agricultural growth for a second year in a row. Inflation is projected to be 4½ percent this fiscal year, tempered by low global oil prices. The government’s proactive liability management operation to buyback the debt owed to Venezuela’s PDVSA has lowered debt; the ongoing fiscal effort should ensure it remains firmly on a downward trajectory.

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