The Bank of Jamaica, BoJ, sold 20-million US dollars into the foreign exchange market today through its Foreign Exchange Intervention and Trading Tool, or “B-FXITT”
In a statement this afternoon, the central bank says the intervention aims to address temporary demand and supply imbalances in the local foreign exchange market.
The BOJ says this is common in a free market environment.
The dollar lost 1-dollar and 43-cents to open trading this morning selling at 1-hundred-and-33-dollars-78-cents to the US.
The BOJ is encouraging businesses to use forward contracts with their financial institutions to minimize the risks that are associated with their foreign exchange obligations.
The bank says this is particularly relevant in an environment where the exchange rate fluctuates.