Finance Minister Dr Nigel Clarke, says the most recent depreciation of the Jamaican dollar, is no cause for alarm.
Dr. Clarke says the fluctuation of the dollar is temporary and may be due to inconsistencies in flows of foreign currency.
He was reacting to news that the Jamaican dollar has now passed the 138- dollar mark in trading against the US, the highest in Jamaica’s history.
The previous record was August 24 last year, when the dollar traded at 137.96
Minister Clarke says it’s natural for the currency to fluctuate in our environment.
Marjorie Gordon reports:
The Finance Minister says Jamaica has a currency environment where the exchange rate fluctuates in response to market forces.
He says the focus for monetary policy is inflation.
Minister Clarke says the inflows of foreign direct investment in Jamaica has been about 5-percent of the nation’s gross domestic product GDP, for the last few years.
He says the country’s record breaking over $3-billion in the reserves is testament to that.
The Finance Minister says he’s confident that the dollar will again appreciate soon.
The Bank of Jamaica, BOJ, made two interventions this week, in the foreign currency market.
On Thursday it injected $US20 million, and today $US15 million.
Minister Clarke says the BOJ is also implementing new technologies to assist people to monitor the movements of the currency.