Government pumps tens of millions into the forex market

The government yesterday pumped tens of millions of US dollars into the foreign exchange market as it intervened to prevent what it calls ‘disorder’ and to allow market forces to determine the value of the local currency against its foreign counterparts.

Assistant Trading and Treasury Manager at Jamaica Money Market Brokers, Kwame Brooks, says the Central Bank dipped big into its reserves yesterday to sell foreign currency to licensed traders.

This, so they could satisfy the demand from businesses and individuals.

Kwame Brooks, Assistant Trading and Treasury Manager at JMMB, speaking last evening with Cliff Hughes on Nationwide@5.

And Opposition Spokesman on Finance, Audley Shaw, says he’s been warning the government for months that devaluation was hurting businesses, with undeniable reductions in exports.

The Opposition Spokesman said while the intervention is a good step, it does not go far enough.

Audley Shaw, opposition spokesman on finance.

Mr. Shaw is asserting that this temporary patch for the problem will not last.