Newly appointed Governor of the Bank of Jamaica, Richard Byles, says the country is in a good place fiscally to respond to a possible global recession.
Mr. Byles was addressing growing fears of a global economic decline in the near future and the possible fallout for Jamaica.
Speaking this afternoon at a quarterly media briefing, Mr. Byles pointed to the structural reforms the country has undertaken as evidence of built-in resilience.
Governor Byles says Jamaica is in a much better place today than it was during the global financial crisis of 2008 and the world’s last major recession.
The world is bracing for a possible reversal of growth trends as early as 2021.
This is due to escalating trade tensions between the US and China, coupled with slowing growth among the world’s largest economies.
However, Mr. Byles is reminding the public that despite the fears, a global recession is not necessarily a foregone conclusion.
International recession fears are being coupled with local concerns over the future of the Bauxite Alumina Plant, Alpart.
The Chinese owners of Alpart, Jiuquan Iron and Steel, JISCO, have already signaled that the 50-year-old plant is in desperate need of an upgrade which will necessitate its closure in the short term.
This is coupled with declines in world prices for alumina due to an oversupply of the commodity.
The ultimate fate of Alpart will have ripple effects throughout the economy.
But, Mr. Byles says despite these concerns he remains positive that the country will continue to record growth.
