Governor of the Bank of Jamaica, Richard Byles, says the Central Bank’s monetary policy is achieving its aim of driving growth through expansion in private sector credit.

However, Mr. Byles argues this is not happening as quickly as the bank would like.

The BOJ has reduced it’s policy rate significantly over the last year.

This is essentially the interest rate it offers to deposit-taking institutions, DTI’s.

It’s expected that as the BOJ lowers this rate DTI’s such as commercial banks will, in turn, reduce the rate it lends to their customers.

Mr. Byles argues that while this is being done there’s far more room in the market for this to be expanded.

Mr. Byles says he hopes to engage DTI’s in discussions geared at accelerating private sector credit.

He was speaking at a quarterly press briefing last week.