The new economic programme Jamaica is negotiating with the International Monetary Fund, IMF, will require transformation to a more efficient public service that will facilitate growth.
That’s the warning from Prime Minister, Andrew Holness.
Mr. Holness yesterday highlighted other goals embedded in the new programme, that the government is hoping will be approved by the IMF’s Executive Board in November.
The Prime Minister says the staff-level agreement is also geared towards answering questions and calming fears about the country’s economic future.
He says the new agreement should bring what he describes as ‘policy certainty’ to the economy.
He was speaking yesterday at a joint press conference of the Jamaican Government and the IMF.
The new proposed three-year Stand-By Arrangement with the IMF, would provide Jamaica USD$1.7-billion to be used as a sort of insurance policy against unforeseen economic shocks.
If approved by the IMF’s Executive Board, about USD$430-million would be immediately available.
And, the new staff-level agreement Jamaica has reached with the International Monetary Fund will be almost double the amount committed to the previous administration under the Extended Fund Facility, signed in May, 2013.
The new arrangement will replace the current USD$900-million agreement set to expire March, next year.
Mr. Werner says Jamaica has proven its fiscal responsibility over the length of the current programme.