Black Immigrant Daily News

The Bank of Jamaica (BOJ) has increased its policy interest rate by 50 basis points to six per cent.

The measures are expected to cause interest rates on deposits and loans to rise further. Some deposit-taking institutions (DTIs) have already adjusted interest rates on deposits and loans.

In announcing the rate increase on Thursday, the central bank said inflation expectations remain elevated and, without stronger policy actions, may continue to rise.

Having peaked earlier and lower than expected in April 2022, inflation at May and June were both 10.9 per cent, followed by 10.2 per cent at July.

In determining the rate increase, Monetary Policy Committee (MPC) noted that the conditions that led to the recent inflation outturns appear to have not sufficiently solidified to ensure that inflation is sustainably on a downward path, and there remains a risk of reversal.

It also projected that inflation is projected to fall within the target range by the December 2023 quarter. This is two quarters later than previously projected.

Meanwhile, annual inflation is projected to range between nine per cent and 11 per cent for the remaining months of 2022. Inflation is projected to fall to single digits in early 2023, as long as the conflict between Russia and Ukraine do not escalate and inflation among Jamaica’s trading partners continues to fall, the bank said.

In addition, the BOJ’s baseline forecast assumes that the public’s expectation for future inflation will fall during the second half of 2022

What’s more, the low unemployment rate, reported labour shortages in selected sectors of the economy and pressures from the acceleration in domestic inflation carry the potential for future wage adjustments to exceed that required for the consolidation of low, stable and predictable inflation.

Finally, high inflation in the US and other trading partners has prompted a programme of faster monetary adjustment among the central banks of the advanced economies, which could cause capital outflows from Jamaica and a faster pace of exchange rate depreciation if domestic monetary policy is not properly aligned.

The MPC also agreed to continue pursuing other measures to contain Jamaican dollar liquidity expansion and to maintain relative stability in the foreign exchange market.

The BOJ said, from October 2021 to date, the Bank, while maintaining a flexible exchange rate, has taken strong actions in the foreign exchange market including an adjustment to the Net Open Position limits for deposit-taking institutions (DTIs) and the sale of foreign exchange to the market, when necessary, while continuing to ensure that the gross reserves remained comfortably above the level considered adequate.

“These policy actions contributed to the maintenance of stability in the foreign exchange market and, without them, imported inflation and hence the final prices faced by consumers would have been higher,” the BOJ said.

In the meantime, the MPC will continue to closely monitor the global and domestic economic environment and is prepared to pause its monetary policy tightening if the incoming data continues to reflect a downwards track for inflation.

As at August 16, 2022, Jamaica’s gross reserves amounted to US$4.3 billion, which represented approximately 124 per cent of the projected IMF’s Assessing Reserve Adequacy (ARA) measure for FY2022/23.

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Black Immigrant Daily News

The prosecution has about two months to complete its file against a nurse who allegedly used another woman’s bank card to purchase over $20,000 worth of items online, without her permission.

In June, Jamesha Millwood who was suspended last year due to other alleged crimes, was slapped with 17 counts of fraud

The 29-year-old Bolans woman and the complainant were said to have travelled to Jamaica in late February 2020 to pursue a seven-month training course in emergency nursing at the University Hospital of the West Indies.

However, after about two weeks, the course was suspended due to the Covid-19 pandemic, but they had to remain in Jamaica due to the closure of the airports in both Antigua and Jamaica, and were only able to return home in April that year.

Both women returned to Jamaica in January 2021 to continue the course and were reportedly quarantined in the same room for about two weeks before the programme started.

While rooming together, it is said that the complainant told the accused about a business which she was planning to start.

In March 2021, the complainant reportedly went to a bank in Jamaica to make a withdrawal and noticed that her balance was far less than expected, so she contacted the bank in Antigua and requested a summary of her debit card transactions.

She reportedly noticed that a number of online purchases totalling $20,764.17 had been made over a period of time without her knowledge or consent.

The complainant subsequently reported the matter to the police who executed a search warrant on the premises of the defendant and allegedly found items which they believed had been purchased using the complainant’s card.

Millwood appeared in the St John’s Magistrate’s Court yesterday for the second time and was told that the prosecution was not ready to start the committal proceeding.

Chief Magistrate Joanne Walsh therefore gave the police one final opportunity to have the file ready.

Should the file be complete on October 13, the Magistrate will indicate whether or not the case will proceed to the High Court. However, if the file is not complete, Walsh will dismiss the case for want of prosecution. (OBSERVER NEWSCO)

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Black Immigrant Daily News

UPP Creates a Buzz to Support Community Small Businesses

The UPP recognizes that small businesses can play a big role in driving the economy and strengthening community spirit. On Saturday 20th August, members of the United Progressive Party (UPP) will show support for small businesses throughout the constituency of All Saints East and Saint Luke.

A convoy of supporters will depart from Mack Pond in All Saints Village at 12:30pm and end in Old Road Village.

They will make stops along the route to patronize chefs, crafters, farmers and other vendors to help spark business activity in the community.

This initiative dubbed the “Small Business Pull-Up” will be staged in different constituencies each week and will highlight the UPP’s vision for small business development. The UPP believes that when more money is spent in the community, not only does this empower small businesses, but the entire community benefits.

Community markets throughout Antigua and Barbuda are on the rise and the money typically circulates within the community, as small businesses rely on neighboring suppliers for goods and services.

They tend to hire employees from within their communities who will purchase goods and services from other local businesses. So money is fueled back into the community, creating a cycle of support that helps local business to thrive.

“We welcome the support of our small businesses and entrepreneurs in All Saints East and Saint Luke.  It is time to give small businesses a boost, as they struggle on the path of recovery, growth and economic prosperity. The “small business pull-up” will spotlight community businesses and help generate new customers and well needed economic activity, at a time when many are trying to make ends meet.” said Hon. Jamale Pringle, MP for All Saints East and Saint Luke.

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