Feb 2017 Financial News

Jamaica looking for billions to repay loans

Feb 22, 2017

KINGSTON, Jamaica – The Jamaica government is seeking J$32 billion (US$256 million) this fiscal year to repay loans to several bilateral and international institutions, according to the 2017/18 Estimates of Expenditure, now before the House of Representatives.

Finance Minister Audley Shaw said that the loans include J$11.9 billion to the Inter-American Development Bank (IDB) in relation to capital, infrastructure and social development, agriculture, education and technical assistance, and liquidity and health support.

The Andrew Holness government is also seeking J$5.63 billion for repayments to the World Bank for similar engagements, in addition to fiscal and debt sustainability support.

A total of J$1.26 billion has been earmarked for loan repayments to Japan, which provided support for several infrastructure development and agricultural sector adjustment projects.

In the fiscal package presented to Parliament earlier this month, the government is seeking the sum of just over one billion dollars to cover repayments to the United States Department of Agriculture (USDA) for support extended for the importation and sale of agricultural products and commodities, including corn, flour, rice and wheat for the Government’s nutrition programme.

The United States Agency for International Development (USAID) is also slated to receive loan repayments totalling J$379.9 million for balance of payment support and projects for infrastructure and social development, agriculture, education and mining.

Meanwhile, $12.03 billion will be repaid to other bilateral and multilateral lending agencies.

The Standing Finance Committee of the House of assembly will meet later this month to consider the J$710 billion (One Jamaica dollar =US$0.008 cents) budget.

The Committee will meet on February 28, March 2 and March 3 to consider the budget, with Shaw scheduled to open the budget debate on March 9, when he is expected to outline the measures to be implemented and how the fiscal package will be funded. CMC

Source:
Trinidad Guardian, A18
Wednesday February 22, 2017