2025.03.2721:51:38UTC+00Jamaica Maintains Interest Rate at 6%

The Bank of Jamaica opted to maintain its monetary policy rate at 6% during its March 2025 meeting, amid rising uncertainties regarding the economic strategies of Jamaica’s primary trading partners. The governing board believes this decision will help keep inflation within the desired target range over the forthcoming two years. Inflation has shown signs of stabilization, with the headline inflation measured at 4.4% in February 2025, a decrease from 6.2% recorded the previous year. Core inflation now stands at 3.8%, reflecting a continuing moderation trend. This decline in inflation is attributed to steady exchange rates, reduced imported inflation, and lower commodity prices. The Monetary Policy Committee anticipates that inflation will remain stable in the absence of external shocks but has noted the potential risks posed by shifts in global trade policies, especially from the United States and other significant economies. The Bank of Jamaica stays committed to maintaining economic stability and is prepared to revise its policy approach if inflation veers from the target due to these uncertainties.