## Jamaica works to maintain its hard-won economic stability

_IMF News, February 22, 2022_

## Source details

**Canonical URL:** [Jamaica works to maintain its hard-won economic stability](https://www.imf.org/en/news/articles/2022/02/18/cf-jamaica-works-to-maintain-its-hard-won-economic-stability)

## Other formats

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## Bibliographic details
- Published: February 22, 2022

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### Pre-pandemic stabilization: fiscal and debt outcomes
- Fiscal deficit turned from 11 percent of GDP in 2009 into a 1 percent surplus in 2019.
- Public debt fell from 142 percent of GDP in 2009 to 94 percent by 2019.
- The government’s interest bill fell from 17 percent of GDP in 2009 to 6 percent in 2019.
- Stabilization yielded a sharp decline in interest rates.

### Pandemic-era fiscal adjustments
- The government temporarily reduced the fiscal balance target to increase spending on health and social protection.
- The government reduced the VAT rate.

### Medium-term fiscal objective and intended outcomes
- Government aims to reduce public debt to 60 percent of GDP by 2028.
- Expected effects of achieving the 60 percent target:
  - Further reduction in interest payments.
  - Create scope to boost spending on education, infrastructure, and poverty reduction.
  - Improve the country’s resilience to natural disasters.

### Key dates and metadata from the page
- Publication date: February 22, 2022.

*Jamaica Works to Maintain its Hard-Won Economic Stability — February 22, 2022.*

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## References

- [https://www.imf.org/en/News/country-focus](https://www.imf.org/en/News/country-focus)
- [PRESS CENTER](http://presscenter.imf.org/)
- [Read the Article IV Consultation Staff Report](https://www.imf.org/en/Publications/CR/Issues/2022/02/14/Jamaica-2021-Article-IV-Consultation-Press-Release-Staff-Report-Staff-Statement-and-513147)
- [The IMF and Jamaica](https://www.imf.org/en/Countries/JAM)
- [How the Caribbean Can Avoid Becoming a COVID-19 Long-Hauler](https://www.imf.org/en/News/Articles/2021/03/11/na031221-how-the-caribbean-can-avoid-becoming-a-covid-19-long-hauler)
- [Tourism in a Post-Pandemic World](https://www.imf.org/en/News/Articles/2021/02/24/na022521-how-to-save-travel-and-tourism-in-a-post-pandemic-world)
- [stabilized the economy](https://www.imf.org/external/pubs/ft/fandd/2020/09/interview-with-brian-wynter-former-jamaica-central-bank-governor.htm)
- [increase spending on health and social protection](https://www.imf.org/en/News/Articles/2020/05/27/na052720-jamaica-ramps-up-social-and-economic-support-in-covid-19-response)
- [https://www.imf.org/en/home](https://www.imf.org/en/home)

_Source: https://www.imf.org/en/news/articles/2022/02/18/cf-jamaica-works-to-maintain-its-hard-won-economic-stability_