Since joining the IMF, Jamaica has consistently used IMF resources and has used the availability of credit to help improve the country`s standard of living and economic stability. [12] Jamaica and the IMF have concluded a total of 16 agreements. In 1963, the IMF approved the first preparatory agreement with Jamaica. [14] The total amount paid by the IMF Confirmation Agreement was SDR 10 million, but could be used by Jamaica if necessary; Jamaica did not use the money provided by the loan, and it expired in 1964. [15] In the following years, Jamaica entered into two additional custody agreements, the first in 1973 and the second in 1977. [16] Under the leadership of Prime Minister Michael Norman Manely, who served two terms as Prime Minister (1972-1980 and 1989-1992) on a platform of democratic socialism. [17] The 1973 confirmation scheme was approved for SDR 26,000 and the second was approved for SDR 64 million, of which SDR 64 million was SDR; Jamaica withdrew only SDR 13.25 million and SDR 19.2 million. [18] In June of the following year (1978), June 1979 and April 1981, Jamaica entered into three separate extended facility agreements[19] which allowed Jamaica to repay its loan over a long period of time, as economic factors prevented it from complying with the original repayment plan. [20] These factors could include balance-of-payments imbalances due to conflicting structural procedures or slow economic growth due to the weak domestic balance of payments. FEPs allow a country to develop its internal structural integrity in order to strengthen economic growth without weighing on reimbursement costs. [21] “The IMF team has reached a preliminary agreement with the Jamaican authorities on a series of measures to complete the fifth SBA review. The IMF Board of Directors` review is scheduled for April 2019.

Upon approval, an additional SDR 160.8 million (approximately $224 million) will be made available to Jamaica, for a total of $1.4 billion. The Jamaican authorities continue to view the SBA as a precautionary measure. “A sustainable reduction in the public sector wage bill is important to steer savings towards social and growth-enhancing investments. It is important to move forward with this difficult but critical reform.