Above: Jamaica (CJ Photo)
By the Caribbean Journal staff
Ratings firm Standard & Poor’s has raised its outlook on Jamaica’s long-term sovereign credit ratings, it announced last week.
The firm revised its outlook to positive from stable and affirmed its “B=” long-term foreign and local currency sovereign credit ratings on the country.
Standard & Poor’s said the revised outlook meant a one-in-three possibility that it could raise Jamaica’s long-term credit ratings to “B” in the next six to 18 months “if
Jamaica sustains the improvement in its external liquidity position, backed by continued GDP growth and greater fiscal credibility that arises from reaching budget targets.”
“Adhering to ambitious fiscal and other policy commitments would gradually boost domestic confidence and encourage greater investment,” the firm said. “That, along with more rapid job creation, could strengthen the economic and
political pillars supporting Jamaica’s long-term strategy to reduce its heavy
debt burden.”
S&P said Jamaica’s economy had “stabilized,” thanks to improved external liquidity, a return to economic growth and “the government’s success in meeting its fiscal targets.”