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I love it when a plan comes together
What a difference six months has made for Audley Shaw. His fortunes continue to grow and his detractors have no answers. Indeed he has been untainted in the Manatt, Phelps & Phillips, affair which has led to calls for the prime minister's resignation. Some even suggest that if the Jamaica Labour Party is to stand a realistic chance in the next general election, then Bruce Golding should make way for Audley Shaw given his performance todate and his management of the economy.
At Christmas last year the talk was all about downgrades and default. By mid-February of this year, Fitch had upgraded Jamaica's long-term foreign and local currency ratings to "B-" from CCC and "C", respectively, with a stable outlook. A week later Standard & Poors raised its long-term foreign and local currency sovereign credit rating on Jamaica to "B-" from "SD" or "Selective Default" with a stable outlook. Then in March, Moody's upgraded Jamaica's local and foreign currency bond ratings to "B3" from "Caa1" on foreign currency and "Caa2" on local currency, which it said reflected "diminished credit risks following the domestic debt exchange completed in February". The JDX means that the country will save some J$40 billion on interest cost payments. in its first year of implementation.
Europe, take note
The toxic confluence of financial crisis, deepening economic crisis and emerging social crisis, born of an inability to implement sound monetary policies, threatens to destabilise not just Greece ( the beneficiary of a European-led 110 billion euro bailout plan) but the Euro zone, and its contagion, may well spread to the financial markets across the world. Hungary, Spain and Great Britain are all in trouble with growing fiscal deficits and facing huge debt interest charges with no answer, and no ready solutions. Many of the citizens of these countries are baulking at the prospect of having to undergo austerity measures and take their medicine.
It has been suggested that these European countries look to Jamaica for the answer and pay close attention to how, under Audley Shaw it dealt with its problems. Bully for Audley!
In conclusion, what does all this mean? We are now seeing:
1. The implementation and initial success of the JDX.
2. Lower interest rates.
3. A revaluing Jamaican dollar.
4. Increased lending to the private sector
5. Inflation trending down
6. Increasing confidence reposed in the Jamaican economy
7. Rating agencies reversing their earlier negative outlook on Jamaica.
8. Audley Shaw navigating the Jamaican economy from perilous icebergs that threatened to wreck it asunder.
"I have a team that is committed to making that change..."
I love it when a plan comes together
What a difference six months has made for Audley Shaw. His fortunes continue to grow and his detractors have no answers. Indeed he has been untainted in the Manatt, Phelps & Phillips, affair which has led to calls for the prime minister's resignation. Some even suggest that if the Jamaica Labour Party is to stand a realistic chance in the next general election, then Bruce Golding should make way for Audley Shaw given his performance todate and his management of the economy.
At Christmas last year the talk was all about downgrades and default. By mid-February of this year, Fitch had upgraded Jamaica's long-term foreign and local currency ratings to "B-" from CCC and "C", respectively, with a stable outlook. A week later Standard & Poors raised its long-term foreign and local currency sovereign credit rating on Jamaica to "B-" from "SD" or "Selective Default" with a stable outlook. Then in March, Moody's upgraded Jamaica's local and foreign currency bond ratings to "B3" from "Caa1" on foreign currency and "Caa2" on local currency, which it said reflected "diminished credit risks following the domestic debt exchange completed in February". The JDX means that the country will save some J$40 billion on interest cost payments. in its first year of implementation.
Europe, take note
The toxic confluence of financial crisis, deepening economic crisis and emerging social crisis, born of an inability to implement sound monetary policies, threatens to destabilise not just Greece ( the beneficiary of a European-led 110 billion euro bailout plan) but the Euro zone, and its contagion, may well spread to the financial markets across the world. Hungary, Spain and Great Britain are all in trouble with growing fiscal deficits and facing huge debt interest charges with no answer, and no ready solutions. Many of the citizens of these countries are baulking at the prospect of having to undergo austerity measures and take their medicine.
It has been suggested that these European countries look to Jamaica for the answer and pay close attention to how, under Audley Shaw it dealt with its problems. Bully for Audley!
In conclusion, what does all this mean? We are now seeing:
1. The implementation and initial success of the JDX.
2. Lower interest rates.
3. A revaluing Jamaican dollar.
4. Increased lending to the private sector
5. Inflation trending down
6. Increasing confidence reposed in the Jamaican economy
7. Rating agencies reversing their earlier negative outlook on Jamaica.
8. Audley Shaw navigating the Jamaican economy from perilous icebergs that threatened to wreck it asunder.
"I have a team that is committed to making that change..."
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