The Bank of Jamaica’s governor, Richard Byles, spoke about the current scenario shaping the Jamaican dollar and US dollar exchange rate in the island country situated in the Caribbean Sea. His latest official statement signaled a positive outlook in the Jamaican foreign exchange scene.
We find this latest foreign exchange-related report filled with optimism regarding the Jamaican dollar and the Jamaican economy overall. We think our readers who are exchanging their units of the Jamaican official currency will find this update pertinent and useful in their forex activities this week.
Based on the report posted online by Jamaican news source Jamaica Gleaner, Byles pointed out that the exchange rate at present currency levels is “fairly valued.” He relayed that this situation comes with prospects for a stable market being favorable.
The Bank of Jamaica governor declared that the Jamaican dollar-US dollar foreign exchange rate, as of last Wednesday, November 17, 2021 was J$159.79 to US$1. Byles cited that this foreign exchange rate represented a 6.1-percent depreciation.
He also noted that such a figure is broadly the same as the corresponding period in 2020. Byles delivered his address during the Bank of Jamaica Monetary Policy Committee digital quarterly media briefing last Friday, November 19.
The head of the Jamaican central bank revealed that the Bank of Jamaica carries on intervening in the foreign exchange market when temporary shortfalls get identified.
He advised that the total Foreign Exchange Intervention and Trading Tool or B-FXITT of the Bank of Jamaica flash sale operations and direct sales to the energy sector for the calendar year to October 31, 2021 totaled US$675.4 million.
Byles remarked that there is a sufficient supply of foreign exchange to meet the market’s demand as cash flows remain healthy. He reported that the authorized dealers and cambios’ daily purchases averaged roughly US$36 million up to last November 17.
This amount was higher than the US$31 million recorded for the corresponding period last year. Byles said that the daily sales to end-users over the same period averaged nearly US$35 million, which is above the US$27 million recorded a year earlier.
The Bank of Jamaica governor relayed that individuals and businesses in Jamaica who need foreign exchange have been able to access it. We are very pleased to learn about the announcements made by Bank of Jamaica Governor Richard Byles.
His latest official statements indicate that the Jamaican economy, including its foreign exchange market, is healthy. Therefore, we think people needing to exchange their units of Jamaican dollars with other currencies, including the US dollar, will not have a hard time in their foreign exchange activities.
Furthermore, we believe that Jamaican citizens who have relatives from overseas, including the United States, can benefit from the remittances sent to them. After all, when converted to the Jamaican dollar, the US dollar-denominated money dispatched from abroad gives more value to the recipients.
This scenario is particularly auspicious and beneficial for the Jamaican people, especially during these COVID-19 pandemic times when jobs are scarce and inflation has adversely affected people worldwide.