Jamaica takes IDB cash

Jamaica has agreed to borrow $140m from the Inter-American Development Bank, through the multilateral’s first policy-based loans since 2011. The money is to support Jamaica’s efforts towards economic reform, including overhauling its tax code. It is split into two tranches: a 10-year $80m loan with a 5.5-year grace period and an undisclosed floating interest rate, and a 20-year $60m deal with similar terms. In May, the IMF executive board approved a $930m program for Jamaica. “There was a collapse in confidence in 2011 and 2012 with the derailment of the 2010 IMF stand-by arrangement,” said Therese Turner-Jones, country representative at the IDB. “Now what we have is [international financial institutions] are starting to reengage with Jamaica given that they are successfully implementing the IMF program. Confidence is resuming with each passing of an IMF review.”