KINGSTON, Jamaica, June 12, 2026: Bank of Jamaica (BOJ) Governor Richard Byles reported to the Standing Finance Committee (SFC) of Parliament on June 10, that the central bank, through the steady and professional execution of its statutory mandate of price and financial system stability over the past seven years, has achieved significant policy successes. This record of stewardship by the Bank, he noted, was established amid a climate of considerable externally originating turbulence including a global pandemic, supply chain disruptions that drove inflation across the world, two major hurricanes, and wars in Ukraine and the Middle East.
In his final report to the SFC during his tenure as Governor, Mr. Byles told members of the House of Representatives that the Bank’s policy achievements included inflation that was significantly controlled within target over the period, financial system soundness, and the start of a slate of institutional reforms. He noted that BOJ has been an operationally independent central bank since 2021, a government policy decision that Mr. Byles described as bold and consequential.
“Between September 2019 and April 2026, Jamaica experienced average annual inflation of six per cent. If we take out April 2021 to March 2023, the period of global supply chain inflation, Jamaica’s inflation rate averaged five per cent per year, well within the target range of between four per cent and six per cent,” Mr. Byles reported on the attainment of the price stability mandate.
On financial system stability, the Governor pointed to a fact that places Jamaica in a strong macroprudential position: despite profound global disruptions, there were no bank failures in Jamaica. By comparison, the United States’ Federal Deposit Insurance Corporation reports 19 bank failures over the seven-year span to date. “We do not take this fact for granted,” he assured the parliamentarians, signalling that there is continued vigilance in this regard.
In relation to the foreign exchange market, the Jamaican dollar depreciated at a moderate average of 2.9 per cent per year, which is broadly in line with the inflation differential with the United States, thus preserving the country’s external competitiveness. Gross international reserves also increased significantly from US$3.6 billion in 2019 to US$6.4 billion as at May 2026, the Governor reported.
Bank of Jamaica also took a leadership role in policy efforts leading to Jamaica being removed in 2024 from the Financial Action Task Force ‘Grey List’ of countries with deficiencies in anti-money laundering and counter-terrorist financing systems. This achievement lifted a costly shadow from the nation’s financial reputation. Mr. Byles noted that the Bank has not been a drain on the public resources, and to the contrary, over the past seven years, BOJ declared and paid dividends exceeding J$50 billion to the Ministry of Finance.
The BOJ Governor also stressed the Bank’s modernisation and digital agenda. This includes the introduction of safer and more durable polymer currency notes, advancement of the JAM-DEX digital currency infrastructure, which is poised for further rollout of phone-to-phone transactions. This places Jamaica among few countries globally to have pioneered a central bank digital currency. At the same time, an electronic Know Your Customer system is being developed to allow customers to move accounts between financial institutions with greater ease. The Governor also reported that the proposed Twin Peaks supervisory architecture will soon be ready for Cabinet’s consideration, laying the groundwork for what Mr. Byles described as the most comprehensive reform of the Jamaican financial system in recent times. The new system will bring greater resilience to all financial institutions and introduce modern, sector-wide customer protection and market conduct standards for all financial entities.
The Governor credited the staff, management, and Board of Directors of Bank of Jamaica for the institution’s achievements, describing the staff as being among the finest central bankers in the world. He pointed to validation of this view by BOJ being bestowed with the 2025 Best Central Bank award and an ‘A’ grade on the Central Banker Report Card from international publication Global Finance. The Bank also earned two communication initiative awards from the respected institution, Central Banking.
In terms of fundamental challenges, Mr. Byles pointed to the weakness of monetary transmission in Jamaica’s concentrated banking system and conceded that this remains a structural challenge constraining the pass-through of policy signals to credit and lending rates. This, he suggested, will not resolve itself quickly and remains a challenge for the future leadership of the central bank.
“It has been the honour of my professional life to lead this fine Jamaican institution for almost seven years. I leave with deep gratitude for the opportunity, and with full confidence that Bank of Jamaica is well-positioned to continue serving our nation with distinction for generations to come,” Mr. Byles told the parliamentary committee.
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