The Jamaican currency is currently experiencing a new all-time low and this as it is known in economics, is a sign of active inflation in the economy. The depreciation, however, might not be a completely bad thing since it increases exporting due to products and services becoming less expensive.
Knowing this, Jamaica might just be able to counteract the all-time low by amping up the exportation of products such as; pineapple that has been approved by the United Kingdom for such commerce.
At this point according to Prime Time News “Business Day” program, the rate of the Jamaican dollar to other currencies are as follows; 156.73 JMD to 1 USD, 126.34 JMD to 1 CAN, 211.38 JMD to 1 GBP and 180.65 JMD to 1 Euro. 156.73 JMD to 1 USD is a new record low for the JMD when compared to the USD.
Hopefully, this all-time low by Jamaica’s currency will lead to increased exportation as an interactive measure which should be more than possible since the natural resources the country boasts such as good land and water, can cut high input costs where exports are concerned.
The all-time low can also be a very scary thing however, a move like that can cause foreign investors to withdraw their stakes out of the country due to fear of losing money from the currency never recovering.
If that happens, it will mean that Jamaica’s ability to keep up in the competitive international market would be largely dampened but luckily for Jamaica, tourism still stands as a saving grace for the country especially due to its recently reported recovery growth.