The Bank of Jamaica (BOJ) says it will be finding solutions to mitigate the inflation rate that is rising higher than projected. Central Bank Governor, Richard Byles says the initial inflation projection was done before the unprecedented Russia-Ukraine conflict.
Byles, says the inflation rate was projected to end the financial year 2021/22 at 7.8 per cent and close 2022/23 at 5 per cent. This forecast was based on the impact of increases in international commodity and shipping prices, domestic inflation, and an improvement in domestic demand. However, he notes this forecast did not incorporate the impact of the Ukraine-Russia conflict on the domestic economy. Therefore, the Bank of Jamaica will revise its forecast upwards.
The Central Bank Governor says by these actions the bank aims to influence inflation back to the target range over the next two years. Watch the report:
Reporter: Justin Graham.