By Vanessa James
KINGSTON, Jamaica, (JIS) – Minister of finance and the public service, Fayval Williams, has assured the public that Jamaica is well positioned to manage fluctuations in global oil prices stemming from the ongoing conflict in the Middle East.
Speaking during March 11 post-cabinet press briefing at Jamaica House, Williams highlighted the Net International Reserves (NIR), currently standing at USD 6.8 billion, as a critical safeguard against sudden movements in oil prices.
“The good news is, we are positioned well in terms of our foreign exchange, if we have to buy oil at a higher price.”
Minister Williams emphasised that, since Jamaica remains dependent on imports for all the fuel used across sectors such as transportation, electricity, and manufacturing, maintaining the NIRs is essential to ensure that potential oil price spikes do not undermine national productivity.
“I tried to explain in parliament March 10, just the significance of us having robust Net International Reserves. It’s a buffer. It’s to ensure that we have foreign exchange to deal with any eventuality that happens,” minister Williams added.
The assurance comes at a time when global oil prices have experienced sharp fluctuations amid escalating tensions in the Middle East.
Locally, consumers have experienced an increase in fuel prices following last week’s update from state refinery – Petrojam. Diesel and gasolene each rose by $4.50, bringing the price per litre to $166.75 and $161.82, respectively.