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Publication Type
Journal Article
UWI Author(s)
Author, Analytic
Chionesu, Kamau
Author Affiliation, Ana.
Mona School of Business
Article Title
Rehabilitating Jamaica's financial sector:goodbye financial crash hello currency-financial crash?
Medium Designator
n/a
Connective Phrase
n/a
Journal Title
Social and Economic Studies
Translated Title
n/a
Reprint Status
Refereed
Date of Publication
2001
Volume ID
50
Issue ID
2
Page(s)
39-66
Language
n/a
Connective Phrase
n/a
Location/URL
n/a
ISSN
n/a
Notes
n/a
Abstract
Jamaica experienced a systematic financial sector crisis in 1997.The rehabilation project is threatened by macroeconomic imbalances; not macroeconomic market failures. Persistent weak macro-fundamentals and fragile real sector balance sheets simultaneously shrink the pool and vulnerability to a second wave of bankruptcies and unemployment. Prospective public illiquidity is a source of short-run instability and elevated market risk. Uncoordinated private liquidation of public debt could result in a currency-financial crisis. Crisis risks are sufficiently high to warrant defensive positions and 'continuous' portfolio monitoring by the private sector. Bold preemptive action by policy-makers is required to lower crisis risks.....
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