Anthony Henry

Minister of Finance and the Public Service, Fayval Williams, has welcomed the announcement by international ratings agency Standard and Poor’s (S&P) Global Ratings that Jamaica’s long-term foreign and local currency sovereign credit ratings have been upgraded from “BB-” to “BB,” with the outlook maintained as “Positive.”

Minister Williams described the upgrade as a milestone that reflects international recognition of Jamaica’s fiscal discipline, resilience, and the broad-based consensus on macroeconomic policies that have driven stability. She noted that the higher rating moves Jamaica closer to the long-sought goal of achieving investment-grade status.

“The Standard & Poor’s credit rating upgrade to double B is a very positive development for Jamaica and puts us closer to hurdling the bar to an investment-grade rating,” Minister Williams said. “This action acknowledges the government’s unwavering commitment to fiscal discipline, while also focusing on making investments that will lead to higher GDP growth and thus provide a sustainable and improved quality of life for Jamaicans.”

According to the Finance Minister, the rating action demonstrates that Jamaica’s ongoing reform programme is being noticed and respected internationally. She pointed to S&P’s own assessment, which highlighted the country’s strengthening institutional and policy frameworks, as well as the importance of the political and social consensus that has developed around economic priorities such as debt reduction and fiscal responsibility.

S&P has forecast that the Government will remain committed to the legislated debt-to-GDP target of 60 per cent or less by March 2028. The agency noted Jamaica’s track record of delivering sustained primary surpluses, which has supported the steady decline in public debt over the last decade. Importantly, S&P recognised Jamaica as the only country among 141 rated sovereigns to achieve an annual primary surplus above 3.0 per cent of GDP for ten consecutive years, despite facing severe external shocks such as the COVID-19 pandemic and repeated climate-related events.

Minister Williams said this acknowledgement was particularly meaningful. “This is not only a validation of Jamaica’s policies but also a recognition of the sacrifice and discipline of the Jamaican people,” she remarked. “Maintaining primary surpluses of this size for such an extended period is a rare achievement globally. It demonstrates that Jamaica has created a culture of fiscal responsibility that will serve us well into the future.”

The minister also emphasised the importance of the “Positive” outlook assigned by S&P, noting that it sends a strong signal about Jamaica’s prospects. “The Positive outlook is just as significant as the upgrade itself. It reflects the expectation that if we continue to deliver on our commitments, we may well achieve another upgrade sooner rather than later,” she said.

Williams stressed that Jamaica’s ability to secure higher credit ratings is not merely a matter of prestige but carries tangible benefits. A stronger sovereign rating reduces borrowing costs for the government, which in turn helps to lower costs for businesses and households. She explained that an improved rating enhances investor confidence, increases access to financing, and attracts both domestic and international investment. “These benefits will directly support our growth and job creation agenda,” she added.

The Finance Minister reiterated the government’s determination to meet the debt target earlier than scheduled under the fiscal responsibility law. “We are not only focused on reducing debt, but also on creating fiscal space that allows us to invest in areas that are critical for long-term development, such as education, infrastructure, and climate resilience,” Williams said.

She acknowledged that challenges remain, particularly given Jamaica’s vulnerability to natural disasters and external economic shocks. However, she insisted that the progress achieved so far demonstrates the country’s ability to withstand difficulties while keeping reforms on track. “We will continue to balance prudence with progress. That means maintaining strong fiscal management while making targeted investments to build resilience and drive inclusive growth,” she explained.

Minister Williams closed her remarks by reaffirming the government’s pledge to Jamaicans that the benefits of fiscal responsibility will continue to translate into real improvements in everyday life. “This upgrade is an important step on our journey, but it is not the destination,” she said. “We will continue to work to ensure that economic stability leads to rising incomes, greater opportunities, and an improved quality of life for every Jamaican.”