A New Outlook or Doom and Gloom waiting?

In less than 24 hours, Jamaica has suffered a lot more than they would like you to believe. Last night the first joint broadcast in Jamaica's political history occurred with the Prime Minster and the Minster of Finance. This broadcast was to report to nation the economic outlook and the progress report for the Extended Fund agreement with the International Monetary Fund(IMF).  During that address a not so new program was to be re-implemented where  domestic debt stock would be lowered by entering into a second debt exchange (National Debt Exchange). 

Within 24 hours of that announcement the country has received a a downgrade in credit rating by rating agencies; Standard and Poor's, and Fitch with a Selective default(SD) and C respectively. Downgrades are never good for any government as this downgrade, the impending IMF deal and the history of a non- repayment of loans by the Jamaican Government will ominously make future borrowing and cost of borrowing more expensive. 

Secondly at the end business today the Exchange Rate between the US dollar and JMD climbed to highest point in modern history and will continue to climb in my estimation as the current economic climate will allow. The rate at close today was $95.22 :1.  

On a more political note: In 2010 the then Opposition (PNP) blasted the then Government (JLP)  about the crass naivety and cowardliness the JDX at that time. It also blasted them about the impending wage freeze to public sector workers and was duly re-elected based on the interests of those voters only to come one year later and announce another  indefinite wage freeze. 

Also the Minister of Finance today has put increased tax measures geared towards earning more from tax revenue. Personally I support aggressive taxation but items that are not duly sifted waste analyst's  time and the do not represent the interest of the people of Jamaica