KINGSTON, Jamaica — The Bank of Jamaica (BOJ) has announced, that effective May 1 2018, it will be purchasing cash surrenders from cambios at “the mid-day rate less a discount factor of two per cent”.

The bank said this discount rate represents an increase from the previous discount of 0.25 per cent. 

“Handling cash is costly and has to bear the burden of a discount, but compared to prevailing market rates for cash transaction in the foreign exchange market, the 0.25 per cent rate discount charged by BOJ is in effect a premium that is out of line with the market in general,” said the bank. 

With this said, the BOJ pointed in the interest of greater equity and transparency, this premium is now being removed to bring the Bank’s exchange rate for cash surrenders in line with the market rates for cash. 

“In the interest of greater equity and transparency, this premium is now being removed to bring the Bank’s exchange rate for cash surrenders in line with the market rates for cash”.