ST JAMES, Jamaica – No new taxes will be introduced to finance the $1.26 trillion budget for fiscal year 2025-2026 according to Prime Minister Andrew Holness.

He made the announcement at the groundbreaking ceremony for the over 950-room expansion of the Grand Palladium Resort in Hanover on Tuesday.

The move marks the eighth consecutive year in which the Government has not introduced new taxes.

By maintaining a policy of no new taxes, Holness said that the Government aims to foster an environment conducive to investment and growth, reassuring the Jamaican people that their financial burdens will not increase.

He noted that it also reaffirms the administration’s fiscal prudence and economic stability.

“We have achieved a balance of payment surplus on our current account for the past two fiscal years. We have not done or seen that in 57 years,” Holness declared.

He also pointed to the net international reserves (NIR), which have reached an unprecedented US$5.6 billion, representing a significant cushion for the economy, and reflecting the Government’s commitment to sound financial management.

Further highlighting the strength of the economy, the prime minister noted that the country recorded 12 consecutive quarters of economic growth following the COVID-19 pandemic.

He acknowledged the challenges posed by natural disasters, including Hurricane Beryl and Tropical Storm Rafael, which impacted growth over the last two quarters, but expressed confidence that the country will return to a growth trajectory, citing signs of recovery in both business and consumer confidence.

The Index of Business Confidence showed an increase of 12.9 per cent in the fourth quarter of 2024, and a 7.3 per cent year-over-year increase, the highest level of recorded business confidence since the second quarter of 2019. Consumer confidence also rose by four per cent over the previous quarter.

Holness reiterated the Government’s commitment to transparency and accountability in managing the nation’s finances.

He urged citizens to remain optimistic, emphasising that the current trajectory is a reflection of collective efforts and resilience.

– JIS