Pressure Mounting on Commercial Banks to Cut Interest Rates

Garnett Reid, president of the Small Business Association of Jamaica.

The country’s commercial banks are again facing mounting pressure to cut interest rates.

The Small Business Association of Jamaica, SBAJ, has been meeting with commercial banks in a bid to get them to cut the high cost of borrowing.

Garnett Reid is president of the SBAJ.

Last week, the Bank of Jamaica, BOJ, reduced its policy rate by 25 basis points to 5.75 per cent. It was the fifth reduction in nine months.

The rate reduction prompted BOJ governor Richard Byles to plead with banks to cut their rates.

Reid says the banks can do better.

Garnett Reid, president of the SBAJ.