Robert Hart, Parliamentary Reporter
Davies
THE GOVERNMENT has cleared all of the nation's outstanding debts to the International Monetary Fund (IMF).
Dr. Omar Davies, Minister of Finance and Planning, made the announcement during yesterday's sitting of Parliament's Standing Finance Committee, comprised of all sixty members of parliament.
"What was dreamt of has been realised," Dr. Davies said in response to a query from Karl Samuda, Opposition spokesman on industry.
Mr. Samuda had asked for an explanation for the absence of any funds allocated to the Government's 'subscription' to the IMF in the 2005/2006 Estimates of Expenditure.
"Is it that it's not due or there is none required?", Mr. Samuda asked before being informed by the Finance Minister of the state of the Government's debt obligations.
"I'm glad you asked that question," Dr. Davies retorted.
According to the budget estimates, $340 million was provided for payments to the IMF in the 2004/2005 budget, leaving no further obligations to the international lending agency.
ROCKY RELATIONSHIP
Jamaica has had a rocky relationship with the IMF, starting in the 1970s under the Michael Manley regime which saw the exhaustion of the country's net international reserves.
During the seventies the left wing of the ruling People's National Party demonised the lending agency for imposing strict macroeconomic policies that prevented the implementation of populist programmes.
"Quite seriously, I think the whole country would want to applaud the fact that we no longer owe anything under the EFF (enhanced fund facility) to the IMF," said Dr. Peter Phillips, Leader of Government Business.
He added: "It was a day that, in the 1970s and before (the) '80s, people never believed it would have been possible."
