Bank of Jamaica Governor Brian Wynter yesterday signalled a more positive outlook on inflation, saying the rate could hit single-digit.
But he refrained from officially revising the central bank's double-digit fiscal year forecast made in June.
"Regarding our target range of 10 to 12 per cent, I expect that the actual out-turn may fall well below the bottom of that range," said Wynter in a speech at the
The central bank governor said inflation for the September quarter could be similar to that of the July quarter "in the range of 1.0 to 2.0 per cent".
"So the main message is inflation is muted. And we are on a path for lower inflation. The bank has not changed its forecast range yet," he said.
In June, the bank revised its inflation forecast from 6-8 per cent towards double-digit levels because of the effect of new budgetary tax measures.
However the tax impact was lower than anticipated because of the weak economy.