Jamaica joined the International Monetary Fund (IMF) a year after its political Independence from Great Britain and has since entered into several agreements with the organisation.
However, Jamaica has had little success with the fund, whose primary job is ensuring stability of the international monetary system through financing and policy support of IMF member countries.
As reported by the Bank of Jamaica in a 2009 quarterly monetary policy report, Jamaica became a member of the IMF February 21, 1963. Around four months later, Jamaica entered into a one-year Stand-By Arrangement (SBA) with the Fund, which permitted drawings up to a limit of SDR 10 million.
The agreement, which expired in June 1964, was unutilised, said BOJ.
In June 1973, Jamaica entered into another borrowing arrangement with the IMF, and had various agreements ranging up to 1996 when it terminated borrowing while still remaining a member of the fund.
In 2001, Jamaica agreed to a staff-monitored Intensified Surveillance Programme.
"Jamaica's borrowing arrangements with the Fund between 1973 and 1996 were largely aimed at correcting balance of payments problems arising from negative economic and financial trends including commodity price shocks (in particular oil), and high inflation," said the BOJ report.
"Whereas loans from the IMF are not available to the Govern-ment for project spending or on-lending, it was anticipated that borrowing from the IMF would create a platform for investment inflows which would lead to economic growth and development."
It returned to a borrowing arrangement in 2010 under a three-year SBA that faltered during the first year of the agreement. The current External Funding Facility, which succeeds it, will run for four years to 2017 but its targets extend to fiscal yearend 2020.