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Jamaica unfortunately seems to have one of the worst exchange rates in the Caribbean and and seems to be getting worse.Can anybody explain to me why this is the case.
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Re: Why is Jamaica's Foreign Exchange rate so bad?
<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Marmac</div><div class="ubbcode-body">Jamaica unfortunately seems to have one of the worst exchange rates in the Caribbean and and seems to be getting worse.Can anybody explain to me why this is the case. </div></div> Jamaica has the worse FX rate because the larger members of the business sector, have a program of constantly exporting their profits to places like UK Cayman,Canada etc.
This required a constant supply of foreign exchange.
So they always have a demand for foreign currency. And this demand keep the prresure on the Jamaican dollar.
they don't mind and the rate, since they are free to increase the price of goods and services to the local piblic to compensate for the rate.
They also benefits from lowering the cost of labour in the process too. since wages are paid in Jamaican dollars.
So although they force the value pof the Jamaican dollar down,they still pay the wprkers in it making a killing off that too. It is all a part of the strategy, not an accident
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