St. Kitts and Nevis (WINN)—As Jamaicans continue to pick up the pieces following Hurricane Melissa, the International Monetary Fund and its partners have confirmed more than US$6 billion in assistance for the island over the next three years.
The IMF is considering up to US$415 million in grant support should Jamaica require additional emergency funding.
Julie Kozak, the IMF’s Director of Communications, provided insights into the planned assistance, noting that Jamaica requested support under the Global Rapid Post-Disaster Damage Estimate (GRADE) mechanism.
“As you noted, Jermine, Jamaica has requested support from the IMF under the large natural disaster window of our rapid financing instrument, and that could amount to a loan of up to US$415 million. I can also add that there is something called the Global Rapid Post-Disaster Damage Estimation (GRADE). That work is being led by the World Bank in collaboration with the Inter-American Development Bank. Those are some of our partners.”
Hurricane Melissa, a deadly Category 5 storm, caused billions of dollars in damage as it swept across the island, leaving communities devastated and the country still working to recover.
“That assessment estimates that the physical damage to Jamaica could amount to US$8.8 billion, which is 41% of Jamaica’s GDP. It makes Hurricane Melissa the costliest hurricane in Jamaica’s recorded history. The authorities in Jamaica are continuing to assess the damage, and relief and recovery efforts are underway. I want to clarify that the rapid financing instrument that Jamaica requested is meant to be exactly this, a rapid financing instrument. Jamaica is eligible to access this emergency financing. As I said, the amount is up to US$415 million. Because it is an emergency instrument, there is no conditionality associated with the RFI, as we call it. Our team is working closely with the authorities and aims to seek executive board approval for the RFI early next year. It comes in one single disbursement. So once the executive board approves, the disbursement would be made, and it would come as one disbursement.”
IMF and its development partners say they remain committed to standing with Jamaica during its recovery and rebuilding efforts.
“And as we announced recently, we are coordinating closely with development partners and, of course, the Jamaican authorities. There was a joint discussion with other development partners and the Prime Minister of Jamaica just a few days ago. And we are working with other development partners to assemble a comprehensive package of up to US$6.7 billion over three years to help strengthen Jamaica’s recovery and reconstruction.”
