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The Bank of Jamaica in downtown Kingston, Jamaica (Photo: Jamaica Observer)

Bank of Jamaica profit hold steady

The Bank of Jamaica in downtown Kingston, Jamaica (Photo: Jamaica Observer)

The Bank of Jamaica (BOJ) made a profit of $15.05 billion year-to-date the institution revealed in its latest balance sheet for the period ended November 25, 2020.

A view of the Noel Nethersole statue standing in front of Bank of Jamaica in downtown Kingston, Jamaica. (Photo: Miami Herald)

The results are close to the year end results for 2019, when its profit was $15.8 billion. For the bank, profit is classified as an amount due to the Government of Jamaica.

The central bank ,which sets monetary policy, oversees financial institutions, runs the local payments system and trades securities on behalf of the government of Jamaica, increased total assets to $897.95 billion, up from $702.07 billion at November 2019.

During the year, the bank has kept its policy rate at 0.5 per cent as one means of helping the local economy in the context of the fallout caused by the spread of the coronavirus. To aid financial stability, the BOJ also reduced reserve requirements for local commercial banks.

Its balance sheet shows that total foreign assets have climbed to $580 billion at November, up from $483 billion in November 2019, boosted especially by time deposits and other cash resources which increased from $417 billion to $498 billion this year.

Included also in foreign assets are bonds and other long-term securities plus International Monetary Fund holdings of special drawing rights.

In all, total local assets climbed from $208.7 billion at November 2019 to $317.6 billion this November, 2020.

In total, the central bank’s assets climbed from $707 billion in November 2019 to $897.95 billion this year.

Total liabilities meanwhile varied from $194 billion in November 2019 to $280 billion this November.

Total capital and reserves at the bank increased from $20 billion in 2019 to $40.75 billion at November 25, 2020.

Total liabilities and capital reserves amounted to $897.94 billion this November, compared to $702.07 billion in the similar period last year.