2nd. Programmatic Debt and Fiscal Sustainability Development Policy Loan

closed

Closed

The objectives of the Second Programmatic Debt and Fiscal Sustainability Development Policy Loan (FSDPL2) Program for Jamaica are enhancing fiscal and debt sustainability, by supporting reforms to increase control on public spending and debt generation, reduce debt service burden and improve debt management, reduce financial vulnerabilities, and increase public spending effectiveness; increasing the efficiency of financial management and budget processes, by supporting efforts to improve the efficiency of public expenditure and investment, and strengthen control of public finances and the effectiveness of government budgeting practices; and reducing distortions and enhancing the efficiency of the tax system, through reducing the use of fiscal incentives and increasing the uniformity of the tax code, improving client services for tax payers, broadening the tax base, and simplifying tax payments. This program document describes the single-tranche FSDPL2 in the amount of US$100 million for Jamaica. The operation builds on the progress made under the Bank's previous FSDPL and the FSDPL1, February 2010. The reform program supported by the DPL is the manifestation of the Jamaican Government's strategy to increase fiscal and debt sustainability, improve macroeconomic stability, and accelerate growth. Reflecting the most pressing concerns at the time of operation preparation, the focus of the Government's program has been primarily on the first objective of fiscal and debt sustainability. However, the Government of Jamaica (GoJ) has made significant progress towards achievement of its objectives in each of these three areas, despite the difficult external environment and the slow pace of recovery from the adverse effects of the global crisis. The GoJ remains committed to its medium term reform program under a challenging environment. The GoJ recognizes the importance of improving macroeconomic stability and paving the way for accelerated growth while protecting the poor. The macroeconomic environment was strengthened substantially by the successful implementation of Government's reforms.

FY17 - Public Administration

World Bank Group

Project

Government, Commercial