Bank of Jamaica holds at 5.75% as Melissa lifts prices

The central bank left its policy rate unchanged in December, judging that storm-driven, supply-side inflation could not be fixed by tightening.

The Monetary Policy Committee held the rate unanimously at its December 2025 meeting. Headline inflation rose to 4.4% in November, from 2.9% in October, as Hurricane Melissa disrupted supply, with damage estimated above 40% of GDP and roughly half the agriculture sector hit.

The bank said it expected inflation to breach the 4 to 6% target range temporarily in early 2026 before easing, and signalled it would look through a shock it could not tighten away.