STATEMENT FROM THE MINISTER OF FINANCE AND THE PUBLIC SERVICE

Kingston, Jamaica: Wednesday, February 11, 2026

My fellow Jamaicans,

You may have noted that in its Economic and Fiscal Assessment Report which was published in January, the Independent Fiscal Commission said Hurricane Melissa caused an estimated US$8.8 billion in damage — which is about 41 per cent of GDP.

It is in this context that I want to speak with you plainly and directly about what to expect in the upcoming Budget. Despite the extraordinary demands which Hurricane Melissa has imposed on the country, we also must continue to attend to the normal business of government which includes repairing roads and bridges, restoring schools and sustaining hospitals, supporting farmers and small businesses, and strengthening critical infrastructure.

At the same time, it must be noted that the impact of the hurricane has reduced our revenue, as economic activity slowed in certain sectors. That creates a fiscal gap that we cannot ignore. As a responsible Government, we must now take measured steps to close that gap — and that will include new revenue measures.

We could choose to finance the entire deficit through borrowing. But Jamaica has already travelled that path with negative outcomes. We have lived through the debt trap before — decades of high debt, high interest payments, and limited fiscal space. Over the last several years, through discipline and shared sacrifice, we have reduced our debt and restored credibility. We will not recklessly undo that progress. Borrowing will play a role, but it must be strategic — directed toward capital investments that build resilience and expand our productive capacity: infrastructure, agriculture, logistics, digital systems. In other words, borrowing to build assets that grow GDP and strengthen our ability to repay. As far as possible, recurrent expenses must be financed by taxation revenue. 

Let me also assure you that equity is central to our approach. We are reviewing anomalies in the tax system and ensuring that the burden is shared fairly. The most vulnerable will be protected. The measures will be calibrated, balanced, and sensitive to the realities facing households and businesses. This approach will safeguard Jamaica’s stability, preserve our hard-won fiscal gains, and finance our recovery in a way that is sustainable and just.

Above all, this is about the next generation. The choices we make today will determine whether our children inherit a country weighed down by unsustainable debt, or one strengthened by resilience, discipline, and opportunity. Responsible governance requires that we think beyond the present moment. It requires that we rebuild not just for today, but for tomorrow. And that is the commitment guiding this Budget.

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For further information contact:

Ministry of Finance and the Public Service

30 National Heroes Circle

Kingston 4