MINISTER of Finance and Planning Audley Shaw has secured a further J$18.8 billion in loan funding from the Inter-American Development Bank (IDB). The loans were approved on Thursday, November 17.

Minister Shaw and IDB Country Representative Ancille Brewster signed the first of three loan agreements on behalf of the GOJ and the multilateral at a ceremony held at the Office Of The Prime Minister. The signing was witnessed by Prime Minister Andrew Holness.

Also on hand to witness the signing were Ministers Dr Horace Chang and Clive Mullings. The IDB was represented by Gerard Johnson, IDB General Manager, Caribbean County Department, IDB Executive Director Ambassador Richard Bernal.

Funding from the multilateral will be used to finance enhancements in tax and customs administration ($5.6 billion), as well as to support the National Water Commission’s Kingston Metropolitan Area (KMA) Water Supply Project (j$11.5 billion) and the Energy Efficiency and Conservation Programme ($1.7 billion) administered by the Ministry of Energy and Mining.

The NWC will utilise funding for the rehabilitation of the KMA’s potable water supply, while the MEM programme will improve energy efficiency in the public sector through the retrofitting of key government buildings, among other measures.

The IDB’s portfolio is Jamaica’s largest and most diverse cooperation programme with approvals of J$33.7 billion loans and J$2 billion in grants.

The current interest rates on these three investment loans is 1.3 pe cent per annum. The loans are LIBOR-based.

The other two loan agreements will be signed shortly.