Total currency in circulation during December 2022 is expected to amount to $227.6 billion, says the Bank of Jamaica (BOJ).
The projected currency stock represents a 0.3 per cent increase compared to 19.1 per cent for the corresponding period in 2021, the BOJ further stated, adding that a total of $211.4 billion was in circulation as at December 9.
The Central Bank, in a statement, said the forecast is approximately $21.5 billion or 10.4 per cent more than the $206.1 billion in circulation at the end of November 2022, but falls below the 15.2 per cent five-year average growth rate for the month of December.
“This lower growth reflects a moderation in cash orders for December 2022, relative to the orders for the same period in 2021. The latter period reflected high demand for precautionary cash within the context of the COVID-19 pandemic as well as strong growth in remittances.
“The deceleration has also occurred within the context of a trend increase in the use of electronic means of payments,” the BOJ further stated.
The Central Bank indicated that when the forecasted change in the general level of consumer prices is considered, “the currency stock in real terms is projected to decline by 9.4 per cent, which compares to real growth of 11 per cent for the previous year.”