I am pleased to announce that the IMF`s Interim Committee agreed last week in Jamaica on a comprehensive reform of the international monetary system.2 In 1972, the PNP won its first major electoral victory since independence and elected Michael Manley, the charismatic son of Norman Manley, as Prime Minister. Manley reaffirmed the PNP`s democratic-socialist ideological foundations through efforts to improve literacy, access to higher education and home ownership, and removed laws that discriminate against women and children born out of wedlock. Contrary to the policies of the WFP prime ministers who had preceded him, he improved relations with socialist and communist countries such as Cuba, China, and the Soviet Union; supported anti-colonial rebellions in southern Africa; and deepening relations with the Non-Aligned Movement. It also levied a tax on bauxite. Attacks on Manley`s policy as a “communist” were accompanied by violence, which led to the declaration of a state of emergency in 1976. With the intention of achieving reconciliation with the United States, Seaga severed relations with Cuba. The reaction of US President Ronald Reagan`s administration to Seaga`s anti-communist policy has been positive; Jamaica has become one of the main recipients of U.S. aid to the Caribbean and has also benefited from Reagan`s Caribbean Basin Initiative, a regional stimulus package. In October 1983, Seaga sent troops to support a US-Caribbean military initiative aimed at overthrowing the left-wing regime in Grenada. The move temporarily lifted the popularity of seaga`s regime, which had declined in the face of an international recession, and Seaga called for early elections in December.
The PNP boycotted the elections due to a disagreement over electoral procedures, and all seats in the House of Representatives as well as the Prime Minister`s Office went to the JLP. Austerity measures imposed by the restructuring demands of the World Bank and the IMF triggered unrest and a general strike in 1985. Despite the continued growth of tourism and the more optimistic trends in the international economy after 1986, the WFP lost the February 1989 elections to the PNP, and Manley was re-elected Prime Minister. Nevertheless, the government`s social policies were popular with voters and ensured the victory of Manley and the PNP in the 1976 elections. To deal with the oil shocks of the 1970s, the regime signed an agreement with Venezuela and Mexico to obtain oil at preferential prices. But deteriorating social and economic conditions, rising political violence, and deteriorating relations with the United States led to Manley`s defeat in the 1980 elections by the WFP led by Edward Seaga. The PNP`s 18-year regime ended with the WFP`s narrow victory in the 2007 general election, and Bruce Golding replaced Simpson Miller as prime minister. The De Golding government (2007-2011) coincided with another international economic recession.
The government struck a new deal with the IMF, sold struggling state-owned sugar cane plantations to a Chinese company, and sold air Jamaica to Trinidad and Tobago, which was economically unprofitable. Meanwhile, Russian investors have made a significant financial commitment in the bauxite industry. Systematic efforts have also been made to develop agriculture. In addition, the port of Falmouth has been deepened to attract the largest cruise ships and was opened to them in 2011. Following the work of the Interim Committee, there was little interest in the subsequent meeting of the Development Committee in Jamaica,4 which focused mainly on the problems of developing countries. It was agreed that the financial problems of developing countries remain serious, although less difficult in 1976 than in 1975. There was general agreement that the establishment of the Trust Fund and the expansion of access to IMF resources, as agreed in the Interim Committee, were important steps in supporting developing countries. As we have not yet received funding for the first of our four annual contributions to the fourth replenishment of the International Development Organization, we have not been able to agree on positive statements on contributions to IDA Five on which negotiations have begun.
The amendment of the IMF`s Articles of Agreement and the increase in IMF quotas must be approved by Congress. Following the final technical review by the IMF Executive Board, the entire package is expected to be submitted to Congress in mid-April. While some lawmakers have expressed some concerns about some aspects of the gold deal, I expect Congress to support the package as a whole. We have kept Congress closely informed of the negotiation of the agreement and will work closely with key members and committees to prepare for the formal presentation of the legislation. From 1962 to 1972, there were important developments in infrastructure and in technical, vocational and teacher training. Cultural policy has promoted Jamaica`s cultural heritage. In 1964, Marcus Garvey was officially declared a National Hero, followed by George William Gordon and Paul Bogle in 1965. National honours replaced British honours in 1969. The Cold War greatly influenced Jamaica`s relations with the United States, which was Jamaica`s main trading partner and the largest investor in bauxite and tourism. Britain continued to offer a protected market for sugar and banana exports.
. . .