Aubyn Hill, Financial analyst and CEO of Corporate Strategies, has dismissed suggestions from the Opposition Jamaica Labour Party (JLP) that the Government should fix the exchange rate, to stabilize the sliding currency.
Suggestions had emerged from Opposition Leader Andrew Holness and Finance Spokesman, Audley Shaw, to fix the exchange rate, to protect the poor from the effects of the slide of the dollar.
“In order to do that you must be able to defend it; anything you fix and can’t defend, won’t last. So you have to have money to defend it , because if there is uncertainty in the market about the exchange rate, then players in the market will test it . Since we have no money we would have to borrow the money”
He said the policy prescription should be fixing the economy and promoting exports which, according to him, will help to stabilise the currency.