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The Government of Jamaica (GOJ) outlined a policy for Public Sector Transformation including the

establishment of the Public Sector Transformation Implementation Unit (TIU) in January 2017 to spearhead

implementation. The vision of a transformed public sector is a modern public service that is fair, values

people, and delivers high quality services consistently.

The transformation programme is being funded by the Inter-American Development Bank (IDB) over six

years and aims to address quality, cost, and efficiency of public services in Jamaica. The programme is

being executed by the Office of the Prime Minister and has two main components: (1) Enhancing Quality

of Public Services; and (2) Enhancing Efficiency in Public Spending.

The programme focuses on five critical areas of service delivery in the first phase. These include: (i) the

introduction of shared corporate services (SCS) in eight operational areas; (ii) wage bill management to

reduce the wage bill to GDP ratio to nine percent; (iii) human resource management (HRM) transformation;

(iv) public sector efficiency and ICT; and (v) rationalisation of public bodies.

The challenges to be addressed are: (i) the underutilization of Information and Communication

Technologies (ICT) across the public sector; (ii) cumbersome processes to access public services; (iii) a

relatively large and expensive workforce; (iv) too many public bodies in existence and lack of adherence

to the accountability framework; and (v) limited capacity to implement public sector reform initiatives.


The Financial Officer, under the direction of the Financial Specialist will be assigned financial

responsibility for supporting the effective, efficient and economical use of the TIU Project funds in the

fulfilment of its objectives and in pursuit of the implementation of the budget and loan, ensuring a high

standard of probity, propriety, regularity, transparency, accountability and value for money. The Financial

Officer Specialist is required to work closely with the Executive Director, Programme Manager, and

Procurement Specialist, and will mainly be responsible for:

 Maintaining appropriate financial and accounting systems and controls;

 Interfacing with facilitating ministries/agencies and international organizations;

 Assisting the Financial Specialist with monitoring Project activities to meet the stipulated Project

objectives, transparency and accountability requirements as they relate to the planned expenditure;

 Providing technical advice and assistance to the Financial Specialist and the Programme Manager as


 Preparing progress, annual, special and other reports as necessary;

 Maintaining an adequate budget/expenditure tracking system.


The scope of the work to be performed by the Financial Specialist will include:

 Maintaining adequate financial, accounting, and internal control systems to ensure the integrity,

June 12, 2021

Page 68

Head No. 28000C and Title: Ministry of Justice (Capital)






21513 Construction and Improvements of Courthouses 296,800.0 30,000.0 266,800.0 Revised requirement

Reduction 25 Use of Goods and Services 2,000.0 32 Fixed Assets (Capital Goods) 28,000.0


21858 Justice Sector Reform Programme 117,700.0 44,382.0 73,318.0 Revised requirement -

Reduction 32 Fixed Assets (Capital Goods) 44,382.0

29457 Citizen Security and Justice Programme III (IDB/DFID/GAC) 167,000.0 56,257.0 223,257.0 Additional requirement

Additional 23 Rental of Property and Machinery (GAC) 8,129.0 25 Use of Goods and Services (GAC) 45,655.0 25 Use of Goods and Services (GOJ) 2,559.0 32 Fixed Assets (Capital Goods) (GAC) 4,472.0


Reduction 23 Rental of Property and Machinery (GOJ) 1,279.0 24 Utilities and Communication Services (GOJ) 1,280.0 24 Utilities and Communication Services (GAC) 1,999.0


Net additional 56,257.0

TOTAL HEAD 28000C 581,500.0 - 56,257.0 74,382.0 563,375.0



Activity/ Project


Service & Object of Expenditure

Approved Estimates 2020/2021

Approved New

Estimates Remarks & Object Classification

Provided by Law


Supplementary Estimates

Savings or Under



June 12, 2021

Page 42

Government of Jamaica Policy Framework and Procedures Manual for the Privatisation of Government Assets October 2012 (Revised December 2017)


Privatisation expenses funded by the Privatisation Escrow Account are to be recovered from sales proceeds and deposited to the Privatisation Escrow Account


An alternate source of funding for privatisation costs is the Project Preparation Facility (PPF). The PPF is funded from the World Bank under the Foundations for Competitiveness and Growth Project. The PPF will finance studies and technical assistance needed to bring large projects such as infrastructure and social sector public-private partnerships, divestments and other strategic investments to commercial and financial close. The PPF is a revolving facility, where the costs for the studies related to commercially viable transactions are ultimately borne by the successful bidders of the investment projects.

Eligible activities that will be supported include:

1. Consultant services required to prepare and bring approved projects to the market

2. Pre-feasibility and feasibility studies, including: a. Market Analysis b. Demand forecasts c. Technical designs and specifications d. Environmental and social impact analyses, and any other required

safeguard policy or other studies to protect the public interest e. Preparation of detailed cost estimates and financing plans f. Assessment of the need for direct government support in case the

project is not viable on its own g. Analysis of project delivery options

3. Preparation and analysis of financial models or cash flow projections 4. Valuation reports 5. Business Plan development 6. Transaction management services


Privatisation Fees - Remuneration for Privatisation Agency

The Privatisation Agency will charge a Privatisation fee for the services provided to the GOJ in support of the Privatisation transactions. The MDA is required to execute a Privatisation Services Agreement upon appointment of an Enterprise Team where the Privatisation Agency provides privatisation support including Transaction Management or Secretariat Services. The Privatisation Agency may charge a flat fee, a commission based fee or a combination thereof.

June 12, 2021

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Medium-Term Debt Management Strategy FY2020/21-FY2023/24 6 | P a g e

2.3 Public Debt Trajectory

Figure 1 highlights the net financing flows for the Central Government domestic and external

debt portfolios and the trajectory of the stock of total public debt from end-March 2019 to

end-December 2019. Financing activities of the GOJ over the review period reflected a

well- thought-out strategy to reduce net financing inflows. Amortization of a fixed-rate domestic

BIN in July 2019 of $40,523.5 million, a fixed-rate external BIN in June 2019 of

$11,586.8 million and net inflows of approximately $16,043.6 million from the re-opening of the

2045 JAMAN global bond in September 2019 were major contributors to net financing outflows

of $30,647.5 million for the period. Net outflows from the Central Government domestic and

external debt portfolios were $16,006.8 million and $14,640.6 million respectively.

Figure 1: Net Financing Flows and Trajectory of Public Debt

Notes: Financing flows and total public debt are in millions of Jamaica dollars.

Source: Ministry of Finance and the Public Service (MoFPS)

Throughout the review period, financing operations were consistent with GOJ’s objective to

reduce the debt-to-GDP. As highlighted in Figure 2, debt-to-GDP is expected to continue

trending downwards and is projected at 90.2 percent at end-FY2019/20, a reduction of

4.2 percentage points, compared to the 94.4 percent recorded at end-FY2018/19. With continued

commitment to strong fiscal discipline and prudent debt management, the GOJ is on track to

realize further reductions in the debt-to-GDP consistent with the legislated target of 60.0 percent

or less by FY2025/26.

Figure 2: Debt-to-GDP Trajectory

Source: Ministry of Finance and the Public Service (MoFPS).













Net Flows Domestic (LHS) Net Flows External (LHS) Total Public Debt (RHS)

133.1% 130.2% 122.5% 120.7%

101.0% 94.4% 90.2% 85.7% 79.9% 72.7% 66.3%

FY 2013/14 FY2014/15 FY2015/16 FY2016/17 FY2017/18 FY2018/19 FY2019/20 FY2020/21 FY2021/22 FY2022/23 FY2023/24

June 12, 2021

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Ministry of Finance and the Public Service Fiscal Policy Paper 2017 62 | P a g e

Capital Expenditure Capital Expenditure is budgeted at $49.282 billion, an increase of $4.480 billion, or 10% over the 2016/2017 Revised Estimates of $44.801 billion. This level of capital spending represents 2.6% of GDP, up from 2.5% in FY 2016/17.

Spending on Capital A projects (financed by local resources only) amounts to $12.246 billion or 24% of the total Capital spending. The Ministry of National Security has been allocated $3.0 billion or 24% of the total Capital A budget while $1.3 billion or 11% has been allocated to the JUTC received for the purchase of spare parts for the maintenance of its fleet of buses; and $1.5 billion as a loan to the Port Authority of Jamaica to support the establishment of BPO facilities in Montego and Portmore.

Approximately $37 billion or 75% of the overall 2017/18 capital budget will be spent on Capital B projects (financed with support from multilateral/bilateral sources). Of this sum, approximately 50% or $18.518 billion, the largest share of the Capital Budget, has been allocated to the Ministry of Economic Growth and Job Creation.

Social Programmes Social programmes for protected groups will continue to receive priority with respect to the allocation of resources, to ensure that overall spending in these areas is not eroded by inflation. Included are programmes for youth employment, poor relief, children homes and places of safety, school feeding, and the PATH programme targeting the elderly, pregnant and lactating women and children attending school.

To facilitate improved benefits under the PATH Programme in FY 2017/18, an additional $3.68 billion has been allocated, bringing the total provision to $11.47 billion, an increase of 47% over the provision in 2016/2017. The increase is allocated as follows: (i) PATH School Feeding Programme - $1.75 billion; (ii) PATH Cash Grants - $1.9 billion.

Debt Servicing

Total provision for Debt Service is $310,401.0mn, or 43.7% of the budget, compared to 41.9% in FY 2014/15 (Debt Service spiked in FY 2015/16 at 58.3% of budget due to the Petrocaribe liability management exercise). Interest payments are budgeted to fall by 1.7% over the outturn for FY 2016/17 to $137,852.9mn (7.3% of GDP). Domestic Interest costs are budgeted to rise 0.7% to $62,903.4mn, while External Interest costs are budgeted to fall by 3.5% to $74,949.5mn.

The significant rise in budgeted amortization is due largely to maturing Benchmark Instruments (BMI) in the domestic debt as well as maturing Eurobonds (bullet payment) in the external debt. The marginally higher Domestic Interest payments are reflective of the GOJ’s re-entry into the domestic market since February 2016. Notwithstanding, Domestic Interest costs are budgeted to fall from a projected 3.6% of GDP in FY 2016/17 to 3.3% of GDP in FY 2017/18.

June 12, 2021