World Bank2015-05-112015-05-112015-04-01https://hdl.handle.net/10986/21870Jamaica has experienced 30 years of low economic growth and high fiscal deficits, with a significant impact on the development of the financial sector. As part of the overall growth and competitiveness reform agenda, the authorities have embarked on ambitious financial sector legislation reforms to address weaknesses. Lack of access to credit and equity constrain Micro, Small and Medium Sized Enterprise (MSME) operations and growth, and ultimately their contribution to the economy. High interest rates and low penetration of credit to households and MSMEs can be explained by high credit risk as a result of high information asymmetries in the market, as well as limited competition in the banking sector. The authorities should complete the establishment of a regulatory and supervisory framework for deposit-taking institutions proportionate to the risks and the activities they undertake. The impact of public policies has been limited and programs on housing, MSME finance, and agriculture finance would be welcomed to address market gaps, in support of financial inclusion. The financial inclusion agenda also requires a comprehensive strategy on consumer protection regulation and supervision.en-USCC BY 3.0 IGOFINANCIAL SERVICESBORROWERFINANCIAL FRAUDECONOMIC GROWTHWAREHOUSEDEPOSITSREPAYMENT CAPACITYPAYMENT SERVICEBENEFITS OF CREDITFINANCINGALTERNATIVE SOURCES OF FINANCEINTERESTLIQUIDITY RISKSREMITTANCEWAREHOUSE RECEIPTSBANKING SERVICESENTREPRENEURSCAPITAL ADEQUACYINFORMATION SHARINGCAPACITY BUILDINGLOANFEEBORROWERSPAYMENTSBANKRUPTCYPAYMENTS INFRASTRUCTUREINFORMATION ASYMMETRIESMFISSMALL FARMERSHOUSING LOANSINDEBTEDNESSHOUSING FINANCEFINANCIAL INSTITUTIONINFORMAL ECONOMYHIGH INTEREST RATESCOMMERCIAL BANKMORAL HAZARDPARTIAL CREDITLOAN PRODUCTSFINANCESPHONE PENETRATIONCREDIT RISKSCREDIT APPLICATIONSFINANCIAL INSTITUTIONSPAYMENTDEBTLIMITED PARTNERSHIPSWAREHOUSE RECEIPTDEPOSIT INSURANCEPUBLIC FINANCECONSUMER FINANCEVENTURE CAPITALECONOMIC REFORMSFARMERSENTERPRISESINVESTMENT OPPORTUNITIESELECTRONIC PAYMENTSAPPROVAL PROCESSPEOPLESPENSION FUNDSFINANCING COSTSCONSUMER CONFIDENCEBANKSUNIONSFORMAL FINANCIAL INSTITUTIONRURAL FINANCEMOVABLE COLLATERALBUSINESS FINANCEAFFORDABILITYCAPITALLACK OF ACCESSACCESS TO FINANCEPRIVATE LENDERSBANKFINANCIAL EDUCATIONCREDIT INFORMATIONLOAN PORTFOLIOCREDIT GUARANTEESECURITIESFINANCIAL INFRASTRUCTURECREDIT RISKPROFITABILITYGOVERNMENT POLICIESMICROFINANCEFINANCIAL SECTOR ASSESSMENTBANK LOANEMPLOYERCREDIT GUARANTEESCOMMERCIAL BANKSHOUSEHOLDSELECTRONIC PAYMENTMORTGAGE LOANSFINANCIAL ASSETSEMPLOYEEFINANCIAL SUPPORTMORTGAGE PRODUCTSCREDIT REPORTSCONSUMER EDUCATIONFEESREMITTANCESBANK SERVICECOOPERATIVECREDIT LINESDEVELOPMENT BANKCREDIT REGISTRYMFIMICROFINANCE INSTITUTIONCREDIT PRODUCTSLINE OF CREDITDEPOSITCAPITAL MARKETSRECEIPTPEOPLECREDIT ENHANCEMENTFISCAL DEFICITSFINANCIAL LITERACYGUARANTEESDEVELOPMENT OF VENTURE CAPITALSTOCK MARKETRESERVE REQUIREMENTSBANK ACCOUNTMORTGAGEWELFAREMORTGAGE LENDINGLENDING PORTFOLIOLIMITED ACCESS TO FINANCESOURCES OF FINANCESUBSIDYBUSINESS ASSOCIATIONSSAVINGCREDITORSCREDITORCREDIT BANKPROVISION OF CREDITBANK COMPETITIONCONSUMER FINANCESELECTRONIC BANKINGBANK LENDINGPUBLIC CREDITLACK OF CREDITBUSINESS LOANSMORTGAGESSAVINGSCREDIT UNIONSCREDIT BUREAUSUNIONPUBLIC FUNDSUNFAIR BUSINESS PRACTICESINTEREST RATESCASH PAYMENTLIMITED ACCESSRECEIPTSFINANCIAL PRODUCTSLENDERSMICRO-ENTREPRENEURSSOCIAL SECURITYLOANSWAREHOUSE RECEIPT FINANCINGFINANCIAL SYSTEMSMALL BORROWERSREAL ESTATEFINANCEADMINISTRATIVE COSTSGOVERNMENT SECURITIESCOLLATERAL REQUIREMENTSMICRO-CREDITEQUITYPOINT OF SALEMONEY LENDINGCREDITFORMAL FINANCIAL SERVICESFINANCIAL INSTRUMENTSDOCUMENTATION REQUIREMENTSREPAYMENTENTERPRISEMINIMUM BALANCESPROPERTYPAYMENT INFRASTRUCTURECREDIT REPORTINGMORTGAGE INSURANCEVOUCHERSFINANCIAL ACCESSBALANCE SHEETGUARANTEE SCHEMEFINANCIAL SERVICECREDIT UNIONCOOPERATIVE BANKACCESS TO CREDITSECURITYFINANCIAL DEVELOPMENTBANK LOANSFINANCIAL MARKETINVESTMENTCOLLATERALPAYMENT SERVICESBORROWINGSCOOPERATIONECONOMIC ACTIVITIESINVESTMENTSAGRICULTURAL FINANCERISK MANAGEMENTDEBIT CARDMERCHANTUNFAIR COMPETITIONEXCHANGE RATEOUTREACHBANK BRANCHESMORTGAGE MARKETSMALL BUSINESSESGUARANTEECONSUMER PROTECTIONBUSINESS TRAININGReportWorld Bank10.1596/21870