Geert Bekaert and Campbell R

	Geert Bekaert and Campbell R. Harvey's
	Chronology of Economic, Political and Financial Events in Emerging Markets
	Jamaica
Date	Major Political and Economic Events
870728	A debt-equity program was introduced for the conversion of certain commercial bank debts into equity investments in approved public and private sector entities. The repatriation of profits will be prohibited for three years, and capital repatriation will also be prohibited for 3 years for investments in priority sectors, and for 7 years in other qualified sectors.^{a3(first entry)}
9100	Interest rate was liberalized. Mehrez and Kaufmann Liberalization date. ^a1
910925	All inward and outward capital transfers were permitted, except that financial institutions must match their Jamaica dollar liabilities to their clients with Jamaica dollar assets.^a3
9300	The introduction of the Insider Trading Laws.^a4
950331	The debt-equity program to convert certain commercial bank debts to Jamaica into equity investment, in place since July 1987, ended.^a3
930618	ADR effective date. (Company=CIBONEY GROUP LTD., Exchange=OTC)^a11
9802	The trade deficit rose to a record US$1.35 million and insurance industry posted a record loss of J$1 billion (US$28.2 million).
9805	The government injected J$19.5 million into the still-viable NCB financial Group. Trading was suspended in three more index constituents.
9806	The short-term interest rates declined from 24% to 23%. The government's Financial Sector Adjustment Agency assumed responsibility for more non-performing loans.
9806	Bank of Nova Scotia and National Commercial Bank held more than 90% of the capital of the entire banking system.
9807	U.S. threatened to impose 100% punitive import duties on more than 300 European Union products unless changes were made to the EU's banana import regime. Caribbean governments reacted vehemently.
980801	(Provisions specific to commercial banks and other credit institutions) The cash reserve requirement of commercial banks' domestic currency deposits was lowered from 45% to 23% and the domestic liquid assets requirement for commercial banks was lowered from 47% to 45%.^a3
9809	Three people were killed in a riot over the arrest of several ruling party officials and the parliament was attacked by a group claiming that government policies favored the rich. Business leaders formed a coalition to contest the government's tenuous economic policy mix.
9810	The financial bailout pushed the fiscal deficit above 8% of GDP. The government issued a one-year, 26.5% debenture. The government was forced to announce spending cuts after a second attempt to tap capital markets was rebuffed.
981101	(Provisions specific to commercial banks and other credit institutions) The cash reserve requirement of commercial banks' domestic currency deposits was lowered to 21% and the domestic liquid assets requirement for commercial banks was lowered to 43%.^a3
9812	Finance Minister Omar Davies predicted that Jamaica would finally record economic growth. Consumer spending increased 36.1% in 1998. The government's Financial Sector Adjustment Company (FINSAC) wrote off J441.5 billion (US$1.1 billion) worth of bad debt.
9900	The government reduced its deficit by increases in public-sector fees, a withholding tax on fixed-income gains, and deferral until 2000 of public sector wage obligations and interest payments on domestic debt.
9901	FINSAC appointed U.S.-based Trans-American Financial Services to coordinate the merger of five failed banks taken over by the government agency in 1998.
9902	The government sold stakes in CIBC Jamaica and Citizens Bank, acquired by FINSAC, to Barbados-based CIBC West Indian Holdings.
990201	(Provisions specific to commercial banks and other credit institutions) The cash reserve requirement of commercial banks' domestic currency deposits was lowered to19% and the domestic liquid assets requirement for commercial banks was lowered to 41%.^a3
9903	The annualized inflation for the fiscal year ending in March was 5.5%, below expectations. The central bank eased 30-, 90-, and 180-day repo rates as well as the cash reserve ratio for banks, with the 30-day repo falling to 18.85%.
990501	(Provisions specific to commercial banks and other credit institutions) The cash reserve requirement on domestic and foreign currency deposits was equalized at 17%. The liquid asset requirement for foreign currency was lowered to 39% from 41%.^a3
990601	(Provisions specific to commercial banks and other credit institutions) Commercial banks' liquid asset requirement was reduced to 35%, effectively unifying this requirement with that applied to nonbank financial institutions.^a3
9908	The government slapped a 15% tax on interest earned.
9909	The central bank again lowered the 30-day repo rate by 50 basis points to 18.35%.
991001	(Provisions specific to commercial banks and other credit institutions) The cash reserve requirement and the liquid assets requirement were lowered to 15% and 34%, respectively.^a3
9911	S&P's sovereign division awarded the country a single "B" rating, among the lowest of the 83 countries covered by the rating agency.
9900	Barbados, Jamaica, and Trinidad & Tobago agreed to develop and commence operation of a shared electronic securities depository in 2000. Jamaican conglomerate Grace Kennedy listed in Barbados and Trinidad Cement listed in Jamaica.
200000	The finance minister reduced interest rates to 15% during 2000, removed personal tax on dividends by 2002 in phases beginning with a 5% cut in May, and increased withholding tax on interest from fixed-income securities from 15% to 25%.
20000301	(Provisions specific to commercial banks and other credit institutions) The liquid assets requirement was reduced to 32%, respectively.^a3
200005	The Jamaica Stock Exchange announced the creation of two new indexes: JSE Select, a select group of stocks from the JSE Index, and the All Jamaica Index, which excluded stocks of companies not operating in Jamaica.
20000601	(Provisions specific to commercial banks and other credit institutions) The cash reserve requirement and the liquid assets requirement were reduced to 14% and 32%, respectively.^a3
200008	Jamaica issued its first dollar bond offering in two years. The government's issuance of tax-free internal bonds put pressure on the Jamaican dollar, and the central bank had to hike the repo and 365 days rates twice in eight weeks. But the Jamaican dollar still depreciated at 45.45 to the U.S. dollar.
200100	In early 2001, the government returned to the international capital markets, raising US$525 million in Eurobonds, including its first 10-year offering.
200103	Cash reserve requirements of banks were lowered. The benchmark 30-day repo rate was cut by 100 basis points. Electric utility Jamaica Public's services were sold to U.S.-based Mirant. RBTT Financial acquired Union Bank of Jamaica.
200105	The benchmark rates were lowered by 75 basis points in May and 50 basis points in June.
200107	Violence in Kingston took many people's lives.
200111	The Central Bank failed to defend the currency using US$150 million and had to then raise interest rates.
20020100	Authorities say more than 1,100 people were murdered in 2001, the highest figure ever recorded in a single year.
20020100	Agreement has been reached between the Jamaican government and the Canadian fund manager AIC on the terms for the privatization of the island's National Commercial Bank. AIC is to acquire the government's 75% stake in the bank for some US$130m - the rest of the bank is held by financial institutions and individual investors.^b1
20020300	Britain's Privy Council - final court of appeal for Jamaica and other former colonies - decides to halt executions in some Caribbean countries, where capital punishment is supported as a deterrent to violent crime. Prime Minister PJ Patterson criticizes the move.
20021000	Prime Minister PJ Patterson's People's National Party wins general elections, ushering in fourth successive term in office for party and third term for incumbent premier.
20021000	The World Bank has approved three loans to Jamaica worth a total of US$129.8m.
20030100	UK introduces visa requirement for Jamaicans entering UK; London says move is intended to tackle illegal immigration.
20030600	Jamaica is to disband a paramilitary unit of the police that has been involved in a series of controversial killings
20030900	Prime Minister PJ Patterson says he wants the island to be a republic by the time he leaves office in 2007.
20040100	The Jamaican government forged an agreement with major trade unions on a two-year pay freeze in return for job security
20040300	Ousted former Haitian president Jean-Bertrand Aristide arrives in Jamaica, prompting angry response from new Haitian government.
20040300	The Jamaican Senate has passed the New Companies Act, laying a cornerstone of the legal foundation required for the island's integration into the Caribbean Single Market and Economy (CSME), scheduled to come into effect by the end of 2004.
20040701	Former prime minister Edward Seaga has announced that he is to step down from his post as leader of the opposition Jamaican Labor Party (JLP) at the age of 74.
20040713	The Ministry of Finance launched a 200m-euro (US$247m), eight-year bond, paying an initial yield of 11%.

Year	Regulations on Foreign Investors
1998	Restrictions: None. Taxation: 30% dividend tax (tax rates may be lower for tax treaties), 15-28% capital-gain tax and 0.15635% Jamaican Stock Exchange levy on all transactions. General consumption tax (GTC) of 15% is charged on all commissions.^a6
1999	Restrictions: No change. Taxation: 25%, 33 1/3% or less withholding dividend tax. No capital-gains tax.^a7
2001	No change.
2002	No change.
2003	Restrictions: 1. Telecommunication sector, the last one, became full liberalized on March 1^st and opened to foreign investors. 2. Environmental impact assessments are required for some new developments Taxation: No change.