Derick Latibeaudiere, governor of the Bank of Jamaica (BOJ), looks at the new $5,000 note with Professor Denise Eldemire-Shearer, widow of Hugh Shearer, after the note was presented during its launch at the BOJ in Kingston yesterday. - Rudolph Brown/Chief Photographer

Minister of Finance and the Public Service Audley Shaw is challenging private-sector leaders who have expressed a view that the introduction of a new $5,000 note only symbolises the dismal state of the Jamaican economy to become more productive.

Speaking at the soft launch of the new high-value note at the Bank of Jamaica (BOJ) yesterday, it was a spirited Shaw who argued that opponents to the note are missing the real point.

"The truth is, whether we had a $5,000 note or not, the Jamaican dollar has been losing its strength," Shaw stated as he began his discourse on what he called 'Jamaica's Day of Reckoning'.

Losing competitive advantage

"I think that what we need to focus on is not that we have a note that seems to indicate the loss of strength ... . The dollar is losing its value because we are losing our competitive advantage ... because we as Jamaicans are becoming less and less productive as the years go by!"

Shaw was responding to a letter of concern he said he recently received from Edward Chin-Mook, president of the Small Business Association of Jamaica, intimating that the introduction of the high-value note only confirmed the perception that Jamaica's dollar is weakening.

Shaw said the private sector and all Jamaicans must now, essentially, recognise their own short-comings and take responsibility.

BOJ Governor Derick Latibeaudiere yesterday sought to make the case for why, technically, the new note was needed.

"Internationally, the highest-value denomination should account for no more than 60 per cent of the total value of the notes in circulation," Latibeaudiere explained.

Blessings of the note

As of March 31, Jamaica's highest-value banknote ($1,000) accounted for 76.65 per cent of the total value of notes in circulation. It was on the basis of Jamaica exceeding this standard that the decision was made to introduce the new note.

One of the blessings of the note is that it will apparently be saving the country some £6 million every three years, as printing one $5,000 note will be cheaper than printing five $1,000 notes. All the current banknotes, including the $1,000 bill, will remain in circulation.

In his speech, Latibeaudiere also explained why the image of late Prime Minister Hugh Lawson Shearer was chosen to be placed on the note.

"Part of the policy underlying the development of Jamaica's currency is that the coins and banknotes bear the images of our National Heroes and our deceased prime ministers. The Right Honourable Hugh Lawson Shearer is next in line," Latibeaudiere stated.

Shearer's widow, Dr Denise Eldemire-Shearer, while expressing her elation, said she hoped placing her husband's image on the note would reintroduce him to young Jamaicans.

The new $5,000 note is scheduled to be released in September.

andrew.wildes@gleanerjm.com