BOJ offers US$30 million with limits on resale pricing and recipients

Bank of Jamaica will offer US$30 million through a competitive foreign-exchange auction on October 15, according to its October 14 B-FXITT standard-sale announcement. Settlement is scheduled for October 16, 2026.

The operation restricts where the dollars can go after participants acquire them. Resale recipients must be non-financial commercial end-users funding obligations for essential goods and services. Participants may resell at no more than J$0.20 above their purchase price, limiting the addition to the exchange rate paid at the auction.

These conditions distinguish access to the intervention funds from unrestricted dollar purchases. The announcement sets the size and rules of the offer; it does not establish that the full amount has already been allocated or that any particular business has received dollars.

Applications are scheduled through JamClear-CSD from 8:45am until 9:45am on October 15. Participants will be able to view successful and unsuccessful bids in that system. The overall result is due to be distributed by email by 10:30am.

Allocation begins at the highest bid price and works downwards, subject to a calculated reserve price, until the offered amount is fully allotted or all bids have been filled. Bids above the highest reserve price or below the lowest reserve price are not eligible.

All accepted bids settle at the lowest accepted bid price, known as the cut-off price. Bidders may therefore submit different prices while successful bids ultimately share the same settlement price under this notice.

Where bids at the cut-off cannot be filled completely, BOJ will allocate them proportionately, rounding to the nearest US$1,000. The minimum bid is US$100,000, and bids above that amount must be rounded to the nearest US$25,000. Amounts that do not meet that requirement are ineligible.

An entity may submit up to three bids, and participation is voluntary. Its aggregate bids cannot exceed 20% of the offer, while a single bid cannot exceed 10% of the operation amount. Bids above the permitted number or combined amount are rejected according to the notice’s highest-to-lowest price or exchange-rate ranking; an oversized single bid is not accepted.

Bid prices must be stated to no more than two decimal places. BOJ says it will truncate prices to meet that requirement, removing extra digits rather than promising to round them upwards.

Participants must report full resale details in JamClear FXTP by 3:00pm on the operation date. A separate letter identifying resale clients is not required. BOJ retains the right to reject bids for the reasons set out in paragraph 10 of its B-FXITT rules.