As it prepares to assume wider responsibility for the regulation and supervision of the entire financial sector, the Bank of Jamaica (BOJ) says it is taking steps to increase its operational resilience.

These steps include relocating some of its operations to a recently acquired property in St. Andrew.

The central bank says operations to be carried out at the new location will not include services to the public.

Explaining the rationale for the decision to activate the operational centre in addition to its Downtown Kingston headquarters, BOJ Governor Richard Byles noted that central banking functions are critical to business activity and government operations for the entire country.

As such he said, the country’s central banking functions need to be safeguarded as best as possible against all forms of disruptions.

He added that in the event of disasters, central banking services should remain intact or be among the first to be restored.

Governor Byles noted that the location of the bank on the Kingston waterfront, makes it particularly vulnerable to geological activities such as earthquakes and to the potential effects of sea level rise, either by itself, or resulting from an earthquake or storm surges driven by tropical cyclones.

He explained that as part of its risk management, the bank plans for various eventualities and seeks to minimize the possibility of a complete shutdown of its operations in the event of a disaster.

Governor Byles added that building operational resilience and mitigating risks of various forms is especially critical as the bank prepares to assume wider prudential responsibilities for the regulation and supervision of the entire financial sector.

He said with this in mind, planning for expansion at the current site while also ensuring adequate mitigation of risks to critical operational functions are not mutually exclusive.