• The National Irrigation Commission Limited (NIC) has received just over $107 million in funding through the Ministry of Agriculture, Fisheries and Mining to procure additional generators aimed at strengthening the resilience of irrigation systems during power disruptions. The generators are intended to safeguard water supply to farmers following extreme weather events that impact the national electricity grid, such as Hurricane Melissa on October 28 last year.
• NIC’s Director of Engineering and Technical Services, Rohan Stewart, said the investment forms part of the Commission’s forward strategy, noting that “the NIC, through the Ministry of Agriculture, has received funding to procure additional generators to the tune of just over $107 million.”
• He explained that NIC’s infrastructure itself has proven resilient, stating that “our systems have been developed and built with resilience in place,” and that major water-production facilities were not structurally impacted during recent adverse weather.
• Mr. Stewart highlighted that power loss remains the main challenge after severe weather, noting that “the only damage that we suffered from the water production system was the loss of power,” underscoring the importance of reliable backup generation.
• Once procured, the additional generators will help restore water to customers still affected by power constraints and support longer-term planning, including improved pre-positioning of equipment and fuel management ahead of hurricanes.
• For farmers, this could accelerate the restoration of agricultural production. This can support faster normalization of agricultural output, which should help to support steadier domestic food production and in turn, contain food-driven inflationary pressures.

(Sources: JIS and NCBCM Research)

• In a company release on the Jamaica Stock Exchange (JSE), Tropical Battery (TROPICAL) has announced that it will consolidate its solar energy operations into a single business unit as part of a strategy to improve productivity and profitability.
• The Company is set to consolidate its solar operations by merging Tropical Renewable Energy with KAYA Energy Group (KAYA), creating a unified solar platform aimed at accelerating growth, improving efficiency, and enhancing profitability by operating as one cohesive solar company.
• This transition is part of the Company’s ongoing strategic organisational adjustments to enhance operational efficiency and leverage internal expertise for continued growth in energy storage and renewable solutions.
• Facilitating this was the exit of Mr Oliver Hill from his seat as CEO of the Company’s majority-owned subsidiaries, Tropical Renewable Energy Limited, Tropical Mobility Limited, and Tropical Finance Limited, effective December 31, 2025. The responsibilities previously held by Mr Hill will be redistributed among the existing leadership team, primarily within KAYA.
• Tropical acquired a 51% stake in KAYA, a leading renewable energy solution provider, in the Dominican Republic (DR) in 2023. The acquisition positions the company to capitalise on substantial growth opportunities, especially in the renewable energy and energy storage sectors, where there is increasing demand for sustainable solutions.
• Overall, the consolidation of Tropical’s solar businesses indicates a strategic shift from expansion toward integration, with a stronger emphasis on execution, efficiency, and returns.
• By housing its solar operations within a single structure, the company is expected to realise operational synergies and cost savings. Additionally, in Jamaica, the post-Hurricane Melissa environment has accelerated the adoption of solar energy solutions, potentially driving increased demand for Tropical’s solar offerings.
• However, competition has intensified, with a growing number of smaller players entering the market to capitalise on this demand, which may pressure Tropical’s market share. Moreover, KAYA will face competition from established solar providers in the DR that can leverage broader service offerings and deeper technical expertise to gain a competitive edge.
• TROPICAL’s stock price has decreased by 19.5% year-to-date, closing at $1.28 as of Monday, January 12, 2026. At this price, the stock is trading at a price-to-book (P/B) ratio of 2.03x, which is higher than the Main Market Energy, Industrials and Materials Sector average of 1.93x.

(Sources: JSE and NCBCM Research)

• United States President Donald Trump's new executive order on Venezuelan oil revenue is meant to ensure that the money remains protected from being used in judicial proceedings.
• The executive order, made public on Saturday, says that if the funds were to be seized for such use, it could 'undermine critical US efforts to ensure economic and political stability in Venezuela.' The order comes amid caution from top oil company executives that the tumult and instability in Venezuela could make the country less attractive for private investment and rebuilding.
• 'If we look at the commercial constructs and frameworks in place today in Venezuela, today it's uninvestable,' said Darren Woods, CEO of ExxonMobil, the largest US oil company, during a meeting convened by Trump with oil executives on Friday.
• During the session, Trump tried to assuage the concerns of the oil companies and said the executives would be dealing directly with the US, rather than the Venezuelan government. Venezuela has a history of state asset seizures, ongoing US sanctions and decades of political uncertainty. Getting US oil companies to invest in Venezuela and help rebuild the country's infrastructure is a top priority of the Trump administration after the dramatic capture of now-deposed leader Nicolás Maduro.
• The White House is framing the effort to 'run' Venezuela in economic terms, and Trump who has seized tankers carrying Venezuelan oil, has said the US is taking over the sales of 30 million to 50 million barrels of previously sanctioned Venezuelan crude, and plans to control sales worldwide indefinitely.

(Source: Trinidad Express Newspaper)

• In the period from January to December 2025, inflation was 4.95%, remaining within the monetary program’s target range of 4.0% ± 1.0% for 32 consecutive months since May 2023, as highlighted by the Central Bank.
• In December 2025, the Consumer Price Index (CPI) rose by 0.84%. Price increases in basic foodstuffs, personal services, restaurants, and transportation contributed to inflation. The Central Bank of the Dominican Republic (BCRD) explained that the most significant impact came from the Food and Non-Alcoholic Beverages group, which accounted for 50.17% of the month’s inflation. Within this group, price increases were recorded for fresh chicken, plantains and their varieties, chili peppers, and tomatoes. Prices also rose for coffee, carrots, chicken broth, beef, cassava, potatoes, and rice.
• Other groups that impacted the CPI were Miscellaneous Goods and Services, with a variation of 1.32%, due to increases in personal care services such as washing, styling and hair cutting; Recreation and Culture, with an inflation of 1.64% due to increases in tourist packages; and Restaurants and Hotels, which showed a variation of 1.00% due to the rise in prices of meals prepared outside the home, including the dish of the day, the service of groceries with accompaniment, the chicken service and sandwiches.
• The Transportation group registered a 0.29% variation, mainly due to increases in air and land transport fares. In comparison, Furniture and Household Goods recorded an inflation rate of 0.56%, driven by increases in domestic services, furniture repair, and cleaning products.

(Source: Dominican Today)

• The U.S. Trump administration's renewed claims on Greenland following its January 3 strike on Venezuela have prompted European leaders to state that Greenland's future must be decided by Greenland and Denmark alone. The scene is now set for rising and persisting tensions over the future of the island for the foreseeable future, but BMI analysts believe the end result could be greatly increased U.S. control of Greenland.
• The U.S. appears serious about its determination to gain de facto and/or de jure control of Greenland. Last week, France, Germany, Italy, Poland, Spain and the United Kingdom issued a statement expressing support for Copenhagen and Greenland amid U.S. threats. Trump has said that if the US does not control Greenland, where it already has a military base, it will be subject to greater influence from countries such as Russia and China.
• Greenland's significance stems from its position along the principal air corridor between the US/North America and Europe/Russia, and it lies along the shortest flight path for intercontinental ballistic missiles that could be launched between the U.S. and Russia. More recently, Greenland has attracted growing attention due to its vast mineral resources, while the Arctic region has gained greater importance for Russia and Mainland China as a possible shipping route (the Northern Sea Route/Polar Silk Road) between Europe and Asia as a result of warmer temperatures.
• If the U.S. receives enhanced control of Greenland, it will be viewed negatively by Russia and China. This would also be an extreme geopolitical shock for the North Atlantic Treaty Organisation (NATO), given that its most powerful member would have attacked another member.
• This would most likely mean the end of NATO in its current form. It would create a profound crisis in Transatlantic relations and could open schisms within NATO and the European Union (EU) between European countries which value their alliance with the U.S. more than their alliance with fellow NATO/EU members.
• That said, the rise in geopolitical tensions has not yet materially spooked investors. The benchmark EURO-STOXX 600 equity index has been mostly trading flat since President Trump's latest posturing, a fact that was likely also aided by a toning down of rhetoric by US Secretary of State Marco Rubio to the effect that the U.S. could 'buy' Greenland rather than seize it. The government of Greenland, however, has firmly rejected threats from United States President Donald Trump, stating that it will not accept a US takeover under “any circumstance”.

(Sources: BMI, A Fitch Solutions Company & Al Jazeera)

• Emerging market (EM) macroeconomic and credit conditions have been resilient this year, and Moody’s expects that they will remain so in 2026. Several interrelated, sometimes unpredictable, developments will influence these conditions, with the potential for pockets of stress.
• Firstly, geopolitical and policy shifts ripple across EMs. EM governments are focusing on their domestic priorities and also on bolstering cross-border relationships as they seek to navigate tariffs, U.S.-China tensions and other geopolitical stresses. Elections in several EMs bring the potential for policy change, and societal opposition to new and existing policies will continue pushing some EM governments to prioritise social stability over long-term reforms.
• Secondly, U.S. policy rate cuts, increased investor risk appetite and a weaker US dollar, along with interest in diversifying away from the U.S., will continue to spur capital inflows to EMs. This will further the growth of local currency bond markets, which have expanded rapidly over the past decade. Uncertainty in the lead-up to domestic elections and unexpected policy shifts within countries may, however, dampen investor appetite, particularly for debt from entities with relatively weak credit quality.
• Thirdly, technological advances are likely to exacerbate differences between EMs and advanced economies, and across EMs. Early adopters will benefit as innovation and efficiency boost productivity, investment and corporate earnings, and ultimately support economic growth. But new technology ventures also bring execution, cyber and social risks. Data centre growth will continue in response to Artificial Intelligence and cloud computing demand.
• That said, EMs tend to be more exposed to extreme weather events than advanced economies but have fewer resources for adaptation and resilience. Investment is far below what is needed, given competing priorities and financing hurdles. Nearly half of EM sovereigns have high or very high credit exposure to physical climate risks such as floods and hurricanes, but relatively weak fiscal strength, limiting their ability to address these risks.

(Source: Moody’s Ratings)

• Jamaica’s deposit-taking institutions (DTIs) have shown steady and sustained recovery following Hurricane Melissa, which made landfall on October 28, 2025, according to a release from the Bank of Jamaica (BOJ) on January 7, 2026.
• As of December 30, 2025, 150 of 164 DTI branches across the island were operational, representing a 91.5% national recovery rate, up from 75.6% immediately post-Melissa. This improvement reflects coordinated restoration efforts among financial institutions, regulators, and utility providers.
• In the immediate aftermath of Melissa, several parishes experienced significant operational disruptions, with branch recovery falling as low as 25% in Trelawny, 33.3% in Westmoreland and Hanover, and 40.0% in St. Elizabeth. However, recovery accelerated from mid-November onward, with the DTI recovery percentage surpassing 85% by November 18th and continuing to improve steadily through December.
• Several parishes, namely, Kingston, Manchester, Portland, St. Andrew, St. James, St. Mary, and Trelawny, achieved or maintained near-full (95–100%) branch recovery relatively early in the post-storm period. Kingston and St. Andrew, the country’s financial hub, having a total of 53 DTI branches, maintained 100% and 91.2% operational status, respectively, shortly after the storm and remained stable through year-end, reflecting minimal disruption to branch operations following Hurricane Melissa. Westmoreland and St. Elizabeth also recorded notable improvements, recovering from 33.3% and 40.0% post-Melissa to 77.8% and 80.0%, respectively, by the end of December.
• While most parishes showed strong recovery, St Thomas, Hanover and Clarendon continue to lag behind the average recovery, ending December at 66.7%, 66.7%, and 75.0% recovery, respectively. These slower rebounds likely reflect ongoing infrastructure challenges and extensive damage at some locations that will take longer times to rebuild, particularly in parts of western Jamaica.
• Overall, BOJ’s data release alludes to the resilience of Jamaica’s financial sector, which rebounded steadily after Hurricane Melissa, restoring critical banking operations, supporting economic stability, and ensuring continued public access to financial services across the majority of the island.

(Sources: BOJ & NCBCM Research)

• The Limners and Bards Limited (LAB), General Accident Insurance Company Jamaica Limited (GENAC), and Eppley Caribbean Property Fund Limited (CPFV) are ringing in the new year with dividend declarations
• LAB’s Board of Directors approved an interim dividend of $0.0127 and a special dividend of $0.005 per share during their December 30, 2025, meeting. These payments will be issued on January 30, 2026, to shareholders on record as of January 16, 2026. The company’s last dividend distribution was recorded in October 2024 at $0.0447 per share.
• Likewise, GENAC declared a dividend of $0.07758 per share on January 2, 2026, with payment set for January 26, 2026, to shareholders on record as of January 16, 2026. GENAC’s last payout was made on December 16, 2024, valued at $0.2182 per share.
• CPFV was also among the companies announcing dividends, as it declared a final dividend of Bds$0.00445 or approximately J$0.35 per share on December 31, 2025. CPFV shareholders on record as of January 19, 2026, will receive payment on March 27, 2026. CPFV has been a frequent dividend payer, rewarding shareholders 5 times last year, totalling BB$0.0424 or approximately J$3.33 per share (+29.7% YoY) and striking a dividend yield of approximately 7%.
• The company has a dividend policy providing for an annual dividend of between 75% and 100% of Funds from Operations (“FFO”) after taxes.
• With the impact of Hurricane Melissa likely to weigh on stock prices in 2026, dividends will likely continue to be a critical source of returns for investors.
• At the close of the market on January 7th, LAB, GENAC and CPFV closed at $6.20, $1.04 and $47.02, respectively. At these prices, LAB has a P/E of 26.0x, above the industry average of 24.50x. Genac trades at a P/B of 1.6x, below the industry average of 1.2x. CPFV trades at a P/B of 0.6x, which is also above its industry average of 0.5x.

(Source: JSE data, NCBCM Research)

• The US plans to control sales of 30–50 million barrels of sanctioned Venezuelan oil “indefinitely,” placing proceeds into US-controlled accounts to maintain leverage over the Maduro government, though the share Venezuela will receive remains unclear.
• Officials say sanctions will be “selectively” rolled back to allow flows, while the White House coordinates with banks and commodity firms to market the crude; revenue is intended to support economic stabilisation “for the Venezuelan people,” according to US officials.
• Venezuela’s state oil firm PDVSA said negotiations continue under existing bilateral frameworks, disputing suggestions of a finalised deal, even as President Trump publicly claimed Venezuela would be “turning over” oil for US-managed sale.
• The initiative has sparked strong criticism from Democratic lawmakers, who argue it amounts to coercive appropriation of Venezuelan oil, while China condemned US actions and broader efforts to assert control over Venezuela’s energy resources.
• Analysts note potential near-term benefits for US refiners and Chevron (which still operates in Venezuela), though the diversion of Venezuelan crude could pressure suppliers like Mexico and Canada that produce similar heavy grades.
• While oil prices have softened on expectations of incremental Venezuelan supply, experts warn that materially boosting output will require years and billions in investment, with companies wary given political risk and more attractive opportunities elsewhere.

(Source: BBC News)

• The United States has added Venezuela and Cuba to a visa bond program that requires citizens of certain countries to post financial guarantees of up to $15,000 in order to apply for B1 (business) and B2 (tourism) visas, according to the U.S. State Department.
• The measure will take effect on January 21 and expands the list of affected nations to 38 countries, most of them in Africa, along with several in Latin America and Asia. Newly added countries include Algeria, Angola, Gabon, Nepal, Senegal, Zimbabwe, Uganda, Venezuela, and Cuba, among others.
• Under the new rules, applicants who qualify to request a B1 or B2 visa must deposit a bond of $5,000, $10,000, or $15,000, an amount determined during the consular interview. The State Department clarified that paying the bond does not guarantee visa approval, and warned that payments made without proper consular authorisation will not be refunded.
• As part of the program’s conditions, travellers who post a bond must enter and exit the United States through designated airports, including Washington Dulles International Airport, New York’s John F. Kennedy International Airport, or Boston Logan International Airport. Failure to comply with these requirements could result in denial of entry or problems recording the traveller’s departure.
• S. authorities have not provided an official explanation for the inclusion of Venezuela and Cuba, nor clarified whether the decision is linked to recent political developments, including the arrest of Venezuelan leader Nicolás Maduro, who was detained in Caracas on January 3 and later transferred to New York, where he faces charges including narcoterrorism and drug trafficking conspiracy.
• Following Maduro’s capture, President Donald Trump stated that Cuba had long depended on Venezuela for survival and suggested the island could now face severe economic consequences. However, the U.S. government has emphasised that the expanded visa bond requirement is part of broader immigration enforcement efforts and has not justified the inclusion of any specific country.

(Source: Dominican Today)