What is the signifiance of interest rates for an economy in Jamaica?

Question

What is the signifiance of interest rates for an economy in Jamaica?

Answer 1

I assume you mean "the economy of Jamacia".  The answer is, "very significant".  Interest rates can be thought of as the price of money.  If interst rates are low, money is cheap and the economy thrives in the short term.  If interest rates stay too low for too long it will cause inflation.  This will cause interest rates and inflation to rise.   Typically, inflation and interest rates move together.  

A perfect example is the price of housing in the USA.  House prices jumped for the last 6 years until recently because money was cheap.  People could afford to "overpay" for a piece of property because they had cheap access to money due to high interest rates.