Serverless.yml AWS Lambda testing handler.js functions with Jest

I'm trying to test my handler.js function using jest in Node.js but I keep getting this error.

SyntaxError: Cannot use import statement outside a module

Did I import handler.js wrong? What could be the problem? Thanks in advance..!

The 'api.test.js' function looks like below.

import { GetPaginatedTransactions } from '../handler'; // Get handler functions

// Create Mock Event parameters

// Transaction Mock 
var tParams = {
  page:1,
  currency:'BTC',
  country:'NG',
  limit:10,
  search:'',
  transactions:[]
};

// FUNCTIONS TESTS:

describe("TESTING HANDLER FUNCTIONS: ", () => {

  let transactions = GetPaginatedTransactions(tParams);

  test('A correct list of transactions was generated.', () => {
    expect(transactions.statusCode).toBe(200);
    expect(transactions.body.length).toBe(6);
    expect(transactions.body).toHaveProperty("page");
    expect(transactions.body).toHaveProperty("currency");
    expect(transactions.body).toHaveProperty("country");
    expect(transactions.body).toHaveProperty("limit");
    expect(transactions.body).toHaveProperty("search");
    expect(transactions.body).toHaveProperty("transactions");
    expect('Content-Type', '/json/');
    done();
  });

});