Amman, June 26 (Petra)-- The Inetrnational Monetary Fund (IMF) Executive Board completed the third review under the Extended Fund Facility (EFF) Arrangement with Jordan, providing the Kingdom with immediate access to the equivalent of SDR 97.784 million (about $134 million), to support the Amman’s economic program.

The Executive Board also approved a new 30-month arrangement under the Resilience and Sustainability Facility (RSF) with Jordan, with access equivalent to SDR 514.65 million (about $700 million), to support Jordan’s efforts to address longer-term vulnerabilities in the water and electricity sectors and to enhance their ability to address public health emergencies, including future pandemics.

The Extended Fund Facility (EFF)-backed Jordan's economic program is on track, according to the IMF, indicating the government's strong commitment to sound macroeconomic policies and structural reforms to boost growth and increase resilience, which will increase job creation and open up opportunities for all Jordanians.
The Fund observed that Jordan has maintained macroeconomic stability and broad-based economic growth because of the ongoing application of strong economic policies and in spite of major external difficulties, such as regional wars.

The Board of the IMF had completed the third review of the arrangement under the Extended Fund Facility (EFF). Jordan’s four-year EFF arrangement, with access amounting to SDR 926.37 million (about US$1.3 billion, equivalent to 270 percent of Jordan’s quota in the IMF), was approved by the IMF Executive Board on January 10, 2024.

With growth hitting 2.5 percent in 2024, the IMF said Jordan showed its sustained resilience by recording better growth in 2024 and so far in 2025 than was previously anticipated. As long as strong macroeconomic policies are maintained and reform implementation is accelerated, economic activity should steadily improve over the next several years.

It pointed out that the Central Bank of Jordan's strong commitment to monetary and financial stability and the dollar-pegged exchange rate are the reasons why inflation is still low and stable. With a current account deficit predicted to be near 6 percent of GDP, Jordan's external position is still steady.

The IMF said that although the government's public finances have been affected by the spillover effects of regional conflicts, the government is making strides toward progressively consolidating its finances in order to lower the national debt while making room for essential public investments and social assistance.

According to the statement, Jordan's structural reform plan aims to improve the business climate and labor market regulations, including increasing opportunities for women and young people, in order to support inclusive, private-sector-led growth.

By strengthening economic resilience and sustainability, the Rapid Support Facility agreement will help the government's efforts to improve Jordan's long-term balance of payments stability.

The Rapid Support Facility arrangement intends to improve the government's ability to respond to public health emergencies, including potential pandemics, and address long-term vulnerabilities in the energy and water sectors.

//Petra// MF




26/06/2025 10:50:25