Jordan’s economic growth outpaces forecasts as IMF releases new funds.
The Executive Board of the International Monetary Fund (IMF) has completed the third review of Jordan’s four-year Extended Fund Facility (EFF) arrangement, unlocking a new disbursement of approximately $134 million. This brings total IMF support under the EFF to about $595 million since the program’s inception in January 2024.
Approved in early 2024, Jordan’s EFF arrangement provides access to SDR 926.37 million (approximately $1.3 billion, equivalent to 270 percent of the country’s IMF quota). The program is designed to support macroeconomic stability, fiscal sustainability, and structural reforms amid ongoing regional challenges.
In a further vote of confidence, the IMF Executive Board also approved a Resilience and Sustainability Facility (RSF) arrangement for Jordan, granting access to SDR 514.65 million (around $700 million, or 150 percent of Jordan’s quota). The RSF aims to enhance Jordan’s long-term resilience by addressing vulnerabilities in critical sectors such as water, energy, and public health.
Despite geopolitical tensions and economic uncertainty in the region, Jordan’s economy has shown notable resilience. Economic growth reached 2.5 percent in 2024, outpacing earlier projections, and is expected to gradually accelerate in the coming years. This momentum is supported by continued fiscal discipline, monetary stability, and a commitment to structural reforms.
Inflation remains contained, underpinned by the Central Bank of Jordan’s (CBJ) prudent policies and the maintenance of the exchange rate peg. The external sector remains stable, with the current account deficit hovering near 6 percent of GDP.
Source: Economymiddleeast