Latest news with #JordanStrategyForum
Zawya
30-07-2025
- Business
- Zawya
Despite regional challenges, Jordan's economy stable, growth on track — CBJ governor
AMMAN — Central Bank of Jordan (CBJ) Governor Adel Sharkas said that Jordan's economy continues to grow steadily despite regional instability, supported by a clear Economic Modernisation Vision (EMV). During a forum organised on Monday by the Jordan Strategy Forum (JSF) titled "Reform, Stability, Resilience," Sharkas said that the economy recorded 2.7 per cent growth in both quarter 4 of 2024 and quarter 1 of 2025, the Jordan News Agency, Petra, reported. The CBJ expects 2025 growth to remain at 2.7 per cent, rising above 4 per cent by 2028 with the implementation of 'major' infrastructure projects and continued fiscal reform, Sharkas noted. He stressed that Jordan's 'strong' fundamentals are solid monetary framework, stable investment climate, healthy banking sector and credible exchange rate. These factors boosted investor confidence, reflected in the strong performance of Jordan's Eurobonds, which are trading below issuance yields, he added. The CBJ governor added that during 2021–2024, the economy grew at an average of 2.9 per cent, recording the highest since 2010, driven by gains in productivity, human capital and non-traditional exports. This growth contributes now in 20.9 per cent to the gross domestic product (GDP), up from 16.2 per cent in 2016, Sharkas added. He noted that investment contributed 40 per cent to growth during this period, while external demand contributed 38 per cent. Sharkas attributed this momentum to structural reforms, with around 100 reforms since 2012, enhancing governance, competitiveness and job creation. Jordan's energy bill dropped to 7 per cent of the GDP in 2024, down from 21 per cent in 2012, thanks to energy diversification and long-term gas deals, he noted, adding that tourism revenue reached $3.7 billion in the first half of 2025 and is projected to hit $7.7 billion by year-end. Sharkas said that the foreign direct investment (FDI) reached $1.6 billion in 2024, while remittances are expected to rise to $3.7 billion, while inflation reached 2 per cent in the January-June period of 2025. Foreign reserves hit $22 billion, which is enough to cover 8.4 months of imports. Bank deposits reached JD47.7 billion in May, while dollarisation declined to 18.1 per cent, the CBJ governor said, pointing out that financial inclusion rose to 43.1 per cent in 2022, with gender gap narrowing from 53 per cent to 22 per cent. He added that digital payment activity surged to 538 million transactions worth JD55.3 billion in 2024, and credit facilities rose by over JD7 billion since 2020, reaching JD35.3 billion by May. The CBJ completed 90 of 94 initiatives under the 2023–2025 economic vision. The remaining are on track, Sharkas said. Public finance reforms are also advancing, with the primary deficit expected to drop to 2 per cent of GDP in 2025, aiming to a surplus by 2027. Public debt is projected to fall below 80 per cent of the GDP by 2028, the CBJ governor said. JSF Chairman Faris Sharaf stressed the need to balance monetary stability with flexible economic policies. JSF Executive Director Nasreen Barakat highlighted the forum's role in fostering evidence-based policy dialogue. JSF board member Nadia Saeed emphasised CBJ's regulatory role in supporting sustainable development. The event also addressed virtual asset regulations, SME support, economic literacy, and Jordan's resilience to external shocks. © Copyright The Jordan Times. All rights reserved. Provided by SyndiGate Media Inc. (
Jordan Times
28-07-2025
- Business
- Jordan Times
Despite regional challenges, Jordan's economy stable, growth on track — CBJ governor
AMMAN — Central Bank of Jordan (CBJ) Governor Adel Sharkas said that Jordan's economy continues to grow steadily despite regional instability, supported by a clear Economic Modernisation Vision (EMV). During a forum organised on Monday by the Jordan Strategy Forum (JSF) titled "Reform, Stability, Resilience," Sharkas said that the economy recorded 2.7 per cent growth in both quarter 4 of 2024 and quarter 1 of 2025, the Jordan News Agency, Petra, reported. The CBJ expects 2025 growth to remain at 2.7 per cent, rising above 4 per cent by 2028 with the implementation of 'major' infrastructure projects and continued fiscal reform, Sharkas noted. He stressed that Jordan's 'strong' fundamentals are solid monetary framework, stable investment climate, healthy banking sector and credible exchange rate. These factors boosted investor confidence, reflected in the strong performance of Jordan's Eurobonds, which are trading below issuance yields, he added. The CBJ governor added that during 2021–2024, the economy grew at an average of 2.9 per cent, recording the highest since 2010, driven by gains in productivity, human capital and non-traditional exports. This growth contributes now in 20.9 per cent to the gross domestic product (GDP), up from 16.2 per cent in 2016, Sharkas added. He noted that investment contributed 40 per cent to growth during this period, while external demand contributed 38 per cent. Sharkas attributed this momentum to structural reforms, with around 100 reforms since 2012, enhancing governance, competitiveness and job creation. Jordan's energy bill dropped to 7 per cent of the GDP in 2024, down from 21 per cent in 2012, thanks to energy diversification and long-term gas deals, he noted, adding that tourism revenue reached $3.7 billion in the first half of 2025 and is projected to hit $7.7 billion by year-end. Sharkas said that the foreign direct investment (FDI) reached $1.6 billion in 2024, while remittances are expected to rise to $3.7 billion, while inflation reached 2 per cent in the January-June period of 2025. Foreign reserves hit $22 billion, which is enough to cover 8.4 months of imports. Bank deposits reached JD47.7 billion in May, while dollarisation declined to 18.1 per cent, the CBJ governor said, pointing out that financial inclusion rose to 43.1 per cent in 2022, with gender gap narrowing from 53 per cent to 22 per cent. He added that digital payment activity surged to 538 million transactions worth JD55.3 billion in 2024, and credit facilities rose by over JD7 billion since 2020, reaching JD35.3 billion by May. The CBJ completed 90 of 94 initiatives under the 2023–2025 economic vision. The remaining are on track, Sharkas said. Public finance reforms are also advancing, with the primary deficit expected to drop to 2 per cent of GDP in 2025, aiming to a surplus by 2027. Public debt is projected to fall below 80 per cent of the GDP by 2028, the CBJ governor said. JSF Chairman Faris Sharaf stressed the need to balance monetary stability with flexible economic policies. JSF Executive Director Nasreen Barakat highlighted the forum's role in fostering evidence-based policy dialogue. JSF board member Nadia Saeed emphasised CBJ's regulatory role in supporting sustainable development. The event also addressed virtual asset regulations, SME support, economic literacy, and Jordan's resilience to external shocks.
Jordan News
28-07-2025
- Business
- Jordan News
Jordan's Central Bank Governor Projects Over 4% Medium-Term Economic Growth - Jordan News
Governor of the Central Bank of Jordan, Dr. Adel Al-Sharkas, affirmed that the national economy continues to grow steadily despite regional geopolitical challenges, thanks to a comprehensive economic modernization vision that redefined Jordan's approach to reform. اضافة اعلان Speaking during a policy dialogue organized by the Jordan Strategy Forum titled "Reform, Stability, Resilience: The Economic Trinity in a Changing World", Al-Sharkas emphasized the transition from reactive, short-term policy approaches to a proactive and integrated strategy aimed at enhancing economic resilience and sustainability. Key Highlights: Growth Outlook: The Central Bank estimates real GDP growth at 2.7% for 2025, with projections exceeding 4% by 2028, driven by large-scale infrastructure projects tied to the Economic Modernization Vision. Macroeconomic Resilience: Jordan's economy is backed by a robust monetary and fiscal framework, institutional strength, and a sound banking sector. These fundamentals have garnered growing international investor confidence, reflected in the declining yields of Jordan's Eurobonds in secondary markets. Growth Performance (2021–2024): The average growth rate stood at 2.9%, the highest since 2010, attributed to improvements in productivity, technological adoption, and human capital development. Investment contributed 40% to this growth, while the external sector accounted for 38%. Export & Energy Performance: National exports reached new markets, with non-traditional exports contributing 20.9% of GDP in 2024, up from 16.2% in 2016. Meanwhile, energy import costs dropped to 7% of GDP, down from a third in 2012, due to diversified energy sources and long-term gas agreements. Tourism and FDI: Despite a slight dip in June due to regional tensions, tourism revenues rose 11.9% in H1 2025, reaching $3.7 billion, with expectations to hit $7.7 billion by year's end. FDI inflows amounted to $1.6 billion (3.1% of GDP) in 2024, and remittances from Jordanians abroad rose to $3.6 billion, projected to reach $3.7 billion in 2025. Monetary Stability: Inflation was kept around 2% in H1 2025. The Jordanian dinar remains strong, supported by $22 billion in foreign reserves, covering 8.4 months of imports. The banking sector continues to expand credit facilities, with loans rising to JOD 35.3 billion in May 2025 and total deposits hitting JOD 47.7 billion. Financial Inclusion & Digital Payments: The Central Bank increased financial inclusion to 43.1% by 2022 and aims for 65% by 2028, while closing the gender gap from 53% to 22%. Digital transactions grew significantly, with over 537 million transactions totaling JOD 55.3 billion in 2024—equivalent to 146% of GDP. Fiscal Outlook: The government aims to reduce the primary deficit to 2% of GDP by 2025, targeting a primary surplus by 2027. The public debt-to-GDP ratio is expected to fall below 80% by 2028. Forward-Looking Plans: Preparations are underway for the 2026–2029 Executive Program of the Economic Modernization Vision, with new initiatives focusing on digitization, fintech, innovation, and expanded financial inclusion. Sectoral Collaboration & Private Dialogue Jordan Strategy Forum Chair Sharif Fares Sharaf emphasized the need for resilient policies amid global instability, while Executive Director Nisreen Barakat reaffirmed the Forum's role in facilitating evidence-based policy discussions. The session also featured input from Nadia Al-Saeed, who stressed the importance of regulatory clarity and effective banking oversight. Topics discussed included virtual asset legislation, SME support, and public-private partnerships in navigating economic uncertainties. Governor Al-Sharkas concluded with a direct Q&A session, addressing key economic concerns raised by forum participants and reaffirming the Central Bank's commitment to sustainable and inclusive growth.
Zawya
04-07-2025
- Business
- Zawya
Jordan investor confidence index rises 6.2% in Q1 2025
AMMAN — The Jordan Investor Confidence Index, published quarterly by the Jordan Strategy Forum, rose by 6.2 per cent in the first quarter of 2025, reaching 156.7 points, up from 147.6 points in Q4 2024. According to the Forum's latest report, the Economic Activity Confidence Sub-Index declined from 138.3 points in the last quarter of 2024 to 128.7 points in Q1 2025. This drop occurred despite real GDP growth of 2.7 per cent in Q1 2025, an increase from 2.0 per cent during the same period in 2024 and consistent with growth in Q4 2024, the report said. Jordan's budget deficit after grants stood at approximately JD537 million in Q1 2025, showing improvement from JD681 million in Q4 2024, though remaining above the JD428.8 million recorded in Q1 2024. Foreign direct investment (FDI) inflows reached around JD227.2 million in the first quarter. Meanwhile, the industrial production index registered a slight decrease, dropping to 87.7 points from 87.8 in the previous quarter. The Monetary System Confidence Sub-Index rose marginally to 200 points in Q1 2025, compared with 199.2 points in Q4 2024. This was attributed to a notable increase in the Central Bank of Jordan's foreign currency reserves, which rose from JD14.90 billion to JD15.61 billion. The interest rate gap between the Jordanian dinar and the US dollar narrowed slightly to 2.0 percentage points, down from 2.1 points in the previous quarter. Additionally, the value of bounced checks decreased significantly, from JD367.6 million in Q4 2024 to JD256.7 million in Q1 2025. The Financial System Confidence Sub-Index posted the most substantial gain, rising sharply from 114.3 points to 169.3 points in the first quarter. This was supported by an increase in foreign investor activity on the Amman Stock Exchange (ASE), where the ratio of purchased to sold shares rose to 105.3 per cent, up from 56.4 per cent in Q4. The ASE index recorded a gain of 478.8 points, closing at 5,112.3 points in Q1 2025. In parallel, credit facilities extended to the private sector grew marginally by 0.1 per cent, reaching JD31.39 billion. The Jordan Investor Confidence Index reflects ongoing efforts by the Jordan Strategy Forum to promote investment, strengthen economic fundamentals, and enhance the Kingdom's business environment in support of improved living standards for citizens. © Copyright The Jordan Times. All rights reserved. Provided by SyndiGate Media Inc. (
Zawya
09-06-2025
- Business
- Zawya
Jordan pins hopes on desert gas field
Jordan is pinning high hopes on its key gas field in the eastern desert as it will slash gas imports by nearly 60 percent and provide sufficient supplies to its power sector. Risha field has just been expanded to produce nearly 62 million cubic feet per day (mcf/d) and the current five-year development plan will lift output to 418 mcf/d. Around 16-20 mcf/d of the produced gas is sold to local companies but the supplies are way below Jordan's growing gas needs, mainly for its power and industrial sector. The Jordan Strategy Forum (JSF), a key think-tank in the Arab country, said in a study last week that the field's output would peak in July 2030. 'By July 2030, Jordan will have enough natural gas to meet more than 60 percent of its total energy needs,' the study said. 'We also hope that the produced gas will be enough to fully cover the demand of the power sector.….Risha Field will also support efforts to convert several industrial facilities to be operated by gas,' it added. JSF said that if Risha field is efficiently managed when the expansion is completed, it will give a strong push to Jordan's economy by enhancing value-added exports, providing sustainable job opportunities, contributing to reducing the country's dependence on energy imports and ensuring the stability of energy supplies. 'This will also generate additional financial revenues for the state, supporting the implementation of development plans and expanding the production base.' Officials said early this year that Jordan has nearly completed a project to construct a gas treatment plant at Risha for use in local industries. The plan also includes the construction of a 320km pipeline to distribute gas for the domestic market from the field, which contains nearly 12 trillion cubic feet of gas reserves, of which around 4.6 trillion can be recovered. (Writing by Nadim Kawach; Editing by Anoop Menon) (
