Jordan maintains stable 2.7% economic growth in 2022, 2023 — report

AMMAN — Jordan has maintained a stabilised economic growth of 2.7 per cent throughout the years 2022 and 2023, the Arab Monetary Fund (AMF) said in its 19th Edition of the Arab Economic Outlook Report.

The AMF is a regional Arab organisation, established in 1976, and it commenced its operations in 1977, according to the AMF website.

“The report offers a detailed analysis of the economic performance and prospects of Arab countries, considering the latest global economic developments and their potential impacts on the region,” the AMF said on its website.

According to the AMF report, the Kingdom’s economic reforms supported by the International Monetary Fund, along with international capital flows, significantly contribute to maintaining a stable economic growth. The report predicted that Jordan will maintain the same amount of economic growth in 2024, amounting to approximately 2.7 per cent.

Economist Mazen Marji remarked on AMF’s projections concerning Jordan, “There are no updated economic programmes in Jordan and this can be seen in the unchanged economic growth,”

He underscored the importance of intensifying efforts to bolster the local economy by attracting capital through new projects, investments, and increased exports.

Economist Waseem Hussein called for intensified innovation and cooperation aimed to harness the full potential of the local economy which he described as “capable of absorbing economic shocks”.

He highlighted the need for continuous updates that drive long-term economic growth.

The report primarily highlighted economic growth projections, where the growth rate of Arab economies in 2023 is expected to be approximately 2.2 per cent, decreasing from about 5.8 per cent in 2022 as a result of tightening monetary policy, decline in oil production, and ongoing regional developments.

Despite the circumstances, a recovery is projected in 2024, with growth expected to reach approximately 3.3 per cent, the report added. 

The AMF called on Arab countries to adjust their fiscal and monetary policies in response to current economic challenges. This entails rationalising tax exemptions, revisiting subsidy policies, strengthening social safety nets and developing monetary policy frameworks.