$3b deal with Islamic financer to secure government purchases

AMMAN — Jordan has signed a $3 billion deal that secures financing for the country’s purchases of essential commodities.

Planning and International Cooperation Minister Imad Fakhoury signed the framework agreement on Sunday on behalf of the government with Chief Executive Officer of the International Islamic Trade Finance Corporation (ITFC) Waleed Abdulmohsen Al Wohaib. 

The agreement, which the government okayed in July, aims at securing financing for country’s imports of crude oil, oil derivatives, liquefied gas and key staples such as wheat, barley, sugar and rice. 

Ahead of the signing ceremony, Fakhoury and Al Wohaib discussed several regional economic issues, in addition to bilateral trade between and ITFC, according to a ministry statement.

Several public institutions in the energy, water, trade and supplies sectors will benefit from the finance agreement through soft loans, according to the statement.  

ITFC, an autonomous entity affiliated with the Islamic Development Bank Group, works to advance trade to improve the economic conditions of people across the Islamic world. 

At the signing ceremony, Fakhoury commended ITFC’s support, in light of current unfavourable economic and financial conditions resulting from political instability in the region, and the repercussions of the crisis in Syria, which have put pressure on the Kingdom’s different services and infrastructure.

Fakhoury highlighted the recently launched economic blueprint “Jordan 2025” as well as the executive development programme for the years 2016-2018 that constitutes the first stage for implementing the blueprint, highlighting the importance that Jordan attaches to donors and financing institutions, including ITFC.