Experts laud CBJ monetary management, approach to currency flow regulation

AMMAN — Financial experts lauded the Central Bank of Jordan's (CBJ) "sophisticated" monetary management, crediting its meticulous approach to currency flow regulation, interest rate calibration, and inflation containment as critical to maintaining dinar stability in turbulent regional markets.

Industry insiders told the Jordan News Agency, Petra, that monetary policy transcends mere technical mechanisms, serving as the bedrock of macroeconomic equilibrium that underpins market confidence.

The CBJ's "monetary kitchen," staffed with elite financial technicians, meticulously analyzes global economic currents to formulate responsive policies that have demonstrated remarkable resilience over decades.

These specialists deploy a comprehensive monetary toolkit to achieve strategic objectives while maintaining market discipline.

Recent CBJ disclosures reveal substantial gold reserve appreciation, with holdings climbing to JD4.763 billion by February's close JD506 million increase from year-end 2024.

Physical gold holdings expanded to 2.318 million ounces, while aggregate foreign reserves reached $21.097 billion, providing robust 8.2-month import coverage.

Adli Qandah, banking sector analyst, underscored gold's pivotal role in the CBJ's reserve architecture, noting its dual function as stability anchor and confidence builder for the Jordanian dinar.

The CBJ's strategic gold transactions represent standard portfolio rebalancing rather than policy shifts, he explained, pointing to the institution's balanced asset management approach that synthesises diversification with sustainability.

Financial strategist Jamal Masri characterised recent gold transactions January sales of 105,000 ounces amid price spikes followed by February acquisitions of 100,000 ounces as textbook market timing within routine reserve management operations.

"These transactions reflect standard central banking practice, not extraordinary measures," Masri highlighted, cautioning against misinterpretation by non-specialists.

Head of the Economics Department at the University of Jordan Raad Tall highlighted gold's function as an inflation hedge and volatility buffer within the CBJ's monetary arsenal.

The bank's transparent reporting practices, he noted, provide critical institutional credibility while helping neutralise market speculation and unfounded economic narratives.

The experts concurred that CBJ's gold management strategy has demonstrably strengthened Jordan's economic foundation, enhancing its resilience against external pressures and positioning the kingdom as a bastion of monetary stability in a volatile region.