AMMAN: The International Monetary Fund said Wednesday it has approved a $723 million three-year line of credit to Jordan aimed at boosting the kingdom at a time of war in the region.
“The executive board of the International Monetary Fund today approved a three-year extended arrangement under the extended fund facility for Jordan,” the Fund said in a statement.
It said the $723 million loan amounting to 150 percent of Jordan’s quota was to support the country’s “economic and financial reform program”.
“This program aims at advancing fiscal consolidation to lower public debt and broad structural reforms to enhance the conditions for more inclusive growth,” it added.
Following the decision, about $72.3 million was to be made available for “immediate disbursement,” it said, with the remainder to be phased in for the duration of the program, subject to reviews.
Jordan’s economy has been rattled from conflicts in neighbouring Syria and Iraq.
Unemployment has jumped to 14 percent of the kingdom’s population of 9.5 million, with the young the worst hit, according to government figures, while unofficial estimates put it as high as 30 percent.
Growth slumped to 2.4 percent in 2015, down from 3.1 percent the previous year.