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FINANCIAL NEWS
Jordan to raise CB capital to USD67.7m
28 Mar 2013
(MENAFN) The Jordanian government agreed to raise the central bank’s capital to USD67.7 million from USD25.32 million, reported Arabian Business, citing state-run Petra news agency.
The government’s decision comes due to recommendations made by the country’s Economic Development Committee.
At the end of January, the bank’s foreign currency reserves were at USD7.5 billion, sufficient to cover 4 months of imports.
During the last 2 years, the regional unrest has worsened the Kingdom’s fiscal position, with Egypt’s revolution cutting gas supplies to Jordan, which raised the country’s fuel imports bill that represents 20 percent of gross domestic product (GDP).
Meanwhile, Jordan’s public debt in 2012 grew 23.7 percent to nearly 75 percent of GDP.
According to the International Monetary Fund (IMF), the country’s economy in 2013 is projected to expand by over 3 percent, while inflation is expected to drop to around 3.2 percent from 7.2 percent last year.
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