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FINANCIAL NEWS
Jordan’s debt posted USD28b in H1
25 Aug 2014
(MENAFN) Jordan’s gross domestic and foreign debt grew 5.2 percent to reach USD28 billion in the first half of the current year from the end of 2013 as the Kingdom chose more funds to help its economy from the Syrian refugees crisis, Zawaya reported.
The initiative figures showed that gross net domestic debt stood at USD16.49 billion in the end of June, down from USD16.63 billion in the end of 2013. Foreign debt grew to reach USD11.81 billion in the end of June against USD10.19 billion in the end of 2013.
This growth was due to a USD1 billion that the U.S government supported Eurobond, the government said last June. Public debt has increased steadily since 2011 as the country restored a domestic borrowing to finance rising government spending and subsidies.
The central bank eyes reducing public debt to 60 percent of GDP in 2017 from 78 percent currently. The last two years have seen Jordan resort to more foreign financing on preferential terms than domestic borrowing to mitigate the impact of accommodating hundreds of thousands of Syrian refugees.
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