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FINANCIAL NEWS
Jordan’s economy may grow by 3% in 2012
10 May 2012
(MENAFN) Jordanian Deputy Central Bank Governor Maher Sheikh Hasan expected the nation’s GDP to grow between 2.8 percent to 3 percent this year compared with 2.6 percent last year, Bloomberg reported.
Jordan’s higher energy bill has driven the government to look for economic tools to lower public spending, possibly by reducing subsidies.
Sheikh Hasan called for energy rationing, adding that anything sold at less than its real cost encourages more consumption.
However, he expected inflation to rise, with plans to increase electricity prices and rationalize a costly subsidy system that has added to the kingdom’s fiscal pressures.
Recently, the central bank denied plans to depeg its national currency from the US dollar.
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