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FINANCIAL NEWS
Jordan’s foreign reserves down by 16.5% in Q1: CB
20 Jun 2012
(MENAFN) The Central Bank of Jordan (CBJ) governor, Ziad Fariz, stated that during the first quarter, the country’s foreign reserves dropped 16.5 percent to USD8.7 billion, from USD10.9 billion at the end of 2011, reported Arab News.
Fariz attributed the decline to a notable fall in capital inflows and remittances, however, reserves are expected to increase due to higher capital inflows from tourism, in addition to development aid from several Gulf countries.
He said that the Kingdom’s current reserves cover 5 months’ imports, adding that financial stability was cushioned by a profitable banking sector.
Moreover, during the first three months of 2012, total bank deposits had grown slightly to exceed USD35 billion, of which USD7.86 billion were foreign currency holdings.
It is worth noting that in the January-May period, Jordan’s tourism receipts jumped 15.6 percent from 2011’s same period to USD1.3 billion, and posted a 40-percent surge in May from April.
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