Jordan: Second Review Under the Extended Arrangement Under the Extended Fund Facility, Request for Augmentation of Access, and Modification of Performance Criteria-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for Jordan
IMF Staff Country Reports, August 24, 2021
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- Canonical URL
- Jordan: Second Review Under the Extended Arrangement Under the Extended Fund Facility, Request for Augmentation of Access, and Modification of Performance Criteria-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for Jordan
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Bibliographic details
- Published: August 24, 2021
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513594705.002
Macroeconomic impact of COVID-19 and growth outlook
- Early success in containing the spread of COVID-19 was followed by two subsequent waves of the pandemic.
- Contraction in activity contained to 1.6 percent in 2020, shallower than the 3 percent expected at the first review.
- A moderate 2 percent growth rate is projected for 2021 (slightly below the 2.5 percent projected in the first review).
- A near-full reopening is expected in the summer (2021).
Labor market and social outcomes
- Unemployment surged to a record 25 percent in Q4 2020.
- Youth unemployment reached 55 percent.
- Authorities made significant efforts to protect jobs and the most vulnerable.
Fiscal and external balances; public debt
- The impact on fiscal and external balances has been significant.
- Public debt reached 88 percent of GDP at end-2020.
Policy response and macroeconomic stability
- Timely and effective fiscal and monetary policy responses helped contain the contraction in activity.
- Macroeconomic stability has been maintained, attributed to the authorities’ proactive policy stance.
- Challenges noted include new virus variants and weaker tourism prospects.
Political and program developments
- The new parliament extended a vote of confidence to the incoming government in January (2021).
- Parliament approved the 2021 budget—consistent with the program—in February (2021).
Publication metadata and scope
- Publication title: Jordan: Second Review Under the Extended Arrangement Under the Extended Fund Facility, Request for Augmentation of Access, and Modification of Performance Criteria-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for Jordan
- Date: August 24, 2021
- Pages: 107
- Volume: 2021
- Issue: 188
- Series: Country Report No. 2021/188
- DOI: https://doi.org/10.5089/9781513594705.002
- Stock No: 1JOREA2021002
- ISBN: 9781513594705
- ISSN: 1934-7685
- Subject keywords: Arrears, COVID-19, External debt, Fiscal policy, Fiscal stance, Health, International organization, Monetary policy, Public debt
- Additional keywords: Arrears, CBJ Law, COVID-19, Fiscal stance, Global, lender of last resort function of the CBJ, post audit, procurement process, staff appraisal
International Monetary Fund. Middle East and Central Asia Dept. "Jordan: Second Review Under the Extended Arrangement Under the Extended Fund Facility, Request for Augmentation of Access, and Modification of Performance Criteria-Press Release; Staff Report; Staff Statement; and Statement by the Executive Director for Jordan", IMF Staff Country Reports 2021, 188 (2021).
Content in this bundle
- 1jorea2021002