Gov’t will refrain from borrowing in 2024 in accordance with Budget, Public Debt Management Laws – Finance minister

Amman: Finance Minister, Mohammad Al-Ississ, responded to recent reports that the government was becoming more eager to borrow money by confirming that it would not borrow “any penny” this year. This is in accordance with the implementation of the budget law and the debt law, which set the value of the loans that the government will borrow this year. once Jordan’s credit score was increased.

In the presence of Adel Sharkas, Governor of the Central Bank of Jordan (CBJ), and several other banking and economic leaders, Al-Ississ said at a dialogue meeting organized by the Association of Banks in Jordan to discuss raising Jordan’s credit rating by Moody’s to Ba3 with a stable future outlook. This was the second quarterly briefing for the year 2024.

According to the minister, this accomplishment represents the culmination of the efforts of all parties involved, including important national and international organizations.

He went on, “Without the strong collaboration between all stakeholders, we would not be he
re today to celebrate an accomplishment. Jordan’s credit rating was raised at a time when other nations are striving to keep their stability or are suffering from lower ratings, particularly in the wake of the global economic shocks brought on by the Russian-Ukrainian war and the Corona pandemic.

Al-Ississ discussed the difficulties the Jordanian economy faces in the context of global crises, including rising food and energy costs, inflation, and regional turmoil in Gaza.

Raising the rating, according to Al-Ississ, indicates trust in the Jordanian economy around the world, makes the Kingdom more appealing to foreign investors, facilitates the government’s access to international markets and future credit benefits, and expands chances for economic growth.

He emphasized that Moody’s based its assessment on a number of factors, such as the nation’s capacity to meet its financial obligations, the economy’s level of competitiveness, and the efficacy of its policies.

He also emphasized that the private sector,
particularly the banking sector, as well as other state institutions worked together to strengthen the classification, and that it is not only a government accomplishment.

Al-Ississ also emphasized the significance of the Economic Modernization Vision and how it helped to coordinate efforts and create a thorough plan for creating a better future.

The minister went on to explain that the government’s reform efforts were supported and encouraged by His Majesty the King’s wise leadership, which was reflected in the mindset of Prime Minister Bishr Al-Khasawneh throughout the reform process.

Source: Jordan News Agency