Amman: The Executive Board of the International Monetary Fund (IMF) has approved the completion of the fifth review of Jordan's Extended Fund Facility (EFF) programme and the second review of its Resilience and Sustainability Facility (RSF) arrangement. This approval allows Jordan to access additional financing of $134 million under the EFF and $54 million under the RSF.
According to Jordan News Agency, the IMF highlighted Jordan's ability to maintain macroeconomic stability amid regional security challenges. The Jordanian economy has shown resilience due to stringent fiscal, monetary, and macroeconomic policies, which have positioned the nation to withstand current regional tensions.
The IMF noted the government's prompt response to the regional crisis, which included measures like strengthening energy security, enhancing trade and supply chains, and providing targeted support to vulnerable sectors such as tourism and industry. Assistance to vulnerable households was also extended through the National Aid Fund.
The performance of Jordan's IMF-supported reform programme was deemed robust, with all quantitative performance criteria for the end of 2025 and most indicative targets for March 2026 being met. Structural reform benchmarks were also achieved, reflecting the country's commitment to economic reform.
Progress was noted in improving the business environment, fostering market competition, increasing labour market flexibility, and reducing the costs associated with transitioning to the formal economy. These reforms are considered vital for economic growth and job creation.
Jordan's economy experienced growth of 2.8 per cent in 2025, an increase from 2.6 per cent in 2024, driven by strong performances across several sectors. Inflation remained low at 1.8 percent. Despite regional uncertainties, the IMF projects economic growth at 2.7 per cent in 2026, increasing to 3.1 per cent in 2027.
Fiscal performance in 2025 exceeded programme targets, with stronger domestic revenues and controlled expenditures. The government met its primary budget deficit targets in the first quarter of 2026, even amid regional economic pressures.
The IMF praised the Central Bank of Jordan for its commitment to maintaining monetary stability, noting a strong foreign reserve position of approximately $27 billion by the end of the first quarter of 2026. Financial inflows bolstered the stability of the Jordanian dinar's peg to the U.S. dollar and reduced dollarisation levels, reflecting confidence in Jordan's macroeconomic policies.
In April 2026, the Central Bank of Jordan introduced a JD760 million package of measures to boost banking sector liquidity and support affected sectors, including reducing reserve requirements and expanding concessional financing programmes.
The government's National Programme for Financial and Economic Reform, launched in 2024, has seen the successful completion of five consecutive reviews, contributing to economic stability without additional financial burdens on citizens.
The government remains committed to continuing economic and financial reforms to strengthen resilience against external shocks, aiming to ensure macroeconomic stability and foster private sector-led growth and employment opportunities.