PM :Gov't revenues plummet JD550mln in four months as pandemic fallout bites | Business | Ammon News

PM :Gov't revenues plummet JD550mln in four months as pandemic fallout bites

[6/21/2020 5:39:21 PM]

AMMONNEWS - Government revenues have plunged by a whopping JD550 million over the past four months as a result of the coronavirus pandemic, Prime Minister Omar Razzaz said on Sunday.

In a televised statement addressing local developments and affairs, Razzaz added that he believes that the most profound and significant economic impact of the crisis will hit the labor market and those who work in sectors battered by the ensuing lockdowns and work stoppage.

Highlighting the government’s response to the crisis, the prime minister said his government has taken more than 400 decisions since the outbreak of the crisis and rolled out measures and packages to help the private sector weather the crisis and protect workers.

Given the current fiscal status, he added, the government found it necessary to defer a pay hike for all public sectors to next year, assuring that the increment will be reintroduced in early 2021.

Other measures included slashing senior employees’ bonuses and increments in government bodies, independent departments and government-owned companies with a view to pursue solidarity and protect the most vulnerable groups in the society.

The Kingdom’s current fiscal standing requires commitment to paying taxes, Razzaz emphasized, saying: "the payment of tax is not a favor but a duty of those who yield profits from the national economy, live on Jordanian territory and use Jordanian talents and resources."

"The payment of taxes is a duty and a right of the Jordanian society because this tax finances the public sector's payroll, educational and health services and other basic services that helped us pass this pandemic."

In this context, the prime minister thanked all employers who endured the financial hardship caused by the crisis and retained their employees. He also praised companies which paid taxes on time.

Razzaz stressed that the government understands the current situation of sectors harmed by the crisis and continues to explore ways to help these sectors, namely tourism and transport, absorb the shock and ultimately recover.

He pointed out that the economy is heading towards recovery and resilience, indicating that :"We seek to restart flights with countries similar to our epidemiological situation".

Turning to the epidemiological situation, Razzaz assured that the numbers and indicators related to the pandemic are good, as the majority of infections are imported.

However, Razzaz said: "this does not mean that the challenge is over as we see a second wave of the virus in neighboring countries and the world. We have to remain vigilant."

From the onset of the crisis, the prime minister said, Jordan has avoided responding to the pandemic according to the herd immunity approach, adding: "the herd immunity approach practically means survival is for the strongest and the law of the jungle. This is neither consistent with our religious values, nor with the history of the Hashemites and the culture they embodied in the Jordanian state for a hundred years, nor with our customs and traditions."

Razzaz stressed that Jordan has been pursuing an approach focused on helping the most vulnerable groups and those hard-hit by the crisis medically and economically.

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