Ammon News - AMMONNEWS - Jordan's budget deficit in 2017 amounted to JOD750 million (after adding foreign grants) or 2.6 percent of Gross Domestic Product (GDP) compared with JOD880 million or 3.2 percent of GDP in 2016, according to official data.

The ministry of finance said in a statement issued on Wednesday that the 2017 budget deficit was down 15 percent compared with 2016, while the rise in the deficit over the past ten years averaged 30 percent annually.

At the end of 2017, public debt soared by 1.2 billion to JOD27.25 billion comprising 95.3 percent against JOD26.1 billion or 95.1 percent of GDP in 2016. However, public debt rose in average by JOD2.2 billion over the five years before 2017.

Domestic revenues picked up by 7.7 percent or JOD484 million in 2017 amounting to JOD6.717 billion compared with JOD6.233 billion in 2016. Foreign grants dropped by 15 percent or JOD127 million standing at JOD708 million compared with JOD835 million in 2016, the figures reveal.

Furthermore, current expenditure in 2017 reached JOD7.097 billion signaling an increase of JOD178 million compared with 2016. Capital expenditure saw a JOD49-milion increase or 4.6 percent amounting to JOD1.078 billion compared with JOD1.029 billion in 2016.

The data revealed that domestic revenues covered about 95 percent of current expenditure in 2017, indicating a 5-percent rise in coverage ratio. The rise in coverage ratio is driven by a 7.7-percent increase in domestic revenues.

The ministry of finance said the in the budget deficit is a result of a more robust control of public finance, rationalized public spending and higher local revenues. The measures are part of a larger drive to bring debt-to-GDP ratio to below 80 percent in the medium term.