Jordan's Economic Update

[22-11-2020 02:17 PM]

Ammon News -

Jordan has done well at minimizing the health impact of the COVID-19 crisis through strict enforcement of non-pharmaceutical Interventions. However, domestic lockdowns, the global economic slowdown, trade disruptions and suspension of international travel is likely to have a sizable impact on its economy. Consequently, poverty is expected to increase in the short run by 11 percentage points. The speed of economic recovery in the medium term depends, in large part, on the pandemic’s evolution and accomplishment of aspired domestic reforms.

Economic activity decelerated during Q1-2020. Jordan’s real GDP growth slowed down to 1.3% in Q1-2020 compared to 2.0% in Q1-2019. Growth on the supply side was driven by the services sector, while industry and agriculture sectors’ contribution remained nominal. Headline inflation remains muted. CPI inflation during 8M-2020 stood at 0.5%, largely reflecting substantial softening in global oil prices, while this impact is somewhat contained by a recent surge in food prices.

The COVID-19 pandemic has destabilized the world economy and the Jordanian economy is projected to contract by 5.5% in 2020. Over the medium-term, growth is projected to remain on a low plateau unless Jordan's deep structural issues and economic challenges are addressed quickly and comprehensively. Key challenges to Jordan’s outlook include a prolonged decline in economic activity due to domestic lockdowns, which could further escalate already high unemployment levels.


  • no comments

All comments are reviewed and posted only if approved.
Ammon News reserves the right to delete any comment at any time, and for any reason, and will not publish any comment containing offense or deviating from the subject at hand, or to include the names of any personalities or to stir up sectarian, sectarian or racial strife, hoping to adhere to a high level of the comments as they express The extent of the progress and culture of Ammon News' visitors, noting that the comments are expressed only by the owners.
name : *
show email
comment : *
Verification code : Refresh
write code :