Ammon News -

Prime Minister, Bisher Khasawneh, issued the circular No. 15 of 2020 requiring the preparation of the draft state budget law, government units' budgets draft law and the draft system of ministries and government departments formations for the 2021 fiscal year.

The circular included setting the total ceiling for public spending, as well as the spending ceiling for each ministry and government department and unit, including the governorates' ceilings for the year 2021.

According to the circular, the estimates of the two draft general budget law and the government units budgets law for the year 2021 were based on a set of directions, most notably, spending any amount necessary on the health sector to preserve the life of Jordanian citizens in light of the health risks of the coronavirus pandemic, as well as avoiding the introduction of any new taxes or increasing the current ones.

The directions also included re-disbursing salary hikes for public servants, military personnel and civil and military retirees.

It also included pursuing the merging of ministries and agencies to raise the efficiency of the public sector, improve the level of public service, raise the efficiency of public spending, and enhance the principle of self-reliance in covering public spending by improving the efficiency of tax collection and reducing tax and customs evasion.

According to the circular, the 2021 budget was based on key economic forecasts, including the start of the national economy's recovery from the economic downturn that prevailed in 2020 due to the impacts of the coronavirus pandemic, as the GDP is expected to grow at fixed prices by 2.5 percent for 2021, 3 percent for 2022, and 3.1 percent for the year 2023.

The Prime Minister instructed all government ministries, departments and units to prepare their budgets for the years 2021-2023 in detail according to the ceilings set for them and to provide the General Budget Department with them no later than 11/26/2020.

Khasawneh called on all government ministries, departments and units to abide by the instructions attached to preparing the draft state budget law, government units' budgets draft law, and the draft system of government ministries, departments and units formations for the 2021 fiscal year, in order to achieve the objectives of the fiscal policy and reach an acceptable fiscal deficit and contain public debt within secure levels during the years 2021-2023.