Tag: Debt

IMF Says Jordan Wants Loan Extension

The International Monetary Fund said Jordan is seeking an extension to its three-year, $2 billion Stand-By Arrangement that expired earlier this month. “The (Jordanian) authorities have expressed interest in a successor arrangement with the fund,” Kristina Kostial, IMF’s mission chief…

Tackling our Pension Problem

Standing at the same amount as the budget deficit, Jordan’s bankrupt public pension system is funded solely by new debt. Rationally reducing its burden should be of prime importance. By Jawad J. Abbassi At the parliamentary discussions of the government…

Electricity: Rebalance, Don’t Hike

The government’s plan to increase electricity rates across the board will damage both its credibility and the economy. By Jawad J. Abbassi The rapid drop in oil prices, by over 60 percent since the summer, is a game changer for…

Borrowing Smart

Borrowing can help an economy grow. But Jordan is taking on debt for all the wrong reasons. By Yusuf Mansur “Neither a borrow nor a lender be,” Polonius advised his son in Shakespeare’s Hamlet. But unlike the royal counselor, economists…

Why the Government Should Exit Royal Jordanian

Major efforts are underway to save RJ from financial ruin. If the government truly wants to help, it should consider selling its remaining stake in our embattled national carrier. By Jawad J. Abbassi RJ offers great service. It’s part of…

More Debt, Little Growth

The Ensour government likes to crow about its achievements. But I can’t see any, beyond boosting the national debt to new highs with little to show for it. The Economist- Yusuf Mansur The national debt increased by the end of May…

The Lure of Easy Money

Editor’s letter- Dina al-Wakeel In a blatant challenge to Western nations that have long dominated the global financial system, the BRICS emerging economics have decided to establish their own $50 billion development bank. Noble as the idea may be, its…

As the Debt Grows

Most governments borrow money, but it’s how they spend it that counts. The Economist- Yusuf Mansur Jordan’s current debt-to-GDP ratio has been much higher in the past, so why is it suddenly attracting more grumbling than ever before? Net public…