Jordan Has Successfully Managed The Repercussions Of War In The Region, EBRD Says

Amman, June 3 (Petra) -- Measures taken by Jordan to address energy price increases resulting from regional tensions have helped ease pressures on the national economy, according to a report by the European Bank for Reconstruction and Development (EBRD).

In its latest report, the EBRD said Jordan mitigated the impact of temporary disruptions to natural gas supplies through available fuel reserves, helping avert what could otherwise have been broader economic repercussions in the absence of government intervention.

Since the outbreak of regional tensions, the government has implemented a series of measures, including securing strategic stockpiles of essential commodities and petroleum products, as well as initiatives related to supply chains, agriculture, tourism and citizen protection.

The report forecast Jordan's economy to grow by 2.6% in 2026, with growth expected to accelerate to 2.8% in 2027.

The EBRD noted that Jordan holds substantial foreign currency reserves exceeding $27 billion. However, it said the economy continues to face pressures related to the budget deficit, public debt and inflation.

The report projected economic growth in the Southern and Eastern Mediterranean (SEMED) region to slow to 2.5% in 2026 before recovering in 2027, when average growth across the region is expected to reach 4.2%.

The bank said regional tensions, higher energy prices and disruptions to trade flows continue to weigh significantly on the economic outlook for countries across the region.

//Petra// AF

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