Jordan: Seventh and Final Review Under the Stand-By Arrangement and Proposal for Post-Program Monitoring-Press Release; Staff Report; and Statement by the Executive Director for Jordan

The conflicts in Syria and Iraq have led to a massive influx of refugees, putting enormous pressure on Jordan's limited resources, and to disruptions in trade routes, less tourism, and a hesitant investment sentiment. At the same time, the near complete halt of gas flows from Egypt required imports of expensive fuel for electricity generation, contributing to large losses at the national electricity company and adding to the already high public debt. Jordan's program has helped the economy weather these shocks. Gradual consolidation by the central government and public utilities, aided by lower oil prices, ensured that public debt is broadly stabilizing this year and, together with a prudent monetary policy, has preserved macroeconomic stability and supported confidence.