Jordan Remittances Fall 10% as a Result of COVID-19 Blow

A view of Amman, Jordan, August 2017. [Thomson Reuters Foundation/Nadia Bseiso]
A view of Amman, Jordan, August 2017. [Thomson Reuters Foundation/Nadia Bseiso]
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Jordan Remittances Fall 10% as a Result of COVID-19 Blow

A view of Amman, Jordan, August 2017. [Thomson Reuters Foundation/Nadia Bseiso]
A view of Amman, Jordan, August 2017. [Thomson Reuters Foundation/Nadia Bseiso]

Jordan's remittances, one of the country's main sources of foreign currency, fell 10 % to $1.94 bln in the first seven months year-on-year, reaching levels it has not seen in over a decade due to the impact of COVID-19 pandemic on regional economies, central bank data showed.

The kingdom received $3.7 billion in remittances from abroad last year that comprise around 10% percent of its GDP, helping it beef up its $14 bln foreign reserves.

The IMF said the aid-dependent economy was expected to witness a sharp contraction this year which officials estimate at around 5% and the country's balance of payments strained by the collapse in tourism and weakening remittances.

Jordan has opened all sectors of the economy in a bid to revive its hard-hit economy.

The World Bank said remittances to the Middle East and North Africa region are projected to fall by 19.6 percent to $47 billion in 2020, following the 2.6 percent growth seen in 2019.

The anticipated decline was attributable to the global slowdown as well as the impact of lower oil prices in Gulf states, the world body said.



IMF Says Ready to Support Syria Reconstruction when Conditions Allow

A drone view shows al-Yarmouk Palestinian refugee camp, after Syria's Bashar al-Assad was ousted, in Damascus, Syria, December 19, 2024. REUTERS/Zohra Bensemra
A drone view shows al-Yarmouk Palestinian refugee camp, after Syria's Bashar al-Assad was ousted, in Damascus, Syria, December 19, 2024. REUTERS/Zohra Bensemra
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IMF Says Ready to Support Syria Reconstruction when Conditions Allow

A drone view shows al-Yarmouk Palestinian refugee camp, after Syria's Bashar al-Assad was ousted, in Damascus, Syria, December 19, 2024. REUTERS/Zohra Bensemra
A drone view shows al-Yarmouk Palestinian refugee camp, after Syria's Bashar al-Assad was ousted, in Damascus, Syria, December 19, 2024. REUTERS/Zohra Bensemra

The International Monetary Fund stands ready to assist Syria's reconstruction alongside the international community, but the situation on the ground remains fluid, IMF spokesperson Julie Kozack said on Thursday.
Kozack told a regular press briefing that the IMF has had no meaningful contact with Syrian authorities since an economic consultation in 2009, Reuters reported.
"It's too early to make an economic assessment. We are closely monitoring the situation, and we stand ready to support the international community's efforts to assist serious reconstruction as needed and when conditions allow," Kozack said.
Less than two weeks after Syrian opposition fighters toppled Bashar al-Assad's regime and seized control of the capital Damascus, Kozack said that the emerging Syrian authorities face many difficulties after 13 years of civil war.
"The Syrian people have suffered for far too long. We hope that the country can now begin to address its deep humanitarian, social and economic challenges, and to begin the rehabilitation of the Syrian economy," Kozack said.

Kozack also said that the IMF Executive Board will meet on Friday to consider approval of a $1.1 billion disbursement to Ukraine from the IMF's $15.6 billion loan program to the war torn country.

The disbursement, part of the sixth review of the four-year Ukraine loan, would bring total program disbursements to $9.8 billion, with about $2.7 billion available for 2025, Kozack added.