Amman, Nov. 27 (Petra) -- Governor of the Central Bank of Jordan (CBJ) Adel Sharkas said the CBJ’s monetary policy has "successfully" maintained robust monetary and banking stability in the Kingdom, translating into "tangible" outcomes despite regional and global challenges.

Speaking at a panel discussion, themed: "Monetary Policy and Macroeconomic Stability" at the American University of Madaba, Sharkas noted preserving monetary stability is the CBJ’s "core" mandate and a fundamental pillar of macroeconomic stability, as it provides a secure and investment-friendly environment capable of supporting long-term development trajectories.

Sharkas added that the CBJ gradually shifted toward an expansionary monetary stance beginning in September 2024, after the prior tightening cycle, aligned with global central bank actions, achieved its objectives. He said the CBJ has reduced interest rates five times, totaling 150 basis points, reflecting its aim to strike a measured balance between safeguarding monetary stability and bolstering economic activity and expansion.

Sharkas indicated that current monetary indicators underscore the strength of Jordan’s stability framework, including foreign reserves exceeding USD24 billion, sufficient to cover more than seven months of imports, a decline in dollarization to 18.2 percent by the end of September 2025, and contained inflation hovering near 2 percent during the first three quarters of the year. He said this level enhances the competitiveness of the national economy and supports citizens’ purchasing power.

Sharkas highlighted the continued rise in digital payments, which reached USD31 billion by the end of September 2025, reflecting the advancement of Jordan’s digital financial ecosystem and the country’s pivot toward a digital economy.

On economic developments, he said the national economy expanded by 2.8 percent in the second quarter of 2025, demonstrating resilience and high adaptability to external shocks due to the consistent implementation of structural fiscal and economic reforms that strengthened macroeconomic fundamentals, enhanced the business environment, and improved competitiveness.

He stated the economy continues to advance steadily under the economic reform program implemented with the International Monetary Fund, aligned with the Economic Modernization Vision, whose second executive program for 2026–2029 is now being prepared.

Sharkas pointed to several positive economic indicators, particularly in the external sector. Foreign direct investment surpassed USD1 billion, marking a 36.4 percent increase in the first half of 2025, reflecting investor confidence in Jordan’s economy.

According to official data, national exports grew 8.0 percent during the first eight months of 2025, reaching USD8.6 billion, driven by a 7.6 percent rise in non-traditional exports and an 11.2 percent increase in traditional exports, namely potash and phosphate.

Jordanian expatriates’ remittances rose 4.1 percent to USD3.3 billion during the first three quarters of 2025, while despite regional geopolitical tensions, tourism revenues grew 6.5 percent over the first ten months of the year, reaching USD6.6 billion.

Sharkas emphasized the "significant" role of the American University of Madaba and the quality of its academic programs, underscoring the importance of enhancing cooperation between the CBJ and the university in research, capacity-building, and academic development.

In turn, University President Mamoun Akrosh praised the CBJ’s pivotal role in maintaining monetary and financial stability, noting that its ability to navigate external challenges is a regional model.

A memorandum of understanding was signed on the sidelines of the event to expand cooperation in scientific research and student capacity-building to enhance graduate employability in the financial and banking sectors.

//Petra// AO