Amman, March 19 (Petra) -- The Open Market Operations Committee at the Central Bank of Jordan decided, during its second meeting of the year, to maintain the key policy interest rate at 5.75 percent, while keeping all other monetary policy instrument rates unchanged.
The decision aligns with the Central Bank’s monetary policy framework aimed at safeguarding monetary stability, reinforcing banking and financial sector resilience, and preserving the attractiveness of the Jordanian dinar. It also reflects efforts to ensure appropriate alignment between domestic interest rate structures and prevailing trends in regional and global financial markets.
The Committee said it is closely monitoring regional and international economic developments, particularly amid heightened global uncertainty and its potential spillover effects on the national economy.
It expressed confidence in the resilience of the national economy and the flexibility of economic policies to adapt to evolving conditions, underscoring the Central Bank’s readiness to implement timely measures to sustain monetary, banking, and financial stability.
Foreign currency reserves stood at approximately $28.2 billion at the end of February, covering nearly 9.9 months of imports of goods and services, thereby providing a strong external buffer against potential shocks.
The dollarization rate declined to 17.7 percent in January, reflecting sustained confidence in the Jordanian dinar and supporting the effectiveness of monetary policy.
Inflation remained contained at 1.11 percent during the first two months of the year, contributing to the competitiveness of the national economy and allowing room to absorb potential global price pressures.
Indicators also point to the robustness of the banking sector, with stress tests conducted by the Central Bank demonstrating banks’ capacity to operate efficiently under various scenarios, while maintaining adequate levels of capital, liquidity, and profitability.
On the external front, tourism revenues increased by 7.6 percent in 2025, reaching approximately $7.8 billion, while revenues during the first two months of this year amounted to around $1.2 billion.
Remittances from Jordanian expatriates rose by 4.5 percent in 2025 to approximately $4.5 billion, with January recording an 11.9 percent increase to about $373.6 million.
Total exports grew by 10.1 percent in 2025 to reach roughly $14.9 billion, while net foreign direct investment inflows surged by 27.7 percent during the first three quarters of 2025, totaling approximately $1.5 billion compared with the same period last year.
Economic performance continued to show gradual improvement, with growth rising from 2.56 percent in 2024 to about 2.75 percent during the first three quarters of 2025. The economy is projected to maintain this growth trajectory throughout the year, reflecting its resilience amid ongoing regional and global challenges.
//Petra// AJ
