Amman, Apr. 18 (Petra)-- Moody's credit rating agency has affirmed Jordan’s sovereign credit rating at Ba3, maintaining a stable outlook, despite ongoing security and geopolitical tensions in the region.

In its report, the agency said the affirmation reflects Jordan’s effective economic and financial institutions, as well as government-led reforms aimed at preserving macroeconomic and fiscal stability, ensuring public debt sustainability, encouraging investment, and improving the efficiency of social spending.

Moody’s also highlighted the continued financial and technical support Jordan receives from donor countries and international institutions, including the United States, the International Monetary Fund, and the European Union.

The agency expects Jordan’s economic growth to reach around 2.7% in 2026, gradually increasing to about 3% in the medium term. It noted that growth could exceed current projections if government efforts to accelerate foreign investment projects continue effectively.

On external accounts, Moody’s projected the current account deficit to reach approximately 6%, citing ongoing regional security disruptions as a contributing factor.

Regarding public finances, the report forecast a gradual decline in public debt relative to GDP, from 83% in 2025 to 76% by 2030.

On monetary indicators, Moody’s emphasized that Jordan’s long-standing peg of the Jordanian dinar to the US dollar has helped maintain macroeconomic stability and reduce exposure to exchange rate volatility. The agency also noted that Jordan holds strong foreign currency reserves.

The report comes just days after the International Monetary Fund announced a staff-level agreement on the fifth review of Jordan’s Extended Fund Facility and the second review of the Resilience and Sustainability Facility. Moody’s said this further confirms that the Jordanian economy remains on a steady reform path, despite regional instability, supported by ongoing fiscal, monetary, and structural reforms.

//Petra// MF