Despite facing a set of extraordinary external and internal challenges over the past several years, the Jordanian economy remained resilient in 2015, with real GDP growth reaching 2.4% that year. The government is working with the IMF to implement fiscal reform policies, supported by low global oil prices, to reduce the kingdom’s fuel import bill, which should have seen GDP growth and major macroeconomic indicators post a moderate improvement in 2016.
- Economy – Looking Forward: While GDP growth fell to a six-year low in 2015 as Jordan grappled with a rising refugee population, the banking and industrial sectors continued to perform well. Though public debt has risen markedly since 2011, the outlook for 2016 is positive, with the IMF projecting real GDP growth will reach 2.8%.
- Energy – Staying Power: Jordan’s hydrocarbons shortfall has led its energy industry to become one of the most progressive and dynamic in the region, with renewables development and nuclear energy set to significantly boost domestic capacity and reduce the kingdom’s fuel bill in the coming years.
- Financial Services – Credit Growth: Innovations in the banking sector and the spread of e-payments have driven an increase in cashless transactions and expanded loan books.
- Industry – Steady Progress: The government has been actively helping manufacturers and heavy industry through incentives and promotional campaigns. Recognising that the segment is vital to the kingdom’s long-term development plans, and to the industrial sector specifically, this support looks set to continue and expand.
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