The Council of the European Union officially approved on Monday a decision to provide €500 million in macro-financial assistance to Jordan in the form of concessional loans. The goal is to support the Kingdom’s economic stability and back its reform agenda amid rising internal and external challenges.
اضافة اعلان
This support comes in response to a request submitted by the Jordanian government in October 2023. The funds are intended to help Jordan cover its external financing needs and expand its fiscal space to continue implementing critical reforms.
The assistance will be made available over two and a half years, disbursed in three installments as concessional loans with long repayment periods and the possibility of a grace period.
The disbursement of each installment will be tied to Jordan’s progress in implementing specific reforms outlined in a Memorandum of Understanding (MoU) to be signed between Jordan and the European Commission.
The decision will come into effect three days after its publication in the Official Journal of the European Union.
Since 2013, the EU has provided €1.08 billion in macro-financial assistance to Jordan through three previous MFA programs. The most recent, MFA-III (2020–2023), allocated €700 million to support key reforms in public finance management, social policies, and governance.
The EU and Jordan have been linked through a Partnership Agreement since 2002, and in 2022, they signed a set of Partnership Priorities aimed at enhancing cooperation and setting a roadmap for bilateral relations through 2027.
The EU’s continued support also helps Jordan cope with the repercussions of the Syrian war, including the significant burden of hosting large numbers of refugees.
— (Al-Mamlaka)
