Jordan’s gross domestic and foreign debt surges 5.2% in H1

August 27, 2014 12:34 am

Jordanian Finance Ministry statistics showed Jordan’s gross domestic and foreign debt rose JD5.2% to 20bn ($28bn) in the first six months of the year from the end of last year as the kingdom tapped more foreign funds to help its economy cope with an influx of Syrian refugees, Reuters reported. The preliminary figures showed that gross net domestic debt stood at JD11.7bn at the end of June, falling from JD11.8bn at the end of 2013. Foreign debt, mostly to major Western donors and international financial institutions including the IMF, rose to JD8.38bn at the end of June against JD7.23bn at the end of 2013, the data showed. The rise was attributed to a $1bn U.S. government backed eurobond the government issued last June. Public debt has grown steadily since 2011 as the country increasingly resorted to domestic borrowing to finance rising government spending and subsidies, and pay for a higher energy import bill, issuing more Treasury bills and bonds.