Standard & Poor's affirms Jordan's long-term sovereign credit rating at "BB-" with a stable outlook.
The rating affirmation was based on the agency's expectation that Jordan can manage regional and global economic developments, as well as secure alternative funding sources such as the IMF, World Bank, and EU. The agency highlighted the stable outlook for the Jordanian economy, bolstered by financial and economic reforms and resilient economic growth. The agency forecasts Jordan's GDP growth to be 2.7% in 2025, with further growth to 3% in 2026-2027.
Jordan's Minister of State for Economic Affairs, Muhannad Shihada, emphasized that the government is committed to implementing major projects that will boost economic growth and job opportunities, thereby enhancing macroeconomic stability and public finance sustainability.
Jordan's Minister of Planning and International Cooperation, Zeina Touqan, noted that international support and ongoing structural reforms have reinforced the resilience of the Jordanian economy, maintaining steady growth despite regional developments. These efforts have also helped strengthen international confidence in Jordan's national economy.
On fiscal matters, the agency expects the budget deficit to decrease to 2.3% of GDP in 2025, down from 2.8% in 2024. It also projects a gradual decline in the debt-to-GDP ratio in the coming years.
Jordan's Minister of Finance, Abdul-Hakim Al-Shibli, stated that the affirmation of Jordan's credit rating by Standard & Poor's reflects the trust in the national economy despite recent events, including regional security issues and global economic developments. He also highlighted the impact of financial and economic reforms inspired by the Economic Modernization Vision, including decisions made in late 2024 that have boosted revenues.
Regarding monetary policy, the agency noted that the peg of the Jordanian dinar to the US dollar has contributed to price stability and inflation control. Inflation is expected to remain at acceptable levels in 2025, at 2.2%. The current account deficit is also expected to decrease to 4.5% of GDP in 2024, its lowest level since 2019.
Governor of the Central Bank of Jordan, Adel Sharqis, commented that the decision to affirm Jordan's credit rating reflects the growing confidence of international financial institutions in the country's economic foundations and the effectiveness of its policies. He emphasized that ongoing economic reforms and the clear roadmap for economic modernization will enhance the country's economic resilience and competitiveness, supporting medium-term growth beyond 3.5%.
