The Open Market Operations Committee of the Central Bank of Jordan (CBJ) held its second meeting of 2025, where it decided to keep interest rates on all monetary policy instruments unchanged at their current levels.
The committee discussed extensively economic, monetary and financial developments locally, as well as reviewed developments in the economic environment regionally and globally. The currant economic indicators confirmed the strength of monetary stability and the resilience of the Jordanian banking sector, supported by a comfortable level of foreign reserves of the Central Bank, which exceeded 21 billion US dollars at the end of February 2025.
The figures also showed that the inflation rate remained low at 2.2% tell the end of last February, with expectations of stability at the same level for the year 2025, which contributes to maintaining purchasing power and enhancing the competitiveness of the national economy.
As for the banking sector, the data showed a positive growth that reflects the strength of this sector and confidence in it, as the deposits grew by 6.8% year-on-year to reach about 47 billion JD at the end of January 2025, and the credit facilities granted by banks increased by 4.8% to reach about 35.1 billion JD, which confirms the vital role of the banking sector in providing the necessary financing for economic activities, especially investments that contribute to supporting sustainable economic growth.
In terms of external sector performance, the indicators continued to improve positively, as tourism sector revenues increased by 16.3% during the first two months of 2025 to reach about $ 1.3 billion compared to the same period last year, which reflects the start of recovery for this vital sector. Remittances also increased by 1.2% in January 2025 to reach about $320 million. In the same context, total exports increased by 5.8% during 2024, reaching $ 13.3 billion. Preliminary estimates indicate that the volume of foreign direct investment flowing into the Kingdom will reach about $ 1.6 billion in 2024, which reflects investor confidence and the attractiveness of the investment environment in the Kingdom.
Economical, the GDP recorded a growth of 2.4% at the end of 3rd quarter of 2024, and expectations indicate stability around the same level for the full year, with an expected relative acceleration to reach about 2.7% during 2025, driven by the improvement of domestic and external demand, especially investment, and the continued positive performance of various economic sectors.
The CBJ affirms its continuous keenness to follow up on economic, monetary and financial developments at the local and international levels, and is committed to taking all necessary measures to maintain monetary and financial stability, and contain inflationary pressures within acceptable levels.
