Jordan Economic Monitor, Fall 2021 : En Route to Recovery

Jordan’s economy is showing a healthy recovery following a moderate contraction of 1.6 percent in 2020. Notwithstanding the restrictive pandemic measures, the economy managed to grow by 1.8 percent in the first half of 2021. Meanwhile, accommodativ...

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Main Author:	World Bank
Format:	Report
Language:	English
Published:	World Bank, Washington, DC 2021
Subjects:	ECONOMIC GROWTH LABOR MARKET FISCAL TRENDS DEBT BALANCE OF PAYMENTS MONETARY POLICY INFLATION ECONOMIC OUTLOOK WEALTH ACCOUNTING PUBLIC TRANSPORTATION
Online Access:	http://documents.worldbank.org/curated/undefined/265631639429108552/Jordan-Economic-Monitor-Fall-2021-En-Route-to-Recovery http://hdl.handle.net/10986/36748

id	okr-10986-36748
recordtype	oai_dc
spelling	okr-10986-367482021-12-22T05:11:12Z Jordan Economic Monitor, Fall 2021 : En Route to Recovery World Bank ECONOMIC GROWTH LABOR MARKET FISCAL TRENDS DEBT BALANCE OF PAYMENTS MONETARY POLICY INFLATION ECONOMIC OUTLOOK WEALTH ACCOUNTING PUBLIC TRANSPORTATION Jordan’s economy is showing a healthy recovery following a moderate contraction of 1.6 percent in 2020. Notwithstanding the restrictive pandemic measures, the economy managed to grow by 1.8 percent in the first half of 2021. Meanwhile, accommodative monetary policy by the Central Bank of Jordan (CBJ) as well as fiscal policy, continued to play an active role in supporting the economy during the pandemic, while inflation has remained low. Yet, the pandemic has left deep scars on Jordan’s labor market, exacerbating unemployment challenges, particularly for females, and the youth, which remained at an elevated level. Moreover, Jordan’s external accounts has been under pressure, reflecting the combined impact of unfavorable terms of trade, improved domestic demand and continued slack in travel receipts. Despite these pressures, the Central Bank of Jordan has been able to build up its gross foreign reserves during the first nine months of 2021, on the back of timely donor support. Accelerating global recovery, improved vaccine rollouts and near full reopening of the domestic economy are considered major drivers for this year’s growth. The World Bank projects Jordan to grow by 2.2 percent in 2021. Nevertheless, downside risks remain significant, including uneven global recovery, another potential COVID-19 wave, as well as slow recovery of international tourism. Going forward, it is critical for Jordan to enhance domestic vaccination level, balance high quality fiscal adjustment with reforms to attract private investment and improve productivity to enable a resilient recovery that can help boost inclusive and sustained growth and job creation. 2021-12-21T16:05:13Z 2021-12-21T16:05:13Z 2021-10 Report http://documents.worldbank.org/curated/undefined/265631639429108552/Jordan-Economic-Monitor-Fall-2021-En-Route-to-Recovery http://hdl.handle.net/10986/36748 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work Economic & Sector Work :: Economic Updates and Modeling Middle East and North Africa Jordan
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English
topic	ECONOMIC GROWTH LABOR MARKET FISCAL TRENDS DEBT BALANCE OF PAYMENTS MONETARY POLICY INFLATION ECONOMIC OUTLOOK WEALTH ACCOUNTING PUBLIC TRANSPORTATION
spellingShingle	ECONOMIC GROWTH LABOR MARKET FISCAL TRENDS DEBT BALANCE OF PAYMENTS MONETARY POLICY INFLATION ECONOMIC OUTLOOK WEALTH ACCOUNTING PUBLIC TRANSPORTATION World Bank Jordan Economic Monitor, Fall 2021 : En Route to Recovery
geographic_facet	Middle East and North Africa Jordan
description	Jordan’s economy is showing a healthy recovery following a moderate contraction of 1.6 percent in 2020. Notwithstanding the restrictive pandemic measures, the economy managed to grow by 1.8 percent in the first half of 2021. Meanwhile, accommodative monetary policy by the Central Bank of Jordan (CBJ) as well as fiscal policy, continued to play an active role in supporting the economy during the pandemic, while inflation has remained low. Yet, the pandemic has left deep scars on Jordan’s labor market, exacerbating unemployment challenges, particularly for females, and the youth, which remained at an elevated level. Moreover, Jordan’s external accounts has been under pressure, reflecting the combined impact of unfavorable terms of trade, improved domestic demand and continued slack in travel receipts. Despite these pressures, the Central Bank of Jordan has been able to build up its gross foreign reserves during the first nine months of 2021, on the back of timely donor support. Accelerating global recovery, improved vaccine rollouts and near full reopening of the domestic economy are considered major drivers for this year’s growth. The World Bank projects Jordan to grow by 2.2 percent in 2021. Nevertheless, downside risks remain significant, including uneven global recovery, another potential COVID-19 wave, as well as slow recovery of international tourism. Going forward, it is critical for Jordan to enhance domestic vaccination level, balance high quality fiscal adjustment with reforms to attract private investment and improve productivity to enable a resilient recovery that can help boost inclusive and sustained growth and job creation.
format	Report
author	World Bank
author_facet	World Bank
author_sort	World Bank
title	Jordan Economic Monitor, Fall 2021 : En Route to Recovery
title_short	Jordan Economic Monitor, Fall 2021 : En Route to Recovery
title_full	Jordan Economic Monitor, Fall 2021 : En Route to Recovery
title_fullStr	Jordan Economic Monitor, Fall 2021 : En Route to Recovery
title_full_unstemmed	Jordan Economic Monitor, Fall 2021 : En Route to Recovery
title_sort	jordan economic monitor, fall 2021 : en route to recovery
publisher	World Bank, Washington, DC
publishDate	2021
url	http://documents.worldbank.org/curated/undefined/265631639429108552/Jordan-Economic-Monitor-Fall-2021-En-Route-to-Recovery http://hdl.handle.net/10986/36748
_version_	1764485821463789568

Jordan Economic Monitor, Fall 2021 : En Route to Recovery

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