Jordan plans to issue $1bn in eurobonds

07 April 2014

Government looking to issue US-guaranteed bonds at the end of June

Jordan plans to issue $1bn in US-guaranteed eurobonds, according to the state-run Petra News Agency.

Umayya Toukan, the country’s Finance Minister, said he will meet US Department of Treasury officials next week to make preparations for the issuance. The bonds are expected to be issued at the end of June.

The Jordanian economy has suffered under the impact of the Syrian war, high oil prices, disrupted gas supplies from Egypt and the global economic slowdown, Toukan said.

But that is set to improve in the coming year. According to a report published in June by the Washington-based IMF, growth is projected to gradually increase to 3.5 per cent in 2014, and to 4.5 percent in the medium term.

Inflation is expected to decline to about 2.5 percent by 2014, and 2 percent in the medium term. The current account deficit, including grants, is set to gradually improve to about 4.5 percent of GDP over the medium term, as Jordan looks to lower its energy import bill.

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