World Bank provides Jordan with 725-mln-USD loan payment

Source: Xinhua| 2019-06-12 00:11:38|Editor: Mu Xuequan
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AMMAN, June 11 (Xinhua) -- The Central Bank of Jordan (CBJ) received on Tuesday a 725-million-U.S. dollar payment of a 1.45-billion-dollar loan from the World Bank.

Minister of Planning and International Cooperation and Minister of State for Economic Affairs Mohamad Ississ said in a statement that the payment will be used to repay the one-billion-dollar worth of Eurobond issuance due this month.

Sources said the planning ministry will cover the remaining amount through a dollar-denominated local bond issuance.

Last week, the World Bank Group's Board of Executive Directors has approved a 1.45-billion-dollar financing package to Jordan, aimed at stimulating inclusive growth and creating jobs.

The Second Equitable Growth and Job Creation Development Policy Loan (DPL2) contributes through "far-reaching and progressive reforms to launching Jordan as a country open for business."

The new package is designed to disburse in two equal tranches to support the government's new economic plan for growth and to allow adequate time for completion of necessary additional reforms that are central to the achievement of the program's overall results.

The interest rate on the loan is 4-percent with a 4-year grace period under a maturity period of 34 years.