Arab Today, arab today jordan us sign loan guarantee deal
Last Updated : GMT 22:12:54
Arab Today, arab today
Arab Today, arab today

Jordan, US sign loan guarantee deal

Arab Today, arab today

Arab Today, arab today Jordan, US sign loan guarantee deal

Amman - Petra

Jordan and the United States signed on Wednesday at the Prime Ministry a United States Government Loan Guarantee Agreement which allows Jordan to issue Eurobonds in the global financial markets. Prime Minster Abdullah Ensour, who signed the agreement on behalf of the Jordanian government, said this guarantee, which aims to support the economic and financial reform effort in Jordan, demonstrates the US\'s outstanding support to Jordan by helping the country to fulfill its financing needs from international markets at better terms. In a speech after the signing ceremony, Ensour noted that the US Government, acting through USAID, plans to provide guarantees on Jordanian government bonds for the amount of US $ 1.250 billion for a period of up to 7 years. He pointed out that this loan guarantee agreement will enhance Jordan\'s ability to borrow from international markets, while reducing its financing needs from the domestic market, providing room for the private sector to obtain the funds it needs to thrive. Ensour said this agreement will also allow Jordan to obtain external financing with competitive interest rates at par with US Government borrowing, which will reduce the Jordanian government debt service payments, but he pointed out that this effort does not mean in any way, that Jordan will give up or be lax in its reform efforts, but instead, it will make the impact of these fiscal reforms less harsh on the country\'s economy and on its people. The Prime Minister expressed Jordan\'s deepest gratitude and thanks to the US Government represented by the deputy chief of mission Stephanie Williams and the USAID mission director Beth Paige for their constant support to Jordan, especially in the extenuating circumstances that the Jordanian economy is going through. For her part, Williams said the signing of this agreement reflects commitment by the US government to support Jordan\'s economic efforts and provide the basic services for Jordanians.

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