IMF satisfied with Jordan's financial, monetary achievements

A top International Monetary Fund official on Tuesday said the body is satisfied with the Jordanian government's financial and monetary achievements which have boosted confidence in the market but however "there is still an issue related to energy." Deputy Managing Director of the International Monetary Fund, Nemat Shafik, told a press conference in Amman that the fund dealt with more flexibility with the Jordanian government in this year's first review because of pressures placed on Jordan due to the massive influx of Syrian refugees to the Kingdom. "In our discussions with the government, we took into account the cost of Syrian refugees on the budget and gave the government more flexibility because of the cost," Shafik said. She noted that Jordan's tax revenue compared to GDP is the lowest in the region and has seen a decline in recent years by 5 percent due to tax exemptions. She stressed that the government must reduce borrowing and especially internal borrowing which makes the government compete with the private sector on funding sources.