Amman: In both local and foreign currency, sovereign credit rating agency Standard and Poor's affirmed that Jordan's long-term sovereign credit rating at BB- with a stable outlook has been confirmed.
According to Jordan News Agency, the rating was upheld due to Jordan's resilience in the face of recent regional security instability, macroeconomic stability, advancements in economic and financial reforms, and robust international backing. The agency's analysis suggests that regional changes, a rebound in the travel and tourism industry, and a slow uptick in trade with Syria and Iraq will all contribute to Jordan's economy's 2.6% growth in 2025. In 2026 and 2027, growth is anticipated to be 3% and 3.1%, respectively.
In terms of public finance metrics, the agency projects that the consolidated budget deficit will drop from 2.8% of GDP in 2024 to 2.4% of GDP in 2025. In the upcoming years, the agency also anticipates a modest drop in the debt-to-GDP ratio. The agency pointed out that linking the Jordanian dinar to the US dollar has helped to control inflation rates and maintain price stability in terms of monetary indicators. According to the agency, inflation rates will hit 2.0% in 2025 and stay within reasonable bounds.