Newly appointed Jordanian Prime Minister Omar al-Razzaz announced on Thursday that a contentious tax bill that has sparked a week of protests in the kingdom will be withdrawn.
Razzaz, appointed by King Abdullah II after his predecessor quit over the protests on Monday, announced after talks with legislators that an "agreement had been struck" to withdraw the IMF-backed bill.
He said the legislation would be sent back by parliament to the government once a new cabinet is formed, with that process expected to take several days.
Razzaz was ordered by the king to carry out a "comprehensive review" of the tax proposals after the country was rattled by days of protests.
"As unions, we've done our duty," said the head of Jordan's trade unions council, Ali al-Abous, after a meeting with Razzaz.
"The meeting was very positive and we felt a change in attitude," he said. "(Razzaz) promised us... that there won't be anymore decisions that fall on us like parachutes."
Crowds have taken to the streets to demand the government drop the unpopular reforms, in some of the biggest economic protests to hit Jordan over the past five years.
Doctors, lawyers and teachers staged a strike across the country Wednesday as discontent over high unemployment, poverty and price rises bubbled over.
Jordan has blamed its economic woes on instability wracking the region and the burden of hosting hundreds of thousands of Syrian refugees without adequate international support.
The tax bill was the latest in a series of austerity measures to cut national debt since Amman secured a $723-million loan from the IMF in 2016.
The controversial legislation that has sparked much of the ire would have raised taxes on employees by at least five percent and on companies by between 20 and 40 percent.
Razzaz said he would now hold “broad consultations with civic bodies over a new tax system that will not trample on citizens’ rights”.
“The priority is to consult with the MPs, senate and unions, first over the draft income tax law,” Razzaz told reporters outside the parliament building after meeting the speaker. “We will hold many meetings and by the end of today, we will be able to reach a clear vision of the future.”
Razzaz hoped this would comfort Jordanians and pledged to listen to them. “We have to take immediate measures to return to the right path,” he added.
