The Saudi Fund for Development and the Jordanian government signed an agreement Monday to reschedule the repayment of $114 million debt.
The agreement, signed by Jordan’s Finance Minister Ezzedin Kanakriyah and SFD Deputy Chairman and Managing Director Khalid bin Sulaiman al-Khudairy, aims to help Jordan reduce its overall public debt and overcome the economic crisis.
Saudi Arabia’s ambassador to Jordan, Prince Khaled bin Faisal bin Turki, Jordan’s Minister of Planning and International Cooperation Mary Kawar, and Jordanian Central Bank Governor Ziad Fariz, were also present at the signing ceremony.
The two parties also signed another agreement that will enable the Jordanian government to spend money directly on development projects financed by a Saudi Arabian grant, as part of a Gulf grant to Jordan through an account with the Central Bank of Jordan.
This agreement aims to provide liquidity as quickly as possible and avoid the challenges associated with financial ceilings in the Jordanian general budget.
Minister Kawar praised the deep relations and strong ties between the two countries which were cemented by Custodian of Two Holy Mosques King Salman and King of Jordan Abdullah II.
Ambassador Prince Khaled highlighted the long-standing ties between the two countries and said that the Kingdom will continue to stand by Jordan and help support its economy.
Jordan thanked Saudi Arabia, its leadership, government, and people, for their continued support and contribution to this Gulf grant, which is worth $1.25 billion for strategic and high-priority projects.
In addition, Saudi Arabia contributed to a package of aid to Jordan within the framework of the Makkah Summit, as well as supporting the Jordanian government’s development efforts to ease the burden of hosting refugees through a grant of $100 million.
SFD is considered a key partner of the Hashemite Kingdom of Jordan, which is one of the first countries to benefit from the Fund’s assistance provided through soft loans during the past years.
The Fund financed 20 projects of economic and social priority amounting to about $488.1 million between 1975 and 2017. The projects funded varied between infrastructure and social projects sector such as health and education, as well as water and energy sector.
