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Jordan negotiates 1.2-bln-USD soft loan with World Bank at low interest rate

Source: Xinhua| 2019-01-15 05:01:40|Editor: yan
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AMMAN, Jan. 14 (Xinhua) -- Jordan is in negotiations to get 1.2-billion-U.S.-dollar soft loan from the World Bank to support its fiscal and economic reforms at low interest rate, the state-run Petra news agency reported Monday.

Jordan's Minister of Finance Ezzeddine Kanakrieh said the loan will not add any burden on Jordan's public debt as it will be used to pay some outstanding debts and it will help reduce the percentage of the public debt to the gross domestic product.

The soft loan will be paid back over 30 years period with a grace period of five years, said the minister.

"The long payback period will help the treasury in managing the public debt and paying the debts with higher interest rates," said the minister.

Jordan signed an extended fund facility with the International Monetary Fund worth 700 million dollars to implement several reforms to reduce the percentage of public debt to gross domestic product.

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