Interest Rate Hike of 25 Basis Points Takes Effect Today
Agencies2 min read
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The decision to raise interest rates on all monetary policy instruments by 25 basis points has come into effect today, Monday, based on the decision of the Open Market Operations Committee of the Central Bank of Jordan.
The Central Bank said in a statement that the decision comes in line with its main goal of maintaining monetary stability, enhancing the attractiveness of the Jordanian Dinar and the competitiveness of assets denominated in it, by aligning local interest rates with prevailing trends in regional and international financial markets.
The decision came in light of the Committee's review of the most prominent economic, monetary and financial developments locally, regionally and internationally, and the monetary policy orientations of central banks, and the measures taken to deal with increasing inflationary pressures.
On the local level, the inflation rate in the Kingdom reached 2.20% during the first eight months of 2026, compared to 1.86% during the same period last year.
The latest indicators point to the robustness of monetary and banking conditions in the Kingdom and the continued recovery of economic indicators, as tourism income grew by 2.9% during the first eight months of the year, reaching about $5.6 billion, driven by the noticeable improvement during the last three months, with an average growth of about 17%.
Remittances from Jordanian workers abroad also continued their strong performance, recording a growth of 14.1% during the first seven months of the year, reaching about $3 billion.
National exports also increased by 7.2% during the same period, reaching a value of $6.6 billion.
The Central Bank affirmed the continuation of monitoring economic and monetary developments and evaluating their impact on the national economy, and taking the necessary measures to maintain monetary and financial stability, and contribute to enhancing the resilience of the national economy.
