New World Bank Group Program to Help Jordan Weather External Shocks

New World Bank Group Program to Help Jordan Weather External Shocks

New World Bank Group Program to Help Jordan Weather External Shocks

The FINANCIAL -- The World Bank Group (WBG) has unveiled an ambitious program to help Jordan implement its long term development agenda in an uncertain and conflict prone regional environment.

The Country Partnership Framework (CPF) charts a development strategy for the years 2017 through 2022 with the overarching objective of helping Jordan renew its social contract and promote economic and social inclusion.

The Jordan CPF was presented to the World Bank’s Board of Directors along with a separate strategy for Lebanon in recognition of the broad similar regional challenges facing the two countries, notably the impact of the Syrian conflict and the refugee crisis, according to the World Bank.

“The new strategy for the World Bank Group’s engagement in Jordan promotes an ambitious agenda for growth, jobs and social inclusion. It also aims at helping Jordan to address the Syria crisis and large ensuing influx of refugees,” said Hafez Ghanem, the World Bank’s Vice President for the Middle East and North Africa.

The Jordan CPF, which was jointly prepared with the International Finance Corporation (IFC) and Multilateral Investment Guarantee Agency (MIGA), aims at addressing Jordan’s immediate needs in view of the fluid and worsening regional situation, while keeping a medium- and long-term development commitment. This commitment builds on an economic reform plan that seeks to create the right environment for inclusive, job-creating growth. This would help strengthen Jordan’s resilience to shocks, thereby mitigating rising vulnerabilities in the short term while reducing the country’s dependence on external support in the long term.

“We see great opportunities for Jordan to ramp up private sector participation in its economy. We have seen this happening in the renewable energy space, with Jordan becoming a model in the region in attracting private investments into the renewable energy space,” said Mouayed Makhlouf, IFC Director for the Middle East and North Africa. “IFC will continue to support investments in renewable energy, as well as other sectors where Jordan has a competitive advantage. Increasing access to finance for micro, small and medium enterprises is another focus for IFC in the country and we will continue to support this sector through investments and advisory services. “

In cooperation with other regional and international development partners, the WBG is deploying concessional resources to help Jordan respond to the impact of the Syrian refugee crisis through an exceptional $100million International Development Association (IDA) allocation and the recent establishment of the Concessional Financing Facility.