Jordan Times
Wednesday, June 9, 2004
Growth accelerates to 6.9% in fixed prices during first quarter of 2004
Manufacturing sector was the foremost factor for growth
AMMAN (Petra) — The economic growth rate
accelerated to 6.9 per cent in fixed prices or 10.7 per cent in current prices
during the first quarter of this year compared to a growth rate of 2.8 per cent
in fixed prices or 4.1 per cent in current prices during the same period of last
year, according to the Department of Statistics (DoS).
According to the DoS figures, the inflation rate measured by deflated gross
domestic product (GDP) stands at 3.6 per cent compared to 3.1 per cent during
the corresponding period of last year.
Planning and International Cooperation Minister Bassem Awadallah said the
results show that the economy has recovered from the adverse impact of regional
instability and the repercussion of the US-led war against Iraq.
The latest economic indicators also reflect the soundness of the country's
economy and its ability to face regional and international adverse conditions,
he added.
The minister attributed the growth achieved to the country's reform policies
adopted during the past few years.
Awadallah also credited the high growth to the different programmes implemented
by the government to foster economic and social productivity and to help the
private sector play a larger role in the country's economic drive.
Efforts to expand the country's exports also contributed to propelling the
economic drive, remarked Awadallah.
The minister said he expects the economy to register better performance rates
during the rest of the year, particularly in the aftermath of the war against
Iraq and in light of continued growing exports as well as the government's
support of different economic projects.
Awadallah indicated that the real growth recorded during this year's first
quarter resulted from that achieved by several sectors including the
manufacturing industries, electric services, construction, transport,
telecommunications, wholesale and retail trade, restaurants and hotels as well
as taxes on products which combined to provide 6.4 percentage points or 92.8 per
cent of the achieved growth rate.
In addition, Awadallah underlined the contribution of the manufacturing
industries as being the foremost factor fo the growth.
The manufacturing sector grew during this year's first quarter by 17.1 per cent
in fixed prices compared to 0.9 per cent during the same period last year, in
light of high demand brought about by the agreements Jordan signed with other
countries.