Jordan Times
Friday, January 4, 2008

US assistance to Jordan up by 48% in 2008
By Linda Hindi


AMMAN - US economic assistance to Jordan has risen by 48 per cent this year, the American embassy in Amman said yesterday.

“Jordan is among our strongest partners and closest friends. This increased level of assistance shows the bipartisan support in America for the difficult choices Jordan has made in its homegrown reform efforts,” Ambassador David Hale said in a statement.

The 2008 Consolidated Appropriations Act passed by the US Congress and signed by President George W. Bush last week will provide $363.5 million in economic support funds and $300 million in foreign military financing.

The act authorises the US to participate in Jordan’s Paris Club discounted debt buyback operation.

“This special authorisation is to be provided on an exceptional basis in recognition of Jordan’s partnership,” the statement said.

Last October, the Paris Club agreed to a Jordanian proposal to retire at least $2.153 billion in previously rescheduled, nonofficial development assistance loans owed to Paris Club creditor countries, at an average discount rate of 11 per cent to the face value.

The face value of Jordan’s total external debt stands at around $7.051 billion; of the total debt, more than half ($4.385 billion) is owed to Paris Club creditor countries.

US participation in the buyback operation accounts for $361 million.

Last year, total US economic assistance to Jordan stood at $255.3 million with $206 million provided for military aid, according to the embassy.

USAID Jordan Mission director Jay Knott noted that there is an outstanding working relationship between the agency and the government of Jordan stakeholders, specifically the Ministry of Planning and International Cooperation, which has been a key partner in this regard.


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