Khaberni - An international economic report expects the Jordanian economy to witness an improvement in the pace of growth during 2026, with the growth rate rising to 2.9% compared to 2.4% in 2025, driven by an increase in domestic consumption, improvement in net exports, and a rebound in the tourism sector.
According to a report issued by "Fitch Solutions", translated by "Khaberni", Jordan will benefit from a recovery in demand in neighboring markets, particularly the increase in Syrian demand, alongside improved tourism movement following the ceasefire in Gaza.
The report also mentioned that monetary policy in Jordan is poised for further easing in 2026, with an expected reduction in interest rates by about 50 basis points, which supports economic activity and relatively alleviates borrowing burdens, provided that the Federal Reserve follows the same course.
On the price front, the report suggested that inflationary pressures will remain under control, benefiting from stable global food and energy prices, which allows a wider margin to support growth without significant price pressures.
In terms of the external sector, the report anticipates an improvement in Jordan's current account deficit in 2026, supported by a decrease in the energy bill, improvement in exports, and increased tourism revenues, despite ongoing challenges related to the regional environment and the global economy.
In a previous report, it is expected that the Central Bank of Jordan will continue its monetary easing cycle in 2026, in line with global monetary policy trends and in parallel with the U.S. Federal Reserve, as inflation rates remain low and controlled in the Kingdom.
A report issued by "Fitch Solutions" indicated that Jordan, along with several Gulf Cooperation Council countries, reduced interest rates during 2025 by a cumulative amount of about 75 basis points, suggesting that Jordanian monetary policy is likely to see a further reduction of about 50 basis points in 2026, should the U.S. Federal Reserve continue its monetary easing course.
The report, translated by "Khaberni", clarified that the interest rate cut is aimed at supporting economic activity and boosting credit, at a time when inflationary pressures are declining, while maintaining monetary stability.
