The Open Market Operations Committee Decides to Maintain the Main Interest Rate of the Central Bank of Jordan

SadaNews - The Open Market Operations Committee at the Central Bank of Jordan held its second meeting for the year 2026, where it decided to keep the "main interest rate of the bank" at its current level of 5.75%, and to maintain interest rates on other monetary policy tools unchanged.

This decision comes as part of the commitment to the monetary stability framework of the Central Bank of Jordan, aiming to preserve economic and monetary stability, contribute to enhancing financial and economic stability in the Kingdom, and ensure appropriate alignment between local interest rates and regional and global markets.

The committee emphasizes its continued monitoring of regional and global developments affecting the current economic environment, especially in light of uncertainty and instability in the ongoing economic downturn. The committee expresses its confidence in the national economy's ability to deal with various developments, affirming that the Central Bank of Jordan is ready to take appropriate and necessary actions in a timely manner to maintain monetary and exchange rate stability, as well as financial and economic stability in the Kingdom.

The central bank's foreign currency reserves amounted to about 28.2 billion USD at the end of February 2026, a level that covers the Kingdom's imports of goods and services for nearly 9.9 months, thereby providing a comfortable buffer against external challenges. The dollarization rate in deposits has declined to 17.7% in January 2026, reflecting confidence in the Jordanian dinar.

The committee emphasized that an effective and successful monetary policy is crucial for enhancing monetary and financial stability and supporting the level of economic growth. The inflation rate remained low at 1.11% during the first two months of 2026, a level that supports economic stability and competitiveness.

Furthermore, the committee stated that the latest economic data indicates a 7.6% increase in tourism income during 2025, reaching about 7.8 billion USD in the first two months. Remittances from Jordanian workers abroad rose by 4.5% during 2025, totaling approximately 4.5 billion USD in January 2026, while exports increased by 11.9% to about 373.6 million USD. Direct foreign investment rose by 10.1% during 2025 and is expected to reach 27.7% in the first quarter of 2026 compared to 2024.

The national economy continued to achieve gradual improvement in its performance throughout 2025, with the economic growth rate rising from 2.56% in 2024 to about 2.75% during the first three quarters of 2025. The economy is expected to maintain this level of growth throughout 2025, reflecting the resilience of the Jordanian economy and its ability to preserve a stable growth trajectory amidst current regional and global challenges.