Jordan has withdrawn 91% of 2012 GCC grant

(File photo: Jordan News)
AMMAN — As of the end of 2022, Jordan had withdrawn JD2.41 billion out of JD2.63 billion pledged by a number of Gulf Cooperation Council (GCC) member states in 2012 — about 91 percent of the promised funding.اضافة اعلان

According to a report by the Ministry of Planning and International Cooperation on the progress of projects funded by the GCC grant, the funds came from various sources: JD823.7 million from Saudi Arabia, JD886.2 million from Kuwait, and JD701.9 million from the United Arab Emirates, the Jordan News Agency, Petra, reported.

The remaining amount of the grant now stands at JD216 million.

Grant allocationsThe GCC grant earmarked JD619 million for road infrastructure projects, JD415 million for energy project financing, JD312.5 million for the Kingdom’s health sector, and JD376.9 million for financial support of local development projects.

Additionally, the grant allocated JD213.5 million for water and irrigation projects and JD44.9 million for transportation sector projects. The funding for both categories has been completely withdrawn. Meanwhile, JD180 million was earmarked for higher education, JD131.7 million for school education, JD94 million for investments, and JD26.5 million for the communications sector.

The allocations for all funded projects included in the budget for the year 2022 amounted to about JD52.79 million, according to the report.

Capital projectsIn 2011, GCC heads of state decided to offer Jordan a $5 billion (JD3.5 billion) grant to be paid over five years by four countries: Saudi Arabia, the UAE, Kuwait, and Qatar, with a contribution of $1.25 billion from each of the four countries. The projects submitted for funding were divided into two categories.

The first category was capital projects included in the 2012 General Budget Law, with a total value of $3.175 billion — 63.5 percent of the total Gulf grant.

The report indicated that these projects have contributed to reducing the budget deficit, alleviating the financial burden on the government, and facilitating the implementation of ongoing developmental projects, which has enabled the government provide services efficiently and effectively.

Executive development projectsThe second category included projects listed in the Executive Development Program for 2011–2013, with a total value of $1.825 billion — 36.5 percent of the total grant.

These projects have contributed to advancing and upgrading priority sectors such as energy, water, and local development, and have supported the government in facing challenges related to the high cost of imported energy, improving water supply in the governorates, achieving balanced development across all governorates by bolstering least-developed ones, and reducing the unemployment rate by creating new jobs.

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