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Jordan’s treasury bonds’ issue falls by 55 per cent

Debt securities worth JOD75 million issued by government for five years at an interest rate of 3.705 per cent

The value of treasury bonds issued by the Central Bank of Jordan fell since the beginning of this year by JOD2.025 billion compared with the same period last year.

The total bonds, with which the government financed its deficit since the beginning of 2015 and until September 14, amounted to JOD1.65bn, compared with JOD3.675bn in the same period last year. This represents a decline of 55 per cent, Alghad reports.

The last auction for government bonds was the day before yesterday, as the government sold Treasury bonds worth JOD75 million for five years at an interest rate of 3.705 per cent.

The government is always looking for ways to reduce its internal debt for two main reasons: the first is to avoid crowding out the private sector’s access to credit facilities and the second is to reduce internal debt, which is one of the objectives of the economic reform programme between the government and the International Monetary Fund.