Fiscal Policy
Narrow macroeconomic imbalances and manage risks
Due to limited fiscal space which is reflected to be one of the key constraints in meeting Jordan's growth objective and development aspirations, this Pillar is implementing several reforms to enable Jordan to preserve debt sustainability and maintain monetary and financial sector stability.
Reform Area
1.1 FISCAL FRAMEWORK FORMULATION
Achieved
2018 – 2023
GoJ’s Macro-fiscal Framework developed (first copy)
Public Financial Management Strategy 2022 – 2024 published
Medium-Term Fiscal Framework developed and appended with the General Budget Laws
In Progress
2024
GoJ’s Macro-fiscal Framework developed (second copy)
First Macro-Fiscal outlook and Risk Report Published
Reform Area
1.2 DOMESTIC REVENUE MOBILIZATION
Achieved
2018 – 2023
Sales tax exemptions reduced
Full taxes increased
Hybrid car fuel subsidies reduced
New Income Tax Law adopted
Medium Term Revenue Mobilization policy approved
Transfer pricing mechanism amended
Taxation rules introduced in GST Law
ASEZA’s Law amended to expand jurisdiction of ISTD and Customs to cover Aqaba Special Economic Zone
Anti-smuggling of cigarettes mechanism implemented
National Billing System introduced
In Progress
2024
National Billing Program and National Tax Accounting Program launched
Electronic audit of tax returns through artificial intelligence implemented
Implementation plan and roadmap for reform projects and programs within the strategic plan developed
Reform Area
1.3 DEBT MANAGEMENT
Achieved
2018 – 2023
Debt Management Strategy (2019 – 2023) updated to include contingent liabilities
In Progress
2024
Debt Management Strategy (2020 - 2024) updated and published
Line Agencies
