The Jordan Times

by Omar Obeidat

Oct. 2/ 2012 - AMMAN – Jordan and the US on Monday signed five grant agreements worth $356.9 million (JD252.6 million), upping Washington’s overall assistance for this year to $474 million (JD335 million).

The grants, presented by the United States Agency for International Development (USAID) under the regular assistance for 2012, will support various sectors, including the budget, education, economic growth and development, health and good governance in addition to water and environment. 

Minister of Planning and International Cooperation Jafar Hassan said $184 million, or 51 per cent of the assistance, will go to support the budget by funding priority development schemes included in the government’s spending bill, which he said will help narrow the deficit. 

The budget deficit forecast for this year is around JD1.2 billion (around $1.7 billion).

Hassan noted that the funds would be transferred to the Treasury before the end of this year. 

The agreements were signed by Hassan and US Ambassador to Jordan Stuart Jones along with Beth Paige,  USAID mission director in Jordan.

Under the deals, $70.2 million will be allocated to support the sectors of education and health by spending around $47 million on building and renovating public schools, and $19.8 million on improving health services. 

In the field of governance, $27.9 million will be allocated to implement several ongoing programmes in the fields of justice, good governance and civil society.  

Among the assistance deals, the US will provide over $47 million to finance a number of development projects to generate jobs and boost trade and investment as well as tourism and enhance the performance of the private sector. 

The two sides also signed a grant agreement worth $26.9 million to complete priority projects in the fields of environment and water.

Jones said the $356 million assistance reflects the strong commitment of the US towards Jordan, saying the aid will help address the Kingdom’s ongoing development challenges such as job creation, limited water and energy resources and access to quality education. 

Early last month, Jordan and the US signed an agreement for an additional grant worth $100 million to help the Kingdom address its fiscal difficulties and continue its humanitarian services to Syrian refugees, while on September 20, the US granted Jordan 50,000 tonnes of wheat valued at $17 million.