Saudi Arabia Grants Jordan $1 Billion for Budget, Al Arab Says

Saudi Arabia granted $1 billion to support Jordan’s economy and cover its budget deficit, the Amman-based Al Arab Al Yawm newspaper reported today.

The donation increases to $1.4 billion the total amount of Saudi grants to Jordan this year, the newspaper said, citing an unidentified official. Saudi Arabia is due to give additional assistance to Jordan, including oil grants at preferential prices, it said.

Jordan, one of the smallest economies in the Middle East, imports almost all of its energy needs and relies on foreign investment and grants to support its budget and current-account deficits. The government has increased public salaries, subsidies and purchases of oil products since protests broke out as part of this year’s regional turmoil.

To contact the reporters on this story: Mohammad Tayseer through the Amman newsroom at nrazzouk2@bloomberg.net.

To contact the editor responsible for this story: Riad Hamade at rhamade@bloomberg.net.