São Paulo – Jordan’s economy is expected to grow by 1.8% in 2021 and rise to 2.0% in 2022, according to a World Bank report. The estimate was published in the “2021 Global Economic Prospect”, Petra News Agency reported on Thursday (7). Pictured above, olive production in Jordan.
In the study, the World Bank added that the economic activity in the Middle East and North Africa is forecast to advance by 2.1% this year, reflecting the lasting damage from the COVID-19 pandemic and low oil prices, an important industry for the region’s economy.
According to Petra News, among oil exporters, growth is expected to recover to 1.8% this year. The report notes, however, that this is contingent on the containing of the pandemic, stabilizing oil prices, no further escalation of geopolitical tensions, and the assumption of a vaccine rollout in the second half of the year.
The World Bank added that a downturn in oil prices, excessive volatility, or an extension of the OPEC+ oil production cuts could hinder growth in oil-exporting emerging market and developing economies in the region. OPEC+ is composed by the Organization of the Petroleum Exporting Countries (OPEC) and others.
Oil importers could also be affected by a downturn in oil prices through lower remittances and a decline in foreign direct investment from oil exporting countries in the region. The World Bank has foreseen that the world economy will expand 4%, assuming an initial COVID-19 vaccine rollout becomes widespread throughout the year.
Translated by Guilherme Miranda