Germany approves $100m loan for Jordan

German Chancellor Angela Merkel yesterday has pledged a $100 million loan to the Kingdom of Jordan in order to help implement reforms required by the International Monetary Fund (IMF).

“We know that this is a difficult period in which the fruits of the reforms will come later,” Merkel told reporters during a joint press conference with King Abdullah II following their meeting in Amman.

In early June, Jordan witnessed a week-long strike and protest against the rising cost of living and a new income tax bill. The protests led to the resignation of Prime Minister, Hani Mulki.

Targeting Jordan’s stability as part of the deal of the century

Merkel arrived in Jordan on Wednesday night and held talks with King Abdullah II before heading to neighbouring Lebanon.

Meanwhile, King Abdullah told reporters that the Israeli-Palestinian conflict is still the main issue in the region, noting that Germany and the European Union have a major role to play in advancing peace efforts based on the two-state solution.