Jordan, Germany Sign Debt-Swap Agreement
Jordan and Germany on Sunday signed a DM25 million ($11.5 million) debt-swap agreement at a 50 percent discount rate, reports said.
The Jordanian finance ministry said in a press release that under that agreement, Jordan will spend DM12.5 million on local development projects which fall within the Social Safety Net, while Germany will scrap DM25 million of Jordan's debt.
Jordan and Germany have signed five debt swap agreements since 1995 at a total value of around $133 million at a 50 percent discount rate, said the Jordan Times.
The swap was utilized to fund water and the net's projects. Jordan's outstanding debt to Germany stands at $330 million, according to the ministry – Albawaba.com
© 2001 Al Bawaba (www.albawaba.com)