Another year of strong economic growth expected.

(From Gulf News)

Byline: Henry T. Azzam, Special to Gulf News

The Jordanian economy performed exceptionally well in 2004, with real GDP growth estimated at more than 7 per cent, the highest achieved since 1992.

Last year's growth compares favourably with the 3.4 per cent growth in 2003, 5.1 per cent in 2002, and an average of 4.3 per cent per year for the period 2000-2003.

The surge in business confidence, the expansionary fiscal policy, the increase in exports (especially to the United States), higher capital inflows (especially from Iraqis), the rise in consumer lending all these should make 2005 a year of strong economic performance.

The higher remittances from Jordanians working in the Arabian Gulf and the financial aid that the country is receiving will also contribute to this. Real GDP growth is likely to exceed 6 per cent, with nominal GDP growth of 8 per cent and per capital income of JD 1,500 (Dh7,770). Jordan needs to maintain real GDP growth in excess of 6 per cent in order to absorb new labour market entrants.

All economic sectors performed well in the first three quarters of the year. The best performer was the construction sector, which grew by 19.9 per cent compared to a year ago level.

The manufacturing sector rose by 15 per cent, and the transport …