EU lists rule of law concerns for Hungary, Poland key to unlocking COVID funds
The European Commission, on behalf of the EU, has provided € 250 million in macro-financial assistance (MFA) to Jordan. The disbursement comes in part from the € 3 billion emergency MFA program for ten enlargement and neighborhood partners, which aims to help them limit the economic fallout from the COVID-19 pandemic (program d ‘AMF COVID-19), and part of Jordan’s € 500 million third party. AMF program (MFA-III program), which was approved in January 2020. The first disbursement of 250 million euros in favor of Jordan under these two AMF programs took place in November 2020.
Economic Commissioner Paolo Gentiloni said: “Today’s disbursement of 250 million euros demonstrates the continued solidarity of the European Union with the Jordanian people. These funds, released after the fulfillment of the agreed political commitments, will help the Jordanian economy to emerge from the shock caused by the COVID-19 pandemic. “
Jordan has fulfilled the political conditions agreed with the EU for the disbursement of € 250 million under the AMF COVID-19 program and the AMF-III program. These included important measures to improve public financial management, accountability in the water sector, measures to increase labor market participation and measures to strengthen good governance.
In addition, Jordan continues to meet the preconditions for granting MFA with regard to respect for human rights and effective democratic mechanisms, including a multi-party parliamentary system and the rule of law; as well as a satisfactory record under the IMF program.
With today’s disbursement, the EU has completed four of the 10 MFA programs of the € 3 billion COVID-19 MFA program. In addition, the third and final tranche of the AMF-III program for Jordan, amounting to € 200 million, will follow once Jordan has fulfilled the agreed commitments.
The Commission continues to work closely with all its AMF partners on the timely implementation of agreed policy programs.
The AMF is part of the EU’s broader engagement with neighboring partners and enlargement partners and is intended to be an exceptional instrument for responding to crises. It is available to EU enlargement and neighborhood partners facing serious balance of payments problems. It demonstrates the EU’s solidarity with these partners and support for effective policies in a time of unprecedented crisis.
The decision to grant MFA to ten enlargement and neighborhood partners in the context of the COVID-19 pandemic was proposed by the Commission on April 22, 2020 and adopted by the European Parliament and the Council on May 25 2020.
In addition to the MFA, the EU supports partners in its neighborhood policy and the Western Balkans through several other instruments, including humanitarian aid, budget support, thematic programs, technical assistance, facilities mix and guarantees from the European Fund for Sustainable Development to support investments in the sectors most affected by the coronavirus pandemic.
This MFA program is part of an overall EU effort to help Jordan alleviate the economic and social impact of regional conflicts and the presence of large numbers of Syrian refugees, which has since been exacerbated by the COVID-19 pandemic. This commitment is in line with the priorities of the EU-Jordan partnership (currently being updated), as confirmed at the fifth Brussels conference on the future of Syria and the region on 29-30 March 2021 and by the committee EU-Jordan Association on May 31, 2021..
Overall, the EU has mobilized over 3.3 billion euros for Jordan since the start of the Syrian crisis in 2011. In addition to the MFA, EU funding in response to the Syrian crisis includes humanitarian aid, as well as longer-term resilience and development support in affected areas. such as education, livelihoods, water, sanitation and health, addressed to Syrian refugees and Jordanian host communities.
Macro-financial assistance to Jordan
COVID-19: Commission proposes € 3 billion in macro-financial assistance to support ten neighboring countries
Decision of the European Parliament and of the Council on the granting of macro-financial assistance to enlargement and neighborhood partners in the context of the COVID-19 pandemic
EU pays € 400 million to Jordan, Georgia and Moldova
Follow Commissioner Gentiloni on Twitter: @PaoloGentiloni
Follow DG ECFIN on Twitter: @ecfin