Jordan’s trade balance deficit dips 11% in Q3

Jordan witnessed an 11 percent decrease in its trade balance deficit in the first nine months of 2023 compared to the same period of the previous year, official figures have revealed.

The monthly report on external trade released by the Jordanian Department of Statistics showed the gap between imports and exports stood at 7.08 billion dinars ($9.99 billion), compared to 7.96 billion dinars in the same period in 2022.

The data revealed that the country’s exports in the first three quarters of this year amounted to 6.76 billion dinars, with imports totaling 13.84 billion dinars.

Examining specific commodities, precious ornaments, jewelry and pharmaceutical products played a crucial role in mitigating the decline in exports, while crude oil and its products, as well as precious ornaments and jewelry, contributed to the reduction in import values.

The report also indicated a notable rise in national exports to countries within the Greater Arab Trade Zone, particularly to Saudi Arabia, which increased by 22.4 percent from 626 million dinars in the first three quarters of 2022 to 766 million dinars in the same period of 2023.

However, national exports to North America, particularly those under the North American Free Trade Agreement, witnessed a decrease.

On the import side, there was an increase in import values from NAFTA countries, notably the US, and Asian countries, including China, while imports from the Greater Arab Trade Zone countries, especially Saudi Arabia, experienced a decline.

National exports experienced a marginal decline of 2 percent during the first nine months of 2023, while imports and re-exports recorded more substantial reductions at 7 percent and 7.3 percent, respectively.

Consequently, the overall trade balance deficit saw a reduction of 11 percent during this period. The percentage of total export coverage of imports rose to 49 percent, a 2 percentage point increase from the same period in 2022.

Breaking down the data for September 2023, total exports amounted to 680 million dinars, with national exports at 628 million dinars and re-exports at 52 million dinars.

Meanwhile, imports for the same month reached 1.55 billion dinars, resulting in a trade balance deficit of 866 million dinars.

The report showed that September 2023 witnessed a decline in total exports by 17.1 percent, national exports by 17.6 percent, imports by 14.7 percent, and the trade balance deficit by 12.7 percent.

The percentage of total export coverage of imports decreased by 1 percentage point, reaching 44 percent.