MAYJUNOCT
12
201520162017
45 captures
07 Feb 2016 - 14 Apr 2021
About this capture
Login Create new account
Read JT PDF Version

About Us
Contact us
Advertise
Weather, Amman
Today, June 12, 2016
13 c° / Sunny
M
Home
Local
Region
World
Business
Sports
Features
Opinion
Letters
What's On
Home » Local » Syrian refugees cost Kingdom $2.5 billion a year — report
Syrian refugees cost Kingdom $2.5 billion a year — report
By Khetam Malkawi - Feb 06,2016 - Last updated at Feb 06,2016
AMMAN — The influx of more than 630,000 Syrian refugees into Jordan has cost the Kingdom over $2.5 billion a year, according to the World Bank's estimates.
The estimated cost amounts to 6 per cent of Jordan's gross domestic product (GDP) and one-fourth of the government’s annual revenues, said the World Bank’s latest Quarterly Economic Brief (QEB), which was sent to The Jordan Times on Friday. 
Jordan and Lebanon — which, along with Turkey, are bearing the global responsibility of hosting Syrian refugees — are facing tremendous fiscal pressures, the QEB said. 
The World Bank announced last week that it plans to offer $200 million in concessional financing to Jordan and Lebanon in response to the Syrian refugee crisis.
According to the report, countries bordering conflict zones, many of which are already in fragile situations, are facing tremendous budgetary pressure. 
The World Bank said the Kingdom’s estimates show that each refugee costs the Jordanian government $3,750 (JD2,500) per year. 
“The influx of more than 630,000 Syrian refugees is thus estimated to have cost Jordan over $2.5 billion a year,” the report said. 
“Under this situation, government debt is accumulating fast — estimated at 90 per cent of GDP in 2015,” the report added.
According to the latest population census conducted late last year, 1.26 million of Jordan’s population are Syrians, but only 50 per cent is registered as refugees.
The World Bank’s QEB indicated that unemployment rates in Jordan increased to 12.5 per cent in the first half of 2015, compared to 11.4 per cent during the same period in 2014. 
It added that increased insecurity and uncertainty have lowered foreign and domestic investments in Jordan and Lebanon as well.
In Jordan, it explained, investment as a share of the GDP declined to an estimated 27.4 per cent in 2015, from its peak of 28.1 per cent in 2013.
“These factors are expected to keep growth between 2.5-3.8 per cent in 2016 and 2017 for both countries [Jordan and Lebanon], well below their potential.”
Remittances have also taken a hit in countries such as Egypt, Lebanon, and Jordan that rely heavily on flows from Gulf Cooperation Council countries and others. 
“Jordan is in the same situation with growth in remittance inflows dropping from 4 per cent in 2013 to 2 per cent in 2014 and 2015,” the report said.
The Syrian war has also affected the standard of living in neighbouring countries, with per capita average incomes lower by an estimated 1.1 per cent in Lebanon and 1.5 per cent in Turkey, Egypt, and Jordan, relative to the levels that could have achieved had the war been avoided, the report stated. 
For Egypt, Jordan, and Turkey, the opportunity costs of foregone trade integration are larger than the direct costs, the World Bank added.
In Jordan, Lebanon and Turkey, more than 700,000 Syrian refugee children are unable to attend school because the current educational infrastructure cannot cope with the additional load, or — in the case of Turkey — because of language barriers.
In a statement sent to The Jordan Times, the World Bank said the QEB for the Middle East and North Africa has revised estimates of economic growth at 2.6 per cent in 2015, falling short of expectations from the 2.8 per cent predicted in October. 
Constrained by war, terrorism and to some extent cheap oil, short-term growth prospects remain “cautiously pessimistic”, the statement said, adding that the report examines the different ways in which civil wars are affecting the economies of the region, including the important channel of forced displacement, which has become a crisis. 
It also explores how economic fortunes will turn around if there is peace.
 
“Five years of war in Syria and spillovers to the neighbouring countries — Turkey, Lebanon, Jordan, Iraq, and Egypt — have cost close to an estimated $35 billion in output, measured in 2007 prices, equivalent to Syria’s GDP in 2007,” the statement said.
Rate
24 users have voted.
Related Articles
Once accommodating neighbours now turn back Syrian refugees
Jan 14,2016
BEIRUT — After taking in a million Syrian refugees, Lebanon has quietly changed course in recent months, forcing refugees to return to Syria
Kingdom lost 1.5% per capita due to Syrian crisis — World Bank
Dec 28,2014
The greater Levant region, including Jordan, has lost $35 billion in income due to the Syrian war and the spread of the Islamic State (IS) group, said a recently released World Bank working paper.
World Bank may compensate Syria neighbours for refugee costs
Oct 15,2015
The World Bank plans to talk to its member countries about compensating Syria's neighbours for the substantial fiscal cost of hosting refuge
Add new comment
Your name

Comment *
CAPTCHA
This question is for testing whether or not you are a human visitor and to prevent automated spam submissions.
Math question *
10 + 1 =
Solve this simple math problem and enter the result. E.g. for 1+3, enter 4.
NASA chief lands in Jordan to promote mission to Mars
Jun 09, 2016
Amman soup kitchen spreads message of unity with iftar meals
Jun 10, 2016
Meat outside Amman ‘much cheaper’ than in the capital
Jun 10, 2016
Islamists end boycott, to run for elections in September
Jun 11, 2016
Tawjihi celebrations in Amman
Feb 11, 2016
Israel foreign ministry says French Mideast drive ‘will fail’
Jun 03, 2016
Independent public institution final accounts issued
Jun 04, 2016
Islamists end boycott, to run for elections in September
Jun 11, 2016
Opinion
Editorial
Indispensable professions
Saturday 11 June 2016
Urgent need to fill the vacuum
Jun 11, 2016
‘Let’s get fiscal’
Jun 11, 2016
Understandable gag
Jun 11, 2016
US financial support to the Red-Dead raises questions
Jun 11, 2016
Newsletter
Get top stories and blog posts emailed to you each day.
E-mail *

Videos
Queen Rania calls for collective global response to refugee crisis during Lesbos visit
Queen pays tribute to mothers of soldiers on Mother's Day, Karameh Battle anniversary
Spring and Winter
Tawjihi celebrations in Amman
Border Guards and refugees
‘Hashemite custodianship of Jerusalem’s Islamic and Christian holy sites is a sacred duty’
The Jordan Times
The Jordan Times is an independent English-language daily published by the Jordan Press Foundationsince October 26, 1975. The Jordan Press Foundation is a shareholding company listed on the Amman Stock Exchange.
Pages
About us
Contact Us
Advertise
What's On
Sections
Local
Region
World
Bussiness
2015
Sections2
Sports
Features
Opinion
Letters
Contact us
To send your articles , please do email : editor@jordantimes.com
call us : +962 6 5600-800
ext. 2392
Copyright © 2016 The Jordan News. All Rights Reserved.