The ratings agency identified the following three drivers for the downgrade:
*A sharp deterioration in Jordan’s public finances since 2009, “due to a combination of lower economic growth and external shocks.” Moody’s said Jordan’s fiscal deficit averaged 7.3% of GDP between 2009 and 2012, compared to an average deficit of 4.6% of GDP over the period 2005 to 2008. But the ratings agency expects an improvement in the deficit in 2013 and 2014, which is to remain high at over 5% of GDP and is “highly dependent on a successful fiscal-consolidation strategy.” (CONTINUED - 321 WORDS)
