Jordan to replace bread subsidy with cash grants

AMMAN, Jan. 8 (Xinhua) -- Jordan decided Monday to end the current bread subsidy and give cash instead to Jordanians who are in need of financial support.

The country will increase the prices of bread by 67 percent to 100 percent as of Feb. 1, said Minister of Industry and Trade Yaroub Qudah Monday.

In a press conference, the minister said that 35 percent of the country's residents are non-Jordanians who consume subsidized bread, noting that bread in Jordan was much cheaper than in several neighboring countries.

The minister added that the government will save around 50 million dinars (75 million U.S. dollars) after replacing the bread subsidy with cash assistance.

Jordan decided to end bread subsidy as part of the measures to be taken by the government in 2018 to increase revenues amidst decline in foreign grants. Enditem