Central Bank of Jordan Circular on JODIBOR and Top-Up Operations

CENTRAL BANK OF JORDAN

Circular No. 2018/7/1

Date: July 1, 2018

Subject: Jordan Interbank Offered Rate (JODIBOR) and Top-Up Operations

The Central Bank of Jordan hereby announces the establishment of the Jordan Interbank Offered Rate (JODIBOR) as the benchmark interest rate for interbank transactions in Jordanian Dinar. This rate will serve as the reference for pricing and valuation of various financial instruments.

Effective from July 1, 2018, all relevant financial institutions are required to adopt JODIBOR for their interbank lending and borrowing activities. The Central Bank will oversee the calculation and publication of JODIBOR to ensure transparency and stability in the financial market.

Additionally, the Central Bank will conduct Top-Up operations to manage liquidity and support the implementation of the new benchmark rate. These operations are designed to facilitate smooth transition and maintain adequate liquidity in the banking sector.

Financial institutions are advised to update their internal systems and procedures to comply with the new requirements. Further guidelines and technical details regarding JODIBOR calculation and reporting will be issued separately.

For any inquiries, please contact the Monetary Policy Department at the Central Bank of Jordan.