In the past year, the Jordanian government has made many strides in improving economic growth, however some of the changes can be detrimental to the nation. Jordan has been experiencing increasing inflation, the inflation rate during the first 10 months of 2017 rose by 3.4 per cent compared to the same period of last year, with the greatest increase occurring in prices of food items, which are of particular importance to the poor as they comprise a large proportion of their spending. Consumer prices, especially those of vegetables and fruits, were due to decline due to the closure of the Iraqi and Syrian markets, which would have meant increased supply locally, but the extra demand from non-Jordanian consumers, who are estimated to have hit the 3 million mark, caused prices to rise. According to the World Bank, figures show that 14.4 percent of Jordanians live under the poverty line which is JD300. Earlier this year, the The Council of Ministers took a step forward by increasing the minimum wage from JD190 to JD220. The JD 30 bump was a step in the right direction, but it is disproportionate to the rise in prices.
Along with increasing the minimum wage, decisions included raising taxes on cigarettes, soft drinks, and telecom services, as well as increasing fees to issue passports from JD20 to JD50. Furthermore, with the absence of governmental aid in Jordan such as free medical healthcare for all citizens and educational costs rising, the boost of the minimum wage isn't reasonable. The second problem with the increase in minimum wage is that it also excludes foreign workers, such as Egyptians and Syrians, although also a discriminatory issue, this would encourage employers to hire non-Jordanians, working in opposition of the government's goal to encourage the employment of Jordanians.
Four understandings were drawn during a meeting between Lower House Speaker Atef Tarawneh and Prime Minister Hani Mulki, attended by key lawmakers and concerned ministers just a few days ago. They included plans to make up for the cost of living in Jordan. An estimated, 171 million Jordanian Dinars were allocated to beneficiaries of the social safety networks. A move that tries to make up for rising cost of living brought about by lifting subsidies on commodities that have been a fixture in the economic system for decades, mainly the bread subsidy. The second understanding is to keep exemptions of ownership transfer fees on apartments whose areas do not exceed 150 square metres, while the third is granting beneficiaries of the National Aid Fund a monthly kerosene subsidy of JD2 during winter. The fourth agreement is exempting electricity subscribers whose consumption does not exceed 160 kilowatts per hour from the JD0.004 raise that went into effect as of Friday, a result of the increase in oil prices to rates over $55 per barrel. However, the inflation and rising costs of living may continue to a degree that threatens social stability. Demands to raise salaries and wages, are being heard nationwide.