Jordan King swears in new cabinet
AMMAN, June 14, (Agencies): Jordan’s King Abdullah on Thursday swore in a new government led by a former World Bank economist and mandated to review a disputed tax system after widespread protests against IMFdriven austerity measures.
A government official said the new cabinet decided at a meeting after the swearing-in ceremony to withdraw a contentious personal and corporate tax bill which the previous government had sent to parliament and triggered the protests.
Abdullah, a relatively secure US ally in a conflict-ridden Middle East, appointed Omar al-Razzaz, a Harvardeducated economist outside the ranks of the traditional political elite, as prime minister last week.
Razzaz replaces Hani Mulki, a business-friendly politician who was dismissed to defuse public anger that triggered some of the largest popular protests in years.
Thousands of Jordanians took to the streets in Amman and in provincial towns earlier this month against a series of tax rises since the start of the year. Protesters called for sacking the government and scrapping a tax bill which unions and civic groups blamed for worsening poverty and unemployment.
Foreign Minister Ayman Safadi and Interior Minister Samir al Mubaydeen kept their posts in Razzaz’s 28-member cabinet, dominated by a mix of conservative politicians and Western-leaning technocrats, including seven women.
“The (economic) challenges we face are the accumulation of decades, in fact ... nearly two decades,” Razzaz said, pledging to address sluggish growth and eroding living conditions.
Rajai Muasher, a conservative politician and influential banker and among Jordan’s wealthiest businessmen, was appointed as deputy prime minister.
Official sources said the government is expected to maintain traditional support for US policies in the Middle East and continue with International Monetary Fund-guided reforms.
Razzaz appointed long-time veteran finance ministry official Izzeddin Kanakrieh as the new finance minister to complete negotiations over a tough three-year programme with the IMF.
Critics and some officials blame the speedy implementation of the programme for successive tax hikes this year which infuriated many Jordanians and sparked the wave of protests.
Razzaz, who was education minister in the previous administration, acknowledged after being appointed that the previous government had rushed into tax rises and pledged to engage a wide cross