The Executive Director of the Research Department at the Central Bank of Jordan, Dr. Nidal AlAzzam, stated that the Bank has successfully managed financial and economic crises across different periods, whether external or domestic, with efficiency and competence, relying on an advanced analytical framework and a well-established institutional approach to risk management.This came during a lecture delivered today, Tuesday, at the Royal Jordanian National Defense College, entitled “Data Analysis Methods, Forecasting Models, and Managing Economic Crises” for participants of the National Defense Course 23.During the lecture, Dr. Al-Azzam reviewed the Bank’s experience in monitoring and confronting financial and economic crises within a global environment characterized by high levels of uncertainty, emphasizing that financial and economic crises impose significant financial costs worldwide, in addition to their adverse effects on economic growth, employment opportunities, and financial stability. This highlights the importance of having an integrated institutional system for early warning and crisis management. He noted that the Central Bank of Jordan possesses a comprehensive early warning system based on in-depth economic analysis and advanced econometric models, in addition to stress analysis models, debt sustainability assessment models, and cybersecurity models, which have become an essential component of financial system stability, indicating that these models rival the best international models in this field.Dr. Al-Azzam affirmed that the Central Bank continuously develops its early warning system, including updating econometric models, to keep pace with global economic developments and cybersecurity risks. He pointed out that this system enables the Bank to anticipate economic and financial developments, assess potential scenarios, and measure the impact of shocks on macroeconomic variables, thereby allowing the adoption of appropriate policies within a studied and gradual framework that balances monetary stability with support for economic activity.He also outlined the theoretical framework of economic crises and the most prominent historical milestones of global and local crises, focusing on the lessons learned and the extent to which they have contributed to the development of the Central Bank’s early warning mechanisms. He cited practical examples of how economic analysis and econometric models are used to assess risks and take proactive measures, ensuring the mitigation of financial shocks on the national economy and preserving monetary and financial stability.At the conclusion of the lecture, an extensive discussion was held during which he answered questions from attendees regarding crisis management mechanisms, the methodology for preparing economic forecasts, and the foundations of decision-making.
The Executive Director of the Research Department at the Central Bank of Jordan, Dr. Nidal AlAzzam, stated that the Bank has successfully managed financial and economic crises across different periods, whether external or domestic, with efficiency and competence, relying on an advanced analytical framework and a well-established institutional approach to risk management.
This came during a lecture delivered today, Tuesday, at the Royal Jordanian National Defense College, entitled “Data Analysis Methods, Forecasting Models, and Managing Economic Crises” for participants of the National Defense Course 23.
During the lecture, Dr. Al-Azzam reviewed the Bank’s experience in monitoring and confronting financial and economic crises within a global environment characterized by high levels of uncertainty, emphasizing that financial and economic crises impose significant financial costs worldwide, in addition to their adverse effects on economic growth, employment opportunities, and financial stability. This highlights the importance of having an integrated institutional system for early warning and crisis management. He noted that the Central Bank of Jordan possesses a comprehensive early warning system based on in-depth economic analysis and advanced econometric models, in addition to stress analysis models, debt sustainability assessment models, and cybersecurity models, which have become an essential component of financial system stability, indicating that these models rival the best international models in this field.
Dr. Al-Azzam affirmed that the Central Bank continuously develops its early warning system, including updating econometric models, to keep pace with global economic developments and cybersecurity risks. He pointed out that this system enables the Bank to anticipate economic and financial developments, assess potential scenarios, and measure the impact of shocks on macroeconomic variables, thereby allowing the adoption of appropriate policies within a studied and gradual framework that balances monetary stability with support for economic activity.
He also outlined the theoretical framework of economic crises and the most prominent historical milestones of global and local crises, focusing on the lessons learned and the extent to which they have contributed to the development of the Central Bank’s early warning mechanisms. He cited practical examples of how economic analysis and econometric models are used to assess risks and take proactive measures, ensuring the mitigation of financial shocks on the national economy and preserving monetary and financial stability.
At the conclusion of the lecture, an extensive discussion was held during which he answered questions from attendees regarding crisis management mechanisms, the methodology for preparing economic forecasts, and the foundations of decision-making.
