The World - News from April 17, 1989

Jordan announced steep price increases on items ranging from gasoline to long-distance telephone calls as part of an economic reconstruction program. Under an agreement with the International Monetary Fund, Jordan also plans to slash its budget deficit to help solve its debt crisis, paving the way for Amman to seek rescheduling or refinancing of its $6-billion debt. The price increases, announced by the official Jordan news agency, do not affect subsidies on bread, milk, rice and other staples. Meanwhile, King Hussein approved a new electoral law abolishing parliamentary seats for the Israeli-held West Bank and Palestinian refugee camps in Jordan. Jordan cut its ties to the West Bank last July.