Finance minister Umayah Touqan has said the government will continue to subsidize basic food staples, gas and electricity while shoring up tax revenues through slapping fees on a limited number of luxury items. He also told Jordan Television that the ministry would reconsider exemption of a number of commodities and services and improve tax collection to stop evasion. “The government continues the food and cooking gas subsidies and has no intention to change that,” he told a business programme, adding that the subsidy on electricity and water “will remain and will not change for most segments, except for high consumption categories.” Commenting on the government subsidy on oil derivatives, Touqan said: “We will redirect the subsidy to low- and middle-income groups, which means enforcing the oil pricing mechanism according to international rates and, in return, paying compensation for those segments should oil prices remain high.” The minister said the 2012 draft state budget included a fiscal reform strategy that runs until 2014, whose basic features are cutting spending that soared 23 percent
