form of grants for the fiscal year 1990-1991 whereas Iraq made a commitment for an amount of $US 50 million during 1990 in grants, The total amount committed by both countries is $US 185 million. This amount is crucial for the budget and the balance of paymentrP and without the receipt of these grants Jordan's budget as well as the balance of payments would be subjected to strong pressures, t (5) Jras s debt to Jorda Iraq's total outstanding direct debt to Jordan at the beginning of 1990 stood at $US 310 million and the Iraqi Government has agreed to reduce this debt during 1990 by about $US 240 million through paying $US 144 million in cash and exporting crude oil and oil derivatives for the balance. However, $US 72 million only has been paid in cash so far, and the balance therefore shall not be met unbar present circumstances. In addition, the Jordanian Government has incurred a.n additional obligation, the balance of which at present is $US 2.6 billion, on behalf of the Iraqi Government to guarantee debt to a third party which the latter has been repaying regularly. This amount is not included in Jordan's outstanding foreign debt for the purposes of rescheduling, The imposition of financial and trade restrictions on Iraq shall necessarily force Iraq to stop repayment and coxmequenfly the burden of servicing this amount, (i.e. $US 2.6 billion), shall be transferred to Jordan's Treasury. S/21620 English Page 5 (6) Remittances from Jordanians workina in Kuwait Jordan estimates that during 1990 remittances from Jordanians working abroad will exceed $US 800 million, 40 per cent of which were expected to come from Kuwait. Imposing restrictions on Iraq will jeopardize the transfer of such remittances to Jordan and will further widen the gap in the balance of payments of Jordan, 
**Analysis**
The text appears to be discussing the economic situation of Jordan and its relationship with Iraq, specifically the impact of financial and trade restrictions on Iraq on Jordan's economy. It highlights the importance of grants and remittances from Jordanians working abroad in maintaining Jordan's balance of payments and budget.

**Category**
International trade, Economic development