Cash-strapped Jordan has decided to cut the monthly salaries of the prime minister and the 28 members of his government by 20 percent to face an economic crisis, an official said.

"The council of minister decided at a meeting on Tuesday to cut the monthly salaries of the prime minister and the ministers by 20 percent as part of austerity measures to face the economic crisis," he told AFP.

"The money saved will go to a fund created by the ministry of social development to help the poor."

It was not clear when the measure will be enforced.

Another government official said meanwhile that "each minister will lose 600 dinars a month," or 846 dollars.

Jordanian cabinet ministers are paid around 3,000 dinars (around 4,000 dollars) a month, but the salary of Prime Minister Samir Rifai, who also holds the defence portfolio, was unclear.

The global economic crisis and a decline in foreign aid have increased Jordan's budget deficit to 7.8 percent of GDP in 2009, while internal and external debt rose to 13.6 billion dollars, according to official figures.