Since King Abdullah II’s 1999 ascension to the throne, Jordan has taken steps to encourage foreign investment and to develop an outward-oriented, market-based, and globally competitive economy. Jordan is also uniquely poised as a platform to host investments focused on the reconstruction of Iraq and other projects in regional markets.

Jordan is committed to investment promotion as a key driver of economic growth and job creation, though in practice these policies are implemented unevenly. Traditionally, foreign investment has been concentrated in the energy (from both conventional sources and renewables), tourism, real estate, manufacturing, and services sectors. The Government of Jordan offers a range of incentives to potential investors and has undertaken measures to review and enhance the economic, financial, and legal framework governing the investment process.

Jordan’s economic growth has been limited for over a decade by exogenous shocks, including the global financial crisis, energy disruptions during the 2011 Arab Spring, the 2015 closure of Jordans borders with Iraq and Syria, and the Syrian civil war. Although the borders with Iraq fully and Syria partially reopened in 2017 and 2018 respectively, cross-border movements have not recovered to previous levels. After a 1.6 percent GDP contraction in 2020 due to the pandemic, Jordan achieved 2.2 percent real GDP growth in 2021. IMF projections estimate growth will reach 2.7 percent in 2022.

In recent years, the government has run large annual budget deficits and reducing the financing gap with loans, foreign grants, and savings. In March 2020, the IMF board approved a $1.3 billion Extended Fund Facility (EFF) program focused on fiscal consolidation, increased revenue collection, targeted social spending, economic growth, and job creation. The IMF also released additional credit from a Rapid Financing Instrument to help Jordan meet its fiscal obligations during the pandemic. In January 2022, Jordan and the IMF completed its third review of the EFF program.

In October 2021, Jordan established a dedicated Ministry of Investment, which has absorbed the duties of the Jordan Investment Commission and the Public Private Partnerships (PPP) Unit. The Minister of Investment is charged with all issues related to local and foreign investors and setting policies to stimulate investment and enhance competitiveness.

Foreign Direct Investment (FDI) dropped slightly by 1.5 percent to JD 509.8 million ($720 million) in 2020 compared to 2019. FDI inflow reached JD 269.4 million ($380 million) during the first three quarters of 2021.

For more information, please refer to: https://www.state.gov/reports/2022-investment-climate-statements/jordan/

April 25     Statistical data has revealed a 4.4 per cent growth in gross domestic product (GDP) at current prices in 2023 compared with 2022. The Amman Chamber of Commerce has reported that the GDP at current prices increased to JD36.077 billion in 2023, a rise from JD34.543 billion in 2022.    

April 19     Stakeholders have reported a slowdown in the car rental business, attributing it to a nationwide decline in the tourism and hospitality sectors. An employee at a car rental agency based in Amman, said that bookings have nearly halved at some car rental offices, stressing the market’s critical need for improved management and supervision.  

April 7     The trade balance between Jordan and Qatar in the first quarter of the current year reached about 220 million Qatari riyals ($60.4 million). According to the Qatari Planning and Statistics Authority website, recent statistics released indicated that Jordan-Qatar trade recorded a growth rate of 3.18% during the first three months of 2024, up from 213 million Qatari riyals ($58.5 million) during the corresponding period of 2023. 

April 3       The first quarter of 2024 saw an 8% surge in the number of registered companies compared with the corresponding period in 2023, the Companies Control Department announced. A total of 1,623 new companies were registered from January to March this year, marking a "significant" increase from the 1,501 registrations recorded in the corresponding period last year. 

March 19     Jordanian exports to Saudi Arabia rose in 2023 to JD984 million, by an increase of 7.1 per cent, compared to JD840 million in 2022, topping the list of Jordanian exports to countries of the Greater Arab Free Trade Area.

March 12    91% of Jordanians are connected to the Internet, according to a report released by the Market Research Unit of the Information and Communications Technology Association of Jordan. 

March 12     Jordan’s growth rate in the third quarter of 2023 was at 2.7 of GDP at constant market prices, compared to the same period of 2022, official data showed. 

March 6      The Jordanian Chamber of Commerce announced that Iraq was the top importer of commercial goods from Jordan during the past two months of 2024. Amman's trade exports rose to about 187 million dinars during the past two months of the current year, compared to 184 million dinars for the same period last year.

February 29   The Department of Statistics (DoS) reported a decrease in the Kingdom’s unemployment rate by 0.9 percentage points in the fourth quarter of 2023, bringing it down to 21.4 percent, compared with the third quarter of the same year.

February 26   The Department of Statistics (DoS) reported on Monday a 10 percent decrease in the nation’s trade balance deficit for the year 2023, bringing it down to JD9.320 billion from JD10.354 billion in 2022.

February 20   In its latest report, Global Economic Prospects, the World Bank projected that Jordan’s GDP growth is expected to reach 2.5 percent in 2024 and 2.6 percent in 2025. The report also stressed that the ongoing war on Gaza could negatively impact Jordan’s tourism sector, adding that the unrest in the Middle East has increased uncertainty around GDP growth forecasts in the region.

February 15   The tourism income during January 2024 grew by 0.4 percent, compared with the same month in 2023, reaching $554.2 million according to  Central Bank.

February 13   The real estate market faces challenges in the first month of 2024 due to the uncertain geopolitical climate and weak domestic demand,  according to stakeholders.

January 31    The Industrial Producer Price Index registered a decline of 4.31 percent in 2023, reaching 135.62, compared with 141.72 in 2022, the Department of Statistics (DoS) said.

January 29    The Value of national exports to the Greater Arab Free Trade Area (GAFTA) by the end of November of 2023 experienced a significant increase reaching JD2.82 billion compared with JD2.508 billion the previous year, according to foreign trade data released by the Department of Statistics (DoS).

January 26    Local revenues in the January-November period of 2023 increased by JD374 million to reach JD7.695 billion compared with the same period in 2022, according to official figures.

January 10    The World Bank on Tuesday said that the predicted growth for the Jordanian economy was 2.6 percent in 2023, surpassing its previous estimate in June by 0.2 percent, the Jordan News Agency, Petra, reported.