Jordan Market Spotlight

Speeches Shim

Investment Landscape

Despite ongoing domestic challenges and regional turmoil, Jordan’s overall business and investment climates are improving, jumping up 29 places in the World Bank’s “Doing Business Report 2020.” Jordan’s success tracks with its long history of stability and openness to foreign investment. Its growth potential is fueled by an untapped young, highly educated, and dynamic workforce. The Government of Jordan continues to pursue ambitious reforms to improve the investment climate and make the small, yet growing economy more appealing to international investors. Jordan offers modern business, logistics, and communications infrastructure with multiple free trade and special economic zones. These advantages, Jordan’s strategic location and free trade agreements can be leveraged to access large consumer markets across the region and around the globe, including the United States and the European Union.

USAID’s Role

For over 70 years, the United States has been a trusted partner to Jordan, supporting its amazing story of development and economic growth, exemplified by the high and steady increase in the country’s Human Development Index (HDI) value since recording began in 1990.1 The USAID Mission to Jordan is essential to this longstanding partnership and collaborates with many companies and investors to achieve the mutual objectives of peace, stability, and sustained inclusive economic growth. USAID works with large multinational corporations, local Jordanian businesses, trade associations, service providers, and investors across nearly every sector and industry. With a strong on-the-ground presence, deep expertise, and close relationships with the Jordanian government, USAID supports businesses as they expand their operations and investments, including initiatives to 1) enhance the implementation of the Government of Jordan’s Economic ReformAgenda, 2) advance the private sector’s capacity to compete, and 3) increase women’s participation in the economy.

Top Reasons to do Business in Jordan

1. Modern Workforce: Nearly two-thirds of the population is under 30 years old, and about 85 percent graduate with tertiary degrees. Jordan also scores high in leadership, entrepreneurship, and innovation indicators.

2. Ease of Doing Business: Jordan has one of the highest Ease of Doing Business scores in MENA with streamlined licensing and registration procedures. Jordan does not have any restrictions on the repatriation of capital, profits, and salaries.

3. Market Access: Jordan has seven regional and global free trade agreements. Jordan has belonged to the World Trade Organization for over 20 years.

4. Innovation Ecosystem: Startups can take advantage of Jordan’s growing list of private equity investors, the pool of technical talent, affordable incubators, and sound financial sector.

How USAID Works with Businesses and Investors

USAID/Jordan works with companies and investors in many ways, including defining sustainable growth strategies, building cross-sector partnerships, aligning interests with public institutions, and co-creating innovative solutions to unlock growth and economic opportunity. USAID has co-invested in public utilities; convened diverse stakeholders to drive effective policy reform; and mitigated risk through products and programs that facilitate investments in local businesses. Our team’s extensive experience and reach were leveraged to help companies and investors navigate local markets, find business opportunities, and mitigate risk in all of these roles. There has never been a better time to work with USAID/Jordan as we expand our collaboration with businesses and investors building out their operations in Jordan. We facilitate co-investment in business and technology-driven initiatives that educate, empower, and increase employment opportunities for women and youth; improve domestic and commercial water and wastewater usage and management systems; deepen collaboration with Jordan’s national and municipal governments through public-private partnerships; and expand access to products, services, jobs, and markets across the Kingdom.

Impact in Jordan

Catalyzed Investment: Since 2015, USAID has facilitated more than $400 million in investment deals by supporting the Jordan Investment Commission to develop regulations and processes to activate the Jordanian Investment Law.

Aligned Human Capital: Since 2016, USAID has partnered with companies across several industries to equip more than 5,000 youth with the skills needed for employment now and in the near future.

Reformed Economic Policies: USAID assisted the government with two of the three key policy reforms attributed to Jordan’s jumping ahead 29 places—from 104 to 75—on the World Bank’s 2020 doing Business Report.

Facilitated Trade: USAID facilitated the use of the Jordan-U.S. Free Trade Agreement, which increased trade between the two countries from $568 million in 2001 to more than $3 billion in 2019.

Advocated Good Governance Reform: USAID assisted the Government of Jordan to adopt new financial and accounting systems to increase efficiency and reduce corruption. Jordan is now the only country in the region where most respondents to a Transparency International 2019 survey say that the government is doing a good job in tackling corruption.

 

Issuing Country 
Date 
Wednesday, May 19, 2021 - 1:15pm

Last updated: June 10, 2022