Despite facing a set of extraordinary external and internal challenges over the past several years, the Jordanian economy remained resilient in 2015, with real GDP growth reaching 2.4% that year. The government is working with the IMF to implement fiscal reform policies, supported by low global oil prices, to reduce the kingdom’s fuel import bill, which should have seen GDP growth and major macroeconomic…
The textiles, garments and accessories segment has been a success story of Jordan’s industry. The ready-wear, footwear and fabric manufacturers have grown despite difficult business environments. The segment is likely to benefit from a relaxation of the rules of origin (ROO) agreement with the EU, as more companies raise standards to meet materials-sourcing and employment criteria. Companies…
Interview: Yarub Qudah How would you assess current levels of foreign direct investment (FDI) in the industrial sector? YARUB QUDAH: In 2016 FDI reached JD1bn ($1.4bn) compared to JD1.14bn ($1.6bn) in 2015. Jordan’s business environment is conducive to attracting new investments, expanding current agreements and encouraging new partnerships across a variety of sectors. Freedom in the trade and…
The manufacturing, mining, quarrying and construction sectors continue to be pillars of Jordan’s economy, collectively accounting for around one-fifth of GDP in 2016. In recent years stable figures have been achieved despite adverse regional events, including war, border closures, population displacement and global market softening. This continued expansion and development is a testament…
One of the least-saturated markets in the MENA region for modern retail, Jordan is set to see a new crop of major malls and outlets open throughout 2018, consolidating its reputation as a growth country for the industry. Yet, as with other areas of the economy, prospects depend on overall growth, which has slowed amid regional uncertainties and softening markets. Domestic costs – such as…
The manufacturing, mining, quarrying and construction sectors continue to be pillars of Jordan’s economy, collectively accounting for around one-fifth of GDP in 2016. In recent years stable figures have been achieved despite adverse regional events, including war, border closures, population displacement and global market softening. As the relaxed rules of origin agreement with the EU began to affect…
The country has made progress in key areas, reducing its fiscal deficit from 10.3% of GDP in 2014, to 3.2% in 2016 and an estimated 2.5% in 2017. Real GDP growth has also seen improvement, rising from a 25-year low of 2% in 2016 to 2.2% the following year. Moving forward the focus is set to shift towards green and digital expansion in line with the country’s new mid-term economic agenda, the Jor
Deals signed in recent months that have the potential to reinvigorate Jordan’s phosphate exports could bring a new source of growth to its manufacturing sector, following a year of mixed results. Exporting to eastern markets In mid-March the country’s sole phosphate producer, state-owned Jordan Phosphate Mines Company (JPMC), announced a sales contract with a group of Indian firms to provide…
The industrial sector continues to show growth. Phosphates and potash, chemicals and pharmaceuticals, and textiles and garments all continued to expand in terms of both net profits and volume in 2015. The fact that these segments have grown in the face of global economic headwinds and in a region directly affected by major geopolitical tensions demonstrates the sector’s resilience and ability to…
The retail sector has shown consistent growth in recent years, with the Central Bank of Jordan (CBJ) estimating its contribution to GDP at JD1.13bn ($1.6bn) in 2015. This figure is from a GDP of JD11.4bn ($15.5bn), or around 10% of the overall total. Retail is also a major source of employment. The Department of Statistics (DoS) recorded 173,179 private sector employees in the services, shops and market…
