Improvement in foreign investments and projects across Jordan

view of the Amman cityscape
View of the Amman cityscape. (Photo: Shutterstock)
AMMAN – The Arab Investment and Export Credit Guarantee Corporation (Dhaman) revealed a relative improvement in the investment climate in Jordan thanks to the measures taken by the kingdom in 2022. اضافة اعلان

According to these measures resulted in a record growth in foreign direct investment (FDI) inflows and projects of 83 percent.

The Director-General of the corporation, Abdullah Ahmed Al-Sabih, mentioned that Jordan experienced relative stability in its sovereign credit rating, which varied between BB and B.

He also noted that Jordan's global and Arab average rankings improved in assessing the state's risk indicators issued by specialized international agencies.

Regarding the legislative and regulatory environment, Al-Sabih pointed out that Jordan showed variation in its average rankings in five main indicators. It improved in the e-government index and remained stable in e-governance and bilateral investment agreements. However, it declined in rankings for economic freedom and perceived corruption.

Al-Sabih attributed this overall improvement to various investment-stimulating legislation and measures that Jordan adopted in 2022, including the issuance of a new Investment Environment Regulation Law and the adoption of a comprehensive national strategy to promote investment. Jordan continued infrastructure development projects and enhanced digital transformation in various government agencies.

He explained that this improvement in the investment climate led to a significant growth in foreign direct investment inflows into the country. Jordan recorded a 83 percent growth in FDI inflows, reaching $1.1 billion in 2022, making it the eighth-largest recipient of FDI in the Arab world, accounting for 2.1 percent of the total foreign investment inflows to the region.

By the end of 2022, Jordan had attracted 365 foreign direct investment projects over the past two decades (2003-2022), representing 2.3 percent of the total foreign investment projects in the Arab region during that period. These projects had an investment value of $50 billion, contributing to the creation of more than 65,000 new jobs.

The number of foreign investment projects received by Jordan in 2022 reached 10, with a total investment cost of $394 million. These projects accounted for 0.2 percent of the investment cost of foreign projects in the region, executed by nine foreign companies, which contributed to the creation of around 900 new jobs during the same year.

Additionally, Jordan had nine foreign projects abroad in 2022, with an investment cost of approximately $56 million. These projects were executed by nine Jordanian companies.

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