Amman — As the European Union recognizes Jordan’s political and security stability as a factor that attracts investment, the Kingdom is looking to build on this advantage to attract new European investments. The upcoming first Jordan-EU Investment Conference is expected to strengthen economic ties between the two sides and open broader prospects for investment amid regional challenges and growing competition among markets for capital.
Economists said Jordan has several factors that enhance its investment appeal, foremost among them stability, its strategic location, trade agreements and qualified human resources. These advantages provide the Kingdom with opportunities to expand its economic partnership with the European Union and strengthen its presence in regional and international markets.
They said the upcoming conference offers an opportunity to build on these strengths and turn opportunities in energy, water, mining, advanced industries and green technology into projects and economic partnerships that support growth, create jobs and increase national exports.
Experts called for continued efforts to improve the investment environment, simplify procedures and strengthen regulatory stability in line with investors’ expectations and enhance the competitiveness of the national economy. They noted that benefiting from Jordan’s stability requires complementing it with economic reforms and a business environment capable of turning available opportunities into actual investments.
European Commissioner for the Mediterranean Dubravka Šuica previously described Jordan as a pillar of stability in the region and an increasingly attractive investment destination. She said Europe is ready to invest in the Kingdom and transform the strategic and comprehensive partnership between Jordan and the EU into tangible investment opportunities that support economic growth and create jobs.
Šuica made the remarks two weeks ahead of the Jordan-EU Investment Conference, scheduled for November 18-19. She said the partnership between the two sides is being translated into practical opportunities involving investment, growth and employment.
She noted that new opportunities are emerging in digital connectivity, energy, infrastructure, green technologies and high-value-added industries.
She also pointed out that Jordan is working to improve the business environment, simplify procedures, expand digital services and facilitate investors’ access to investment incentives.
Earlier this month, EU Ambassador to Jordan Pierre-Christophe Chatzisavas announced that at least 200 CEOs had confirmed their participation in the Jordan-EU Investment Conference, more than half of them Europeans.
Weeks earlier, the Ministry of Investment outlined the portfolio of investment opportunities to be presented at the first Jordan-EU Investment Conference. The portfolio is valued at nearly $15 billion and covers 15 sectors and subsectors, led by energy, mining, transport, logistics, tourism, water, industry and clean technology.
European Recognition: More Than a Vote of Confidence
Political economy specialist Ahmad Awad said European praise for Jordan’s stability represents an important vote of confidence that strengthens the Kingdom’s position among European investors amid regional instability and provides an opportunity to transform political partnership into deeper economic cooperation.
Stability reduces the risks surrounding projects and encourages companies to consider long-term investment, particularly when accompanied by European financing and guarantees, he said.
Awad added that investment requires more than stability. It also depends on clear economic viability, competitive production costs, stable legislation, swift procedures and access to markets.
He noted that Jordan competes with economies that have larger markets, greater financing capacity and more advanced infrastructure, requiring the Kingdom to leverage its human resources, strategic location and trade relations within a clear production and export strategy.
Turning European confidence into actual investment requires preparing projects backed by reliable feasibility studies, identifying their financing and regulatory requirements, addressing overlapping jurisdictions and slow procedures, and reducing energy, transport and financing costs, he said.
He added that the state should strengthen its role in developing infrastructure and skills and enable local institutions to connect with new projects. Digitalization of government services should genuinely reduce transaction times and procedures and be accompanied by efforts to address the concerns of existing investors, whose experiences directly influence the decisions of potential investors.
Sustainable competitiveness, he said, is based on productivity, quality services and decent work. Reducing wages and weakening social protection would undermine purchasing power and social stability.
He stressed the need to link investment incentives to tangible outcomes in employment, training, exports and technology transfer, while assessing their cost to public finances.
Awad said the Jordan-EU Investment Conference provides an important opportunity to bring investors together with financing institutions and project owners, but assessing its outcomes in advance remains difficult. The value of the opportunities presented reflects potential that still requires financing and implementation.
Jordan’s Stability: A Strategic Asset for European Investor Confidence
Economic expert Mousa Al-Saket said Jordan’s political and security stability represents an important strategic asset in strengthening the confidence of European investors, particularly amid regional instability.
Long-term investment seeks not only financial returns but also a safe and stable environment capable of protecting investments and ensuring business continuity, he said.
Al-Saket stressed the importance of translating European recognition of Jordan’s stability into actual investment decisions through productive projects, industrial partnerships and technology transfer that enhance the competitiveness of the national economy, increase exports and create quality jobs.
Jordan has an opportunity to capitalize on its strategic location, trade agreements and qualified human resources to become a production and export hub for regional and international markets, he said.
He explained that stability is a fundamental condition for attracting investment in any economy. Jordan’s competitive advantage lies in combining stability, geographic location, trade agreements, qualified human resources and access to external markets.
To strengthen this advantage, Al-Saket said Jordan must address challenges related to energy and financing costs and administrative procedures, improve logistics efficiency, and develop digital and industrial infrastructure.
Investors compare markets based on costs, productivity, expected returns and ease of doing business, rather than stability alone, he said.
Regarding the economic and regulatory requirements Jordan needs to complete to turn European confidence into actual investment, Al-Saket called for moving from promoting investment opportunities to developing projects that are ready for implementation and financing, supported by clear feasibility studies, stable regulatory frameworks and specific implementation timelines.
He also called for simplifying procedures, consolidating government authorities, accelerating licensing, enhancing transparency and legislative clarity, and providing investment incentives linked to investment size, added value, exports and job creation.
He stressed the importance of focusing on sectors where Jordan has genuine growth opportunities, particularly high-value-added industries, food and pharmaceutical industries, renewable energy, digital connectivity, technology services and green industries.
Al-Saket said the Jordan-EU Investment Conference represents a strategic opportunity to deepen the economic partnership between Jordan and the European Union and attract high-quality investments in energy, infrastructure, the digital economy, advanced industries and green technology.
The conference could also create opportunities for partnerships between Jordanian and European companies, supporting knowledge and technology transfer and helping integrate Jordanian industry into global value chains.
Major Investment Opportunities Across Vital Sectors
Economics professor Qasem Al-Hamouri said Jordan has significant investment opportunities in vital sectors, including water, the National Water Carrier project and desalination, as well as renewable energy and the potential to use it to meet the needs of countries across the region.
Opportunities also exist in mining, mineral extraction and the establishment of value-added industries based on these resources. They include developing existing industries such as fertilizers and Dead Sea products, which would increase the value derived from local resources and enhance the economic value of national products.
Al-Hamouri said the investment conference between Amman and Brussels will open the way for these opportunities across vital sectors, requiring Jordanian authorities to make additional efforts to highlight them.
He noted that Jordan’s stability is a competitive advantage in attracting investment, but said this factor alone is insufficient to attract investors, whose decisions are based on broader economic and investment assessments.
Indicators of stability in the Kingdom have been evident for years, Al-Hamouri said, but this has not necessarily translated into increased foreign direct investment. He expressed hope that the Jordan-EU Investment Conference would mark the beginning of a new phase for the national economy and allow Jordan to better capitalize on its stability.
At the same time, Al-Hamouri said investors view Jordan as part of a region affected by surrounding conflicts and tensions, in addition to domestic factors that continue to limit the attractiveness of the investment environment.
These include bureaucracy, the multiplicity of regulatory authorities, and instability in legislation and laws, all of which affect investor confidence and investment decisions.
He stressed that boosting investment requires genuine commitment to economic reform, efforts to improve the business environment, simplify procedures and unify investment-related authorities, as well as legislative stability that gives investors greater clarity regarding project costs and long-term obligations.
Source: Al-Ghad
