Amid a volatile regional landscape and fluctuations in global economic dynamics, Jordan’s national economy stands out as a notable exception, demonstrating its continuous ability to adapt, grow, and remain resilient despite limited resources.
اضافة اعلان
Economic experts told the Jordan News Agency (Petra) that positive indicators for the Kingdom’s economy are no longer just numbers in official reports, but reflect a tangible reality across multiple sectors—from agriculture to industry, financial services, and tourism—which are core pillars of the Economic Modernization Vision.
They stressed that the positive performance achieved since the beginning of this year reflects Jordan’s ability to turn challenges into opportunities, overcome obstacles, and move steadily forward in implementing the vision, backed by government decisions and reforms targeting key economic sectors.
According to the experts, indicators show that the economy is “breathing deeply” despite pressures, growing at rates beyond expectations, and advancing toward medium- and long-term goals. This, they said, strengthens the confidence of international institutions and credit rating agencies in Jordan’s achievements.
Former Minister of Finance Dr. Mohammad Abu Hammour noted that the latest Department of Statistics data showed real GDP growth of 2.8% in Q2 of this year, compared to 2.4% in the same period last year.
He emphasized that this growth reflects the economy’s resilience, pointing out that the highest contribution came from the finance, insurance, and real estate sector, which accounted for 18.3% of GDP—aligned with the Economic Modernization Vision’s prioritization of the digital economy and financial sector as growth drivers.
Abu Hammour added that financial technology is no longer a marginal factor but a central pillar of the banking sector. He highlighted the Central Bank of Jordan’s efforts, including the launch of a comprehensive innovation and entrepreneurship framework in financial services.
He also noted that hosting the Jordan FinTech Festival 2025 in partnership with local, regional, and international institutions was not just an exhibition, but a strategic platform for sharing expertise, showcasing technologies, and building partnerships—positioning Jordan as a regional player in shaping the future of digital finance.
He further explained that the relatively low inflation rate of 1.89% is a key achievement that helped ease the burden of rising prices. However, he cautioned that reliance on volatile sectors such as tourism and exports makes diversification, innovation, and competitiveness essential.
For his part, Dr. Omar Al-Gharaibeh, professor of finance at Al al-Bayt University, said that the national economy performed better than expected in Q2, with GDP growth of 2.8%, representing a 17% increase compared to the same period last year.
He noted that this reflects a strong ability to adapt to global and regional pressures—from energy price fluctuations to political crises—while emphasizing that sectoral diversification played a decisive role.
Al-Gharaibeh pointed out that agriculture grew by 8.6%, manufacturing industries by 5%, electricity and water by 4.9%, and social services by 4%.
He highlighted further that national exports rose by 8.5%, tourism revenues reached $5.3 billion with tourist arrivals up 14.9%, and investment inflows increased by 14%—all indicators of investor confidence in Jordan’s relatively stable economy.
He added that this momentum extended to the stock market, with the Amman Stock Exchange index surpassing 3,000 points for the first time in 15 years, and foreign investments in the local market reaching around $6 billion since the start of the year.
According to Al-Gharaibeh, sound economic policies embodied in the modernization vision have focused on empowering the private sector, advancing digital transformation, broadening investment partnerships, and providing financial incentives to productive sectors. He expressed hope that growth rates in the coming years could reach 5–7%.
Meanwhile, Dr. Maher Al-Mahrouq, Director General of the Association of Banks in Jordan, said that Q2 GDP growth cannot be separated from the reforms and policies adopted by the government and Central Bank—whether in monetary and fiscal discipline or in strengthening the investment and production climate.
He noted that the growth also reflects the vital role of the banking sector, which continued financing the economy, expanding financial inclusion, and investing in digital and innovative services.
Al-Mahrouq emphasized that finance, real estate, and business services form the backbone of the economy, accounting for 18.3% of GDP in Q2—the largest share of all sectors—with banks leading the way as the sector’s main component.
He stressed that the strength and resilience of banks translate into overall economic momentum, making the sector a cornerstone of sustainable growth and development.
Al-Mahrouq further explained that this growth represents the initial outcomes of the first executive program of the Economic Modernization Vision, which introduced priority measures and projects to enhance competitiveness and stimulate production sectors.
He confirmed that some outputs of this program have helped create a more attractive business environment and introduced practical tools to raise efficiency and encourage growth.
According to him, these positive developments are a clear sign that Jordan is on the right track to achieving its medium- and long-term goals. They also reinforce confidence from international institutions and credit rating agencies, which have maintained Jordan’s rating at stable levels with positive prospects for upgrades as reforms and growth continue.
He concluded by saying that as Jordan moves forward with modernization programs, the country has an opportunity to consolidate long-term economic stability and strengthen its position on the regional and global map.
(Petra)
