For Three Years: The European Union Announces a New Funding Package for Jordan

For Three Years: The European Union Announces a New Funding Package for Jordan
For Three Years: The European Union Announces a New Funding Package for Jordan
The European Commission has approved an executive decision to finance a multiannual action plan with Jordan for the period 2025–2027, with a total value of €228 million. The plan aims to strengthen the strategic and comprehensive partnership between the two sides and to support security, economic development, human capital, and government reforms.اضافة اعلان

According to the decision, the plan will be financed over three years from the EU’s budget allocations: €93 million for 2025, €74 million for 2026, and €61 million for 2027. The decision also grants financial flexibility to reallocate up to 20% of annual funding within specified limits.

The action plan covers a wide range of areas aligned with the five pillars of the EU–Jordan Partnership, including political and regional cooperation, security and defense, economic development and job creation, human capital development, and migration management and refugee support.

Funding will focus on improving border management and internal security, supporting policies that facilitate trade and regular migration, and enhancing border protection systems.

The program also seeks to bolster Jordan’s economic resilience by improving the investment climate and encouraging both domestic and foreign investments to promote growth and job creation.

The decision places particular emphasis on human capital development, women’s empowerment, and support for vulnerable groups, including persons with disabilities. It also includes direct budget support as part of a national program for economic and public-sector modernization aimed at improving governance and achieving sustainable growth.

This decision is consistent with the European Union’s Multiannual Indicative Program for Jordan (2021–2027), which focuses on improving governance, promoting economic growth and job creation, and developing human resources, while also aligning with the European Green Deal and Official Development Assistance (ODA) standards.

Through this decision, the EU reaffirms its commitment to supporting Jordan’s reform agenda, strengthening its role as a key regional partner, and assisting the Kingdom in hosting refugees while promoting regional stability and security.

€110 Million to Support Modernization Efforts

The European Commission has also approved a €110 million program extending through 2027 to support economic and public-sector modernization, enhance Jordan’s capacity to create jobs, and stimulate growth and investment.

The funding will be disbursed in three annual tranches: €48 million in 2025, €24 million in 2026, and €38 million in 2027, to support the government’s implementation of the Economic Modernization Vision (2022–2033) and the Public Sector Modernization Program, while bolstering financial stability amid ongoing regional and global challenges.

The program focuses on fiscal governance and economic management reforms, expanding the productive economy, improving the business environment, strengthening financial transparency and efficiency, and developing public debt and expenditure management tools to ensure flexibility and fiscal sustainability.

It also emphasizes a transition toward a green, renewable economy, supporting renewable energy projects, electricity storage, energy and water efficiency, and low-carbon industrial initiatives. The program will also help Jordan develop infrastructure for green hydrogen and circular economy projects, in line with EU goals for energy security and sustainable transition.

Additionally, it supports job creation, entrepreneurship, and vocational training, while empowering women and youth in the labor market and fostering innovation and inclusive economic growth.

€63 Million to Boost Investment and Growth

The EU has allocated €63 million to strengthen Jordan’s economy, competitiveness, investment, and trade between 2025 and 2027, as part of the €3 billion EU–Jordan Strategic Partnership Framework launched in January 2025.

The funding will be distributed over three phases: €20 million in 2025, €20 million in 2026, and €23 million in 2027. It will support government projects aimed at improving the business environment, enhancing high-value sectors, and empowering small and medium-sized enterprises (SMEs) to expand into new markets.

The program focuses on helping Jordan overcome regional and global challenges by expanding trade and investment opportunities, improving economic connectivity with the EU, and integrating Jordan into global value chains. Support will also go toward developing trade and investment policies, simplifying regulations, and enhancing Jordan’s appeal to European and international investors in line with the Economic Modernization Vision.

Special attention will be given to the digital economy and technological transformation, by supporting innovation, digital entrepreneurship, and cybersecurity frameworks, and helping Jordanian companies access regional and European markets through advanced digital solutions.

The program will also promote green transition and sustainable energy and water management, updating regulatory frameworks and attracting investments in renewable energy and water resources, while strengthening economic governance and the capacity of public institutions to manage large development projects transparently and efficiently.

€55 Million to Support Education and Security Capacities

The EU has allocated €25 million in new funding to support Jordan’s efforts in integrated border management and enhancing the capabilities of security agencies to address evolving regional threats under the 2025–2027 multiannual program.

The decision designates €15 million for 2025 and €10 million for 2026, with an additional €10 million investment grant in 2027 under a separate decision to reinforce the program’s strategic impact.

EU support will focus on strengthening border management systems, enhancing public security capacities to combat terrorism, organized crime, human trafficking, drug smuggling, and cybercrime.

In addition, the EU will launch a €30 million program to support human capital development in Jordan, distributed in two tranches: €10 million in 2025 and €20 million in 2026, to be implemented over five years. The program aims to advance education, social protection, and the inclusion of women, youth, and persons with disabilities.

It focuses on improving vocational and technical education, particularly at the secondary level, by aligning practical skills with labor market needs and encouraging enrollment in vocational tracks. It also seeks to improve basic education quality through teacher training and enhancing early learning in literacy and numeracy, building a stronger educational foundation for Jordanian youth.

In the social protection sector, the program will expand services for vulnerable groups, with special focus on women and persons with disabilities, and strengthen social development centers to deliver integrated services. It will also support innovative initiatives to increase women’s labor participation, including flexible work schemes and social protection for working women.

The program further supports political modernization in Jordan by promoting greater participation of women, youth, and persons with disabilities in political life and decision-making, strengthening political parties, and expanding civic and electoral awareness programs in line with the 2024 EU Election Observation Mission recommendations.