Privatization and assigning governance to improve services

private vs public
(Photo: Jordan News)
The privatization process, which many countries resort to, is done with the aim of helping boost government services and improve its operations by subjecting its services to market controls.اضافة اعلان

It also promotes economic development and increases competitiveness by attracting foreign investments and improving the balance of payments.

Jordan’s 2022 budget, which amounts to JD12 billion, allocated an estimated JD1.31 billion to the Ministry of Education, and JD644 million to the Ministry of Health, which means that the budgets of the two ministries constitute more than 13 percent of the total general budget. This poses a great challenge, especially in light of the modest budget allocated to capital expenditures, estimated at JD1.546 billion.
To ensure the legality of the privatization process, there is need of a unified framework for government services that enables the private sector to bear its responsibilities and perform its services according to the highest quality standards.
To increase the efficiency of the most important services provided to citizens, it is necessary to plan clearly and streamline the ministries of health, education, and social development by privatizing some of the services they provide and their operational processes, as the first step toward full privatization; the scope of their work should be reduced to the legislative, supervisory and organizational side.

To ensure the legality of the privatization process, there is need of a unified framework for government services that enables the private sector to bear its responsibilities and perform its services according to the highest quality standards.

The result would be increased value for money, better impact and results, and a new services market that contributes to supporting the national economy and provides additional job opportunities.

Privatization does not mean that the public sector abandons its responsibilities. For example, the Ministry of Education will maintain its role in following up on the educational process as a legislating and regulating authority, while the private sector undertakes construction, operation, and maintenance. As for health, there are several areas in which the private sector, which has imposed itself for decades in the field, can assume the tasks of operating hospitals, health centers, pharmacy services, laboratories, radiology, and supply chains. The same applies to social services provided through the Ministry of Social Development, such as rehabilitation, care, and sheltering.


The writer is the CEO of the Performance Index Center for Strategic Studies and Consultations.


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