Jordan is a pillar of stability in a volatile, fragile and conflict-affected region. But it is struggling to cope with the strain of hosting around 650,000 registered Syrian refugees since the start of the Syria crisis and a growing threat from Daesh and other extremist groups. Jordan historically has been dependent on high levels of aid and it has become even more aid dependent since the start of the Syria Crisis in 2011 with its economic growth rate slowing significantly.

According to the World Bank Jordan’s economy remains sluggish as growth slowed down in 2016 for the second year in a row — to an estimated 2 percent from 2.4 percent in 2015 — as geopolitical repercussions take a toll and as reflected in worsening labor market indicators. Economic growth is expected to marginally improve to an estimated 2.6 percent average over 2017-2019 anticipating improvements in tourism, exports, and the impact of investment climate reforms. Inflationary pressures appear after two years of deflation. Fiscal consolidation and monetary policy tightening are expected to continue.

BERF work in Jordan

BERF has completed one project in Jordan, which is Business Environment Reform diagnostic completed in 2017.

BERF Jordan Projects

  1. Jordan Business Environment Reform Assessment December 2017

World Bank Doing Business

Jordan ranked 103 on the Doing Business Ranking in 2018.  The distance to frontier score of 60.58 is significantly ahead of the regional average score of 56.72 for Middle East and North Africa.  Jordan’s score also improved from 2017.  Jordan improved access to credit information by establishing a new credit bureau in the past year. This led to a major improvement in the sub-indicator for getting credit which increased from a score of zero to a score of 25.

DFID Jordan Strategy

Humanitarian assistance: The UK will continue to provide a range of humanitarian support to the most vulnerable Syrian and Palestinian refugees. The UK is challenging United Nations (UN) agencies to reform and ensure they deliver effectively for the world’s most vulnerable and are value for money for the UK tax payer.

Basic services: The UK is helping up to 267,000 Syrian and Jordanian children gain a decent education in 2018/19, contributing to the goal that every Syrian and Jordanian child has access to quality education.

Economic development: The UK is supporting the government of Jordan to provide work permits for around 130,000 Syrian refugees and help Jordan to increase private sector-led growth, job creation and trade; and support infrastructure development in municipalities that are hosting refugees