Jordan Times
Wednesday, January 24, 2007

Jordan looks to attract Gulf investment

By Hana Namroqa

AMMAN — Jordan will showcase some 75 new investment projects at a value of JD100 million when Arab and Gulf businessmen gather here in April for the Second Arab Gulf Forum, CEO of Jordan Investment Board (JIB), Maan Nsour, said on Tuesday.

“We expect 2007 investment profits to exceed JD1.5 billion, particularly with the Arab and Gulf investors gathering here this year,” Nsour told reporters yesterday during a press conference to announce the event.

The forum, to be held from April 17-19, is organised by the JIB in cooperation with the Jordan Industrial Estates Corporation (JIEC) and acts as a showcase for the Kingdom’s investment opportunities.

“We provide investors from different countries with a chance to exchange expertise and discuss with parliamentarians ways to improve the investment atmosphere here, chairman of the forum, Riyad Sharaf, said.

“Jordan enjoys stable and secure conditions as well as a comprehensive economic development plan covering several sectors,” he added.

Investment here has grown significantly over the past four years. In 2002 it stood at just JD301 million, of which JD131 million was foreign investment.

Last year, however, total investment reached JD1.8 billion, 87 per cent of which came from Gulf investors, flush with petrodollars from the recent high oil prices.

Most of the investment is focused on industry, education, health, tourism and the booming real estate sector, particularly hotel construction.

According to JIB figures, Arab financiers invested JD764 million in the country’s economy in the first nine months of 2006, compared to just JD22 million from the US and Canada and a mere JD8.5 million from Europe.

JIEC’s CEO, Amer Majali, said the volume of Gulf investments in the country’s five industrial estates reached $71 million in 2006 through 14 companies in the chemical engineering and pharmaceutical industries, among others.

The industrial estates house over 463 companies and provide 41,000 job opportunities.

Majali said three new industrial estates will be established by the end of next year in Aqaba, Muwaqqar and Zarqa. The estates will include plots for developing sophisticated technological industries, he added.

Meanwhile, Nsour announced that a JIB branch will open soon in Kuwait, explaining that the amount of Kuwaiti investments in Jordan currently exceeds JD4 billion.

He added that gradually, more branches will open in Qatar, Abu Dhabi and Saudi Arabia.

The JIB was created after the introduction of the Investment Law of 2003 and the Investment Promotion Law of 1995, which established it as a governmental body enjoying both financial and administrative independence with a remit to increase foreign direct investment to create new job opportunities and increase national exports.


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