Jordan Times
Wednesday, August 31, 2005

Badran stresses determination to eliminate all forms of administrative bureaucracy

AMMAN (Petra) — The government is determined to eliminate all form of administrative bureaucracy that face the private sector and investors, Prime Minister Adnan Badran stressed on Tuesday. Speaking to members of the American Chamber of Commerce in Jordan (JABA), Badran said the government will introduce amendments to laws and regulations in a way that guarantee the growth of investment.

He indicated that US investments constituted less than two per cent of foreign investment in the Kingdom this year but noted that local exports to the US increased fivefold since 2001 due to the Free Trade Agreement signed between the two countries and the Qualifying Industrial Zones.

The premier highlighted several positive indicators in the national economy such as achieving 7.7 per cent growth in the gross domestic product and increasing local exports by 45 per cent last year.

He also noted that foreign currency reserves at the Central Bank of Jordan have reached $5 billion.

Badran described the budget deficit, caused by the international rise in fuel prices, as the most pressing challenge facing the national economy. World oil prices topped $70 a barrel and such an increase would cost the budget JD1 billion annually in oil subsidy.

He said the government has started this year with a three-year plan to liberalise the energy sector, noting a plan to restructure the public sector towards utilising natural gas which the Kingdom will import at a fixed price over the next 15 years.

The premier told JABA members that unemployment was a major challenge facing the Kingdom, saying that 50,000 job opportunities must be made available annually in order to maintain the current unemployment rate.

He added that several measures have been adopted to train Jordanians to replace foreign workers.

JABA President Azzam Shuwaihat said the US tops the list of importers from Jordan and that the US is the fourth biggest exporter to the Kingdom's imports.

He said trade volume between the two countries reached $1.62 billion last year.


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