Jordan Times
Saturday, November 12, 2005
Situation in Jordan is
too safe and good to change our plans — major investors
By Mahmoud Al Abed
AMMAN — Major investors and businesses in Jordan
united on Friday to reiterate their support and commitment to the Kingdom in the
aftermath of the Nov. 9 terrorist attacks.
Amman-based Arab Bank threw its weight by announcing that it is “more than
ready,” to continue financing incoming and local projects.
Top executives of several companies, in a show of defiance, held a press
conference at the Radisson SAS, one of the three hotels targeted by the attacks.
All agreed that the situation in Jordan, from all perspectives, is too safe and
good to change their plans.
“Our response to the criminals will be increased investments here,” said Samir
Rifai, whose $300 million-company, Jordan Dubai Capital (JDC), plans
multi-million projects in the Kingdom. The JDC was launched by the Dubai
International Capital as an investment company targeting opportunities in the
Jordanian economy.
The presser came upon an initiative by Ali Kolaghasi, vice chairman of Saraya
Jordan, whose chairman Sheikh Bahaa Hariri was present.
Though Hariri, who is also chairman of the Abdali Investment & Development
Company (AIDC), did not reveal the expansion plans of Saraya “for business
reasons,” he stressed that his company has not lost faith in Jordan. He promised
Jordanians thousands of job opportunities.
“You should know that a single 300-room hotel hires 400-500 employees,” he told
reporters, indicating that the Abdali development project in central Amman would
alone create tens of thousands of new jobs.
Saraya Jordan was founded in 2005 in Amman as a real estate development holding
company with a mission to enrich the real estate development platform of Jordan.
The company is implementing Saraya Aqaba. a large-scale real estate tourism
project with an initial capitalisation of JD172 million and an additional JD85
million anticipated with a private placement issuance.
Hariri said his company is sparing no effort in attracting more and more Gulf
investors to Jordan, taking advantage of the current oil boom which has created
a huge cash flow in that region.
He pointed in particular to a memorandum of understanding that AIDC signed
Wednesday with the Kuwait Projects Company (KIPCO), under which KIPCO enters as
partner in the company with a total contribution of $400 million.
Some Arab investors interested in opportunities in Jordan made gestures of
brotherly support.
Ghassan Nuqul, who represented the Nuqul Group and the Jordan Kuwaiti Holding
Company, spoke about a feasibility study for a project in which a Kuwaiti
investor has shown interest.
After the Wednesday terror attacks, “I received a phone call from this investor
telling me that he is keen on signing the agreement before the end of this month
in a show of support for Jordan,” said Nuqul, quoting the would-be partner as
saying that he does not need the feasibility study.
“We trust your [Nuqu] judgement,” the unidentified Kuwaiti businessman said.
The holding company has earmarked $700-800 million for investments in Jordan and
is expected to create 3,500 jobs within the next five years.
Other speakers included Suheil Dudin from Aila Oasis, another major project in
Aqaba and leading businessman Sabih Masri, who represented the Arab Bank.
Masri, whose participation was not scheduled, said “I was told by the Arab Bank
to come here to announce that the Arab Bank is ready to consider financing any
investment project more seriously than ever,” in response to the terror threat.
In a separate statement, Arab Bank Chairman Abdul Hamid Shoman stressed that
Jordan's national economy is “strong and solid and can absorb the repercussions
of the criminal attacks.”
He said that the bank “firmly believes that economic establishments in Jordan
“will not be affected by the terrorist incident and will go on with the
construction and development process and with implementing their envisaged plans
as scheduled.”
The terrorist blasts, the chairman said, “would only enhance our determination,
at the level of the Arab Bank, the private sector and the national economy, to
continue with the development process.”
Summing up what the executives were trying to do at the presser, Fastlink CEO
Mohammad Saqer said that the challenge is to “turn threat into opportunity.”