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U.S. Aid & Assistance
Congressional Visits
Congressional Statements
U.S. - Jordan Bilateral Relations
U.S. Assistance to Jordan
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U.S. assistance to Jordan has increased
significantly since the Gulf Crisis in 1991. In 1994 and 1995, the United States
waived around 700 million dollars in debt relief to the kingdom (costing it $400
million accounting wise) after the signing of the peace treaty with Israel. In
1997, Congress increased aid to Jordan significantly to reach its present levels
of $150 million in economic aid and $75 million in military aid. In 1999 and
2000, Congress allocated an additional $200 million in military assistance and
$100 million in economic assistance as part of the Wye Agreement. Also, |
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The U.S. has given Jordan
additional assistance in the form of wheat grants starting in 1999.
U.S. Aid to Jordan is estimated to increase by $300 million in 2003 which
$200 million will be in economic assistance and $100 million in military
assistance (see FY 2003 Foreign Aid Bill). A full
breakdown of assistance levels to Jordan is detailed below.
The US government and Jordan
signed a two grant agreement on June 2, 2004 that provide $72.45 million in
economic assistance to the Kingdom, focusing on the water, education, health
and governance sectors. The agreements are part of an overall 2004 US
economic assistance package to Jordan totaling $348.5 million, according to
a statement released by the US embassy.
US Ambassador Edward W. Gnehm and acting USAID Mission Director in Jordan
David J. Barth signed the agreement with Minister of Planning and
International Cooperation Bassem Awadallah.
Minister of Water and Irrigation and Minister of Agriculture Hazem Nasser,
Minister of Health Saeed Darwazeh, and Minister of Justice and Minister of
State for Cabinet Affairs Salah Bashir, as well as other Jordanian and US
government officials attended the signing ceremony.
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Under the first grant agreement, the US government will provide $39.58
million to assist the Kingdom to enhance water resource management and
promote greater sustainability within the vital water sector.
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Under the second grant agreement, the US will provide $32.85 million in
funds for projects in support of the health, education and governance
sectors.This includes $7.4 million for the Ministry of Health's Primary
Health Care Initiative, a Kingdom-wide programme to enhance the provision of
health services for mothers and children.
US support for this programme will result in the eventual renovation of each
of the country's 380 primary health centres, located in large urban areas
and small villages, alike, the statement said.
Funds in this agreement will also be used to carry out early childhood
education initiatives and expand employment opportunities for youth through
education.
Finally, funds will support activities aimed at strengthening the rule of
law and transparency in an effort to support the broad-based reforms
initiated by His Majesty King Abdullah.
US assistance to Jordan is a reflection of the strong bonds that link the
Jordanian and American people and the support the US government is prepared
to offer the government of Jordan as it seeks to build stability, prosperity
and peace in Jordan and throughout the region, the statement said.
Over the past decade, US economic assistance to the Kingdom totalled more
than $2.3 billion.
Emergency Supplemental Assistance to
Jordan
U.S. Secretary of State Colin L. Powell and Jordanian Minister of Planning
Dr. Bassam Awadallah signed today, Tuesday, May 13, 2003 documents that transfer
$700 million in supplemental assistance from the United States to Jordan.
Following a request by President Bush, the Congress appropriated $700
million in emergency assistance to Jordan for Fiscal Year 2003. This
assistance is in addition to the $250 million in bilateral economic
assistance already appropriated for Jordan in FY 2003. The purpose of the
additional funds is to help Jordan offset the economic dislocation it faces
due to the conflict in Iraq.
The war in Iraq resulted in revenue shortfalls and needs for new
expenditures by the Government of Jordan. The U.S. assistance will allow the
Government of Jordan to continue to deliver basic services to the citizens
of Jordan -- such as education and healthcare -- without interruption, in
particular to those most in need.
The $250 million appropriated in bilateral
economic assistance for FY 2003 is being programmed under the auspices of
the U.S. Agency for International Development (USAID) into development
activities, primarily in the economic growth, water and health sectors.
Measured on a per capita basis, the U.S. assistance program in Jordan is
among the largest such programs in the world.
The substantial amount of assistance being
provided to Jordan is a testimony to the commitment by the United States to
work with allies and friends in the Middle East to promote prosperity,
economic growth, democracy and peace. |
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Table 1. Annual U.S. Aid to Jordan Since the Gulf Crisis
($ in millions) |
| Fiscal Year (FY) |
Economic Assistance |
Military Assistance
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Econ. Support |
FMF
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IMET
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1991
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35.0
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20.0
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1.3
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1992
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30.0
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20.0 |
0.6
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1993
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5.0
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9.0
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0.5
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1994
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9.0
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9.0
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0.8
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1995
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7.2
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7.3
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1
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1996
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7.2
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30.0
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1.2
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1997
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112.2
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100.0
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1.7
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1998
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150.0
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75.0
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1.6
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1999
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*200.0 |
*120.0 |
1.6 |
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2000
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*200.0
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*225.0
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1.6
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2001
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150.0
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75.0
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1.7
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2002
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150.0
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75.0
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1.8
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*In 1999, Jordan received additional $50.000 millions in economic assistance and $50.000 million in military assistance as part of the Wye Agreement Funds.
*In 2000 Jordan received additional $50.000 millions in economic assistance and $150.000 millions in military assistance satisfying the $300.000 millions allocated for Jordan as part of the Wye Agreement fund.
IMET: International Military Education and Training
The FY 2002 Foreign Assistance Bill: The bill provides $150,000,000 in economic assistance, $75,000,000 in military assistance for Jordan as requested by the Administration. Moreover, the bill contains language expressing the Committee’s strong support for and appreciation of Jordan's constructive and critical role in supporting peace and security in the region under the able leadership of His Majesty King Abdullah, and encourages the Administration, in close consultation and cooperation with the Congress, to continue its efforts to assist Jordan in both the economic and security areas. It also encourages Jordan to continue its ongoing economic reform program, which the Committee strongly supports, while expressing its awareness of Jordan’s security requirements, particularly in the areas of ground force modernization and border security.
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USAID Assistance:
In addition to the above assistance USAID is supporting the Government of Jordan's 14-year, $5 billion priority water investment plan. Its chief objective is to optimize use, allocation, and management of this crucial resource. During 2000, USAID funded a water policy implementation program focused on reducing groundwater depletion and encouraging the reuse of treated wastewater.
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USAID has also been active in addressing Jordan's high population growth rate. With USAID's assistance, the Ministry of Health is adopting new approaches in delivering comprehensive maternal and child healthcare services.
USAID's economic opportunities program was also important in advancing Jordan’s private sector performance. USAID expanded a major microfinance initiative that makes financial services available to economically disadvantaged Jordanians. An annual $50 million policy reform-based cash transfer initiative provides assistance to advance Jordan's market-based economic reform program. These interventions already have increased economic opportunities. For example, the number of microcredit borrowers has increased approximately 300% over the past three years; partial privatization of state-owned enterprises generated more than $682 million in 2000; and the Jordan Investment Board facilitated foreign
US Agricultural Program Assistance:
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Agricultural Program
(FY 1999-2001) |
| YEAR |
PROGRAM |
QUANTITY
MT |
VALUE
MILLION$ |
| 1999 |
416B
(wheat)
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100,000
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18
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| 1999 |
GSM
103**
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-
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15 |
| 1999 |
GSM
102***
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-
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50*
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| 2000 |
416BN
(wheat)
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380,000
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65
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| 2000 |
GSM
103**
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- |
15 |
| 2001 |
416B
(wheat)
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200,000
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34
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| 2001 |
GSM103** |
- |
15 |
| 2001 |
GSM102***
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50*
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| 2001 |
GSM102***
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20
extra
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* 10 million dollars for the private sector.
** soft loan (5 years) wheat &/or feed grain.
*** soft loan (3 years)wheat &/or feed grain .
FY 2003 Foreign Aid Bill
The FY 2003
foreign aid budget was submitted to Congress in February
2002. It usually includes foreign economic and military
U.S. aid to foreign countries. The president in his
budget proposal requested additional funds for Jordan
explaining that Jordan will be provided substantial new
resources in 2003 to strengthen its security capacity and
enhance its economic potential. The president
requested $198 million in Foreign Military Financing (FMF)
compared to 2002 level of $75 million, and $250 million
in Economic Support Funds (ESF) compared to $150 million
in 2002. The new levels according to the president
justification, will help Jordan to improve border
controls targeting the flow of weapons, including weapons
of mass destruction; and to support financial training,
trade and investment and to strengthen educational
opportunities. In addition, Jordan will receive $2.4
million under the International Military Education and
Training program compared to $2 million in 2002.
U.S. Aid & Assistance II Congressional Visits II Congressional Statements II
US - Jordan Bilateral Relations
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