Jordan: Economy#

Jordan's economy is among the smallest in the Middle East, with insufficient supplies of water, oil, and other natural resources underlying the government's heavy reliance on foreign assistance. Other economic challenges for the government include chronic high rates of poverty, unemployment, inflation, and a large budget deficit. Since assuming the throne in 1999, King ABDALLAH has implemented significant economic reforms, such as opening the trade regime, privatizing state-owned companies, and eliminating some fuel subsidies, which in the last decade spurred economic growth by attracting foreign investment and creating some jobs. The global economic slowdown and regional turmoil, however, have depressed Jordan's GDP growth, impacting export-oriented sectors, construction, and tourism. In 2011 and 2012, the government approved two economic relief packages and a budgetary supplement, meant to improve the living conditions for the middle and poor classes. Jordan's finances have also been strained by a series of natural gas pipeline attacks in Egypt, causing Jordan to substitute more expensive diesel imports, primarily from Saudi Arabia, to generate electricity. Jordan is currently exploring nuclear power generation in addition to the exploitation of abundant oil shale reserves and renewable technologies to forestall energy shortfalls. In 2012, to correct budgetary and balance of payments imbalances, Jordan entered into a $2.1 billion, multiple year International Monetary Fund Stand-By Arrangement. Jordan's financial sector has been relatively isolated from the international financial crisis because of its limited exposure to overseas capital markets. In 2013, Jordan depended heavily on foreign assistance to finance the budget deficit, as the influx of about 600,000 Syrian refugees put additional pressure on expenditures.

Economic Facts#

GDP (purchasing power parity)$40.02 billion (2013 est.)
$38.76 billion (2012 est.)
$37.71 billion (2011 est.)
note: data are in 2013 US dollars
GDP - real growth rate3.3% (2013 est.)
2.8% (2012 est.)
2.6% (2011 est.)
GDP - per capita (PPP)$6,100 (2013 est.)
$6,100 (2012 est.)
$6,000 (2011 est.)
note: data are in 2013 US dollars
GDP - composition, by sector of originagriculture: 3.2%
industry: 29.9%
services: 67% (2013 est.)
Population below poverty line14.2% (2002)
Household income or consumption by percentage sharelowest 10%: 3.4%
highest 10%: 28.7% (2010 est.)
Labor force - by occupationagriculture: 2.7%
industry: 20%
services: 77.4% (2007 est.)
Exports - commoditiesclothing, fertilizers, potash, phosphates, vegetables, pharmaceuticals
Exports - partnersUS 16.6%, Iraq 15.1%, Saudi Arabia 11%, India 10.5%, Indonesia 4.2% (2012)
Agriculture - productscitrus, tomatoes, cucumbers, olives, strawberries, stone fruits; sheep, poultry, dairy
Budgetrevenues: $6.868 billion
expenditures: $10.71 billion (2013 est.)
Imports - commoditiescrude oil, machinery, transport equipment, iron, cereals
Imports - partnersSaudi Arabia 23.6%, China 9.4%, US 6.7%, Italy 4.7%, Turkey 4.6% (2012)
Exchange ratesJordanian dinars (JOD) per US dollar -
0.709 (2013 est.)
0.709 (2012 est.)
0.71 (2010 est.)
0.709 (2009)
0.709 (2008)
Exports$7.914 billion (2013 est.)
$7.898 billion (2012 est.)
Debt - external$22.04 billion (31 December 2013 est.)
$19.67 billion (31 December 2012 est.)
Fiscal yearcalendar year
Imports$18.61 billion (2013 est.)
$18.46 billion (2012 est.)
Industrial production growth rate2.8% (2013 est.)
Industriesclothing, fertilizers, potash, phosphate mining, pharmaceuticals, petroleum refining, cement, inorganic chemicals, light manufacturing, tourism
Inflation rate (consumer prices)5.9% (2013 est.)
4.8% (2012 est.)
Labor force1.898 million (2013 est.)
Unemployment rate14% (2013 est.)
12.5% (2012 est.)
note: official rate; unofficial rate is approximately 30%
Distribution of family income - Gini index39.7 (2007)
36.4 (1997)
Public debt79.1% of GDP (2013 est.)
75.5% of GDP (2012 est.)
note: data cover central government debt, and include debt instruments issued (or owned) by government entities other than the treasury; the data include treasury debt held by foreign entities; the data exclude debt issued by subnational entities, as well as intra-governmental debt; intra-governmental debt consists of treasury borrowings from surpluses in the social funds, such as for retirement, medical care, and unemployment; debt instruments for the social funds are not sold at public auctions
Current account balance-$4.766 billion (2013 est.)
-$5.37 billion (2012 est.)
Reserves of foreign exchange and gold$11.83 billion (31 December 2013 est.)
$8.829 billion (31 December 2012 est.)
GDP (official exchange rate)$34.08 billion (2013 est.)
Stock of direct foreign investment - at home$26.69 billion (31 December 2013 est.)
$24.78 billion (31 December 2012 est.)
Stock of direct foreign investment - abroad$549 million (31 December 2013 est.)
$509 million (31 December 2012 est.)
Market value of publicly traded shares$27 billion (31 December 2012 est.)
$27.18 billion (31 December 2011)
$30.86 billion (31 December 2010 est.)
Central bank discount rate0.3% (31 December 2010 est.)
$NA (31 December 2009 est.)
Commercial bank prime lending rate8.9% (31 December 2013 est.)
8.95% (31 December 2012 est.)
Stock of domestic credit$38.3 billion (31 December 2013 est.)
$35.39 billion (31 December 2012 est.)
Stock of narrow money$10.68 billion (31 December 2013 est.)
$10.17 billion (31 December 2012 est.)
Stock of broad money$37.19 billion (31 December 2013 est.)
$35.18 billion (31 December 2012 est.)
Taxes and other revenues20.2% of GDP (2013 est.)
Budget surplus (+) or deficit (-)-11.3% of GDP (2013 est.)
GDP - composition, by end usehousehold consumption: 73.1%
government consumption: 21%
investment in fixed capital: 26.2%
investment in inventories: 17%
exports of goods and services: 44.1%
imports of goods and services: -81.4%
(2013 est.)
Gross national saving29.1% of GDP (2013 est.)
24.7% of GDP (2012 est.)
28.5% of GDP (2011 est.)