‘Regional turmoil strains Kingdom's resources’

AMMAN — His Majesty King Abdullah on Thursday met with members of the Austrian Federal Economic Chamber and CEOs of several major Austrian companies in Vienna. 

During the meeting, the King briefed them on Jordanian-Austrian cooperation at the economic, commercial and investment levels, stressing the need for stronger cooperation that serves the mutual interests of the two countries.  

His Majesty noted that regional turmoil placed great pressures on the Kingdom's limited resources, due to hosting around 1.4 million Syrians, according to a Royal Court statement. 

He said Syrian refugees now represent 20 per cent of the population in the Kingdom, with only 10 per cent staying in refugee camps, and the majority living in different parts of Jordan.

Thus, the country has to deal with large burdens created as a result, the King said, especially since international aid covers no more than 35 per cent of the refugees’ annual needs, while the remaining expenses are covered by the state budget.  

There are pressures on electricity, education, healthcare and infrastructure services, which have weighed heavily on the budget, His Majesty said, noting that this calls for an economic plan to deal with these pressures.  

In this context, the King said Jordan has launched a 10-year economic blueprint to boost the competitiveness of the national economy and the country’s investment environment. 

He also highlighted public-private sector partnership and recently endorsed investment laws that seek to boost the Kingdom’s capabilities in dealing with economic challenges.

His Majesty noted that Jordan’s commitment to achieving reform has enabled it to re-launch its economy, ranking second in growth rates among oil-importing countries in the Middle East and North Africa region. 

King Abdullah said Jordan has embarked on several energy projects and established contacts with international technological centres to develop the use of alternative energy.

Citing business incentives, he referred to international free trade agreements signed between Jordan and different countries and economic groups.

Thus, the Kingdom’s open economy at the regional level helped Jordan penetrate global markets, reaching around 1.5 billion consumers, the King told the Austrian business leaders. 

Moreover, Jordan was ranked first at the Arab level, and fifth at the global level in the field of medical tourism, with the sector’s annual revenues amounting to $1 billion, His Majesty said, noting that the healthcare system in Jordan is considered one the best in the region. 

The Monarch added that Jordan is considered one of the 10 best places worldwide to start ICT companies, noting that 75 per cent of the Internet’s Arabic content comes from the Kingdom. 

In his briefing, the King also mentioned that Aqaba has nine specialised ports and can provide access to North Africa, Europe and Gulf countries, noting that it serves as a logistic hub and a gateway through which businesspeople can benefit from the capabilities available in the region.

The King urged Austrian and European investors to benefit from the incentives provided by the Kingdom, set up industrial projects in the country, and make use of Aqaba to access Gulf countries and North Africa. 

This way, investors can overcome land transport difficulties created as a result of the conditions in Syria and Iraq, he added. 

In remarks to the Jordan News Agency, Petra, Christoph Leitl, president of the Austrian Federal Economic Chamber, highlighted Austrian companies’ interest in investment opportunities in the Kingdom, noting that Austrian businesspeople are looking forward to visiting Jordan to become acquainted with business options. 

At the meeting, several representatives of Austrian companies highlighted their successful experiences in Jordan over the past few years. 

Discussions addressed ways to start more Austrian projects and to expand businesses already operating in the Kingdom.  

The Austrian businesspeople expressed interest in projects in the health, vocational training, new industrial technologies, packaging and IT sectors, and the possibility of Jordan becoming a hub for manufacturing renewable energy equipment to be exported to other regional countries. 

The Austrian Federal Economic Chamber comprises 450,000 members, representing traders and owners of different commercial and industrial businesses. 

Besides Jordan’s “advanced status” partnership with the European Union, the Kingdom and Austria are bound by agreements on investment promotion.