Jordan projected for 3% economic growth in 2025 amid reforms
Jordan’s economic growth is expected to expand by 2.5% to 3% in 2025, propelled by better business conditions and increased investments, Jordan News Agency reports citing experts. Despite ongoing labor market difficulties, this rise is anticipated to marginally lower unemployment.
The government’s attempts to improve financial and social stability can be observed in important policies put into place in late 2024, such as tax cuts for electric cars and lighter fines for unregistered vehicles. These programs have increased economic activity and investor confidence, especially when combined with the continuing changes under the Economic Modernization Vision.
According to economic analyst Dr. Adli Kandah, Jordan’s steady 2.5% growth rate over the last 10 years offers a solid basis for development. He pointed to the possible advantages of easing sanctions on Syria and emphasized the possibilities presented by regional changes, especially in trade and investment.
Prof. Dr. Raad Al-Tal, who teaches economics at the University of Jordan, highlighted how the nation’s political stability and structural changes have enabled it to successfully handle geopolitical problems, such as the Gaza conflict.
“The tourism sector, in particular, has shown notable recovery, bolstered by improved regional security and increased visitor numbers,” Al-Tal said, as reported by the Jordan News Agency. He also acknowledged that the country’s foreign reserves had been strengthened by remittances from Jordanian expats.
Despite regional constraints, Jordan’s economy has proven resilient, according to economic analyst Dr. Ahmad Al-Majali. He credited this to the benefits of the Economic Modernization Vision, which has promoted development in a number of industries, as well as prudent monetary measures that have preserved stability.
Experts concur that while 2025 seems promising, sustainable improvement would need effective public expenditure, ongoing reforms, and capitalizing on local trends. Sustainable development will also depend on boosting export competitiveness and accelerating large projects, as Jordan Times reports.
Jordan has shown resilience in the face of external problems, as seen by its strong foreign exchange reserves, shrinking trade deficit, and increasing export volumes.