Amman, July 1 (Petra) — The World Bank’s Board of Executive
Directors has approved a US$700 million loan to support Jordan’s
efforts to translate macroeconomic stability into stronger private
investment and the creation of more and better jobs.

According to a World Bank statement issued on Wednesday, the Jordan
Growth and Competitiveness Development Policy Financing II will
support the government’s reform agenda by unlocking private
investment, expanding access to finance, creating employment
opportunities and accelerating the Kingdom’s green and digital
transition.

The World Bank said Jordan has maintained macroeconomic stability
despite a challenging regional environment, recording 2.8 percent
real GDP growth in 2025. It also noted that the Kingdom secured its
first sovereign credit rating upgrade in more than two decades in
2024, which was maintained again in 2025, creating an opportunity to
transform economic stability into higher investment, faster growth
and broader economic opportunities.

World Bank Middle East Division Director Jean-Christophe Carret said
Jordan had navigated a difficult regional environment with discipline
and determination, preserving macroeconomic stability while
sustaining the momentum of economic reforms.

He said the financing programme will support the government’s efforts
to strengthen private sector-led growth by making it easier and less
costly to do business, expanding access to finance, including for
women entrepreneurs, and advancing reforms in the digital, green and
energy sectors.

“Together, these measures can help unlock investment and create the
conditions for more and better jobs for Jordanians,” Carret said.

The programme supports two complementary reform pillars under
Jordan’s Economic Modernization Vision. The first focuses on
strengthening the business environment by streamlining sectoral
licensing procedures, modernizing the legal framework governing
electronic and cross-border transactions, extending social protection
to workers employed under flexible and part-time arrangements, and
encouraging greater private sector investment in the electricity
sector through private transmission, generation and energy storage
systems.

The second pillar aims to deepen access to finance for businesses and
entrepreneurs by modernizing capital markets and introducing new
financing instruments, including crowdfunding and cash-flow-based
lending, particularly for micro, small and medium-sized enterprises
(MSMEs), which account for around 99 percent of companies operating
in Jordan.

The World Bank said the reforms will also expand access to business
accounts for unbanked micro-entrepreneurs, advance green finance
through the implementation of Jordan’s National Green Taxonomy,
modernize the legal framework governing insurance products and
accelerate the transition to fully digital government payments,
helping reduce transaction costs, improve efficiency and strengthen
digital inclusion.

Carret said Jordan’s reform programme marks an important step toward
building a more inclusive economy driven by private investment and
supported by the opportunities created through the green and digital
transitions.

He reaffirmed the World Bank’s commitment to supporting Jordan’s
reform agenda and helping transform macroeconomic stability into
tangible opportunities for businesses, entrepreneurs and workers.

//Petra//