Industry Support Fund Spurs Economic Growth for 395 Facilities

Amman, Apr. 3 (Petra) – The collective assistance furnished by the four programs under the Industrial Support and Development Fund in 2023, overseen by the government through the Ministry of Industry, Trade and Supply, and various institutions, surpassed JD 45 million, constituting 50.2 percent of a total budget nearing JD 90 million.

These initiatives, orchestrated by the Fund, aim to mitigate the production costs and other financial burdens plaguing the national industry, fostering its competitiveness in new markets and optimizing the national economy’s advantages.

As per data obtained by the Jordan News Agency (Petra) for 2023, 395 industrial establishments benefited from the Fund’s programs out of 1,084 beneficiaries since its inception in 2022.

The Fund’s objectives encompass diversifying national income streams, creating employment opportunities, alleviating poverty and unemployment, amplifying exports and sales, and augmenting GDP growth rates.

Among the 400 establishments benefiting from the program, 135 received financial support amounting to approximately JD 30 million out of a total of JD 59 million.

This program aims to provide financial incentives to industrial entities based on industry standards, bolstering Jordanian industries’ competitiveness, augmenting productivity, and advancing industrial management through technical research and studies.

In the previous year, 138 industrial establishments out of 435 benefited from the industrial modernization program, receiving around JD 12 million from a total of approximately JD 20 million.

Implemented by the Jordan Enterprise Development Corporation (JEDCO), this program supports industrial enterprises in expanding sales, increasing production, developing new products, and obtaining global quality certifications to enhance product quality and management.

The “Export Promotion” program, benefiting 75 establishments in the past year out of 160 since its launch, received approximately JD 3 million from a total of JD 8 million.

This program aids industrial institutions in boosting sales through exports, participating in international exhibitions, and developing e-commerce to access foreign markets.

Furthermore, 47 out of 89 facilities benefiting from the “Export Credit Guarantee” program, administered by the Jordan Loan Guarantee Corporation, received JD 403,000 out of a total of JD2 million.

This program facilitates obtaining export credit guarantees for industrial enterprises venturing into export markets.

The total applications received since the Fund’s inception amounted to 1,084, with 576 from medium-sized enterprises, 424 from small-sized enterprises, 75 from large enterprises, and 9 from micro-enterprises.

Application distribution by sector in the initial round included 26.2% in the food industries, 17.1% in chemical industries, 12.9% in plastics industries, and 43.8% in other sectors.

Predominantly, applications were concentrated in Amman, accounting for 70% of total applications, followed by Zarqa (12.1%), Irbid (6.1%), and other governorates (11.8%).

Regarding enterprise sizes, small enterprises employ 5 to 24 workers, medium enterprises employ 25 to 249, and large enterprises employ 250 or more.

The ministry will commence receiving applications for the second round of the Fund’s programs next Monday, focusing on output-based incentives, industrial modernization, and export credit guarantee.

Established in line with the government’s economic priorities, the Industry Support and Development Fund operates under Fund Regulation No. (45) of 2022, as per the provisions of Article (114) of the Jordanian Constitution and its 1952 amendments.

//Petra// AJ
03/04/2024 13:23:37