Thabet ElWir, Jordan Investment Commission Chief, 11 May 2016, Regional conference: Investment and inclusive growth in the midst of crisis, Beirut

1. Holistic Approach for Syrian
Refugees Crisis (Jordan Compact)
and the Main Challenges facing the
Kingdom
Thabet ElWir
Chief of Commission
Jordan Investment Commission

2. Main Pillars for the Holistic Approach – Jordan
Compact
The Holistic Approach – Jordan Compact is anchored on three
interlinked pillars:
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First
• Turning the Syrian refugee crisis into a development opportunity
that attracts new investments
Second
• Rebuilding Jordanian host communities by adequate financing
Third
• Mobilizing sufficient grants and concessionary financing to support
the macroeconomic framework and address Jordan’s financing
needs over the next three years

3. Post London Conference 2016
Pledges made by the International Community in London:
1. Financial Support & concessionary funding ( Grants & Soft Loans) to
support the Host Communities and bridge the funding gap that
Jordan is facing according to the adopted budget (2016-2018).
2. Enabling Jordan to attract new investments to the development
zones, providing them with full support and benefits, while the EU
will adopt simplified rules of origin
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4. Action Plan Components- Jordan Compact
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Improved
Market
Access to
the EU
Support to the
Education
Sector/Jordan
Response Plan
Doing
Business
Reforms,
Investment
Reforms and
Developmen
t Zones
Approach
Labor
Market
Reform
s
IMF
Extended
Fund
Facility
Program
Grant
Support to
the Jordan
Response
Plan 2016-
2018
Concessionary
Financing-
Grants

5. Investment Dimension – Jordan Compact Action
Plan
First Component: Improved Market Access to the EU :
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Task
Hold a video conference with Brussels (DG Trade/DG Taxation and
Customs Union) to agree on next steps; including timeframe for technical
discussions on RoO with a target to conclude by Summer 2016
Evaluate the proposed development zones (pilot zones) and assess
their readiness and needs. Select other zones/industries in light of the
intention to request applying the simplified RoO to additional zones and
industries

6. Investment Dimension – Jordan Compact Action
Plan
Second Component: Labor Market Reforms:
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Task
Provide specific training programs for Syrians and Jordanians
(subject to donors support and based on the outcomes of the assessment
study expected to identify needed areas and the available demand gaps)
Take necessary arrangements to allow Syrian refugees to apply for work
permits both inside and outside of the development zones
Take measures to allow Syrians to formalize their existing businesses
and to set up new, tax-generating businesses, including access to
investor residencies, in accordance with the existing laws and regulations

7. Investment Dimension – Jordan Compact Action
Plan
Third Component: Doing Business Reforms,Investment Reforms
and Development Zones Approach
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Task
Endorse the Residency, Work and Workers in Development Zones by-
Law
Endorse the by-laws under the new Investment Law
Establish a Special Lane at the Investment Window at the Jordan
Investment Commission to enable timely and smooth registrations and licensing
in addition to issuance of needed approvals and permits
Open offices for JIC (Investment Windows) at the designated
development zones and outline their mandate with objective to enable timely
and smooth registrations and licensing; issuance of approvals and permits

8. Investment Dimension – Jordan Compact Action
Plan
Third Component: Doing Business Reforms,Investment Reforms
and Development Zones Approach
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Task
Identify sectors and industries to be attracted to the zones as part of
Jordan’s promotional plan
Organize a private sector event in London in cooperation with EBRD
Organize and mobilize investment outreach missions (e.g. to European
capitals in 2nd half of 2016)

9. Investment Dimension – Jordan Compact Action
Plan
Third Component: Doing Business Reforms,Investment Reforms
and Development Zones Approach
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Task
Take necessary measures to improve investment climate, and develop a
detailed plan on measures, regulation, structural reforms, investment
strategy, investment promotion plan with timeline for implementation
Take necessary measures to improve investment climate, and develop a
detailed plan on measures, regulation, structural reforms, investment
strategy, investment promotion plan with timeline for implementation
Start the implementation of the Deauville Transition Fund funded project
“Jordan Economic Legislation Reform” aimed at modernizing critical laws
and regulations governing business activities in line with international best
practices

10. Investment Dimension – Jordan Compact Action
Plan
Targeted Sectors and the Designated Development Zones:
• The Following Labour -Intensive Sectors have been
identified to support significant refugee employment:
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Garment
Construction
& Real Estate
Agriculture
Contact
Centers
Pharmaceuticals

11. 11
Investment Dimension – Jordan Compact Action
Plan
• Needs of the designated Development Zones have been identified
to ensure the readiness of those Zones to receive FDI, in terms of
Infrastructure and Vocational Training:
• IT/BPO Services R&D and HealthcareIrbid Development Area
• Industrial Park for Light, Medium and Heavy Industries; Ceramics,
Plastics, Electrical Appliances and Renewable Energy.
Ma'an Development
Area
• Industrial (Light And Medium) and Logistics Hub, Strategically
Located Between Syria, Iraq, and Saudi ArabiaKHBTDA (Mafraq)
• Electronics, Pharmaceuticals, Food, Gramet
Muwaqqar Industrial
City
• Garment, Food, ChemicalsKarak Industrial City

12. 12
Investment Dimension – Jordan Compact Action
Plan
• New Zones will be added in addition to the designated Development
Zones in order to ensure the creation of a significant number of Job
opportunities for Syrian Refugees and Jordanians as well.
 Al-Dulail Industrial City in Zarqa
 Al-Tajamouat Industrial City in Sahab
 Marka, Qastal and AlJeezeh
• Providing Skilled and trained labour through specialized training
programmes according to the Investment Project needs in the
Designated Areas, in addition to establishing vocational training
centers within the Development Areas

13. 13
Investment Dimension – Jordan Compact Action
Plan
FDI Attraction and Increasing Exports:
• Organizing Inward Economic missions from the United
States of America and the EU that includes field visits to
the designated Development Zones:

14. 14
Investment Dimension – Jordan Compact Action
Plan
• Negotiating with the Countries of the EU for the Simplification of the
Rules of Origin from the Least Developed Countries according to the
EU’s General System of Preferences and up to ten years which
will contribute to increasing the FDI and the Local Exports
Developing Investor Services:
• Issuing the Investment Law no. 30- 2014 and the related regulations.
• Establishing the Investment Window at the Investment
Commission to provide a One Stop Shop service to provide
licensing and registration for the economic activities in the
kingdom.
• Creating an E-Portal that will be part of the Commission’s website to
provide online services and handle enquiries.

15. Main Challenges facing the Kingdom
• The continuous Influx of Syrian Refugees.
• The state of instability and turmoil in the region.
• Opening up new export markets after the closure of Syria
and Iraq trade routes
• Upgrading the quality of the local products and increasing
the production capacity of the local factories to meet EU
Specifications.
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16. 16
Zaatari Refugee Camp

17. Thank You..
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