The United Nations Tourism Organization has published a new edition of the Tourism Business: Investment Guidelines. This time we focus on the investment potential of the Hashemite Kingdom of Jordan.
The report was launched at the “Investing in Tourism: Opportunities and Challenges for Sustainable Financing” conference, held as part of the 50th UN Regional Commission for Tourism in the Middle East. Developed in collaboration with the Jordanian Ministry of Tourism and Antiquities, the guide provides a comprehensive overview of the Kingdom of Jordan's socio-economic current situation, tourism performance and investment opportunities.
Addressing an audience of dignitaries, investors and experts from across the region, the UN Tourism organisation highlighted the country's compelling value proposition, home to a globally recognised UNESCO World Heritage Site, Petra, one of the New Seven Wonders of the World, and unique natural attractions renowned for their therapeutic properties.
His Excellency Makram Kaysi, Minister of Tourism and Antiquities of the Hashemite Kingdom of Jordan, said: “One of the driving forces behind Jordan's recovery is an active and strong partnership with the private sector. We have initiated legal reforms that cover investment as a whole, and we are also undertaking significant reforms to tourism laws, which are the result of direct and ongoing dialogue with the private sector and will transform Jordan into a haven. We are on the right track for our investors and with the help of our strong partnership with UN Tourism and the introduction of the UN Tourism Investment Guide for the Hashemite Kingdom of Jordan. ”
Natalia Bayona, Director-General of the United Nations Tourism Organization, who presented the report at the conference, said, “Jordan has a rich range of options, including seven sub-sectors such as medical and health tourism, cinema tourism, business tourism, and agricultural tourism.'' , offers an unrivaled tourism proposition. This diverse proposition is coupled with institutional stability, strategic policy making and a strong recovery in tourism numbers post-pandemic.”
Jordan's impressive growth since the pandemic
Jordan is a global destination that has demonstrated tourism resilience through its outstanding performance in 2023.
The Business of Tourism – Investing in Jordan report includes key insights such as:
- By 2023, Jordan will have fully recovered from the pandemic and the number of international visitors (including overnight and day-trippers) will reach 6.3 million, an 18.5% increase over the 2019 record.
- Between January and September 2023, trade, restaurants and hotels increased their share of the economy, reaching 12.5% from 11.4% in 2019.
- The tourism industry will employ 54,856 people in 2023, up slightly from 2019, accounting for 4-5 percent of total employment in Jordan.
- Jordan's air travel sector has rebounded and will remain connected to 43 countries through 54 airlines by 2023.
Economic performance and growth potential
Jordan's economy has recorded a steady growth rate of 2.2% over the past 10 years, with an average inflation rate of 2.1%. According to IMF projections, Jordan's GDP is expected to grow by 2.6% in 2023, 2.6% in 2024, and 3.0% in 2025.
In 2023, tourism is set to generate foreign inflows of US$7.4 billion, 28% above pre-pandemic levels, confirming its role as one of the major sources of revenue to the economy and as a driver of the country's GDP growth.
The guidelines also provide detailed analysis of investment prospects and greenfield investment trends. Regarding foreign direct investment (FDI), FDI inflows surged by 83% in 2022 to reach USD 1.1 billion. This is roughly in line with the country's average inflows over the past 10 years. This trend appears to continue until 2023.
The country is also implementing a series of strategies to strengthen its competitiveness and investment framework and support its growing innovative entrepreneurial ecosystem. These are the Economic Modernization Vision (2023-2030), the Investment Promotion Strategy (2023-2026), and the Jordan National Tourism Strategy (2021-2025). These initiatives are expected to attract approximately US$3.8 billion in additional investment into the tourism sector by 2033.
Basma Al-Mayman, Director of the Middle East Regional Directorate, said: “Backed by large-scale investments, a diverse tourism product and Jordan's natural beauty, tourism can become a driver of job creation and growth in the country. and market creation when managed effectively.”
/Public Release. This material from the original organization/author may be of an out-of-date nature and has been edited for clarity, style and length. Mirage.News does not take any organizational stance or position and all views, positions and conclusions expressed here are solely those of the authors. Read the full article here.
