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Jordan Poverty Reduction Strategy 2013

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Jordan Poverty Reduction Strategy 2013 January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY 28 JANUARY 2013 Jordan Poverty Reduction Strategy Final Report 2013 1 UNDP January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY CONTENTS His Majesty King Abdullah II ibn Al Hussein ......................................................................................................... 4 (ii) Foreword ..................................................................................................................................................................... 5 EXECUTIVE SUMMARY ................................................................................................................................................... 6 1. APPROACHING POVERTY REDUCTION IN JORDAN ................................................... 13 1.1 The Aim and Scope of PRS .................................................................................................................................. 13 1.2 Measuring Poverty ................................................................................................................................................ 23 1.3 Jordan Integrated Outreach Worker Program ........................................................................................... 29 2. THE CONTEXT ............................................................................................................................ 31 2.1 Jordan’s Changing Social and Economic Environment ............................................................................ 31 2.2 Poverty, Inequality and Vulnerability in Jordan........................................................................................ 34 3. STRATEGIC PILLARS ................................................................................................................ 52 3.1 Social Welfare and Gender ................................................................................................................................. 53 3.2 Pro-poor Employment and Entrepreneurship ........................................................................................ 100 3.3 Inclusive Health and Education Services ................................................................................................... 170 3.4 Pro-Poor Agriculture, Environment and Rural Development ........................................................... 202 3.5 Transport and Housing for the Poor ........................................................................................................... 222 4. IMPLEMENTING, MONITORING AND EVALUATING THE STRATEGY .................... 232 Implementation and reporting structures....................................................................................................... 232 Action Plan ................................................................................................................................................................... 234 Communications strategy....................................................................................................................................... 235 Jordan Integrated Outreach Worker Program ........................................................................................... 235 Promoting voice and accountability ................................................................................................................... 239 International co-operation .................................................................................................................................... 243 Mid-term and final review ..................................................................................................................................... 243 Conclusion .................................................................................................................................................................... 243 5. ANNEXURE ................................................................................................................................ 246 2 January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY Acronyms ...................................................................................................................................................................... 246 6. REFERENCES ............................................................................................................................ 250 6.1 Studies and report ......................................................................................................................................... 250 6.2 Policy Options Papers And Background Papers................................................................................. 255 3 January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY HIS MAJESTY KING ABDULLAH II IBN AL HUSSEIN “Our citizens are our primary asset. They are the engine of development; and their well- being is its objective. It is the government's duty, therefore, to be committed to maintaining economic and social justice and equality. The government's policies will seek to expand the middle class, and to protect and support the poor. Poverty and unemployment are two evils that we should fight by all possible means. In this regard, the government will improve the current mechanism for helping the poor, and will seek to enhance the role of civil society organisations and the private sector in providing parallel support programs.” 4 January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY (II) FOREWORD 5 January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY EXECUTIVE SUMMARY The Government of Jordan adopted its first Poverty Alleviation Strategy in 2002 recognizing poverty as a key development problem requiring a comprehensive policy for improving the lives of the poor and socially excluded, increasing their human capabilities, providing them with economic opportunities and fully integrating them in the society. Considerable progress in poverty reduction has been achieved. The Government has put in place a series of social programs aimed at increasing employment opportunities, curbing unemployment, combating poverty and offering in- kind and cash assistance for the poor and marginalized groups within Jordanian society. These measures helped to reduce the incidence of absolute poverty (measured on a comparable basis). However, significant challenges remain to the full implementation of a comprehensive policy to reduce and, ideally, eliminate poverty in Jordan. In addition, progress has been threatened by adverse changes in the world economy that have exerted critical social and economic pressures on the Arab states, including Jordan. The global economic crisis has affected Jordan by the increased fiscal deficit that restricted the fiscal space for implementing employment generation and social protection programs, led to a fall in FDI and remittances, severely limited opportunities for productive jobs, and eroded household incomes by rising food and energy prices. These effects of the global economic crisis have impacted on Jordan’s progress towards poverty reduction. The new development context shaped by the protracted global crisis and turbulent developments in the Arab world necessitates new, increased and more consistent efforts to fight poverty and advance human development in Jordan. Therefore the Government has put forward this Poverty Reduction Strategy (PRS) containing results- oriented policy measures and a sound monitoring system to address the economic crisis and ensure sustainable and improving living standards for the poor and below middle class people of Jordan. The key strategic development directions of Jordan are defined in the National Agenda, 2006-2015. PRS is an extension of the National Agenda 2006-15 (NA). It presents a detailed roadmap to implement the poverty reduction components of the NA. It does this by taking into account newly available poverty data and the emerging socio- economic environment, and by assessing available resources and considering trade-offs, to deliver a clear set of policies and a series of tangible actions to contain and reduce poverty in Jordan. In addition to these strategic framework documents the development planning system in Jordan comprises a number of sector based strategies that serve as planning instruments for implementation of the National Agenda, such as the National Employment Strategy (2011-2020). The present Poverty Reduction Strategy, 2013- 2020 has been similarly designed for addressing poverty as a complex multi- dimensional phenomenon by a holistic approach bringing together development efforts of several government ministries, other government stakeholders, civil society organizations and the donor community. PRS is both a comprehensive and targeted strategy, which is results-oriented. It will be comprehensive in that the strategy will engage with the range of sectors (e.g. social protection, health, employment and infrastructure) required to address poverty reduction holistically. Yet, it will also be 6 January 1, 2013 JORDAN POVERTY REDUCTION STRATEGY targeted in that the strategy will only engage with those areas of the identified sectors directly related to poverty reduction. In addition, the strategy will be results-oriented. To achieve this PRS will include fully costed and financially viable policy measures and corresponding actions, and a sound monitoring system with which to track and evaluate them. The new PRS 2013-2020 is aligned with other national strategies (such as the National Employment Strategy, education strategy, transport
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