The Hashemite Kingdom of

The National Social and Economic Development Plan

(2004 – 2006)

Ministry of Planning and International Cooperation

1

CONTENTS

Item Page Number

Introduction 4 Section I: General Framework of the Plan 10

I. Framework Preparation Methodology 10 II. Real Sector: 10 Objectives 10 Policies and Procedures 11 Statistical Tables 13 III. Monetary Sector: 18 Objectives 18 Policies and Procedures 18 Statistical Tables 19 IV. General Budget: 19 Objectives 19 Policies and Procedures 19 Statistical Tables 20 V. Public Debt 21 Objectives 21 Policies and Procedures 21 Statistical Tables 21 VI. Balance of Payments 22 Objectives 22 Policies and Procedures 22 Statistical Tables 23 VII. Social Sector 24 Objectives 24 Policies and Procedures 24 Statistical Tables 25

Section II: Main Economic and Social Axes 26 I. Human Resources Development: Public Education 26 Higher Education & Scientific Research 34 Labor and Vocational & Technical training 41 2 Youth Care 49 Culture 60

II. Basic Governmental Services: Water and Sanitation 66 Health 76 Communications & Information Technology -Communications -Information Technology 84 -Post Sector 88 Infrastructure -Construction Sector 93 -Energy Sector 104 -Transport Sector 108

III. Governorate Development and Poverty Alleviation: Governorate Development Strategy 121 Social Development 126 Municipalities 136 Housing 141 Agriculture 147 Tourism 168 Environment 176

IV. Institutional and Organizational Framework and Policies: Administrative Development 183 The Judiciary 189 Trade 197 Industry 203 Media 209 Aqaba Special Economic Zone 214

3 Social and Economic Development Plan for the Years 2004 – 2006: A New Vision for Sustainable Development Introduction: Economic Reforms in Jordan were launched at the beginning of the 1990’s as a result of the severe financial and economic crisis the Kingdom faced towards the end of 1998. Reform efforts during this period concentrated on achieving total economic stability, rectifying structural activities and financial imbalances. Towards the end of the past decade economic indicators demonstrated that these reform efforts successfully achieved a macro economic policy for managing the overall economy, through gradually decreasing the financial deficit and applying a wide range system of structural reforms.

In spite of this, social development remained below the level aspired for, with unemployment and poverty rates persisting at relatively high levels, and average per capita income witnessing a fairly limited growth rate. Additionally, other challenges which faced Jordan were a continued increase in its foreign debt, an increase in the general budget deficit, a weak initiative spirit on behalf of the private sector, and inefficient government services, which contributed to exposing Jordan’s economy to regional and international upheavals.

The pace of reforms was accelerated with the accession of His Majesty King Abdullah II in 1999. This Majesty’s vision of sustainable development is based on the partnership between the private and public sectors, and His Majesty thus called for convening a number of national economic forums, in which the private sector contributed to formulating national strategies, policies, reforms and programs that represent the priorities for the next phase. The results of these reforms are beginning to show positive indications at the macro-economic level.

In light of His Majesty’s keenness for the benefits of development to reflect on the levels and conditions of the citizen’s life, and His Majesty’s continued directives as to the importance of investing in reform activities in their various forms, His Majesty instructed the government in November 2001 to adopt an economic and social transformation program. The purpose of this program is to accelerate the implementation of economic reform policies, programs, projects and procedures, over which there has been a national consensus (financial, administrative, legislative and judiciary reforms), and improving the quality of life for Jordanian Citizens. This was 4 achieved by creating direct and tangible impact on the level of basic government services, particularly education, health, water resources and development of the governorates, in addition to enhancing the role of the private sector by enhancing its participation in privatization operations and investment in grand developmental and growth projects, and adopting new rapid, accurate, transparent and effective mechanisms for decision making.

Reform efforts have been undertaken by Jordan since the economic crisis that Jordan faced towards the end of the eighties and have contributed to achieving financial and economic stability, and helped in achieving growth rates in terms of the gross domestic product at fixed prices, over the past four years, that exceeded the population growth rates. The Central Bank’s reserves in foreign currencies increased to unprecedented levels, covering 8 months of commodities and services imports. The rate of inflation remained within acceptable levels which did not exceed 2.5%, and national exports grew at very high rates, reaching 25.1%, 15.1%, and 5.3% in 2001, 2002, and 2003 respectively. In addition, privatization increased gradually in various productive sectors, and the culture of the productive private investor has started to formulate gradually within clear parameters becoming more efficient and effective. All this was achieved in spite of unfavorable regional and international circumstances, which underscores the importance that reform has had in helping the economy respond quickly to developments and to absorb external shocks.

Jordan today stands at the threshold of a new stage in its development, based on preserving actual achievements and building on them and responding to new development requirements and challenges posed by social and economic circumstances and developments at local, regional, and international levels. The most salient challenges are the continuous increase in the rate of unemployment and poverty, the vast imbalance in the labor market, the high deficit in the general budget, the large volume of foreign debt, the shallowness of the capital market, the changes in business partnerships, and the volume and structure of foreign aid. These challenges have come to dictate, more than ever before, self-reliance in financing development requirements, and diligent work in order to stay in line with the latest developments in changing production patterns, which now emphasize on high value-added sectors, and utilize efficient knowledge- based economy mechanisms.

In response to these challenges, the government has prepared the National Social and Economic Development Plan for the years 2004 – 2006, 5 which emphasizes the importance of maintaining the fundamental principles of the economic policy, represented by sustained monetary and financial stability, enhancing accountability and transparency principles, activating partnership between the public and private sectors, and guaranteeing the role of the private sector as a main partner in the economic activity. These basic principles represent the launching pad towards adopting economic policies and procedures that could contribute to achieving a quantum leap in the performance of the national economy, and creating a tangible transformation in the quality and standard of living of Jordanian citizens by targeting the achievement of a real economic growth rate of 6% by the year 2006, and maintaining inflation rates within acceptable levels which will not exceed 1.8%.

This Plan also targets poverty and unemployment reduction, through the implementation of qualitative and quantitative investments in areas of local development, and creating programs that aim to empower citizens, specifically youth and women and providing them with adequate opportunities. In addition, this Plan aims to encourage and enhance private investment. A further aim of the Plan is to ensure that the financial deficit will not exceed 3% of gross domestic product, and that foreign debt will not exceed 60% of gross domestic product by the end of 2006.

Unlike other prior development plans, The National Social and Economic Development Plan is characterized by the fact that it was launched in response to His Majesty’s directives, stressing that every Ministry and Governmental Bodies should develop their own clear vision and work plan. The Plan which came as a response to challenges facing the development efforts, includes an executive program that constitutes policies, programs and projects that will be implemented during the period 2004 – 2006, as well as including subjective estimates of the financial costs of these programs and projects, and concerned financing plan for the rapid and correct implementation by virtue of work plans, clear phased programs, and the implementation of action plans.

This Plan also emphasizes the importance of maintaining financial and monetary stability, reducing debt burdens by setting up prioritized development projects financed by the treasury or by grants and loans, which takes into consideration current and future expenditures resulting from proposed public investments, which will be subject to implementation in view of the budget and available financing allowances from local and foreign sources.

6 The Government presented the draft Plan at the National Forum organized under the auspices of His Majesty King Abdullah II on 13 November 2003, which was attended by representatives from various segments of the economic, social, political, cultural and youth communities (which in turn encompassed the private sector, Upper and Lower Houses of Parliament, Political Parties and Trade Unions, and Jordanian Civil Society Institutions). As a result a number of comments, suggestions and ideas were presented which contributed to enriching the Plan and updating it to its present format.

This Plan is composed of two main sections: Section I. The Economic and Social Action Plan for the Years 2004 – 2006 This section addresses the overall framework of the action plan, including the methodology, special objectives and policies for each of the real and monetary sectors, the general budget, public debt, balance of payments and the social sector. The second section of the Plan addresses the main economic and social pillars which are as follows:

ƒ Human resources development (public education, higher education and scientific research, labor and vocational and technical training, and youth care). ƒ Basic governmental services (health, water, communications and information technology, and infrastructure). ƒ Development of Governorates and alleviating poverty and unemployment. ƒ The institutional and organizational framework and policies (administrative development, the judiciary, industry, trade, and Aqaba Special Economic Zone).

7 Section II. The Executive Program of the Plan This comprises lists of all reform projects and programs which will be implemented during the coming three years, work plans, and related phased programs.

Financing requirements for this Plan over the coming three years are estimated at (2.998) billion Dinars. It is expected that (2.051) billion Dinars will be provided, as the following table indicates, leaving a financing deficit of (947) million Dinars for the years 2004 – 2006. The Government will focus efforts on the donor communities, especially Arab countries, the United States, Japan, and the European Union to help bridge this gap through grants and foreign aid.

Summary of Plan Financial Position:

Million Dina Axixِِ 2004 2005 2006 Total

Human Resource Development 160.4 118.5 118.1 397

Basic Government Services 646.9 562.6 514.1 1.723.6

Development of Governorates

and Alleviating property 211.9 249.9 250.1 711.9

Structural Reform 61.8 48.9 54.9 165.6

Total required Investment 1.081.1 979.9 937.1 2.998.1

Available Financing 760.3 422.6 378.6 1.561.4

Additional Expected Financing 30 230 230 490

Capital Spenditure in the general 0.00 200 200 400

budget

European Union Grant 30 30 30 90

Total Financing 790.3 652.6 608.6 2.051.4

Financial Deficit 290.5 327.3 328.5 946.7

8

In order to maximize the benefit from available financing resources, the Government has adopted a priorities- based model through which priority policies, programs and projects that will be initiated are specified. This model is based on a number of standards that reflect the Plan priorities, of which the most important are:

• Poverty rates in the governorates. • Unemployment rates in the governorates. • Relative importance of the governorate. • Project cost. • The expected economic and social impact of the project. • Ratio of capital expenditure to total expenditure. • Local production inputs of the project. • Current future expenses resulting from the project. • Ministries and institutions’ implementation abilities. • Readiness of the project and ease of implementation.

The Government will form a specialized unit to work, under the supervision of a senior Ministerial Committee, in cooperation with the relevant Ministries and Departments for the purpose of adopting clear and measurable standards, to identify the priorities of the plans and programs, specify clear quantitative and qualitative indicators of completion, and create a practical mechanism for monitoring, control and impact evaluation, in addition to implementing a large program in order to build institutional capacities in all ministries and institutions concerned with implementation. The unit will also work at building a computerized system to supervise the implementation of these projects, presenting quarterly reports over work progress of this Plan, which will represent a basic point of reference for evaluating government performance and the capacity for completion.

9 The Quantitative Macro Economic Framework for the Years 2004 – 2006

I. Methodology of Preparing the Framework Targeted indicators within the quantitative macro economic framework for the years (2004 – 2006) were estimated on the basis of the following assumptions and principles:

• To adopting the International Monetary Fund’s forecasts and government’s estimations for the main macro-economic indicators, such as economic growth rate and inflation rate, as well as the main items of the general budget, balance of payments and monetary indicators for the years 2004 – 2006. • Seeking guidance from the results of the Jordanian macro- economic model designed by the Ministry of Planning and International Cooperation to assess the performance of various economic sectors, and forecasted future performance based on a number of assumptions, foremost of which are improvements in the regional and international conditions, an increase in foreign trade movements and investment, and sustained financial and monetary stability. • Financing total additional expenditures for the Development Plan during the years 2004 – 2006 will rely on foreign aids, which will have no repercussions on the general budget deficit. • Comparing achieved economic target indicators with projects, policies and procedures within the Plan, while adopting and implementing them effectively to ensure positive outcomes.

II. Real Sector ¾ Objectives: • To achieve a sustained real growth rate of 6% with respect to the gross domestic product in 2006 in order to improve the Jordanian citizen’s standard of living,. • To attain an average per capita growth rate in terms of the real gross domestic product of 3.6% in 2006. • To increase local savings so that the ratio to gross domestic product will reach not less than 7% in 2006.

10 • To increase the contribution of exports of commodities and services in terms of the gross domestic product to reach 47% in 2006. • To maintain stability in general price levels and ensure that inflation does not exceed 1.8% annually. • To enhance worker’s productivity in the Jordanian economy at an average rate ranging between 1.2% and 1.5% during the years 2004 – 2006.

¾ Policies and Procedures: • To maximize the utilization of human resources and increase productivity by concentrating on the quality of general and higher education, and vocational and technical training, in order to transform the prevailing resource based economy into a knowledge-based economy. • To enlarge the role of the private sector in economic activity by transforming the role of the State from principle-participation in the productivity process to a role of organization, supervision and monitoring, in addition to accelerating the implementation of privatization operations in the fields of energy, mining, transportation, post and other sectors. • To create the appropriate environment to encourage local investment and attract direct foreign investment by simplifying legal requirements and administrative procedures necessary for local and foreign investors equally, in addition to encouraging investment in equipment and machinery to enhance productivity. • To improve the competitiveness capability for commodity and services products through improving quality, increasing productivity and reducing costs. • To create an environment, which fosters entrepreneurship, by providing the opportunity for creative and enterprising ideas in the economic growth process. • To enhance governorship through participation, freedom, plurality and transparency. • To deepen the capital market, which is considered a major requirement for attracting savings and motivating local and foreign investment, thereby continuing to:

• Issue tends to reduce the public debt through periodical auctions. 11 • Implement more privatization operations through the financial market. • Encourage the establishment of mutual investment funds. • Modernizing the financial instruments such as derivatives and options. • • To enhance the competitiveness capability for export commodity and services, diversifying them to reach new markets. • To build on the achievements attained by Jordan in the field of modern economic openness, in order to integrate into the global market, and maximize such utilization. • To improve the efficiency and productivity of the public sector through expanding basic government services and improving the efficiency of delivering them to all citizens.

12 Gross Domestic Product at Current Prices Million (JD)

Sector 2004 2005 2006 Agriculture 160.7 174.6 198.5 Mining and Quarrying 201.1 213.9 228.7 Transformational Industries 1038.8 1126.3 1227.0 Electricity and Water 176.0 196.8 223.1 Construction 306.3 371.8 453.2 Trade, Restaurants and Hotels 696.0 740.3 789.0 Transport & Communication 1100.8 1190.1 1290.4 Financial Services, Real Estate 1317.8 1387.1 1457.3 & Business Services Social and Personal Services 312.0 345.7 381.4 Government Services Suppliers 1224.5 1280.2 1339.7 Non-Profit Special Services Suppliers 67.7 72.2 77.3 Household Services 14.0 15.0 16.2 Less: Accounted for Banking Services -147 -156.3 -165.5 Gross Domestic Product at Base Price 6.468.7 6.957.7 7.516.3 Net Taxes on Products 1.034.2 1.102.5 1.183.3 Gross Domestic Product at Market Price 7.502.9 8.060.2 8.699.6 Per Capita Share of the Gross Domestic 1.337.4 1.401.8 1.477.5

Average Change in Gross Domestic Product at Current Prices

Sector 2004 2005 2006 Agriculture 5.6 8.6 13.7 Mining and Quarrelling 5.1 6.4 6.9 Transformational Industries 7.7 8.4 8.9 Electricity and Water 12 11.8 13.4 Construction 17.3 21.4 21.9 Trade, Restaurants and Hotels 6.2 6.4 6.6 Transport and Communications 7.8 8.1 8.4 Financial Services, Real Estate & Business Services 5.4 5.3 5.1 Social and Personal Services 10.9 10.8 10.3 Government Services Suppliers 4.5 4.5 4.6 Non-Profit Special Services Suppliers 7.1 6.6 7.1 Household Services 6.1 7.1 8.0 Less: Accounted for Banking Services 3.7 6.3 5.9 Gross Domestic Product at Base Price 7.1 7.6 8.0 Net Taxes on Products 6.0 6.6 7.3 Gross Domestic Product at Market Price 6.9 7.4 7.9 Per Capita Share of Gross Domestic Product (JD 4.3 4.8 5.4 13 Table (3) Relative Sectoral Importance of Gross Domestic Product at Current Prices Percentage Sector 2004 2005 2006 Agriculture 2.1 2.2 2.3 Mining and Quarrying 2.7 2.7 2.6 Transformational Industries 13.8 14.0 14.1 Electricity and Water 2.3 2.4 2.6 Construction 4.1 4.6 5.2 Trade, Restaurants and Hotels 9.3 9.2 9.1 Transport and Communications 14.7 14.8 14.8 Financial Services, Real Estate 17.6 17.2 16.8 and Business Services Social and Personal Services 4.2 4.3 4.4 Government Services Suppliers 16.3 15.9 15.4 Non-Profit Special Services Suppliers 0.9 0.9 0.9 Household Services 0.2 0.2 0.2 Less: Accounted for Banking Services -2.0 -1.9 -1.9 Gross Domestic Product at Base Price 86.2 86.3 86.4 Net Taxes ob Products 13.8 13.7 13.6 Gross Domestic Product at Market Price 100.0 100.0 100.0 Table (4) Gross Domestic Product at Fixed Prices (1994 =100) Millions (JD) Sector 2004 2005 2006 Agriculture 203.5 216.7 241.6 Mining and Quarrying 160.0 166.9 174.9 Transformational Industries 950.3 1.010.2 1078.8 Electricity and Water 153.4 164.9 179.7 Construction 340.9 405.6 484.7 Trade, Restaurants and Hotels 622.7 652.6 685.3 Transport and Communications 1.011.0 1.071.6 1139.1 Financial Services, Real Estate 1055.3 1.089.1 1121.8 & Business Services Social and Personal Services 212.3 228.5 244.7 Government Services Suppliers 917.3 944.9 974.2 Non-Profit Special Services Suppliers 54.5 56.4 58.6 Household Services 11.2 11.7 12.4 Less: Accounted for Banking Services -130.0 -135.3 -140.4 Gross Domestic Product at Base Price 5.562.4 5.883.8 6.255.4 Net Taxes ob Products 860.7 895.1 933.6 Gross Domestic Product at Market Price 6.423.1 6.778.9 7.189.0 Per Capita Share of the Gross Domestic Product (JD) 1.144.9 1.178.9 1.221.0 14 Table (5) Average Change in Gross Domestic Product at Fixed Prices (1994 = 100) Percentage

Sector 2004 2005 2006 Agriculture 3.5 6.5 11.5 Mining and Quarrying 3.0 4.3 4.8 Transformational Industries 5.6 6.3 6.8 Electricity and Waterُ 7.7 7.5 9.0 Construction 15.0 19.0 19.5 Trade, Restaurants and Hotels 4.6 4.8 5.0 Transport and Communications 5.7 6.0 6.3 Financial Services, Real Estate & Business Services 3.3 3.2 3.0 Social and Personal Services 7.7 7.6 7.1 Government Services Suppliers 3.0 3.0 3.1 Non-Profit Special Services Suppliers 4.0 3.5 3.9 Household Services 4.7 4.5 6.0 Less: Accounted for Banking Services 2.8 4.1 3.8 Gross Domestic Product at Base Price 5.2 5.8 6.3 Net Taxes ob Products 3.9 4.0 4.3 Gross Domestic Product at Market Price 5.0 5.5 6.0 Per Capita Share of Gross Domestic Product (JD) 2.4 3.0 3.6

15 Table (6) Sectoral Relative Importance of the Gross Domestic Product at Fixed Prices Percentage

Sector 2004 2005 2006 Agriculture 3.2 3.2 3.4 Mining and Quarrying 2.5 2.5 2.4 Transformational Industries 14.8 14.9 15.0 Electricity and water 2.4 2.4 2.5 Construction 5.3 6.0 6.7 Trade, Restaurants and Hotels 9.7 9.6 9.5 Transport and Communications 15.7 15.8 15.8 Financial Services, Real Estate 16.4 16.1 15.6 Business Services Social and Personal Services 3.3 3.4 3.4 Government Services Suppliers 14.3 13.9 13.6 Non-Profit Special Services Suppliers 0.8 0.8 0.8 Household Services 0.2 0.2 0.2 Less: Accounted for Banking Services -2.0 -2.0 -2.0 Gross Domestic Product at Base Price 86.6 86.8 87.0 Net Taxes on Products 13.4 13.2 13.0 Gross Domestic Product at Market Price 100.0 100.0 100.0

16 Table (7) Expenditure on Gross Domestic Product at Current Prices Millions (JD)

Item 2004 2005 2006 Final Aggregate Consumption Expenditure 7352.8 7681.4 8090.6 Final Government Consumption Expenditure 1754.6 1851.1 1973.1 Final Private Consumption Expenditure 5597.9 5830.3 6116.9 Aggregate Capital Formation 1925.7 2031.2 2392.4 Commodities and Services Exports 3436.3 3748.0 4088.8 Less: Commodities and Services Imports 5011.9 5400.3 5872.2 Expenditure on Gross Domestic Product 7502.9 8060.2 8699.6

Table (8) Relative Importance of Individual Items of Expenditure on Gross Domestic Product at Current Prices Percentage

Item 2004 2005 2006 Final Aggregate Consumption Expenditure 98.0 95.3 93.0 Final Government Consumption Expenditure 23.4 23.0 22.7 Final Private Consumption Expenditure 74.6 72.3 70.3 Aggregate Capital Formation 23.0 25.2 27.5 Commodities and Services Exports 45.8 46.5 47.0 Less: Commodities and Services Imports 66.8 67.0 67.5 Expenditure on Gross Domestic Product 100.0 100.0 100.0

17 III. Monetary Sector ¾ Objectives • To maintain monetary stability through a stable exchange rate of the Dinar, stable prices of goods and services, and by providing an appropriate structure for interest rates. • To control local liquidity growth rates in line with growth rates of the gross domestic product at current prices, and to contain inflation within acceptable levels. • To maintain comfortable levels of foreign currency reserves that are sufficient to cover more than 7 months of imports in goods and services. • To enhance the safety and security of the banking system through the adoption of control operations and risk analysis in the banking industry. ¾ Policies and Procedures • To provide the necessary liquidity in order to finance real economic activity, while maintaining the targeted level of inflation, in addition to using the available financial instruments, including certificates of deposit as an instrument to sanitize foreign currency flows, as well as adapting the use of these instruments with the change in economic activity which in turn changes the level of demand for money. • To provide an interest rate structure that will assist in motivating the economic activity, attain the targeted growth rate, and synchronize interest price developments in the global markets, while maintaining the attractiveness of the Dinar as a store of saving. • To encourage the banking system to provide the required financing for investment projects in general and long-term financing in particular. • To enhance capabilities in the fields of banking risk evaluation and risk management. • To adopt state-of-the-art accounting and control standards in the banking industry. • To expand the membership umbrella to include other institutions and automated banking networks in addition to the banking system institutions.

18 Monetary Sector Indicators

Item 2004 2005 2006 Monetary Supply ( M2) in Million JD 10.101 10.949 11.924 Relative Change (%) 7.9 8.4 8.9 Official Reserves (Million JD) 4.542 4.501 4.399 Coverage According to Months of Imports 9.1 8.5 7.8 Rate of Exchange (Dollar per Dinar) 1.41 1.41 1.41 Inflation Rate (CPI) 1.8 1.8 1.8 Inflation Rate (GDP Deflator) 1.8 1.8 1.8

IV. General Budget ¾ Objectives • To increase financing from local resources • To achieve financial stability by increasing local revenues and controlling current expenditure, to ensure that the budget deficit as a percentage of gross domestic product does not exceed 2.8% by 2006.

¾ Policies and Procedures • To prepare an overview of the general budget restructuring mechanisms and improve financial performance that will seek to: ƒ Control and rationalize current expenditure, and direct additional resources toward productive capital expenditure. ƒ Remove distortions resulting from indirect fuel subsidies and some basic services such as electricity and water. ƒ Increase local government revenues by enlarging the taxation base and improving tax collection efficiency by building effective institutional capacities and creating a comprehensive database, as well as rationalizing tax exemptions. • To prepare a medium-range framework for the general budget, and take the necessary measures and procedures to prepare the budgets based on performance. • To allocate capital expenditure on the basis of specific priorities in line with the requirements of each ministry and their ability to implement them . • To ensure the financial sustainability of the pension scheme by completing reform procedures that will ensure justice, the preservation of the rights, and the well being of present and future generations. 19 • To prepare work plans and time frames towards adopting governorate budgets as a base for the state general budget.

Table (10) General Budget Summary Million JD

Current Expenditure 2053 1936 2060 Capital Expenditure 537 555 590 Total Revenue 2297 2225 2406 Local Revenues 1825 1966 2147 Tax Revenues 1186 1218 1305 Non-Tax Revenues 639 754 842 Aid 472 259 259 Deficit -293 -266 -244

Table (11) General Budget Summary (%) of Gross Domestic Product Total Expenditure 34.5 30.9 30.5 Current Expenditure 27.4 24.0 23.7 Capital Expenditure 7.1 6.9 6.8 Total Revenue 30.6 27.6 27.7 Local Revenues 24.3 24.4 24.7 Tax Revenues 15.8 15.1 15.0 Non-Tax Revenues 8.5 9.4 9.7 Aid 6.3 3.2 3.0 Deficit -3.9 -3.3 -2.8

20

V. Public Debt ¾ Objectives • Not to exceed the present internal and external public debt balance of 78% of gross domestic product at the end of 2006, whereby: ƒ The foreign public debt balance as a percentage of gross domestic product will reach 53.4%. ƒ The internal public debt balance as a percentage of gross domestic product will reach 24.5%. • To maintain a foreign public debt service rate, as a percentage of exports, within reasonable levels and decreasing rates, to reach approximately 15% in 2006.

¾ Policies and Procedures • To place controls on foreign borrowings and restrict them to soft loans. • To continue seeking more debt exchange operations in various forms. • To deepen the capital market and setting frameworks for issuing government bonds regularly and periodically. • To utilize part of privatization revenues to settle part of the foreign debt.

Table (12) Public Debt Million JD

Item 2004 2005 2006 Current Balance of Foreign Public Debt 4898.0 4795.0 4648.0 As Percentage of Gross Domestic Product (%) 65.3 59.5 53.4 Current Balance of Internal Public Debt 1924 2030 2134 As Percentage of Gross Domestic Product (%) 25.6 25.2 24.5 Current Balance of Public Debt 6822 6825 6782 Its Percentage of Gross Domestic Product (% 90.9 84.7 78.0 Foreign Debt Servicing (Commitment Basis)* 18.8 16.7 15.1 Gross Domestic Product at Current Prices 7502.9 8060.2 8699.6

* As a ratio of total goods and services exports 21 VI. Balance of Payments ¾ Objectives • To maintain the positive performance in the balance of payments achieved over previous years, through:

ƒ Achieving a surplus in the current account by gradually reducing the balance of trade deficit and maintaining the surplus in the balance of services. ƒ Achieving a substantial decrease in the capital account deficit, attracting additional foreign investments and working towards achieving additional debt swap operations.

¾ Policies and Procedures • To develop a trading policy and a strategy to penetrate foreign markets through: ƒ Identifying trade development opportunities and new target markets. ƒ Preparing both the public and private sectors to negotiate bilateral and multilateral trade agreements and strategies for penetrating foreign markets. ƒ Accelerating Jordan’s entry into the multilateral trade system by entering into new regional trade arrangements. • To develop and amend customs tariff structures and tackle related issues of trade financing. • To optimize utilization of current trade and economic agreements to maximize the benefits from opportunities, and find adequate control mechanisms to identify difficulties facing their implementation. • To attract additional foreign investments, and at achieve additional debt swap operations. • To stress the role of Jordanian diplomatic missions abroad to promote Jordan and attract foreign investments, and to assist in improving opportunities for national products’ penetration into foreign markets. • To support the emergence of specialized export houses.

22 • To establish and manage an efficient information center in all concerned aspects of the World Trade Organization and other international trade agreements.

Table (13) Balance of Payments Million JD

Item 2004 2005 2006 Current Account 381 135 160 Goods and Services -189 -136 -111 Balance of Payments -136 -79 -50 Exports (FOB) -1925 -2050 -2170 Imports (CIF) 2231 2374 2543 Balance of Services 4156 4424 4713 Current Transfers 1789 1971 2120 Capital Account 517 214 210 Net Error and Omission -276 -119 -134 Gross Balance 105 16 26 Gross Domestic Product at Current Prices 7502.9 8060.2 8699.6

Table (14) Balance of Payments % of Gross Domestic Product

Item 2004 2005 2006 Current Account 5.1 1.7 1.8 Goods and Services -2.5 -1.7 -1.3 Balance of Payments -1.8 -1.0 -0.6 Exports (FOB) -25.6 -25.5 -25 Imports (CIF) 29.7 29.4 29.2 Balance of Services 55.3 54.9 54.2 Current Transfers 23.8 24.5 24.4 Capital Account 6.9 2.7 2.4 Net Error and Omission -3.7 -1.5 -1.5 Gross Balance 1.4 0.2 0.3

23 VII. Social Sector ¾ Objectives

• To achieve a balance between human and economic resources. • To continue the implementation of national initiatives directed at dealing with the problems of poverty and unemployment. • To empower Jordanian women and increase their participation in the development process in harmony with the Millennium Development Goals. • To establish micro-credit finance culture. • To enhance the self-reliance culture by creating work opportunities of income generation. • To activate the cooperation sector’s role in local communities’ development.

¾ Policies and Procedures • To continue the implementation of the public education sector restructuring by making it capable of responding to new developments in information technology, and to synchronize the education sector with the labor market requirements. • To develop and modernize the higher education sector and enhance its capabilities in the field of research and development which is linked to the productive sectors of the national economy. • To develop vocational training programs and upgrade them to accommodate the requirements of labor market changes. • To provide more training opportunities for the unemployed and low-income groups in order to equip them with new skills and better competitive capabilities in the labor market. • To find new financing sources for income generating projects and job opportunities, particularly small and medium enterprises. • To support and encourage entrepreneurial-ship and pioneering ideas that could be transformed into productive projects. • To streamline the Jordanian labor market and explore the potential for finding job opportunities abroad, and encourage the private sector to invest in this field. • To empower the eligible segments to benefit from complementary income programs and other national aid programs.

24 • To restructure the institutions involved in the field of poverty alleviation to harmonize and coordinate efforts. • To develop the performance of programs and financing sources for small and medium size projects to ensure that they can effectively reach the poor, as will as accelerating the process of establishing the National Bank for Financing Small Projects. • To build and update the National Aid Fund Database, increase its efficiency, and provide a follow-up mechanism. • To adopt clear programs and plans to enhance the role and participation of women in the labor market. • To sustain the principle of equal opportunities which empower women to perform their role fully in the process of sustainable development.

Table (15) Social Sector Indicators

Population (.000) 5609.7 5749.9 5887.9 Raw Participation Rate 0.2425 0.2440 0.2455 Workforce (.000) 1360.4 1403.0 1445.5 Workers (.000) 1159.3 1209.3 1263.3 Average Worker Productivity Growth Rate (% 1.2 1.2 1.5

25

Section II

Main Economic and Social Axes

Human Resources development

Public Education

2004 – 2006

26 The Vision To develop an educational system, that is capable of fulfilling the requirements of a knowledge-based economy, and which emphasizes upon continuous lifetime educational skills, in line with the present and future development requirements, as well as facilitating the integration into the global economy.

The Mission To develop and manage an efficient educational system in addition to creating qualitative human resources that can enjoy a high level of basic learning expertise with positive societal approaches, as well as adapting to the requirements of the era, and can efficiently contribute to developing a knowledge based economy.

Main Challenges • Centralization in decision-making and poor organizational structure within the Ministry of Education. • Inability of curricula programs and practices to attain educational outputs that are in harmony with the knowledge-based economy. • Inefficient mechanisms and tools to measure the outputs of the educational system. • Substandard capabilities and skills of teachers requiring the need for a new guidance system that could enable teachers to understand and implement the educational vision. • Weak public education infrastructure, which is evident by the crowded classrooms in schools, high ratio of rented school premises, and the fact that some schools are operating on dual-shift basis. • Weak information technology and communication infrastructure throughout the Kingdom. • The need to re-distribute general investment in education towards qualitative capital investment. • The lack of kindergartens in most government schools, especially in rural areas.

Objectives • To achieve flexibility and harmony in educational output, in addition to developing linkages and channels between the educational system’s outputs in the present and future economic and social development requirements. 27 • To restructure the educational system in order to implement a continuous life-long educational philosophy. • To develop, update and increase the use of information technology and communication to improve the efficiency of the educational process and the administrative system of the public education sector. • To provide support and school facilities in order to establish high quality and tangible educational environments. • To develop the educational capabilities starting from the early childhood phase. • To upgrade the efficiency and effectiveness of the educational system, keeping in mind the economics of its inputs, operations and outputs. • To develop a qualitative educational system, and improve the variety of the educational programs. • To interact with the developments in the international culture, and experiences as well as keeping up to date with the scientific and technical developments in the various areas of education. • To develop and expand the role of the private sector in the areas of planning and financing the development of human resources. • To enhance the citizen’s access to educational services in all areas and reduce school drop out rates. • To enhance teachers’ capabilities and skills in the educational sector, and to link promotions to the development in skills and abilities. • To develop the administrative, financial and technical capabilities of the educational institutions, and to deepen the concept of de- centralization. • To update legislations governing the performance of educational institutions. • To develop the role of the educational system in enhancing the role of women in the family and society. • To prepare students for larger participation in public life.

Policies and Procedures • To improve the environment of schools in general and the classrooms in particular, in a way that can enable positive educational learning process. • To establish a national plan for pre-school education to address the qualitative and quantitative issues related to this important and basic

28 stage, and to implement a national plan to increase the percentage of kindergarten attendance to 35% by 2005. • To improve basic education and develop the concept of compulsory education at this stage in order to reduce drop-out rates from schools among male and female students, especially in poor and rural areas. • To link the public and higher education, whereby secondary education is considered the third stage of public education, and the middle link between basic and higher education. • To provide equality in educational opportunities and services, from an early childhood stage, in addition to promoting further education and life long knowledge. • To keep with current developments in the labor market and its requirements and to create knowledgeable and skilled human resources. • To direct the educational system towards learning rather than education through the use of information technology and communications. • To improve the utilization of private financial resources in achieving high-yield education and to enhance the concept of sharing in bearing the cost of education, and to provide education for all. • To develop national regulations according to international evaluation standards, in order to improve the level of the educational output. • To build and develop administrative and educational information systems, and to upgrade the institutional capabilities to manage the educational system efficiently. • To aim for more decentralization in the administration of the educational system by enhancing the role of the administrative units at the Ministry and Governorate level, as well as delegating more administrative and financial responsibilities to the field. • To develop the Secondary education in both its comprehensive and applied streams, and to enhance the educational system in parallel with the economic and social development requirements, and to provide in comprehensive schools various forms of quantitative and qualitative levels of academic and vocational programs. • To develop the term or semester system to prepare the student for studying in environments close to that of the university and providing the opportunity for the student to study some university- level courses.

29 • To improve the accessing of knowledge and information through a complete and comprehensive national infrastructure in the area of information technology and communication. • To enhance and develop national capabilities in the fields of observation, evaluation and research, to support the decision-making process. • To complete the establishment of King Abdullah II Schools of Excellence for gifted and outstanding students in the Kingdom’s governorates. These schools provide specialized educational academic services aimed at developing the educational process to fulfill the various needs of students and to develop and nurture talent and creativity, as well as equal opportunity for students and to utilize their energies and capacities for the service of the nation. • To complete the construction of the pioneering centers in all directorates of the Kingdom. • To establish an effective partnership with relevant national parties in both the private and public sectors to support the decision-making process and fulfill the needs related to the educational process. • To use information technology in the fields of education and administration and to establish an integrated educational system which connects the Ministry center with all directorates in this field and individual schools. • To develop educational legislation that deals with the various elements of the educational system and its activities, and updating them in line with the educational requirements developments. • To develop quantitative and qualitative educational services to students with special needs. • To continue to develop curricula and textbooks to fulfill the changing needs of the individual and society, and to continue to include contemporary educational concepts, for example health, population, environment and occupational education, and to project a balanced picture of the family in general and women in particular. • To emphasize the importance of political and civil education in the educational system, and to strengthen the principles of belonging, participation, justice and democracy in scholastic life through extra- curricular activities, and to include in school text books more information related to the general affairs of the nation in addition to, emphasizing the concepts of democracy and human rights.

30 • To develop the form and content of school examinations, to ensure the testing of the different aspects of the students’ abilities. • To develop the schools’ buildings quantitatively and qualitatively, renouncing the rented premises and the dual-shift schools, and providing an environment that is conducive to the learning – educational process. • To develop the teachers and administrative staff ranking, to improve the teachers’ scientific, social and economic status, in appreciation of his/her outstanding role in developing the human element and society, and realize his/her occupational growth. • To improve all aspects of the educational quality to enable students to achieve measurable educational results. • To prepare and implement programs aimed primarily at eliminating disparities between the sexes in school participation, and eliminating gender discrimination in education laws, scholastic curricula and subjects studied whether they are derived from discriminatory practices, social or cultural positions or legal or economic circumstances. • To upgrade teachers’ qualifications and skills by providing specialized training courses during the academic year. • To coordinate with specialists to link the objectives and strategies of the Ministry of Education with national plans for the development of childhood, and to emphasize the pre-school level. • To activate the gender concept through forming the Women Leading Role Committee at the center and to aim at incorporating this concept within policies and programs, and to develop an institutional culture supporting women empowerment and increasing women participation in middle and upper management positions at the center and field levels. • To form an educational committee to continuously work on evaluating the best practices. • To prepare continuous studies to specify overall training requirements for teachers. • To form committees that include groups of outstanding teachers and representatives from other relevant parties to provide counseling and assistance to students in selecting their future occupations and careers, and prepare them to enter the higher education stage in line with their capabilities, desires and outlooks.

31 List of Education Projects for the Years 2004 – 2006

Million JD Name of Project Total Cost of Project 2004 2005 2006 Total Developing Education Towards the 44.000 58.177 58.207 160.384 Knowledge based Economy Maintenance and Repair of School 1.355 1.355 1.355 4.065 Buildings Construction Work (addition 9.950 7.648 7.648 25.246 of classrooms, playgrounds, sidewalks reservoirs, safety nets, electricity and water installations, teachers club in Zarqa, various installations for the Irbid various installations for the Irbid Teachers Club and Tila Al Ali hall, Sports stadium for Prince Zaid Bin Al Hussein School) Sakhra School construction - Ajloun 0.150 0.000 0.000 0.150 Various construction work to 0.700 0.000 0.000 0.700 habilitate and develop main schools Print school textbooks to 0.500 0.000 0.000 0.500 recreate a new specialization in the Academic Course Purchase of School desks 0.183 0.000 0.000 0.183 Computer Furniture for Schools 0.235 0.000 0.000 0.235 Addition of Classrooms 0.725 0.540 1.000 2.265 Establish three educational 0.550 0.000 0.000 0.550 directorates (Kourah, South Mazar, South Shouneh) Land Ownership for Schools 5.000 0.000 0.000 5.000 Electrical Installations for the 0.060 0.060 0.060 0.180 Educational Computers Cost of Establishing the School Map 0.080 0.000 0.000 0.080 General School Furniture 3.400 2.000 2.000 7.400 School Building Projects Financed 2.000 4.000 3.870 9.870 from Loans / German Loan (Building 25 Basic Schools) 32 Develop Schools for Outstanding 0.120 0.120 0.120 0.360 Students in 3 Regions Computing Schools 2.057 0.000 0.000 2.057 Printing school books 2.000 2.000 2.000 6.000 Establishing 6 School Buildings and 0.750 0.000 0.000 0.750 Preparing Studies for New Schools Machinery and Vehicles 1.000 1.000 1.000 3.000 Devices , Materials , Machines for 1.405 0.935 0.935 3.275 Laboratory and Schools Computerization and Electronic 3.500 3.500 3.500 10.500 Connection and Operating Cost Expansion of schools / new phase 0.000 0.060 0.090 0.150 Teachers Training Expenses 1.000 1.000 1.000 3.000 Establishing New Schools / new phase 0.000 0.650 2.370 3.020 T O T A L 80.720 83.045 85.155 248.920

33

Section II

Main Economic and Social

Axes

Human Resources

Development

Higher Education and

Scientific Research

2004 – 2006

34 The Vision A higher quality of education, armed with qualified and specialized skills and expertise in various fields of knowledge, that fulfill the need of present and future societies, for the purpose of achieving sustainable economic and social development.

The Mission To develop and modernize the present higher education system in a manner that contributes to providing applied and academic outstanding and specialized skills and capabilities, in line with the requirements of economic, social, cultural and political activities, emphasizing the Arab identity, Islamic heritage and national culture.

Main Challenges • Disparity between the acceptance criteria and the requirements for developing and modernizing the higher education. • Weak coordination between the outputs of the educational system and the requirements of sustainable development. • Major imbalances in the financing situation in universities, in addition to low amounts of qualitative investment in improving education. • Weak participation of the private sector in formulating higher education policies, programs and curricula. • Lack of institutional mechanisms for scientific research in this sector, and weak links between universities and the local industry, and low financing allocated for research and development. • Poor capabilities of staff members and lack of mechanisms that ensure modernization and development in educational methods and tools. • Low level of accreditation and quality control. • Weak communication mechanisms between outstanding students, the government and civil society institutions. • Lack of a follow-up system for university graduates. • Lack of transparency and accountability in the sector’s administration at the national and university levels.

Objectives • To prepare qualified and specialized human personnel in various facets of knowledge to fulfill the needs of society. 35 • To provide the supporting academic and social environment for enhancing creativity, excellence and talent. • To encourage and support scientific research and improving its standard, in particular applied scientific research which aims at serving and developing society. • To create strong institutional ties between the private and public sectors on the one hand, and higher education institutions on the other, in order to utilize qualified capabilities in these institutions so as to develop these two sectors through consultation and applied scientific research. • To improve the quality and efficiency of coordination of the higher education in line with society’s requirements, by setting standards and principles for accreditation and quality control to be applied across the board of higher education, and to correspond with international standards. • To encourage developments in information technology and communications, and utilize them in administrative and academic programs, in relation to content, teaching methods and evaluation. • To focus on the economies of education in the higher education sector, which include guaranteeing the availability of necessary financing, and setting the appropriate mechanisms to distribute and use available financial resources effectively and efficiently and according to priorities.

Policies and Procedures • To adopt the student average in the General Secondary Education Certificate or its equivalent, primarily as a basis for acceptance. • Acceptance should be on a competitive basis for unified acceptance for government universities, taking into consideration the social and geographic circumstances of the student. • To specify the number of students accepted annually at colleges / programs / specializations in government and private universities and community colleges by the Higher Education Council, in accordance with their capacity and market needs, thus guaranteeing quality. • The Higher Education Council shall specify student acceptances at the level of colleges or departments, in order to attain the highest possible level of harmony between the student’s program preferences and the available specializations. • Permitting students to transfer from one specialization to another within the university in order to provide the opportunity for students to 36 study specializations they excel at, within conditions and controls set by universities and keeping into account the academic levels of students. • Reconsidering the basis for accepting students at the physical education and arts specializations to assure the selection of students who possess real talents and capabilities. • To gradually reduce the numbers of students accepted in already congested programs and specializations. • Continually updating and modernizing educational plans and programs in universities. • To establish centers of excellence in certain areas of specialization within each university and to reconsider areas of specialization which do not possess sufficient qualifications in order to preserve quality among graduates. • To expand higher education programs and to encourage outstanding students to join them. • To establish centers for developing the performance of university teaching staff. • Sending graduates on scholarships to reputable universities to obtain doctorate degrees in required areas of specialization. • Continually updating general computer courses in light of the increasing knowl • edge of high school students in this area, in coordination with the Ministry of Education and the Ministry of Higher Education and Scientific Research. • Utilizing Information Technology and Communications in all programs where content, teaching methods and evaluation methods are concerned. • To develop the capabilities of teaching staff in using technology in the classroom. • To provide the equipment and infrastructure necessary for teachers and students to make use of the technology in teaching and learning. • Using information technology and communications in distance learning programs and encouraging universities to cooperate to achieve this. • To continue to restructure university tuition fees to correspond with citizens’ income levels and the cost of each specialization or educational program. • To establish need-based student funds and to allocate a percentage of the annual government subsidy to reach 100% within 10 years. 37 • To encourage financial institutions and social institutions to establish funds for student funding. • To provide additional government support to complete the new universities infrastructure and equipping. • To allocate part of universities’ budget for scholarships for doctorate degrees. • To allocate part of the additional government support to finance areas of specialization and centers of excellence in universities on a competitive basis. • To distribute the annual government grant among government universities on the basis of number of students enrollment in them. • Marketing higher education services to attract expatriate students and simplify registration procedures and boarding. • To establish an independent agency for accreditation to replace the present accreditation board. • To establish accreditation and quality control offices at the universities. • To adopt a unified proficiency test for all graduates. • To establish a university classification system for general use at all private and public universities, whereby universities are classified according to fields of specialization, and setting classification standards that combine educational methods, research and the extent of contribution to the national economy and scientific activities, in order to encourage competition among local universities in various fields of specialization and main elements of university performance, and enhancing centers of excellence among universities in various areas. • To establish a higher commission for scientific research at the Ministry of Higher Education and Scientific Research to include representatives from higher education institutions, the private sector, the Higher Council for Science and Technology and institutions concerned with scientific research. • To prepare qualified research personnel and providing opportunities for them to acquire the necessary expertise. • To establish centers of excellence at universities according to strong fields of specialization. • To develop real partnership between the universities and the development, services and production sectors. • To maximize the use of resources, facilities and equipments available at universities for the purpose of scientific research and cooperation with the various productive sectors. 38 • To provide the necessary mechanisms to adopt and nurture students with exceptional skills of creativity and excellence. • To empower the Higher Education Council and higher accreditation agencies to control scientific research through the collection and analysis of information for the purpose of making accurate decisions. • Using “Management Information Systems” in the decision-making process and in managing universities, including the following systems: ƒ Student information. ƒ Unified acceptance. ƒ Financial affairs. ƒ Administrative affairs. ƒ Human resources management and payroll. ƒ Management of assets and warehouses.

• To improve efficiency and competition in selecting university leadership. • Decentralizing management and expanding the delegating authority at universities. • To adopt the principles of transparency and accountability in managing the sector at the national and university levels. • To improve the administration of the Creativity and Scientific Research Sectors. • To establish offices at universities for alumni affairs and their placement. • To amend higher education and university laws in order to implement policies related to forming proposed commissions. • Reviewing special legislation including: ƒ Amending the Companies Law to allocate 1% of annual companies’ profits to the scientific research fund. ƒ Amending the laws and regulations related to promotions and sabbatical level for teachers at public and private schools. ƒ Amending the laws and regulations related to scholarships. ƒ Amending the laws and regulations in order to increase the participation of the private sector in sectoral councils. ƒ Permitting a large margin of freedom for students in university administration, including freedom of speech and the establishment of student associations.

39 List of Higher Education and Scientific Research Projects in The National Social and Economic Development Plan for the Years 2004 – 2006 I. Financed Projects (Totally or Partially) Total Cost Of Project (Million JD) Project Title 2004 2005 2006 Total

Development of Higher Education Project 5 15.45 15.45 35.9 Development of the Accreditation Process in Conformity with International Standards 0.25 0 0 0.25 Management Information Systems 0.255 0.5 0.345 1.1 Support Computerization in Jordanian Universities 4.258 0 0 4.258 Equipment & Machinery for Surveying Engineering / Applied Balqa'a University 0.2 0 0 0.2 Establishing New Specializations and Developing Existing Specializations/ Applied Balqa'a University 1 0 0 1 Sinctron Buildings Project 2 0 0 2 Establishing Technical and Vocational Education Institute 3.5 0 0 3.5 Support Applied Balqa’a University in Executing Responsibilities toward Community Colleges 1 0 0 1 Trainers’ Training Institute/ Applied Balqa’a University 0.66 0 0 0.66 Jordan Germany University 0 2 2 4 Establishing Independent Institutions for: Accreditation, Quality and Quality Control, & Scientific Research 0.5 0.5 0.5 1.5 Al Tafeleh University 0 2.5 2.5 5 Information and Communication Technology in Higher Education 3 4 5 12 Projects to Improve Outputs from Higher Education and Support & Scientific Research at Universities 15 15 15 45 T O T A L 36.623 39.95 40.795 117.368

40

Section II

Main Economic and Social Axes

Human Resources Development

Labor and Technical and Vocational Training

2004 – 2006

41 The Vision To bridge the gap between human resources, skills and capabilities, the present and future needs of the national economy. Achieving a balance in the labor market and improving its efficiency, thus contributing to increasing overall labor productivity in the national economy.

The Mission To organize the labor market in such a manner that ensures the wellbeing of all stakeholders in the production process, and the availability of a qualified and trained workforce within a balanced labor market.

Main Challenges • The high levels of unemployment, with large disparities among various governorates. • The low productivity levels within the Jordanian workforce. • The major imbalances in the labor market (unemployment coupled with the presence of expatriate labor, along with incompatibility between outputs of educational and training systems and market requirements). • The low participation of women within the Jordanian labor market. • The current Labor Laws do not encompass those working in the agricultural sector. • The weak decision-making mechanisms related to the labor market. • The lack of a comprehensive, detailed and updated database for the current labor market. • The weak organization of the Jordanian labor market. • The poor coordination and integration of national initiatives in to the labor market. • Weaknesses of institutions capabilities that are related to the labor market. • The lack of innovative programs that aim to enhance the participation of women in the labor market.

Objectives • To organize the Jordanian labor market and replace expatriate labor with Jordanian labor.

42 • To provide training and rehabilitation opportunities in the areas of skills which reflect the actual needs of the labor market. • To raise the efficiency of the labor market and increase productivity. • To build a database for the labor market that provides accurate information that can be accessed by decision makers and researchers. To develop the Ministry of Labor’s capabilities and enable it to provide services to the both Jordanian citizen and to the foreign investor through utilizing modern technologies and adopting the best performance standards. • To develop the capabilities of institutions operating in this field. • To maintain sound work relations between the stakeholders of the production process and enhance their ability to enter into dialogues that achieve a worthy level of cooperation on the basis of justice and equality. • To increase the level of women’s participation in various economic activities. • To expand the social security safety net.

Policies and Procedures • To computerize the work systems at institutions in the labor sector and to, develop efficient systems for administration and accountability and to adopt adequate standards for evaluating performance to increase efficiency of the labor market. • To simplify procedures for organizing manual work and specifying wages, movement of labor across sectors, licensing and practicing procedures. • To provide rehabilitation, technical and professional training to all Jordanians seeking work in a systematic and advanced manner in line with the actual requirements of the market, as well as taking into consideration technological advances in the workplace. • To support all efforts to expand labor laws to encompass the agricultural sector, improve work conditions, develop labor legislation that guarantees job continuity and improving job security, and expanding social security laws to include all workers in various locations and professions. • To increase the participation of the private sector in rehabilitation and training procedures, along with marketing Jordanian expertise locally and internationally, and motivating the private sector to contribute in replacing expatriate labor with local labor. 43 • To support the role and activities of national and private institutions that encourages the participation of women and those with special needs. • To enhance coordination among institutions that are involved in financing labor intensive income generating projects of different scales large and small. • To build and enhance the capacities of professional labor associations in applying basic work ethics and human rights in the workplace. • To establish a computerized follow-up system to evaluate technical and vocational training output to increase the trainee’s chances to obtain job opportunities. • To build a comprehensive database for the labor market and enhance cooperation with related institutions that supply data and research, such as the Department of Statistics, the National Center for Developing Human Resources and relevant Arab and international organizations. • To expand existing training centers where facilities and training programs are concerned, and establish vocational training institutes and centers to cover various locations in the Kingdom. • To increase the number of vocational training centers catered towards women, and encourage them to join their programs. • To increase the cooperation between the public and private sectors in designing training programs, testing, and establishing specialized training centers. • To develop training programs and methods of evaluation that include testing and licensing for those who pass in order to enable them to practice within their professions. • To institutionalize programs that aim to replace expatriate labor with local labor, and conclude agreements that organize the training and rehabilitation process. Cooperate with companies operating in qualified industrial zones, and gradually replace expatriate labor with indigenous labor. • To increase direct financing to the Development and Employment Fund, and indirect financing to other intermediary institutions, and initiate agreements with other institutions to expand the base of beneficiaries’ from the Fund which will in turn increase employment in the Kingdom. • To carry out necessary studies of the requirements and feasibility of implementing other insurance plans included in Social Security laws. • To activate the role of the Technical and Vocational Training and Education Board secretariat.

44 • To continue coordinating with the Ministry of Planning and International Cooperation and productivity enhancement centers in order to reach targeted groups, while obtaining opportunities for financing the lending operations of the Fund, in addition to the opportunity of allied technical services. • To devise a plan to target the beneficiaries of the National Aid Fund, and encourage them to attain vocational training and join the labor market. • To support and develop social dialogue and collective bargaining at the institutional, sectoral and national levels. • To encompass the concept of electronic government in all future working procedures and maximize the use of the internet and related work procedures. • To study the prospects of raising minimum wage levels to enhance the standard of living of the Jordanian worker to help him cope with the increasing costs of living. • To specify professions where expatriate labor is permitted based on the lack of Jordanian expertise in the field. • To cooperate and coordinate with financing agencies to increase the establishment of self-employment projects. • To coordinate with parties concerned with human resource development. • To review the Labor Laws that distinguish between laborer and employee, whereby skills and work requirements, as well as rights and duties vary. The lack of an approved retirement age should also be addressed to act in harmony with social security laws. • To launch a national campaign to improve the image of the laborer to encourage the unemployed to accept jobs in various professions.

45 List of Vocational Training and Labor Projects 2004 – 2006 Project Total Cost Of Project (Million JD) 2004 2005 2006 Total National Employment Project 0.900 0.500 0.500 1.900 National Project to Reduce Child 0.140 0.570 0.000 0.710 Labor Capacity Building of Social Partners 0.398 0.316 0.271 0.985 to Enhance Social Dialogue Computerization of the Ministry and 0.350 0.000 0.000 0.350 the Directorates Clothes? 1.000 0.000 0.000 1.000 Enhance the Capabilities of the 0.480 0.470 0.470 1.420 Ministry of Labor Staff Salt Center for Handicrafts 1.420 0.000 0.000 1.420 Technical and Vocational and 0.293 0.000 0.000 0.293 Education Council Secretariat Vocational Training Center/ Male and 0.868 0.000 0.000 0.868 Female – Mafraq Vocational Training Center/ Male and 0.283 0.000 0.000 0.283 Female - Ajloon Vocational Training Center/ Male and 0.605 0.000 0.000 0.605 Female - Salt Vocational Training Center/ Karak – 0.127 0.000 0.000 0.127 Hussein Bin Abdullah Industrial Estate Establish a Vocational Training 0.130 0.000 0.000 0.130 Center Catered to Females with Special Needs/ Karak Modernization and Development of 0.035 0.000 0.000 0.035 Training Centers in Middle Ghor and Yajouz Build Automotive Workshop City / 0.035 0.000 0.000 0.035 Aqaba Build and Equip Vocational Training 0.120 0.000 0.000 0.120 Center/ Abu Nseyr Build Sales and Marketing / Females / 0.020 0.000 0.000 0.020 Aqaba Build General Mechanical Workshop 0.020 0.000 0.000 0.020 / Moab Build Cooling and Conditioning 0.030 0.000 0.000 0.030 Workshop/ Tafila

46 Expand and Equip Vocational 0.035 0.000 0.000 0.035 Training Center / Zarqa Build and Equip Vocational Training 0.045 0.000 0.000 0.045 Center / Madaba Extension of Sakhra Secondary 0.080 0.000 0.000 0.080 School / Ajloon Vocational Training Center/ Male and 0.422 0.000 0.000 0.422 Female - Jerash Specialized Training center for 0.037 0.000 0.000 0.037 Professions Related to the Construction Industry/ Marka Developing Vocational Training 0.445 0.000 0.000 0.445 Center / Ramtha Training for Hospitality and 0.102 0.000 0.000 0.102 Handicraft Professions/ Wadi Mousa Training Center for Electronic 1.166 0.000 0.000 1.166 Professions/ Al Hashmya Vocational Training Center / Madaba 0.467 0.000 0.000 0.467 Development of Vocational Health 0.296 0.000 0.000 0.296 and Safety Institute New Computer Labs and Improving 0.075 0.000 0.000 0.075 old Labs at the Institute Centers Vocational Training Institute/ 0.223 0.000 0.000 0.223 Females- Maan Modernization of Equipment at 1.449 0.000 0.000 1.449 Institute National Training Project 7.372 0.000 0.000 7.372 Vocational Training Center / Females 0.350 0.230 0.000 0.580 and Males - Naour Vocational Training Center / Koora 0.900 0.000 0.000 0.900 Improving Safety in Vocational 0.245 0.000 0.000 0.245 Training Centers Unify Vocational Training Standards 0.100 0.200 0.252 0.552 Expand and Improve Vocational 0.100 0.050 0.000 0.150 Centers Catered for Women Habilitate Institutions that Specialize 0.140 0.053 0.000 0.193 in Training Those with Special Needs Unit for Improving Small and 0.040 0.085 0.000 0.125 Medium sized Institutions Vocational Training Center for 0.100 0.050 0.000 0.150 Fabrics

47 Computerize Institutional Work 0.100 0.100 0.055 0.255 Improve Information Technology 0.160 0.000 0.000 0.160 Center Prepare and Enhance Curriculum for 0.100 0.000 0.000 0.100 Vocational Training Cooperate with Habilitation and 0.100 0.100 0.000 0.200 Improvement Centers Electronic Operational Project 1.120 0.430 0.000 1.550 Labor Market Survey Project 0.750 0.450 0.178 1.378 Miniral Industrial Institute in Aqaba 0.031 0.000 0.000 0.031 Total 23.804 3.604 1.726 29.134

48

Section II

Main Economic and Social Axes

Human Resources Development

Youth & Sport

2004 – 2006

49 Youth The Vision To form a generation of youth who are distinguished physically, morally and intellectually and are capable of thinking, analyzing and being creative, in addition to being aware of their rights and duties towards their nation and country, and keen on participating in the various stages of performance and construction.

The Mission To prepare and organize programs and policies that aim at developing youth in releasing their creative energies and allowing them to invest their spare time in a beneficial manner to both themselves and their society, within a comprehensive framework of camaraderie, integration and coordination for the purpose of creating an outstanding, creative generation, while investing its role in the comprehensive development process, in all its economic, social, political and cultural dimensions.

Main Challenges • The lack of a clear national vision and strategy for the youth sector. • The complexity of problems among youth, with a large number of the causes being attributed to various parties, for example the lack of unified reference points for the youth sector. • The increase of unemployment rate within the youth segment. • The poor physical and social infrastructures that is necessary to ensure that youth invest their spare time wisely. • The lack of available programs and plans that aim at utilizing youth energies, supporting and nurturing their creativity and excellence. • The lack of participation of youth in public life. • The need to enhance the concepts of belonging, loyalty, democratic practices, equal opportunity principles and the superiority of law within the youth segment. • The weak institutional and administrative capabilities within the youth sector.

50

Objectives • To raise a generation of youth that is committed to their believes, has a strong belonging to its country and nation, is aware of its heritage, is responsible and capable of enhancing the democratic and pluralistic culture while continuing to respect human rights, and has the necessary skills to deal with the modern day world. • To deepen the youth’s sense of belonging to the nation, their loyalty to the Hashemite leadership, respect for the constitution, superiority of the law and the Great Arab Revolt principles. • To organize and utilize the youth’s energy to ensure their effective participation in a sustained human development process, and to deepen the value and importance of group voluntary effort. • To encourage the youth to participate in sports for the purpose of enhancing their physical and mental fitness. • To provide the youth with the knowledge and information necessary for them to remain updated with the technical and scientific developments of the modern day world. • To assist the youth in gaining modern day living skills and healthy life styles, which promotes a healthy mind and enables them to work independently and with others.

Policies and Procedures • To develop a national youth strategy through integrating the various groups working with the youth at a national level, to unify the national effort. • To amend the necessary legislation to provide a unified frame of reference for the youth sector and to enhance cooperation and coordination among the various groups working in this sector. • To establish youth centers which satisfies the increasing youth requirements and which are applicable with the changing environments. • To develop and modernize youth centers’ programs to include cultural, social and training activities. • To introduce computer, internet and vocational training programs at the youth centers. • To train youth leaderships to supervise these centers. • To develop a national curriculum that includes objectives, concepts, skills, trends and implementation procedures. 51 • To diversify national guidance programs to include training programs, meetings, discussion groups, workshops, and field visits to explore various important sites related to civilization and culture. • To diversify national guidance methods through utilizing various youth, information, religious, educational, social and other relevant institutions. • To enlarge the scope of guidance programs in order to provide access to the Jordanian youth across the kingdom. • To introduce the youth to contemporary cultural and social developments and changes that distinguish life at the outset of the third millennium, and to enhance their knowledge to enable them to deal with these developments. • To extend the Al Hussein youth camps, to include the winter months as well as the summer months. • To hold weekly, monthly, quarterly and annual camps in cooperation with educational, youth and other institutions. • To prepare organized projects and programs for voluntary work, environmental services and social development in coordination with relevant parties. • To devise a new curriculum in youth camps that is based on providing the youth with artistic skills in music, arts, folklore, marine sports, occupational and boy-scouts education, languages, computers and internet, and which emphasizes values such as responsibility, discipline, environmental protection, preservation of public wealth, and to introduce a national education, military service and youth tourism methodology within the youth guidance plan. • To prepare a curriculum which copes with the youth, in which its objectives, implementation methods and developments are adequate and are in line with modern changes. • To build a strong connection between the youth and their prospective local communities and to enhance cooperation among the various sectors in the local community. • To extend programs to include training in modern living skills such as communication, dialogue, negotiation, non violent problem solving, and critical, creative and futuristic thinking. • To create the environment which will foster promising leaders. • To encourage and motivate creative youth initiatives. • To build better relations between the youth population outside and inside Jordan. 52 • To introduce youth outside Jordan to latest developments on the national and Arab levels in order for them to react to them both positively and objectively. • To build the capacities of those working with youth, train and rehabilitate them to become leaders, pioneers of modernization, development and change. • To develop a program to prepare the new generation of youth leaderships to face the challenges of the third millennium. • To train youth administrators to become capable of leading future youth initiatives by following up on outstanding and promising leaderships. • To prepare a plan to activate the work of the National Fund for Supporting the Youth and Sports Movement.

53 Sports

The Vision To develop sports as the effective mechanism in which it contributes to building a well balanced personality among the youth in various aspects such as psychological, moral, cultural, social, economic and political aspects.

The Mission To develop sports unions, prepare and develop Jordanian sport leaderships, inhibit animosity and field hooliganism, prohibit the use of barbiturates and illegal drugs, prepare promising and outstanding sports men and women to participate in the Olympic Games. Enable these athletes to compete at a high standard to raise the reputation of Jordan among other countries and to enhance communication with various Arab, continental, international and Olympic agencies and organizations.

Main Challenges • The lack of a focused strategy for the youth and sports sector. • The weak educational dimensions in the sports movement, and the large disparity between the sports movement and educational philosophy. • The lack of adequate financing for sports and youth activities, especially where sports clubs are concerned. • The poor infrastructure of national sports. • An undefined relationship between the Olympic Committee and the Higher Council for Youth. • The aggressive behavior in sports.

Objectives • To build a national strategy for the sports movement to improve its quality to become competitive on the Arab, Continental, International and Olympic level. • To build the capacities of those working in the sector and equip them with modern methods to cope with future developments. • To complete the infrastructure of the sports movement. • To enhance and institutionalize cooperation and coordination among parties concerned with the sports and youth movement.

54 Policies and Procedures • To commence preparing and adopting a national strategy for the sports movement that includes objectives and mechanisms for developing and enhancing national teams. • To review Jordanian sports legislation and amend it in line with the new approach towards building a national strategy for the sports movement. • To benefit from the high standards of international practices in the field of sports and utilize them in creating the proposed sports strategy. • To enable those working in the field of sports to meet their counterparts abroad to study and adopt the best working procedures. • To establish a special unit to build and formulate a strategy within the Olympic Committee to follow-up, coordinate and evaluate efforts exerted in this framework. • To provide international and national experts to assist in formulating the features of the Olympic strategy. • To organize meetings and consultation sessions to discuss and exchange ideas on the methods of building a national strategy for the sports movement at the level of sports clubs, sports unions, physical education colleges, sports media, sports people, trainers, administrators, the private sector, and at the level of all regions and governorates. • To establish an Olympic Center to better prepare national teams, with concentration on outstanding and promising athletes to raise the competitive standard. • To establish an Olympic Center for researching and studying information that may contribute to developing the Jordanian sports movement. • To establish the Olympic House, which will participate in holding camps to better prepare all national teams. • To complete the sports facilities that were started for the Al Hussein Tournament in 1999.

55 List of Youth Care Projects for the Years 2004 – 2006

Name of Project Total Cost of Project (Million JD) 2004 2005 2006 Total Build and Equip Youth Centers in Various 2.767 0.000 0.000 2.767 Areas around the Kingdom Separate the Olympic Committee From the 0.145 0.000 0.000 0.145 Ministry of Youth Establish Youth Centers in Irbid, Zarqa and 0.688 0.000 0.000 0.688 Amman Support and Contribute to the National Fund 0.150 0.000 0.000 0.150 /Youth Participation Meetings Abroad Support the National Fund for Arab Unions 0.170 0.000 0.000 0.170 and Support Participation in the 10th Arab Tournament in Algeria Support the National Fund for Youth 0.320 0.000 0.000 0.320 Movement and Sports to Build and Maintain Youth Centers and Youth Homes Build a Commercial Investment Complex at 1.500 0.000 0.000 1.500 Al Hussein Youth City Complete Facilities in Al Shouneh and Dirar 0.020 0.000 0.000 0.020 Bin Azwar Complexes Furnish and Prepare Camps in Aqaba, 0.030 0.000 0.000 0.030 Mushairfeh, Laira And Youth Homes in Aqaba, Eadi Mousa, Ajloun, Tafila and the Capital Build a Youth Home and a Gymnasium in 0.015 0.102 0.200 0.317 the Petra Region Higher Council Contribution to Support 0.040 0.000 0.000 0.040 Youth with Special Needs Maintenance and Repairs for Al Hussein 0.105 0.000 0.000 0.105 Youth City Facilities Al Hussein Camps for Voluntary Work 0.070 0.000 0.000 0.070 Facilities in Ajloun Sports Facilities Construction 0.525 0.000 0.000 0.525 Completion of Prince Mohammad City 0.510 0.000 0.000 0.510 Swimming Pool Completion of Prince Mohammad City Hall 0.000 0.200 0.000 0.200 Completion of Youth Home/ Prince 0.340 0.000 0.000 0.340 Mohammed City 56 Completion of Works on Al Zarqa Sports 0.300 0.000 0.000 0.300 Complex and the Construction of a Multi Purpose Hall Support to Sports Clubs and Boy and Girl 0.180 0.000 0.000 0.180 Scouts Complete and Expand Construction of 0.230 0.000 0.000 0.230 Sports Complexes in Mafrak, Salt, Tafila, Maan, and Aqaba Complete and Expand Construction of Spots 0.120 0.000 0.000 0.120 Complexes in Jerash, Ajloon, Madaba, Sahab and Kofuryouba Complete construction of Youth Capts in 0.030 0.000 0.000 0.030 Sero, Thunyeh, Aqaba, and Heesha/Maan Construct Youth Centers in Irbid, Karak, 0.030 0.000 0.000 0.030 Madaba and Zarqa Complete Youth Homes in Different 0.150 0.000 0.000 0.150 Locations Around the Country Furnish and Equip 50 Youth Homes 0.050 0.000 0.000 0.050 Furnish and Equip Youth Home sin Aqaba, 0.040 0.000 0.000 0.040 Wadi Mousa, Ajloon and Tafila Improve Lighting in Amman International 0.090 0.000 0.000 0.090 Stadium The National Strategy for Jordanian Sports 0.350 0.000 0.000 0.350 Construct Youth Center in Tafila Complex 0.085 0.000 0.000 0.085 Complete Swimming Pool in Aqaba 0.135 0.000 0.000 0.135 Construct Multi Purpose Hall in Mafrak 0.125 0.000 0.000 0.125 Construct Multi Purpose Hall in Bani 0.090 0.000 0.000 0.090 Kinana Construct Multi Purpose Hall in Madaba 0.095 0.000 0.000 0.095 Construct Open Air Pitches in Serew Camp 0.075 0.000 0.000 0.075 Construct Youth Home in Mustafa Idwan 0.090 0.000 0.000 0.090 Complex Rubber Fields for Naoor Center 0.020 0.000 0.000 0.020 Improving Youth Center in Al Hussein City 0.250 0.000 0.000 0.250 Complete Al Kinan Izat Field 0.070 0.000 0.000 0.070 Complete Building Dorms in Prince 0.300 0.000 0.000 0.300 Mohammed City Complete Petra Stadium in Al Hussein City 0.150 0.000 0.000 0.150 Transforming Sports Complexes to Modern 1.200 0.600 1.200 3.000 Youth Cities Construct Sports Hall in Al Tafila Complex 0.150 0.000 0.000 0.150 Build Swimming Pools in Karak Complex 0.150 0.000 0.000 0.150 57 Complete Health Units in Ajloon Camp 0.045 0.000 0.000 0.045 Building Walls Around Maan Complex 0.080 0.000 0.000 0.080 Building Walls Around Karak Complex 0.065 0.000 0.000 0.065 Build Swimming Pool in Maan Complex 0.250 0.000 0.000 0.250 Expand the Stand at Aqaba Stadium 0.170 0.000 0.000 0.170 Replace old Auditorium in Ramtha Complex 0.275 0.000 0.000 0.275 Build a Multi Purpose Hall in Ramtha 0.135 0.000 0.000 0.135 Complex Build Walls around Ajloon Complex 0.135 0.000 0.000 0.135 Build Stadium for Ajloon Auditorium/ First 0.100 0.000 0.000 0.100 Phase Artificial Lawn Playground/ Aqaba Camp 0.180 0.000 0.000 0.180 Build Mobile Auditorium for Gyms in 0.070 0.000 0.000 0.070 Ajloon, Jerash and Moutah Artificial Lawn Playground/ Sheikh Hussein 0.200 0.000 0.000 0.200 Complex Artificial Lawn Playground/ Derar Bin Al 0.130 0.000 0.000 0.130 Azwar Complex Second Phase/ Completing Prince 0.250 0.000 0.000 0.250 Mohammed Club Build Multi Purpose Hall Eil Municipality / 0.150 0.000 0.000 0.150 Ma'an Import and Install an Electronic Board at 0.100 0.000 0.000 0.100 Prince Hassan Sports City Gymnasium Artificial Lawn/ Irbid Playground 0.120 0.000 0.000 0.120 Artificial Lawn/ Zarqa Playground 0.120 0.000 0.000 0.120 Development of Youth Centers in Remote 0.000 2.100 0.000 2.100 Areas Olympic Center to Prepare National teams 1.000 2.000 2.000 5.000 Olympic Center for Research and 0.300 0.400 0.400 1.100 Information Olympic House 0.000 0.500 1.000 1.500 Cover and Air condition Olympic 0.000 0.700 0.000 0.700 Swimming Pool (Prince Faisal Bin Fahed Pool) Construction of an Arena and Field for 0.000 0.500 0.500 1.000 Games/ Al Hussein Sports City Extending works for Jordan Youth Club / Al 0.110 0.000 0.000 0.110 Quadisiya Construct Youth Center in Kurairah 0.000 0.250 0.000 0.250 Construct Hall for Kafer Soum Club / Al 0.000 0.175 0. 0.175 waseteyeh Province 58 Construct Youth Center in Wadi Al Seer 0.000 0.000 0.175 0.175 Province Construct Sport Utilities in Al Basha 0.000 0.000 0.085 0.085 Province Total 15.935 7.527 5.56 29.022

59

Section II

Main Economic and Social Axes

Human Resources Development

Culture

2004 - 2006

60 The Vision: To enhance the cultural sector through building a cultural and knowledge based foundation, creating the necessary infrastructure for innovators and establishing training and cultural centers for talented young people in different governorates, in order to act as a key player in the national economy.

The Mission To develop the necessary skills among Jordanians, through a comprehensive national cultural development in the three cultural bases: knowledge base, scientific base, and artistic base, which would ensure the national cultural identity in the kingdom through the Jordanian culture and heritage, Arabic language, and Islamic belief .

Main Challenges • The lack of programs, which aim to guide, increase awareness and introduce the citizens, particularly the youth to the national culture and identity. • The poor infrastructure to stimulate the cultural movement, especially in rural areas. • The weak participation of private sector in financing cultural activities. • The lack of programs, which aim to support the innovators and creators as authors and artists in enhancing and developing.

Objectives • To guide, increase the awareness and introduce the citizens, particularly the youth to the national identity and culture, and to help them make better use of their spare time. • To ensure that the national education enhances loyalty and promotes discussions within a moderate and tolerant atmosphere. • To establish different cultural centers needed for the infrastructure projects such as the national library, seminar and conference halls, and theaters. • To protect and record national documents. • To enhance the cultural cooperation with Arab countries through providing the necessary infrastructure to conduct the activities stated in the cultural cooperation programs between the Kingdom and these countries. 61 • To provide the necessary infrastructure to host different international festivals. • To provide the opportunity for creators and innovators (such as authors, artists and technicians) to enhance and develop their talents. • To improve the Jordanian cultural performance with regard to the latest technological development in the international scene, and to provide the latest technology and equipment. • To provide the opportunity for people to participate in entertainment activities and cultural events. • To nurture and develop the talents of the young and to ensure that the teachers are highly qualified by providing adequate training. • To nurture the talented youngsters by providing training programs which enhance such talents, within the different arts, as well as hosting international and Arab experts in this field.

Policies and Measures • To support the scientists, artists, and innovators. • To encourage and develop the promising talents in order to stay current with international development. • To increase the Private sector’s involvement in financing different cultural activities. • Support authorship, translation, publication, and distribution. • To support and upgrade the public libraries, in addition to training the staff. • To provide the opportunity for the artists, and cultural artistic institutions in exercising their creativity. • To enhance the Jordanian culture and allow it to gain more experiences in this field. • To set new basis to further enhance the Jordanian productive image to be able to interact positively with the challenges. • To facilitate the distribution of Jordanian publications and books in order to promote the Jordanian authors, scientists, and thinkers both nationally and internationally. • To conduct cultural and scientific seminars, conferences, and workshops and to encourage talented people to participate in it. • To protect the rights of the authors and artists pursuant to the Jordanian Authorship Right Law and International Conventions.

62 • To establish cultural, artistic centers, theatres and museums in different location in the Kingdom. • Capacity building of the human resources working in public libraries across the Kingdom through training. • To honor the creators working in the field of art production and to provide scholarships and tour visits. • To conduct artistic festivals, seminars and conferences. • To enact laws which ensure the economic and social rights of the authors in the event of illness and when they reach retirement age. • To encourage learning among young children through the use of educational songs and poems. • To issue populist version of translated Arabic and international novels. • To provide educational institutions and conduct seminars which help the artists to develop their talents. • To provide magazines specialized in theatrical critic. • To upgrade School and Children Theater. • To encourage the establishment of theatrical clubs and associations. • To enact laws which provide for the funding of artistic activities from private and public institutions. • To provide grant prizes and medals for distinguished artists and creators. • To encourage music in the curriculum of kindergarten and elementary schools. • To encourage the private sector to participate in the cultural activities through: o Participating in national, Arabic, and international seminars and festivals. o Collect, archive, classify, and protect all books and publications. o Encouraging the private sector to allocate some of its earnings for funding cultural institutions in return for tax exemptions. o Setting a National Plan to collect donations from individuals and institutions. o Set regional and international formulas beside the national one regarding the funding, through participating in funding festivals, museums, cultural weeks, and public libraries. o Establishing a national cultural awareness fund, funded by local and non governmental organizations, and establishing a lottery to finance the fund. 63 • To establish a program which records and monitors popular art, by a group of experts in collaboration with national, Arabic, and international universities and academic councils. This can be achieved by the following: o Enacting laws which ensure the development of popular art and encourage high quality production. o Establishing and organizing popular museums according to modern standards and methods, in addition to establishing mobile museums. o Establishing mini school museums in order to educate students in respecting their importance. o Creating cultural and media awareness programs to introduce the importance of these museums and exhibiting pictures on popular art. o Establishing centers to protect and maintain publications. o Enacting laws to ensure the protection of publications due to the importance of its national heritage. o Enacting laws which require the maintenance, cleaning, and protection of antiquities. o Providing a data base for the antiquities. o Establishing a fund for antiquities in the cultural development fund. o Establishing small and mobile libraries in rural areas.

64 List of projects for culture sector for the Year 2004-2006

Total Cost Of Project Name of Project (Million JDs) 2004 2005 2006 Total Prince Salma bint Abdullah for 0.500 0.000 0.000 0.500 childhood center Maan cultural center 1.500 0.000 0.000 1.500 Training for ministry of culture 0.012 0.000 0.00 0.012 employee Establish open stadium in the royal 0.00 0.200 0.10 0.30 culture center Training center for arts 0.00 0.925 0.350 1.275 Document center/ national library 0.00 0.200 0.150 0.350 Mending the documents at the national 0.00 0.250 0.250 0.500 library Establishing opera house 0.00 1.00 1.00 2.00 Aqaba cultural center 0.00 0.750 0.750 1.500 Ajloun cultural center 000 0.750 0.750 1.500 Irbid cultural center 0.00 1.30 2.20 3.5 Finishing king Abdullah cultural 0.000 1.800 0.00 1.800 center/ Zarqa Total 2.012 7.175 5.550 14.737

65

Section II

Main Economic and Social Axes

Basic Government Services

Water and Sanitation

2004 – 2006

66 Vision To sustain water resources quantitatively and qualitatively throughout the Kingdom to fulfill the water needs for various usages.

The Mission To develop and utilize water resources and manage them in an efficient way to provide water and wastewater service in all parts of the Kingdom, including the Jordan valley, according to available technical and financial water capacities.

Main Challenges • Limited renewable water resources and low average per capita share, which reached 150 cubic meters in 2002, compared to the international average of per capita requirement estimated at 1000 cubic meters annually. • Exceeding safe limits in extracting underground water, as aquifers are being depleted at twice their safe rates. • High capital cost of water and sanitation projects. • High cost of operating and maintaining water and sanitation facilities. • Weak role of the private sector in managing and financing water facilities. • Insufficient of awareness of the importance of preserving water resources, particularly among farmers. • Low quality of water resources as a result of extensive extraction. • Old supply systems and high leakage rate. • Inefficient policy in pricing water usage, which does not help recapture its cost. • High debt rate of the sector, evident through high debt of the Water Authority, which is concealed within the items of the general budget.

Objectives • To develop new water resources • To expand the use of recycling treated wastewater for agricultural and industrial purposes. • To extend the use of brackish water and using it for municipal purposes. • To reduce water leakage from 48% in 2003 to 40% in 2006. • To reduce the financial burden of the treasury and improve the financial performance of the water and sanitation facilities. 67 • To improve the quality of treated wastewater and expand wastewater services. • To increase per capita share of household water. • To reduce the depletion of groundwater and protecting it from pollution. • To improve the performance of water institutions, update relevant legislations, and develop the performance of human resources in order to improve capacities to perform their duties efficiently and effectively.

Policies and Procedures • To utilize maximum safe capacity of surface and ground water to the level indicated in the feasibility study which takes into consideration social and environmental impacts. • To protect water resources, especially groundwater, from pollution, quality degradation and depletion. • To give priority to household water uses, and to prioritize groundwater among municipal, industrial, university, and tourism uses. • To spread water resources throughout cities, villages and population centers, and increase the quantities of water supplied in good quality, efficiently and effectively. • To utilize brackish water and seawater after desalination as a water resource for household, tourism, industrial and agricultural purposes. • To provide wastewater disposal facilities in all cities of the Kingdom. • Utilize treated wastewater as a water resource for agriculture, industry, and aquifer re-injection, and adopt modern technology in the construction of wastewater treatment plants. • To transport and distribute irrigation water by using pipes to reduce waste, and promote the transfer from traditional irrigation and agricultural methods to modern methods. • To protect the right of the Kingdom regarding joint water resources, and protect them through communication, discussions, and bilateral and multilateral agreements. • To promote public awareness of the importance of water and the need to preserve its use, and promote the use of better tools and water systems to reduce its consumption. • To reconsider, periodically, institutional arrangements and current legislation, and update them regularly. 68 • To establish an integrated national water information bank and support it with monitoring programs and a system of data collection, entry, updating, treatment and publishing. • To apply greater controls in order to reduce over-extraction of water, and ensure the prompt payment of water charges. • To modernize and rehabilitate irrigation systems in the Jordan Rift Valley. • To implement new water projects to provide additional water for various purposes. • To expand the participation of the private sector in managing water and wastewater disposal facilities, and financing, building and managing projects and facilities through contracting with the private sector to manage drinking water facilities, and wastewater facilities in the northern governorates and to manage irrigation water facilities in the Jordan valley. • To establish a water company owned by the Water Commission in Aqaba, to be operated on a commercial basis. • To establish the Water and Wastewater Sector Organization Authority to supervise and control this sector. • To amend the water, wastewater and irrigation water tariff to improve the financial position of the Water Authority and the Jordan Valley Authority and enable them to recapture their costs. • To encourage water harvesting in rural area and the Badia, especially rainwater and seasonal springs.

69 List of Water and Sanitation Sector Projects for the Years 2004 – 2006

Total Cost Of Project (Million JD) Project Title 2004 2005 2006 Total Upgrade and restructuring of Greater Amman Water Networks 37.235 9.500 4.500 51.235 Transfer Al-Lajoun Water 0.592 0.000 0.000 0.592 Supervision, Studies and Construction of Wahdah Dam 19.180 30.000 5.000 54.180 Zara - Ma'in Water Project 29.375 37.000 18.625 85.000 Liquid Waster Dump/ Al-Akyader 0.324 0.000 0.000 0.324 Continue Rehabilitation of Greater Amman Water Network 6.914 0.000 0.000 6.914 King AbdullAh Canal Siphons Rehabilitation Project 2.312 0.000 0.000 2.312 Import, Install and Operate Water Desalination Units for Karameh Dam 0.200 2.000 1.000 3.200 Jordan Water Transport to Karameh Dam 2.600 0.000 0.000 2.600 Improve Water Supply to Zarqa Phases I and II 8.000 4.000 0.000 12.000 Dissi Water Transport to Amman 0.000 35.000 35.000 70.000 Lines and Stations for the Deir Alla - Daboug Project 2.080 0.000 0.000 2.080 Improvement of Water Supply to Northern Governorates 2.000 5.000 7.000 14.000 Al moujib Dam Construction & Supervision 2.170 0.000 0.000 2.17 Consultancy, Construction of Tanour Dam 0.340 0.000 0.000 0.340 Al Moujib Diversion Weir, Pumping Station and Northern Carrier Line 3.980 0.000 0.000 3.980 Southern Carrier Line and Mazra'a (C) Irrigation Network 5.500 0.000 0.000 5.500 Pumping Lake Tiberias Water to the King Abdullah Canal 1.200 1.200 1.200 3.600 Supervision, Consulting and Construction of Al Walla Dam 0.385 0.000 0.000 0.385 Yajouz Sanitation Disposal Project 0.265 0.000 0.000 0.265 Hisban Dam Project 1.200 1.800 0.00 3.000 Reducing Waste in Jerash and Irbid Governorates 1.500 1.000 15.000 17.500 Reducing Waste in 0.000 2.000 7.000 9.000 70 Technical Services for Automatic Operation for the Improved Efficiency of the Irrigation System 0.040 0.040 0.040 0.120 Sweimeh Diversion Station Phase III 0.202 0.000 0.000 0.202 Saidieh Water Pumping Station 0.120 0.000 0.000 0.120 Brakish Water Treatment, Abu Zeighan (I and II) 2.029 0.000 0.000 2.029 Infrastructure for the Kafrein Dam 0.200 0.070 0.000 0.270 Supervision: Integrated South Ghor Irrigation System 0.480 0.000 0.000 0.480 Ramtha Station Development Project 2.400 0.000 0.000 2.400

Aqaba Waste Water Project 13.665 5.335 0.000 19.000 Khirbet Samra Station Development Project 13.500 21.000 23.000 57.500 Habilitation of Carrier Line from Ain Ghazal Purification Plant to Khirbet Samra, and Construction of a Treatment Plant 3.250 0.000 0.000 3.250 Ain Ghazal Station Expansion Project 2.000 1.000 0.500 3.500 Wastewater disposal Project Greater Irbid Phase II 12.220 17.780 20.000 50.000 Mafraq Station Development Project 1.000 3.000 3.000 7.000 Geizeh & Talbieh Station Project 2.000 5.000 1.250 8.250 Ma'an Purification Plant Development 1.000 2.500 1.500 5.000 Kufranjah Plant Development project 0.500 2.000 2.500 5.000 Development and Raising Efficiency of Purification Plants 0.500 0.000 0.000 0.500 Expansion of Karak Plant Project 0.580 2.920 3.000 6.500 Development of Khaw Water Station Zarqa 0.300 0.000 0.000 0.300 Wastewater Disposal for West Jerash and Sukhneh Villages 0.550 4.450 7.000 12.000 Wadi Seir-Tilaa' Al Ali Sweileh Marj El Hamam Wastewater Project 0.666 0.000 0.000 0.666 Various Wastewater Networks phase 1 1.855 0.000 0.000 1.855 Zarqa Ma'in Installation, pumping station and north carrier line(A) 6.100 0.000 0.000 6.100 Wadi El Arab Dam Balancing Basin 0.550 0.000 0.000 0.550 Carrier Line Al Hassa and Irrigation Network (B) 2.190 0.000 0.000 2.190 King Talal Dam Water QualityControl / 0.150 0.150 0.150 0.450 71 Karamah / King Abdallah Canal Liquid Waste Disposal Site – Lujoun 0.352 0.000 0.000 0.352 Importation, Installation and operation of Treatment Units for Ras El Ain Spring 0.852 0.000 0.000 0.852 Various Wastewater Disposal Tenders in the Capital, Zarqa and Madaba 2.019 0.000 0.000 2.019 Provision of Water to some Population centers 1.330 0.000 0.000 1.330 Different wastewater Disposal Projects in Ma'an 1.384 0.000 0.000 1.384 Develop Channels and Springs in the Kingdom's Governorates 0.676 0.000 0.000 0.676 Different Wastewater Disposal Projects in Ajloun 0.105 0.000 0.000 0.105 Replacement of Water Networks in Safawi Village – Mafraq 0.116 0.000 0.000 0.116 Replacement of Haya Housing Water Networks / Batrawi / Zarqa 0.076 0.000 0.000 0.076 Ghor Feifa Water Networks Replacement and Construction and Ghor Mazra'a in Karak 0.645 0.000 0.000 0.645 Hashimi Shamali Wastewater Disposal Project Tabarbour / Arjan 0.450 0.000 0.000 0.450 South Amman Wastewater Disposal 0 9.750 17.820 27.570 Deep Water Wells in Various Areas 0.500 0.000 0.000 0.500 Improvement of Water Networks in Aqaba 4.000 5.000 5.000 14.000 Reduction of Waste and Improvement of Services Project 1.950 0.000 0.000 1.950 Operation and Maintenance of Abu Zeghan Desalination Plant 0.300 0.000 0.000 0.300 Removal of Health Hazards and Subscriber Services 0.450 0.000 0.000 0.450 Wastewater Disposal in Salt Numerous Projects 0.565 0.000 0.000 0.565 House Connections Project 2.500 0.000 0.000 2.500 Management Contract for Greater Amman Water and Wastewater Project 7.234 5.192 5.192 17.618 Ain El Basha Sweileh Tla'a Al Ali Wastewater Disposal Project 0.100 0.000 0.000 0.100 Salhoub Ain El Basha Numerous Wastewater Disposal Projects 0.750 0.000 0.000 0.750 Technical Assistance for the Ground Water Control Unit 1.000 0.800 0.000 1.800

72 Remove Dissi Water to Amman 0.500 0.000 0.000 0.500 Technical Assistance to Support Strategic Planning 1.130 1.000 0.000 2.130 Technical Assistance to Build a Comprehensive Database 2.000 2.000 1.300 5.300 Sephilt Mixture for Jordan Valley Authority 0.465 0.000 0.000 0.465 Agricultural Roads , Pipes , Ground Wastewater 0.270 0.000 0.000 0.270 Maintain and Clean Water Observation Wells , and Rehabilitate Measurement and Surface Flow Stations 0.100 0.000 0.000 0.100 Al Wahda - Irbed Water Supply 0.000 4.000 10.000 14.000 Transfer treated water from Wadi-Al Husban Purification Station to The University of Scientific and Technology 0.137 0.000 0.000 0.137 Deep Water Wells in Al- Fidan Area 0.869 0.000 0.000 0.871 Various Wastewater Networks/ new phase 5.000 5.000 5.000 15.000 Studies the statement of the TOR to evaluate the safety of the ongoing Dams 0.300 0.000 0.000 0.300 Connect Wastewater Carrier lines from the Zarqa Military Camps to the Khribt Al- Samra Purification Plant 1.200 0.000 0.000 1.200 Replacement and Implementation the Water Networks of Qatar and Finan in Aqaba 0.130 0.000 0.000 0.130 Water Desalination Units in Kingdom 0.500 0.000 0.000 0.500 Study for the preparation of Khribt Al- 0.000 0.000 0.120 0.120 Samra Tender An Agreement To Protect King Abdullah 0.000 0.000 0.110 0.110 Canal Preparing Study To Discover Deep Layers 0.800 0.000 0.000 0.800 Protection the Agriculture Units, Maintain 0.000 0.000 the Irrigation Networks 0.500 0.500 and Pumping Al-Batoos Pool Unit Contract for Protection, and Water Security 0.200 0.000 0.000 0.200 Design plans / Cadsrtra’aia 0.100 0.000 0.000 0.100 Multi Equipment for King Abdullah canal 0.270 0.000 0.000 0.270 Al Karedoor Well Project – Al Zarqa 0.000 1.000 0.000 1.000 Compensations and acquisitions 1.000 0 0 1.000 Wastewater in Al Mazar , Moatah , Al 0.000 2.000 6.000 8.000 Adnaneyah 73 Supplying Al Manaker Area with Water – 0.000 0.180 0.000 0.180 Sahab New Areas Service Project in Amman ( Al 0.000 0.045 0.000 0.045 Andalus Nabour – Al Alkomiyah) Operational Equipment and Maintenance for King Abdullah canal 0.700 0 0 0.700

Al Tour Dam / Al Karak 0.000 0.100 0.000 0.100 Al Rahma Dam / Al Aqaba 0.000 0.000 0.500 0.500 Exploration of Deep Wells-Sarhan 0.500 0 0 0.500 Studies and supervising for the Transformation of the Water of the Jordan 0.220 0 0 0.220 River Water to Krameh Dam Transfer - King Abdullah Canal 2.700 0 0 2.700 Hisban Kafrein Networks Rehabilitation 2.000 3.000 3.000 8.000 Studies, Designs and Tenders Document 1.000 0 0 1.000 Preparation Establishing Trenches and Desert’s pools 0.150 0 0 0.150 Different Studies for the Dams and 0.150 0 0 0.150 Maintenance Studies and Designs for Five Dams Wadi 0.500 0 0 0.500 Moussa, Kufranjah and Yan Al Qa'a Dam Ma'an 0.700 0.510 0.510 1.720 Al Karak Dam 1.350 1.350 1.350 4.050 Madyan Dam Karak 1.000 1.000 1.000 3.000 Ibn-Hammad Dam Karak 2.500 3.500 3.500 9.500 Waste Water Disposal Naour 0 5.000 5.0000 10.000 Al Wahide- Ma’an Dam 1.000 1.000 1.000 3.000 Water Treatment Units in Numerous Areas 0.500 0 0 0.500 of the Kingdom Improve and Relocate Wastewater 1.500 1.500 1.500 4.500 Disposal lines in Amman Damaged Lines Sand Dams and Trenches 1.000 1.000 1.000 3.000 Studies and Designs of Wastewater Disposal Networks Throughout the 0.500 0 0 0.500 Kingdom Tafileh and Ais Wastewater Disposal 0.500 0 0 0.500 Services to Population Centers Tafileh Water Purification Plant 0 2.000 2.000 4.000 Improvement Rehabilitation of Irrigation System Damya 0 1.000 1.000 2.000 74 Zarqa Triangle Irrigation Project 0 1.000 1.000 2.000 Water Delivery to Remote Areas 7.000 7.000 7.000 21.000 South Ghors Irrigation Rehabilitation 0 3.400 3.4000 6.800 Project - Phase I Middle and North Ghors Water Networks 1.000 10.000 10.000 21.000 Various wastewater plants 0.458 0 0 0.458 Technical Assistance for the Establishment 0 0.710 0.710 1.420 of a Water Company in Amman Technical Assistance to Update a Work 0.350 0 0 0.350 Plan for Amman Zarqa Water Purification Establishing Al- Mkhries Bridge 0.300 0 0 0.300 Feasibility Study for the Red-Dead Canal 5.000 5.000 5.000 15.000 Project Kufranja Dam Construction Project 0 8.000 8.000 16.000 Water Delivery to Wadi El Arab Station 3.500 2.000 2.000 7.500 Through Pella Total 274.532 287.782 265.047 827.361

75

Section II

Main Economic and Social Axes

Basic Governmental Services

Health

2004 – 2006

76

The Vision To provide a high quality and comprehensive health care system, which is equally available to all citizens through the cooperation between the private and public sector, and to promote Jordan’s health sector as one of the leading health services at the regional and international level.

The Mission To achieve a healthcare system which is available to all citizens through cooperation and integration, and guide the health sector to become a noble humanitarian model.

Main Challenges • The high level of public expenditure on health services as a ratio of the gross domestic product. • The availability of qualified medical personnel, and to continue to provide the necessary training in order to maintain the quality of Jordanian medical personnel • The need to increase the efficiency of health facilities and resources management. • The protection of the environment, especially where treating medical waste is concerned. • The lack of research and development programs in the field of health care by both the public and private sectors.

The Objectives • To improve the quality of health services provided to citizens in all areas and to all segments of society. • To encourage all citizens to use the primary healthcare system rather than resorting to secondary options. • To raise the level of health awareness among citizens in order to be able to take better care of their health . • To control spending and contain the cost of health services. • To ensure the safety and quality of food and medicine. • To increase the contribution in environmental protection, especially where medical waste treatment is concerned.

77

Policies and Procedures To enable the higher health center to be the legal umbrella for setting national medical policies, follow-up their implementation, and securing effective cooperation and coordination among all health sectors, these policies focus on the following: • Providing comprehensive, preventive and medical services. • Focusing on primary health care (as well as the secondary and tertiary treatment) in order to reach the vulnerable groups and the youth. • Increasing the participation of local society in planning and implementing medical services which concern their areas. • Enhancing the capability of the Jordanian medical services to become a distinguished center at a regional level. • Adopting modern policies in planning and managing the health sector. • Providing the necessary medical staff to cover the current shortages and to provide training and rehabilitation programs in order to attract the Jordanian medical personnel to continue to work within the Jordanian health care. • Providing pharmaceuticals as well as medical equipments and improving procedures for purchasing, storing, distributing and consuming. • Improving and maintaining medical facilities, and where necessary replacing non- reparable medical facilities, as well as ensuring that the facilities contain installations for treating medical waste. • Implementing and activating standards set for controlling the quality of the medical services. • Expanding the use of information systems to enhance the services provided. • Increasing the numbers of medical care centers and their geographic distribution as needed and provide them with the basic requirements. • Providing integrated primary health care services in each medical center. • Providing the necessary medical staff for each medical center, and to provide training as well as incentives to motivate the staff to work in areas outside the main cities. • Encouraging medical centers to interact with the local community, in order to promote use of its services. 78 • To continue to support awareness campaigns which aim to educate and guide the youth in main training healthy life styles in order to prevent many chronic diseases. • Establishing medical centers and facilities which take care of those who are subject to chronic diseases, through providing medical, rehabilitation and physiotherapy treatments. • Enacting where necessary legislation in order to protect society. • Developing new administrative procedures within the health sector institutions, especially the procedures managing human resources and medical infrastructure. • Extending the use of information technology to manage medical institutions and resources. • To gradually extend the implementation of the medical insurance system, taking into consideration the best economic approach. • Adopting a national training and awareness programs for the medical sector personnel in the field of health economics.

In light of legislation that has been recently enacted and upon the establishment of the General Institution for Food and Medicine, and after planning and building the food and drug control laboratories, it is essential to: • Provide the support for introducing the proper legislation in order to ensure safe food and medicine. • Construct the Headquarters of the General Institution for Food and Drugs, and the food control laboratory (which is in the design stage), taking into consideration that land is available next to the pharmaceutical control laboratory which is in the implementation stage. • Participate in activating joint national efforts and committees established by the government to tackle environmental issues, especially the medical waste problem, and contribute effectively in all programs that will be approved to collect and treat this waste. • Prepare and enforce legislation and specify the roles of various related sectors to tackle environmental problems. • Support and encourage research studies, and exchange expertise internationally in this field.

79 List of Health Projects for the Years 2004-2006 Name of Project Total Cost Of Project (Million JD) 2004 2005 2006 Total Development of the Health Sector 4.500 1.000 0.000 5.500 Rehabilitation of the Emergency Section at Al Bashir Hospital 0.600 0.000 0.000 0.600 Rehabilitation of Al Bashir Hospital Phases 2 and 3. 5.250 5.250 5.250 15.750 Emergency Building and Warehouses at University of Jordan Hospital 0.750 0.000 0.000 0.750 Equipment, installations and ambulances for hospitals 2.750 0.000 0.000 2.750 Furnishing and Maintaining Hospitals 3.293 0.000 0.000 3.293 Studies and Designs for Hospitals, (Aqaba, Jordan Valley, Abu Sido, 0.185 0.000 0.000 0.185 Jerash, Karak and Queira) New Aqaba Hospital Project 0.100 5.250 5.250 10.600 Complete Construction of Emergency Unit in Karak Hospital 0.100 0.000 0.000 0.100 Import Equipment for Hospitals 0.500 1.900 1.900 4.300 Expansion of South Shouneh Hospital 0.090 0.000 0.000 0.090 Expansion of Iman Hospital / Ajloun 0.550 0.000 0.000 0.550 Complete Forensic Medicine Building at Ma'an Hospital 0.160 0.000 0.000 0.160 Complete Expansion of Princess Raya Hospital 0.200 0.000 0.000 0.200 Outpatient Clinics and Emergency Rooms at Abi Obaida Hospital 0.180 0.000 0.000 0.180 Intensive Care Unit at Ramtha Hospital 0.080 0.000 0.000 0.080 Construction of Specialization Clinics at the Princess Basma Hospital in Badia'a and Princess Rahmeh Hospital 0.700 0.000 0.000 0.700 Expansion of Jerash Hospital 0.400 0.000 0.000 0.400 Expansion of Ghor Essafi Hospital 0.150 0.000 0.000 0.150 Expansion of Al Nadeem Hospital Madaba 0.200 0.000 0.000 0.200 Complete Expansion of Al Hussein Hospital - Salt 0.050 0.000 0.00 0.050 King Abdullah Educational Hospital Jordan University for Science and Technology 1.500 0.000 0.000 1.500 Construction of Prince Hamza Hospital 4.500 0.000 0.000 4.500 Complete Expansion of Salt Government Hospital 0.400 0.000 0.000 0.400

80 Support Kidney Failure Fund 2.200 0.000 0.000 2.200 Prince Faisal Bin Al Hussein Hospital Yajouz 0.650 0.000 0.000 0.650 Medical Equipment for Royal Medical Services 6.745 0.000 0.000 6.745 Children's Hospital 2.000 1.250 1.250 4.500 Expansion of Queen Alia Cardiac Hospital at Royal Medical Services 0.150 2.040 2.050 4.240 Various Installations at the Royal Medical Services 3.650 0.000 0.000 3.650 Computerization of the Royal Medical Services 2.000 0.000 0.000 2.000 Furnishing Medical Centers and 0.335 0.000 0.000 0.335 Mother and Child Centers Provide Equipment, Supplies, Vehicles and Laboratories 2.670 2.670 2.670 8.010 Build 55 Primary Medical Centers 7.88 0.000 0.000 7.88 Expand 25 Primary Medical Centers 2.170 0.000 0.000 2.170 Construction of 5 Branch Medical Centers 0.150 0.000 0.000 0.150 Construction of 19 Primary Medical Centers 0.0 3.230 0.000 3.230 Installation of Dentistry Clinics and Infant Incubators 0.800 0.000 0.000 0.800 Purchase of Ambulances 2.00 0.000 0.000 2.00 Rehabilitation of Primary Medical Centers 8.000 0.000 0.000 8.000 Construction of Building for General Food Institution and Food Control Laboratory 1.550 0.455 3.750 5.755 Construction and Installation of Pharmaceutical Laboratory 1.500 0.000 0.000 1.500 Phase II studies for computerization of Medical Insurance and establishing a communication network with the Governorates 0.110 0.400 0.400 0.910 Expansion of Al Karak Hospital 0.000 0.000 1.000 1.000 Establish Public Hospital for Naour , Marj Al Hamam , Wadi Al Seer – 200 bed 0.000 1.500 0.200 1.700 Expansion of Princess Eman Hospital / Maadi 0.000 0.000 0.100 0.100 Establish Al Husaineyeh Publiv Hpspital – 30 bed 0.000 0.000 0.100 0.100 Update and Maintain Old Maan Hospital Building 0.000 0.300 1.000 1.300 Establish Building for the Legal Medicine of the Southern Territory 0.000 0.000 0.300 0.300 Establish Building for the Legal Medicine 0.000 0.000 0.100 0.100 81 Unit in Maan Hospital Renting a Building for the Health Department of Southern Ghoar Provence 0.000 0.008 0.007 0.015 Establish Stores for the Health Department of Al Tafeleh Governorate 0.000 0.000 0.075 0.075 Expansion and Updating Emergency Room , Ambulances in Al Ramtha Hospital 0.000 0.000 0.200 0.200 Establish Surgery Section for Al Ramtha Hospital 0.000 0.000 0.200 0.200 Establish Burn Unit in Princess Basmah Hospital 0.000 0.000 0.300 0.300 Establish Public Hospital in Northern Badeyah – 30 Bed 0.000 0.100 2.400 2.500 Expansion and Updating Al Mafraq Hospital 0.000 0.000 0.400 0.400 Establish 13 Medical Center 0.000 0.580 2.200 2.780 Expansion of 29 Medical Center 0.000 0.660 2.260 2.920 Furnish 4 Medical Center s 0.000 0.470 0.000 0.470 Transforming 5 Medical Centers in to Comprehensive Medical Centers 0.000 0.000 0.450 0.450 Renting 13 Building to be Medical Centers 0.000 0.203 1.423 1.626 Lands for Hospitals and Medical Centers 0.000 1.650 2.500 4.150 Transportation 0.000 5.000 0.000 5.000 Development of Regulations on Food Control and Private Laboratories for Food Safety 0.0 1.292 0.323 1.615 Maintenance, Preparation, and Construction of Health Centers 1.120 0.0 0.0 1.120 Development of Nursing Staff at the Ministry of Health 0.700 2.000 2.000 4.700 Improve Capacity of Purchasing and Warehouses Management 0.015 0.020 0.020 0.055 Modernization of Equipment in Government Hospitals 6.200 0.000 0.0 6.200 Expansion of Moaz Ben Jabal Hospital in North Shouneh 0.354 0.100 0.050 0.504 Zarqa New Hospital / a Replacement 0.00 0.300 8.000 8.300 New Baqa'a Basin Hospital 2.500 5.000 5.000 12.500 New Salt Hospital / a Replacement 0.000 0.250 5.000 5.250 Al Qwuweira Hospital in Aqaba 0.000 1.500 2.500 4.000 Public National Health Laboratory 0.0 0.500 1.000 1.500 Rehabilitation of Prince Hashem Bin Al Hussein Hospital 0.0 2.000 1.000 3.000 Equipment for Royal Medical Services 6.473 0.000 0.000 6.473 Phase II of Queen Rania Center 0.850 0.000 0.000 0.850 82 Royal Medical Services Studies for Initiating the Medical Insurance Umbrella 0.150 0.000 0.000 0.150 90.11 46.878 62.628 199.616 Total

83

Section II

Main Economic and Social Axes

Basic Government Services

Communications and Information Technology

Information Technology Sector

2004 – 2006

84

The Vision To enhance the information technology sector services vertically and horizontally in a comprehensive manner in order to comply with the economic and social development needs in the Kingdom, to reduce the digital gap, and improve the international competitive position of the Kingdom.

The Mission Developing the ICT sector, expanding its area of service, enhancing the opportunities which aim at developing the investment environment in order to cater to the legislative and trade related needs of emerging IT industries, as well as removing obstacles that defies this industry’s growth, evaluating opportunities made available through the trade liberalization agreements, particularly those in the export sector of the IT programming products, and enhancing the national private-public partnership.

Main Challenges • Recruiting qualified human resources to work in the ICT sector, and preventing qualified persons from working abroad. • Initiating the role of “change management” as a first step towards creating the knowledge based society. • Providing electronic processes with credibility and reliability, in order to maintain customer services relations. • Reducing the existing digital gap and increase the number of computer and internet users, especially in view of GDP Per Capita increase. • Increasing collaboration between the academic and ICT sectors, in order to enable graduates to enter the labor market. • Forming and developing regulations, instructions and laws that would contribute to supporting and developing the sector such as; the Intellectual Property Rights\ IPR laws, Copyrights laws, and Taxation laws, in addition to inciting the Electronic Transactions laws and Internet Crime laws. • Enhancing the capabilities of privately owned companies in the ICT sector. • Encouraging investment in the ICT sector.

85 • Maintaining the Government’s commitment to the success of the Electronic Government Project as the main initiative, in order to guarantee support of the ICT sector in Jordan. • Guarantying the establishment of suitable infrastructure for building a knowledge-based society throughout Jordan. • The educational curricula is still dependant on old methods, which lack the ability to make contemporary methods and latest information available. • Creating change in the Educational sector in order to improve the quality of education, raising awareness and training beneficiaries from the program. • Coordinating efficiently with all stakeholders during the implementation of project phases. • Poor universities academic institutional capabilities in developing suitable educational strategies for optimal use of the educational network.

Objectives • To contribute to the educational reform process along with the continuous life-long learning program, and to participate in disseminating and developing the ICT resources in under-privileged areas. • To build the ICT sector capacity and capabilities, to enable it to compete at the regional and international levels, through: 1. Establishing the demand environment in order to increase ICT sector growth levels, in addition to creating investment opportunities. 2. Enhancing investment opportunities by means of employing exceptional private-public partnership models. 3. Participating in the building and developing of the ICT sector by supporting national initiatives. 4. Developing the sector’s infrastructure and offering technologically advanced services in the local market.

• To make the institutions and the private sector capital as the driving force which supports the ICT sector, and to operate on an “open market” basis within the ICT sector.

86 • To achieve efficiency and improve public services provided by Governmental institutions through the e-Government program, as well as the optimal employment of human and financial resources.

Policies and Procedures • To eliminate the obstacles that prohibit the success of the ICT sector (for example updating the legislation and laws), and to improve the poor electronic infrastructure in Jordan in order to increase access and the protection of information, as well as improve the electronic business atmosphere. • To take all the necessary practical measures in order to develop the ICT sector, to enable it to compete at the international level, and consequently attract local and foreign investments, as well as to create job opportunities, attain export returns and to increase profits. • To demonstrate the Government’s commitment and dedication to implement the e-Government program. • To provide electronic Learning. • To provide access points (centers) that offer electronic services. • To create and implement national initiatives / projects that provides equal opportunities to attain information, as well as to provide information access, and communication for everyone. • To continue the civil employee-training program, and expand the concept of “change management” and application of information technology. • To take all necessary practical measures to guarantee optimal utilization of the IT within the business sector in a manner that ensures raising the efficiency of the service and industry sectors and increases their competitive capabilities. • To provide the necessary support for developing the educational system in Jordan, through development of the educational curriculum and tools, as well as the establishment of an efficient infrastructure through a national educational network. • To enhance the public awareness campaigns, in order to educate all Jordanian sectors about the benefits of applying and employing IT.

87

Section II

Main Economic and Social Axes

Basic Government Services

Communications and Information Technology

Post Sector

2004 – 2006

88 The Vision To offer a high quality postal service, in order to enhance the driving force of national and international trade to further contribute in the economic and social development efforts and provide the necessities to transform to a knowledge-based economy.

The Mission To improve and modernize the postal sector to open up the path for private sector investment, in order to create an adequate and improved service to both citizens and investors.

Main Challenges • Inefficient conventional postal services to meet business facilities requirements, and incapable to fulfill the public policy objectives. • Monopoly within the sector due to the Jordanian Postal Services Company having exclusive rights in providing the basic postal services. • Reliance on the Government’s support. • Adopting the newly developed ICT and private services other than the traditional postal services. • A small Jordanian postal market. • Difficulties in dealing with employees of the Jordanian Postal Services Company, as they abide to the civil service system.

Objectives • To strengthen reform efforts for the postal service sector to measure up with advanced technological, economic and social developments, in addition to respond to market requirements, and ensuring that citizens receive high quality postal services at affordable prices. • To improve the quality of conventional postal services and to encourage the introduction of new modernized services. • To reduce the sector’s dependence on Government support. • To retain existing private sector investments, attract new capital investments and encourage competition. • To develop the postal service sector to perform a fundamental role as one of the functioning infrastructure elements that serve the national economy. • To increase the speed of package delivery to the actual point of destination through the development of the Postal sector infrastructure, and to encompass an ID number of each postal address for each destination point in Jordan. • To develop postal services and associated infrastructure to support the e-Government and electronic commerce in Jordan, in addition to encompassing the combination of electronic / tangible services, and the 89 integration of postal information systems with electronic commerce systems and electronic government. • To develop and expand international postal services that serves the region.

Policies and Procedures • To open the postal market for competition in order to increase the quality of the services provided and to reduce the financial burden on the treasury. As such the Public Postal Operator would operate for a transitional period of not less than three years, during which the operator shall work on building up business-oriented principles, including reorganization, capacity building, expenditure reduction, efficiency reduction and dependence on government support attenuation. • To study the policy details related to comprehensive services commitments, financing methods of such commitments, and establishing a fund for supporting comprehensive services upon liberalization of the postal market. • To create a joint licensing system that is in harmony with the public policy, in order to organize public and private postal services, with the aim of encouraging the development of the postal services market, as well as protecting and offering comprehensive postal services, and promoting investment by increasing private sector participation in developing the Postal Service sector. • To prepare plans to successfully reform the postal service in the Kingdom, through identifying a strategic partner or the gradual relinquishment of the Government shares in the public postal service operator.

Summary of the Financing Position of the Communications and Information Technology Sector for the Years 2004 – 2006

Item 2004 2005 2006 Total Required Financing 55.257 29.626 29.576 114.459 Available Financing 21.994 0 0 21.994 Deficit 33.263 29.626 29.576 92.465

90 List of Projects in the Communications and Information Technology Sector For the Years 2004 - 2006

Total Cost Of Project Project Title 2004 2005 2006 Total Communications Sector 2.030 .800 .85 3.680

Promotion, Advertising & Marketing and Legal Consultancy for Policies 1.180 0.000 0.000 1.180 and Strategies. Seminars Monitoring Jordanian Communications 0.25 0.050 0.050 0.35 Market Investment Promotion in the 0.15 0.100 0.100 0.35 Communications Sector 0.15 0.0 0.0 0.15 Comprehensive Services Project 0.00 0.2 0.0 0.2 Economic Impact of Communications 0.2 0.2 0.2 0.6 Review of Public Policy 0.0 0.0 0.25 0.25 Updating Communications Law 0.0 0.15 0.0 0.15 International Agreements Project Promoting National Industry in 0.0 0.0 0.25 0.25 Communications Sector Comparative Study with Developed 0.1 0.0 0.0 0.1 Markets Modernizing and Developing Framework Mechanism of the Frequency 0.0 0.1 0.0 0.1 Coordination Unit Information Technology Sector 6.630 3.075 2.975 12.680 Licensing of Information Systems 2.84 2.8 2.8 8.440 to the Government Financial Systems and Programs Information Technology Networks, 0.29 0 0 0.29 Programs, and Initiatives Economic Feasibility Study for 0.1 0.0 0.0 0.1 Establishing a Communication Center 91 in the Information Technology Sector

Modern Technology and 0.0 0.2 0.1 0.3 Integrated Services Project 0.15 0.0 0.0 0.15 Internet Use Expansion Project Competitiveness of Information 0.1 0.0 0.0 0.1 Technology Sector Study Information Technology Management 3.05 0.0 0.0 3.05 Center Promotion of Jordanian Consulting 0.1 0.075 0.075 0.25 Firms and Jordanian Experts Post Sector 2.391 .391 .391 3.173

Addresses in Jordan Project 0.266 0.266 0.266 0.798

Integration of Post Sector and Electronic Initiatives 0.05 0.05 0.05 0.15

Regional Exchange Center Project 0.05 0.05 0.05 0.15

Legal Consultation 0.025 0.025 0.025 0.075

Development of Jordanian Post 1.9 0 0 1.9

Integrated Postal Services Study 0.1 0 0 0.1 National Projects for the ICT Sector 19.149 37.093 37.093 93.335

Renovation of the MOICT Building 0.019 0.0 0.0 0.019

E-Government Projects 9.15 18.093 18.093 45.336

Development of Communication for 9.98 19.0 19.0 47.98 Knowledge Initiative Projects

TOTAL 30.2 41.359 41.309 112.868

92

Section II

Main Economic and Social Axes

Basic Government Services

Infrastructure Construction Sector

2004 – 2006

93 The Vision To advance the construction sector, to be capable of measuring up to modern technological developments in the field of construction, its transfer and implementation, in addition to developing and restoring the infrastructure, as well as implementing national projects at the highest quality and lowest possible cost, to ultimately transfer this sector into a pioneering one at the regional level.

The Mission To create a construction sector that is efficient and performs outstandingly, while providing services competently, dedicating its efforts to serving the Jordanian market, participating in supporting the national economy, enjoying competitive capabilities alongside Arab and foreign companies while exporting its services abroad, and concentrating on improving the existing efficiency, capability and creativity within human and technical resources in the sector, as well as being capable of exporting this expertise.

Main Challenges • The increasing number of operating contracting companies and consulting firms in the sector. • The low levels of profitability for contractors, which limits sustainability. • The lack of investment in research and development. • The inadequate institutional, technical and administrative capabilities at a number of contracting companies, in addition to limited finances for human resources, training and rehabilitation. • The unavailability of state-of-the-art construction tools and equipment for contractors. • The prudence on the part of the banking sector to provide the funding necessary for growth of the sector, whether locally or regionally. • The current system of contractors and consultants classification is inadequate for the rising requirements needed for developing the sector. • The increased competition observed within the sector locally and internationally, particularly in light of Jordan’s commitments towards the World Trade Organization and agreements such as the Government Procurement Agreement, which Jordan is currently in the process of acceding to.

94 Objectives • To reorganize the construction sector, to match the current developments to the economic liberalization process and Jordan’s joining of the European Partnership Agreements and the World Trade Organization. • To comply with the general safety requirements when launching projects, in addition to implementing the National Jordanian Building Law along with all other related laws. • To rejuvenate and develop the technical, engineering, administrative financial and human resource. • To construct new buildings which comply with professional requirements of the Government, to replace inadequate buildings. • To standardize the terms of reference of the Government construction by transferring its projects to the Ministry of Public Works and Housing, especially in the design, supervision, implementation and maintenance of such projects. • To identify an appropriate mechanism to maintain and rehabilitate Government buildings. • To renovate and improve buildings including the boarder centers along with crossing points to provide a comfortable venue for travelers and employees and facilitate travel procedures. • To continue to improve traffic safety on the roads. • To maintain the road network through standard scheduled maintenance. • To achieve sustainable development for the surrounding area of roads, reduce traffic jams, diminish pollution, decrease collision rates inside cities and keep heavy motor vehicles away from cities through the construction of ring-roads. • To increase the opportunities for the establishment of additional industrial zones, as well as investment projects. • To improve the local road networks and connect the most vital ones to international routes and to service regional traffic. • To connect tourism projects and archaeological sites with high quality roads. • To increase the construction of rural and farming roads. • To prepare a road network plan to monitor the current state of roads, in relation to the traffic volume and level of provided service, while setting standards to increase the quality of these roads.

95 Policies and Procedures • Adopting technically and financially suitable engineering designs in construction. • Encouraging the formation of joint ventures amongst engineering and contracting companies to enlarge their share in the local and international tenders. • Ensuring the payment of due tenders’ accounts on time to the implementing companies. • Providing incentives to encourage contractors and consultants to merge. • Observing international trends and changes to make use of them in accordance with international agreements to which Jordan is committed. • Distinguishing between regulative and administrative procedures to comply with the requirements of international agreements signed by Jordan, noting that procurement centralization must be reduced by assigning more authority and privileges to decentralized tender committees. • Studying the prospects of setting standards and indicators for high prices. • Studying the idea of establishing a basis for preventing the deterioration in prices presented by contractors. • Ensuring the high quality of construction materials and machineries. • Guaranteeing the availability of qualified and specialized expertise. • Highlighting and concentrating on the customer requests. • Accentuate the principle of respecting the labor force, relating to work conditions, wage rates, occupational safety and training. • Creating modern working methods that guarantee a real partnership with the private sector, such as BOT. • Adopting a standard accounting system. • Stressing the importance of local insurance firms, particularly for liability insurance. • Respecting quality control guidelines: 1. Concentrating on the quality of crude input materials in construction. 2. Adopting modern and developed construction procedures. 3. Adopting international systems for quality control by both contractors and consultants. 4. Using advanced and efficient material-technology that is less expensive and less damaging to the environment and public safety. 96

• Strengthening partnership with the private sector through: 1. Using the financing and investment mechanisms in implementation, administration and operation. 2. Research and development. 3. Reaching a common understanding about the sector’s position and the impact of international agreements. 4. Developing innovative work relations, in order to permit the introduction of modern concepts that reduce separation between executing parties during project implementation. • Adopting electronic systems with the aim of improving productivity and reducing waste products. • Establishing a data bank and focusing on information technology. • Protecting the environment by reducing pollution and conserving natural resources. • Providing positive incentives for the formation of local companies capable of competing with international companies in and outside of Jordan. • Adopt legislative guidelines through: 1. Increasing the transparency of legislations and laws, unifying and channeling them to cater to the construction sector, to serve the citizen and the investor, as well as those working in the construction sector, from a sustainable development point of view. 2. Preparing a state-of-the-art procurement law or regulation, and expansively implementing it at Ministries, Departments, institutions, universities, municipalities and public shareholding companies, where the Government share exceeds 50%. Furthermore, establishing a unit that undertakes organizational responsibilities, as well as drafting policies related to the procurement sector in accordance with the law. 3. Preparing and adopting International Public Provisions issued in 1999 by FEDEC, without incorporating any amendments, to be considered as a basis for large construction projects. In addition, the FEDEC general conditions should be prepared and translated for small projects while using the same procedures as the ones used in large projects, as well as reviewing the engineering services agreements. 97 4. Compensating for the increase or decrease in prices and adopting indicators or standards for prices of basic materials and labor. 5. Amending the Labor Law to permit seasonal employment. 6. Identifying the principles and measures necessary to be taken in pricing proposals and to reject unqualified proposals. 7. Revising and developing the Engineering Association Law, the Contractors’ Association Law and the Offices Commission Law. 8. Granting local companies a special status, in order to allow them to participate, along with foreign companies, in implementing large local investment projects. In that regard, the Government support can be channeled towards local product as an incentive for the establishment of joint ventures between local and foreign companies.

• To establish a specialized institute to qualify technicians and skilled worker in the field of construction. • To develop the existing general safety requirements in the workplace.

Summary of the Financing Position of the Construction Sector for the Years 2004 – 2006

Item 2004 2005 2006 Total Required Financing 160.730 168.703 147.504 477.937 Available Financing 102.630 43.673 43.674 189.977 Deficit 59.100 125.030103.830 287.960

98 List of Construction Sector Projects for the Years 2004 – 2006

(Million JD) Name of Project Total Cost Of Project 2004 2005 2006 Total Salt Ring Road 2.6 3.75 3.45 9.8 Training of Newly Graduated 0.7 0.4 0.4 1.5 Engineers New Roads Projects Studies 0.6 0.75 0.75 2.1 National Program for Government 15 15 15 45 Buildings Aqaba Coastal Road 4.5 5.673 5.674 15.847 Maintenance of Government Bldgs. 0.4 0.6 0.6 1.6 Model Maintenance Station Azraq 0.1 0.1 0.1 0.3 Iraqi Border Ruweished Concrete Distance Signs for Main Roads, Railings, Hot Paint, and 0.55 0.75 1 2.3 Road Concrete Blocs and Pillars Traffic safety 2 3 3 8 Amman Ring Road 16.5 31 23 70.5

Entrance to Trucks Depot Bridge Quweira 0.5 0.73 0.67 1.9 Irbid Mafraq Road Rehabilitation 0.7 5.0 5.0 10.7 Tal Muhayya Tal Musamma Road 0.5 0.4 0 0.9 Kutm Shatna Tunnel (Irbid Amman) 0.6 0 0 0.6 Shahbiyeh Bridge 0.4 0 0 0.4 Thru Roads in Governorates 2 3 3 8 Mafraq Aal El Bait University Road 0.2 0.5 0 0.7 Complete Phase I of Queen Alia 3.70 0 0 3.70 International Airport Road Refurbishing Royal Palaces Buildings 3.6 3.6 3.6 10.8 in Amman and Aqaba Zarqa Yajouz Partial Rehabilitation 1.8 0.5 0 2.30 Irbid Yramouk University to 2.5 5.0 0 7.5 JUST Road Maintain Amman Naour Dead sea road 0.150 0.150 0.150 0.450 99 Balqaa University To Homrat Assahn 0.375 0 0 0.375 Road Implementation of Costal Sweimeh Road 0.7 0.0 0.0 0.70 Jerusalem Sweimeh Junction Road 5.5 1.0 0 6.5 Asphalt Mixtures for Kingdom Roads 1.5 2 2 5.5 Agricultural Roads 1.75 0 0 1.75 Ramtha Syrian Border Road 0.5 1.0 0.15 1.65 Complete Equipping Model Maintenance 0.08 0.08 0.08 0.24 Stations - Sultani Ramtha Jaber Road Maintenance 0.15 0.1 0.1 0.35 Maan Mudawarah Road Maintenance 0.2 0.2 0.2 0.6 Madaba Ma'in Road Maintenance 0.1 0.1 0.1 0.3 King's Highway Maintenance 1.2 1.5 1.5 4.2 Desert Road maintenance 1.5 2.5 2.5 6.5 Amman Ras El Naqab Rural and Secondary Road Improvement 1.4 0 0 1.4 Phase I of Zarqa Azraq Road 2.125 0.0 0.0 2.125 Muaggar Junction Mafraq Safawi Ruweished Road 0.2 0.2 0.2 0.6 Maintenance and Reconstruction Irbid Amman Road Maintenance 0.2 0.2 0.2 0.6 Mafraq-Zarqa-Syrian Borders Junction 0.15 0.15 0.15 0.45 Maintenance Maintenance of bridges and water 0.75 0.5 0.5 1.75 establishments Mafraq-Jarash Maintenance 0.1 0.1 0.1 0.1 0.3 Kafrnajeh-Ghor Road Improvement and 0.1 0.1 0.1 0.3 Widening Dhleil-Khaldieh-Mafraq Road Improvement 0.1 0.1 0.1 0.3 Irbid Ajloun Road Improvement 0.1 0.1 0.1 0.3 Dead Sea 0.25 0 0 0.25 Rama Jerusalem Road Junction Karak Katrana Road 2.25 3.5 3.35 9.1 Raising Productivity Project 0.15 0 0 0.15 Daily-Paid Labor Medical Treatment 0.45 0 0 0.45 Complete Jordan Road Project 6 1.5 0 7.5 Complete Irbid North Shouneh Road 2 1.5 0 3.5

100 Road Construction Equipment 2.25 3 4 9.25 Old Equipment Refurbishing Phase I Na'our, Hisban Madaba Road 1.5 3.0 1.5 6 Fix Landslide Naour Dead Sea Road 0.4 0 0 0.4 Protection cover - Ras Al Naqab Road 3 3 0 6 Maintenance and Sustainability 1.85 6 4.15 12 of Border Points Buildings Widening and Lighting of 0.2 0 0 0.2 Aqaba Back road Road to Liquid Waste Disposal 0.6 0 0 0.6 Site – Lujoun Naour - Umm El Basatin - Umm El 1.25 2.5 0.5 4.25 Amad Road King Hussein Club Refurbishing 0.675 0 0 0.675 Moutah University Entrance 0.25 0 0 0.25 Road Resting Equipment 0.2 0.1 0.1 0.4 Muagar Juwaideh Sahab Azraq 0.3 0.2 0.2 0.7 Road Maintenance Operational Road 1.000 1.000 1.000 3.000 Maintenance of the Directorate of Public 0.200 0.200 0.200 0.600 Works Building Establish Buildings for the Directorate of 0.300 0.300 0.300 0.900 Public Works Materials , spare parts for the Ministry 0.750 1.500 1.500 3.750 Prepare and update the laboratories of the 0.200 0.05 0.00 0.250 directorate of the public works Finishing the building of the directorate of 0.150 0.100 0.00 0.250 work and mechanics Zara Berin road 0.000 2.00 0.000 2.000 Albashrieh-alazraq road 0.000 2.000 0.00 2.00 Al-Hussein Bin Tallal university road 0.000 3.000 1.000 4.000 Al-Suimah –Zara road 0.000 3.000 3.000 6.000 Jordanian-Iraqi border center 0.000 65.00 0.00 65.000 Alazraq road-Iraqi border 0.000 5.000 3.000 8.000 Jerash Gaza Camp (Khushaibeh) 0.1 0.1 0.1 0.3 Road Maintenance Establish Amman Al Salt cross road 0.000 1.000 2.300 3.300

101 Preventive and Routine Maintenance 2.65 2.65 2.65 7.95 of Rural and Agricultural Roads Tafileh Hassa Road 1.5 3.5 2 7 Establish bridge for Jerusalem –Magtas-dead 0.00 1.00 0.00 1.000 sea Main, Secondary and Rural Roads Maintenance 0 4 4 8 Irbid Ring Road Phase I 0 4 5 9 Moutah Katharba Valley Road 5 4 3 12 Kafr Huda Valley Road AGhour 0 3 4 7 Shallaleh Road Aqaba 5 3 3 11 Replacement Road to Aqaba Airport Remove Ghor Safi Road from Industrial Area 0 2.2 0 2.2 Hashmiye Balaama Irbid Road Rehabilitation 5 5 5 15 Pepsi Bridge Widening 0 0.05 0 0.05 Desert Road to Ma'an Bridge 0.0 0.6 0 0.6 Wadi Seir Iraq Al Amir Road Rehabilitation 0 1 1 2 Construction and Improvement of Rural and Agricultural Roads 0 4 4 8 Back Safi Aqaba Road 0 4 4 8 Phase II Zarqa Azraq Muaggar Junction 0 4 4 8 Shaikh Hussein Junction Bridge North Shouneh Road Rehabilitation 0 2 2 4 Widening Back Aqaba Road 0 3 3 6 South Shouneh / Naour Junction / Dead Sea Road Rehabilitation 0 2 2 4 South Shouneh / North Shouneh Road Rehabilitation 0 5 5 10 Safi Wadi Araba Road 0 4 4 8 Phase II Queen Alia International 0 4 4 8 Airport Road South Shouneh / North Shouneh 0.3 0.2 0 0.5 Road Maintenance Irbid Al Hosn Road 0 2 0 2 Zarqa Yajouz Road Completion of Rehabilitation 0 2 0.5 2.5 102 Equipments and machines for the Directorate 0.15 0.15 0.15 0.45 of the Ministry T O T A L 124.255 268.733 161.974 554.962

103

Section II

Main Economic and Social Axes

Basic Government Services

Infrastructure

Energy Sector

2004 – 2006

104 The Vision To provide the energy needed for sustainable comprehensive development at the lowest possible cost, with the best specifications and most accurate standards.

The Mission To allow all segments of the Jordanian society, in all groupings and locations, to enjoy energy services to increase the level of well-being, and improve and modernize the living standards.

Main Challenges • The Lack of local energy sources and the high dependency on imports. • The dependency on imported crude oil as the sole energy source. • Meeting demand for oil derivatives and electric power with regard to the increasing demand for their consumption, due to rapid population growth. • The limited storage capacity of crude oil and derivatives, and their concentration in the Jordan oil refinery vicinity in Zarqa. • The prevailing unstable situation in the region and its effect on delaying the implementation of projects in the energy sector, and the enhancement of the role of private sector in managing this sector. • The lack of investments needed to meet the demands for oil derivatives and electric power. • To reflect the real cost in the pricing process of oil derivatives and electric power and the resulting economic and social impacts.

Objectives • To provide high quality primary energy and electric power in all forms, to fulfill the needs of sustainable development at a reasonable cost. • To diversify energy sources. • To continue to search for and develop local energy sources, especially natural gas. • To rationalize energy consumption and enhance its utilization, in addition to improving the quality of service to the consumer. • To continue to privatize the energy sector. • To develop regional energy grids. • To develop and utilize the new and renewable sources of energy and increase their share in the total energy source mix. 105 • To reduce the burden of the energy cost and import on the treasury. • To market the Jordanian exploration areas. • To utilize shale oil available in Jordan.

Policies and Procedures • To motivate local and foreign private sector to invest in the energy sector, especially in electric power generation. • To continue the process of oil and natural gas exploration and to further to develop existing ones. • To expand the adoption of modern investment systems (BOO, BOOT) in the fields of new and renewable power generation. • To continue regional gridline interconnection projects. • To increase consumer awareness on preserving and increasing efficiency of energy resources. • To continue to privatize the sector, develop legislation, and amend laws and regulations, to raise its efficiency and provide a competitive environment for the private sector. • To complete regional connection projects such as the natural gas carrier line from Egypt and the electric gridlines. • To carry out studies and release tenders to execute electric power generation projects from new and renewable sources. • To increase the storage capacity of crude oil and derivatives in various areas in the Kingdom. • To improve the specifications of oil derivatives to fulfill the environmental requirements. • To adopt a flexible pricing policy that reflects the actual cost of energy.

106 Summary of the Financing Position of the Energy Sector for the Years 2004 – 2006

Item 2004 2005 2006 Total equired Financing 13.65 14.055 14 41.705 vailable Financing 13.65 13 14 40.365 Deficit 0 1.055 0 1.055

List of Energy Sector Projects for the Years 2004 – 2006

Project Title Total Cost Of Project Available Source of Financing 2004 2005 2006 Total (Million JD) Financing

Khirbet Essamra Project 13 13 14 40 40 General Budget Nuclear Power Transf. Prog. + Agency Projects 0.65 1.055 0 3.09 0.65 Awaiting Trans. Program 1.385 T O T A L 13.65 14.06 14 41.705 40.65

107

Section II

Main Economic and Social Axes

Basic Government Services

Infrastructure

Transport Sector

2004 – 2006

108

The Vision Attaining an effective, competitive and safe transport system that provides various options for beneficiaries at the international and local levels as well as, preserving the environment and contributing to the enhancement of economic and social development.

The Mission To provide better maritime, land and air transport services, in order to attract investors and ensure Jordan as a transit and assembling hub. Additionally this will enable the transport sector to compete on the regional level in transporting goods and providing the most efficient transit services. To enhance the public transport system for Jordanian citizens .To support the maritime transport sector in its organizational role in order to provide safer and more efficient services in the Gulf of Aqaba. To enhance the efficiency of air transport services and the related maintenance and sustainability services.

Main Challenges

• The declining competitiveness of the Jordanian land transport sector at the regional level. • The lack of necessary funds for transport and maintenance projects, especially in the fields of air and sea transport. • Poor maintenance services in for example passenger stations, rest stations, maintenance centers, land ports…etc. • Poor general safety conditions and the high rate of traffic accidents. • The high cost of operating transport vehicles and trucks due to an aging fleet. • Poor utilization of information and communication technologies in the planning and organizational operations of the sector. • Poor human and institutional capabilities within the sector and the lack of advanced systems for training and rehabilitation. • An inadequate environment for sector operations hindered by a number of poor legislation and the lack of competition within the sector, allowing for monopolies to emerge, particularly in the field of air transport.

109 Objectives • To conclude the role of the public sector as operator and to restrict it to the role of organizer, which will enable the private sector to operate in the various facets of the sector as operators and administrators. • To provide the infrastructure for various transport sectors according to commercial principles, taking privatization into consideration, and maintaining government ownership or supervision of the infrastructure which has strategic importance such as (Aqaba Port, railroad infrastructure, air traffic control and airports). • To restructure the Civil Aviation Authority. • To set and formulate transport policies in order to create an appropriate organizational and commercial environment to implement these policies. • To expand the use of technology in organizing land transportation traffic through the use of a geographical information system and satellites. • To expand the scope of training and maintenance in air transport in order to make Jordan an outstanding center for this service. • To organize and develop the maritime transport sector including human resources and infrastructure, and to enhance the role of the private sector in this sector.

Policies and Procedures • Reorganizing the land transport sector in the Kingdom and widening the scope for private companies to operate in it, and provide modern transport methods that are environmentally friendly. • To study the feasibility of selling Government owned cars which are used by the Governmental Institutions to transport its employees and to replace it with one of two options. Option1: To tender to a private company. Option 2: To supply financial allowances, dependent an the employees job level • Developing and amending legislation and regulations related to land, sea and air transport in line with measures and standards applied regionally and internationally, which would increase the efficiency of the transport sector. • Developing a regional transport strategy to evaluate the role of land transport, railroad networks, and air and sea transport infrastructure in order to satisfy long term requirements for the region and Jordan. • Continuing the privatization process of the transport sector including privatizing the airports, as well as restructuring its institutions such as Royal Jordanian, the Civil Aviation Authority, and Queen Noor Technical College as well as the Aqaba Railroad. 110 • Enhancing the capabilities of human resources in all aspects of the transport sector through training, rehabilitation, providing the necessary equipment for the maintenance and sustainability of facilities. • Enhancing the competitiveness of the trucking industry inside and outside the Kingdom by encouraging the establishment of large companies. • Supporting the organizational role of the sea transport industry to ensure that it carries out its responsibilities according to international standards to provide safe and clean maritime transport services in the Gulf of Aqaba. • Enhancing the role of the private sector, encouraging competition and ending monopoly in the transport sector. • Encouraging the registration of sea vessels under the Jordanian flag within advanced international principles and standards that attract investment in this field. • Concluding bilateral and multilateral agreements to organize transport through the Middle East region. • Completing the privatization of Royal Jordanian and the restructuring project of the Civil Aviation Authority, and privatizing Jordanian airports, Aqaba Railroad and the Queen Noor Technical College. • Introducing specialized training programs to rehabilitate human resources in the areas of transport management and vehicle maintenance. • Establishing the Amman Land Port, which would provide transport services according to international specifications. • Issuing licenses for land transportation and to reorganize individual ownership to become organized companies. • Adopting a unified format for transport documents and mechanisms, and to develop the concept of insurance against transport risks. • Restructuring the trucking industry to ensure its competitiveness in the fields of transit transport as well as the transport of goods (Jordanian and Non-Jordanian) between Jordan and other countries. • Carrying out a complete review of maritime legislation and agreements signed with other countries. • Computerization of Maritime Authority operations and applying a specialized qualitative training program for the Authority personnel to raise the work efficiency. • Encouraging the private sector to establish an advanced maritime education college to provide the maritime sector with qualified expertise, and prepare Jordanian maritime staff to work in the international market. • Developing the Aqaba Railroad lines to serve the Phosphate mines in Eshidiyeh, and transform it into a public limited company, as a first 111 step towards its privatization, by canceling its law and registering it at the Ministry of Industry and Trade on this basis. • Expanding the issuance of licenses for seasonal private owned air transport, and to ensure that they operate economically and efficiently. • Issuing licenses for air transport companies after the expiration of the first exclusive period awarded to Royal Jordanian on February 6, 2006. • Establishing departure and arrival terminals for public transport vehicles in all governorates and districts to enhance economic and social productivity. • Privatizing some activities at the Aqaba port, such as handling and storage. • Studying the feasibility of establishing light rail lines to transport passenger within specific areas in Jordan to relieve congestion and reduce traffic accidents. • Modernization of the industrial port in Aqaba which presently handles incoming Sulfur and Ammonia, and exported salt, Potash, fertilizer, and Phosphoric acid, as a result of reduced efficiency in unloading sulfur. • Studying the potential of establishing the Ammonia project in Aqaba to serve the Jordanian industry. • Studying the potential of establishing a railroad from Ghor El Safi to Aqaba to serve the Potash and Salt industry and the Dead Sea exports.

Summary of the Financing Position for the Transport Sector for the Years 2004 – 2006

Item 2004 2005 2006 Total Required Financing 24.091 26.713 18.877 69.681 Available Financing 16.266 0 0 16.266 Deficit 7.825 26.713 18.844 53.415

112 List of Transport Sector Projects for the Years 2004 – 2006 I. Financed Projects (Totally or Partially) Total Cost Of Project Total (Million Name of Project 2004 2005 2006 JD) Rehabilitation of South Runway at Queen Alia International Airport 6.4 0 0 6.4 Modernize Medical Unites at Queen Alia International Airport 1.182 0 0 1.182 Upgrade Lighting Systems for Runways Docking Berths and Side Tracks in Queen Alia International Airport 0.3 0.3 0.3 0.9 Maintenance and Modernization of Electric Systems in Passenger Buildings and Mechanical and AC Systems at Queen Alia International Airport 0.241 0.2 0.159 0.6 Update Workshops at Queen Alia International Airport 0.05 0.1 0 0.15 8000 cubic mtr Fire Reservoir at Queen Alia International Airport 0.25 0 0 0.25 Rehabilitation of Fire Water Reservoirs at Queen Alia International Airport 0.15 0 0 0.15 Modernize Drinking Water Network at Queen Alia International Airport 0.22 0.18 0.2 0.6 Expand and Update Computer Network at Queen Alia International Airport 0.15 0.15 0 0.3 Maintenance System for all Electro Mechanical and Electronic Systems at Queen Alia International Airport 0.1 0 0 0.1 Expand and Develop Computer Network from ATM to CISCO at Queen Alia International Airport 0.12 0 0 0.12 Replace Main Doors and Exits for Passenger Buildings at Queen Alia International Airport 0.1 0 0 0.1 Supplies and installations for Queen Alia International Airport 0.4 0 0 0.4 Maintenance and Modernization of Outdoor Works and Irrigation System Between the Two Wings of the Queen Alia International Airport 0.085 0 0 0.085 113 Modernize Signs and Boards in the Passengers Building at the Queen Alia International Airport 0.1 0.1 0 0.2 Expansion of luggage area 0.5 0 0 0.5 General Parking, Hangar and Maintenance Workshop at the Queen Alia International Airport 0.2 0 0 0.2 Rehabilitate the Eastern Area of the Amman Civil Airport 0.1 0.05 0 0.15 Construction of Ground Operations Building at Amman Civil Airport 0.11 0 0 0.11 Complete Construction of Control Tower at Amman Civil Airport 0.5 0 0 0.5 Installations and Supplies for the Amman Civil Airport 0.4 0 0 0.4 Modernize and Habilitate wastewater Disposal Lines at the Amman Civil Airport 0.1 0 0 0.1 Installations and Supplies for the Aqaba International Airport 0.37 0 0 0.37 Second Floor for the King Hussein International Airport / Aqaba 0.16 0 0 0.16 Preparation of Passenger Halls in Jordanian Airport 0.5 0 0 0.5 Replace Furniture of Passenger Halls in Jordanian Airports 0.1 0 0 0.1 Infrastructure Preparation Completion for Electronic Government 0.05 0 0 0.05 Spare Parts for Equipment and Installations 1.255 0 0 1.255 Consultants and Experts for the Civil Aviation Authority to Update General Airports Plans to Operate them on Commercial Basis 0.02 0 0 0.02 Habilitation of Jordanian Airports Studies 0.1 0 0 0.1 Study for Utilization of Land in the Vicinity of Airports 0.05 0 0 0.05 Installation of Airplane Registration and Operation System 0.1 0 0 0.1 Maintenance of Runways, Tracks and Roads in Airports 0.5 0 0 0.5 Installation of Employee Licensing 0.085 0 0 0.085 114 System in Aviation and Airports Insuring Jordanian Airports and Airspace 0.45 0 0 0.45 Installation of GIS and ACAD Systems 0.1 0 0 0.1 Maintenance of Buildings and Facilities of the Authority and Airports 0.8 0 0 0.8 Purchase Three Tanker Vehicles 0.06 0 0 0.06 Maintain Agricultural Space at Airports 0.15 0 0 0.15 Update Security Systems at Airports and Jordanian Border Crossings 4.4 4.4 4.4 13.2 Modernize Equipment and Vehicles in Airports (Civil Defense Vehicles) 0.25 0.05 0 0.3 Scientific research and information archiving 0.123 0.185 0.743 1.051 Modernization and developing the for weather forecast and communication system 0.28 0.37 0.5 1.15 Maintenance and modernization of the passengers bridge 0.5 0.5 1.5 2.5 Establish a Marine Educational Institution for Maritime Training and Education in Jordan 0 0.425 0.535 0.96 Registration of Ships Under Jordanian Flag According to Advanced International Principles and Standards 0 0.265 0.225 0.49 Raise the Efficiency of Reserve Electricity Power in the Main Electric Station and Passenger Terminals at Queen Alia International Airport 0 0.2 0.2 0.4 Luggage Handling System Project at Queen Alia International Airport 1.75 0 0 1.75 Extension to First Floor at Queen Alia International Airport 0.8 0 0 0.8 Refurbish Fire Protection System at Queen Alia International Airport 0 0.5 0.5 1 Update Chillers at the Central Service Station at the Queen Alia Airport 0 0.2 0.2 0.4 Refurbish Elevators and Escalators in Passenger Terminals and Tower at Queen Alia International Airport 0 0.2 0.2 0.4 Refurbish Conveyor Belts and Scales 0 0.15 0.15 0.3 at passenger Terminals and Tower 115 at Queen Alia International Airport Study and Expand Purification Plant at Queen Alia International Airport 0 0 0.25 0.25 Refurbish Fire Water network and Pumps at Queen Alia Airport 0 0.4 0.5 0.9 Control System for Managing Queen Alia International Airport 0 0.25 0.25 0.5 Tunnel from Tower to Freight Station at Queen Alia International Airport 0 0 2 2 Fire Fighting System at Amman Civil Airport 0 0.2 0 0.2 Habilitate a Site for Civil Defense Administration Near Tower at Amman Civil Airport 0 0.1 0.15 0.25 Expand Dock Area (1) and Air Stream (E) Ohase II and Asphalt Cover for Dock (1) at Amman Civil Airport 0 0.3 0 0.3 Enlarge Dock (3) at Amman Civil Airport 0 0.1 0.15 0.25 New Building in Engineering and Maintenance Department in Amman Civil Airport 0 0.1 0.15 0.25 Passenger Halls and Site Work at Amman Civil Airport 0 1 0.5 1.5 Security Fence Around Amman Civil Airport 0 0 0.06 0.06 Eshediyeh Railroad Connection 0 10 10 20 Security Search Equipment and Security System For Buildings at King Hussein Airport / Aqaba 0 0.1 0.05 0.15 Purchase and Install FIDS Advertising System at King Hussein Airport / Aqaba 0 0.4 0.4 0.8 Automatic Landing System for Runway at Queen Alia International Airport 0.3 0 0 0.3 Automatic Landing System on Runway RW26L at Queen Alia Airport 0 0.3 0 0.3 Digital Communication System VHF 0 0 0.3 0.3 Navigation Guidance System at Queen Alia International Airport 0 0 0.4 0.4 116 Training, Rehabilitation and Raising the Efficiency of Staff at the Civil Aviation Authority 0 0.7 0.75 1.45 Public Transport Depot for Arrivals and Departures 0 3.35 1.85 5.2 Bus Information System 0 1.66 1.66 3.32 Floor Above Computer Center at Queen Noor Technical College 0.08 0.02 0 0.1 Language Center Modernization Queen Noor Technical College 0.03 0 0 0.03 Lab for Managing Air Traffic Control by satellite Queen Noor Technical College 0 0.08 0.7 0.78 Equipment, Books and Supplies Queen Noor Technical College 0.02 0.035 0.04 0.095 Train and Habilitate Queen Noor Technical College Staff 0.015 0.015 0.015 0.045 Updating previous feasibility to the railway 0 1 0 1 Expansion and updating Queen Alia national airport 0 1.067 0 1.067 Variation order of southern railway of Queen Alia airport 0 1.049 0 1.049 Registration the percentage of the ultraviolet ray in the Dead Sea Area 0 0.044 0 0.044 Tourism project / AQABA-RUM 0 4.593 0 4.593 T O T A L 25.156 35.388 29.987 90.531

117 List of Transport Sector Projects for the Years 2004 – 2006 II. Non-Financed Projects

Total cost of project (Million JD) Project Title 2004 2005 2006 Total Establish a Marine Educational Institution for Maritime Training and Education in Jordan 0 0.425 0.535 0.960 Registration of Ships Under Jordanian Flag According to Advanced International Principles and Standards 0 0.265 0.225 0.49 Raise the Efficiency of Reserve Electriv Power in the Main Electric Station and Passenger Terminals at Queen Alia International Airport 0 0.2 0.2 0.4 Enlarge Luggage Classification Areas at Queen Alia International Airport 0.25 0 0 0.25

Luggage Handling System Project at Queen Alia International Airport 1.75 0 0 1.75

Extension to First Floor at Queen Alia International Airport 0.8 0 0 0.8

Refurbish Fire Protection System at Queen Alia International Airport 0 0.5 0.5 1 Update Chillers at the Central Service Station at the Queen Alia Airport 0 0.2 0.2 0.4 Refurbish Elevators and Escalators in Passenger Terminals and Tower at Queen Alia International Airport 0 0.2 0.2 0.4 Refurbish Conveyor Belts and Scales at passenger Terminals and Tower at Queen Alia International Airport 0 0.15 0.15 0.3 Study and Expand Purification Plant at Queen Alia International Airport 0 0 0.25 0.25 Refurbish Fire Water network and Pumps at Queen Alia Airport 0 0.4 0.5 0.9 Control System for Managing Queen Alia 0 0.25 0.25 0.5 118 International Airport Tunnel from Tower to Freight Station at Queen Alia International Airport 0 0 2 2 Fire Fighting System at Amman Civil Airport 0 0.2 0 0.2 Habilitate a Site for Civil Defense Administration Near Tower at Amman Civil Airport 0 0.1 0.150 0.250 Expand Dock Area (1) and Air Stream (E) Ohase II and Asphalt Cover for Dock (1) at Amman Civil Airport 0 0.3 0 0.3 Enlarge Dock (3) at Amman Civil Airport 0 0.1 0.15 0.25 New Building in Engineering and Maintenance Department in Amman Civil Airport 0 0.1 0.15 0.25 Passenger Halls and Site Work at Amman Civil Airport 0 1 0.5 1.5 Security Fence Around Amman Civil Airport 0 0 0.06 0.06 Eshediyeh Railroad Connection 0 10 10 20 Security Search Equipment and Security System For Buildings at King Hussein Airport / Aqaba 0 0.1 0.05 0.15 Purchase and Install FIDS Advertising System at King Hussein Airport / Aqaba 0 0.4 0.4 0.8 Automatic Landing System for Runway at Queen Alia International Airport 0.3 0 0 0.3 Automatic Landing System on Runway RW26L at Queen Alia Airport 0 0.3 0 0.3 Digital Communication System VHF 0 0 0.3 0.3 Navigation Guidance System at Queen Alia International Airport 0 0 0.4 0.4 Training, Rehabilitation and Raising the Efficiency of Staff at the Civil Aviation Authority 0 0.7 0.75 1.45 Developing and Updating Weather Forecasting System and Communication Systems 0 0.08 0.7 0.78 Scientific Research and Cloud Seeding 0 0.053 0.788 0.841 119 Public Transport Depot for Arrivals and Departures 0 3.35 1.85 5.2 Bus Information System 0 1.66 1.66 3.32 Floor Above Computer Center at Queen Noor Technical College 0.08 0.02 0 0.1 Language Center Modernization Queen Noor Technical College 0.03 0 0 0.03 Lab for Managing Air Traffic Control by satellite Queen Noor Technical College 0 0.08 0.7 0.78 Equipment, Books and Supplies Queen Noor Technical College 0.02 0.035 0.04 0.095 Train and Habilitate Queen Noor Technical College Staff 0.015 0.015 0.15 0.045 Updating previous feasibility to the railway 0 1 0 1 Expansion and updating Queen Alia International Airport 0 1. 67 0 1.67 Variation order of southern railway of Queen Alia International Airport 0 1.049 0 1.049 Registration the percentage of the ultraviolet ray in the Dead Sea Area 0 0.044 0 0.044 Tourism project / AQABA-RUM 0 4.593 0.000 4.593 T O T A L 3.245 21.18 13.82 38.246

120

Section II

Main Economic and Social Axes

Developing Governorates and Alleviating Poverty

Strategy for Developing Governorates

2004 – 2006

121 The Vision To create an economic and social environment capable of achieving sustainable development in the Governorates and contributing to raising the citizen’s standard of living.

The Mission “Ensuring a better life for all Jordanians”.. as said by His Majesty King Abdullah II Bin Al Hussein

Main Challenges • Developmental disparities between Governorates and within each Governorate. • Weak economic and social infrastructure, in terms of quality and quantity. • Lack of a unified developmental frame of reference in the Governorates. • Weak institutional and legislative organization and policies governing developmental efforts in the Governorates. • Weak institutional capabilities at the government and civil society institutions in the governorates. • Weak individual initiative and creativity. • Weak participation of voluntary and cooperative organizations in developing governorates. • Inactive local economy. • High degree of centralization (financial and administrative) in taking and implementing the developmental decision. • Weak utilization of natural resources, land, zoning and environment.

Objectives • To raise the efficiency of local development management through: - Reviewing the distribution of duties and responsibilities among the three levels of management (Center, Governorates, and Municipalities). - Activating the developmental role of the administrative ruler and building institutional capacities in the Governorates. - Activating the role of the civil, voluntary, and cooperative community institutions in developing Governorates. - Equal distributing of development gains among various areas of the Kingdom through providing basic government 122 services, in order to reduce the disparities among regions and governorates. • To create effective local economies in the Governorates through: - Achieving sustainable development in the Governorates. - Providing basic governmental services. - Optimizing the utilization of available resources in the Governorates. - Creating an investment – motivated environment in the Governorates.

Policies and Procedures • To enforce the principle of justice and equality in providing services. • To activate the principle of administrative and financial decentralization. • To encourage of participation in the local development process. • To enforce the principle of transparency and accountability in managing the development process at the Governorates level. • To adopt the Governorates’ budgets as a basis for the general State’s budget. • To crystallize a clear decision to adopt decentralization as a method for local administration. • To crystallize a clear Governmental decision regarding the participation of local agencies in implementing projects and programs in lieu of the official sectors. • To ascertain a clear Government trend in order to adopt a gradual transfer method in preparing the Governorate budget from the Central level to the Governorate level. • The gradual application of financial decentralization in the preparation, implementation and follow-up of developmental projects in the Governorates. • To activate the developmental role of the administrative ruler and to build institutional capacities in the Governorates. • To promote investment in the Governorates. • To train and habilitate working in development units and supply units with the necessary logistical requirements. • To computerize the process for monitoring the development projects in the Governorates and connect them to a special electronic network. 123 • To study the developmental impact affected by the Royal initiative to develop Governorates. • To update the economic and social reality for each Governorate and to establish a database for each one. • To specify developmental indicators, qualitatively and quantitatively, to measure developmental differences between the Governorates as well as within each Governorate. • To hold meetings for executive and consultative councils in the Governorates to define and motivate participation in applying decentralization. • To redistribute duties and activities horizontally among the Center, the Governorates and the Municipalities. • To institutionalize, decentralization as a method for the administration of development. • To study the evaluation of the local agencies’ sector reality. • To restructure the cooperative sector. • To build the institutional capacities for workers and volunteers in the local agencies. • To prepare a proposal for a project to enforce the concept of participation and practice in the developmental voluntary work, in cooperation with a voluntary community agency that has experience in this field. • To evaluate the impact of gradual transformation in preparing the budget from the Central level to the Governorate level. • To identify obstacles to private investment in the Governorates. • To identify investment opportunities and capacities available in the Governorates. • To establish and habilitate a special unit (investment promotion unit) Within each Governorate to promote, facilitate and attract investment into the Governorates.

124

List of projects for governorate sector for the Year 2004-2006

Total Cost Of Project Name of Project (Million JDs) 2004 2005 2006 Total Social Safety Program 8.000 10.000 10.000 28.000 Economic & Social Productivity Enhancement 52.445 30.000 30.000 112.445 Program Build Institutional Capacities and Enhance Productivity for Civil 0.00 0.800 0.00 0.800 Society Institutions in the Jordanian Badia Enhance Institutional Capacities at 0.000 3.000 0.000 3.000 Non-Governmental organizations Housing for the Poor 2.500 2.500 0.000 5.000 Improve Level of Basic 0.000 3.000 2.000 5.000 Services in governorates Total 62.945 49.300 42.000 154.245

125

Section II

Main Economic and Social Axes

Developing Governorates and Alleviating Poverty

Social Development

2004 – 2006

126 The Vision A secure, productive and collaborative society, which enjoys a good standard of living, and in turn effectively contributes to the sustainable and comprehensive development process.

The Mission To elevate developmental and social work and to coordinate it between the partners of development (the Government and non- Government sectors), in order to enhance the integrated and comprehensive social policies to develop the society and improve the quality of life for the family and the individuals, in addition to deepening the balanced development process in its social and economic dimensions as well as preserving the gains achieved.

Main Challenges

• High poverty and unemployment rates which vary among the Bingham’s Governorates. • Poor financial and technical capabilities of the institutions working in the social development sector. • Poor coordination among the institutions and organizations operating in the social development sector. • Relatively low private sector role in the social development sector and poverty alleviation. • Insufficient role of the Governorates and local communities in some social development spheres such as housing, education, health and labor. • Absence of an accurate and comprehensive database in addition to weak utilization of statistical and planning tools that would allow specifying the targeted social segments. • Poor relative importance of vocational training and productivity enhancement programs as well as creating work opportunities within the efforts exerted to alleviate poverty. • Scarcity of specialized human resources in all spheres of social development. • Social legislations which are out of date and incompatible with the social and economic changes.

127 Objectives • To entrench the concepts of social development, drawn from the constitution, Arab and Islamic values and the International Declaration on Human Rights, in order to maintain the social coherence and develop the individual’s personality. • To enforce the concept of work and production to improve and raise the Jordanian people’s standard of living. • To consolidate the cooperation between the public and private sectors and the non-Governmental organizations in order to optimize national efforts and attain greater social development. • To achieve equality and social security for all members of the society and to ensure a balance in the distribution of services among the geographic regions, while focusing on the neediest (for example, orphans, elderly people, handicapped and juveniles). • To tackle the social challenges of poverty and unemployment through effective private participation in developing local societies, and providing training, rehabilitation and financing, needed for these purposes. • To boost the participation of women in the development efforts and initiatives, in addition to increasing the productivity of poor families. • To raise the awareness of the community on the importance of social work and the role of integrated family care in the coherence of the society. • To restructure and train the staff of the institutions working in social development areas.

Policies and Procedures • To formulate a clear working plan to raise the level of coordination among the institutions and social work programs, and to unify efforts and minimize duplication and overlapping. • To establish a comprehensive database for the data related to the programs of social aid and to link it to the parties and institutions working in this sector, in order to maximize the benefits from these programs. • To expedite measures for establishing the National Bank to finance small enterprises. • To provide integrated social care to children in order to meet their basic needs and to ensure their integration in the society.

128 • To set and update the standards and criteria for nursery schools, and homes for the elderly, in order to improve their status and ensure quality services. • To raise the awareness of families on ways to raise their children and meet their physical, social and psychological needs. • To train and rehabilitate special needs persons and their families and provide them with medical treatment and educational services in order to integrate them into society. • To provide protection and social care to delinquents and rehabilitate them in order to integrate them in their local societies. • To emphasize the role of women in social work, ensure their rights and facilitate their contribution in all development activities. • To set the appropriate basis to deal with negative social phenomena such as begging and vagrancy. • To provide a suitable environment to deepen the concept of voluntary work and its practice, especially among elderly people. • To formulate specialized training programs for social workers to raise institutional and technical capabilities. • To review the organizational structure of the Ministry of Social Development and the Institutions affiliated to it as well as computerizing the operations to facilitate the procedure of providing the social services. Such measures will improve the performance of the Ministry and other related entities. • To continue in the implementation of the National Strategy to Alleviate Poverty. • To restructure the institutions working in the poverty alleviation sphere and setting up a comprehensive database for them to ensure coordination and avoid duplication of work. • To enforce Social integration and coherence, which is based on general firm principles like the Jordanian constitution and the Arab and Islamic values. • The family is the nucleus of the society as well as being the natural environment where individuals grow. The family is also the most important social system which has an affect on, and is affected by, external elements and factors. Accordingly, the family structure is the cornerstone for development within society. • Scientific research is a fundamental pillar for planning and establishing programs which aim to achieve a comprehensive social

129 development. Progressive education is a basic step in raising the qualifications of the workers and enhances their creativity. • In order to attain good governance, emphasis must be placed on upgrading the quality of services, through developing human resources and achieving greater coordination, cooperation and follow-up, among the various administrative units within the Ministry and the related field, as well as providing continuous evaluation of the effectiveness and efficiency of the operations.

130 List of projects for social development sector for the Year 2004-2006

Name of project Total Cost of Project Total 2004 2005 2006 Establishing Queen Rania Al Abdullah Center for Childhood 0.065 0.000 0.000 0.065 Studies Second Childhood Festival 0.005 0.000 0.000 0.005 Supporting non-Governmental 0.010 0.000 0.000 0.010 institutions for child care Supporting programmes and activities for persons with 0.200 0.000 0.000 0.200 special needs Enlarging Jerash rehabilitation 0.550 0.000 0.000 0.550 center Opening the Ajloun Vocational Rehabilitation Center for the 0.050 0.000 0.000 0.050 disabled Completion of the water treatment pool at Karak 0.050 0.000 0.000 0.050 disabled center Maintenance of centers and 0.115 0.000 0.000 0.115 institutions for disabled Establishing and equipping five social development mobile 0.075 0.000 0.000 0.075 units Education on family protection 0.07 0.05 0.05 0.170 by the social services Developing the capabilities of welfare societies in establishing and managing 0.010 0.020 0.015 0.045 projects as well as attracting financing for them Supporting specialized 0.080 0.000 0.000 0.080 societies Relief emergency, cash and in- 0.095 0.000 0.000 0.095 kind aid National strategy for poverty 0.200 0.000 0.000 0.200 alleviation 131 Poverty alleviation program 30.000 0.000 0.00 30.000 Vocational rehabilitation loans' 0.250 0.000 0.000 0.250 project Restructuring the National Aid 0.475 0.000 0.000 0.475 Fund Computerization and building institutional capabilities of the 0.710 0.000 0.000 0.710 Fund Formative care for the beneficiaries of the family and 0.010 0.010 0.010 0.030 childhood institutions National register for disable 0.100 0.05 0.050 0.200 Social monitoring for 0.050 0.050 0.05 0.150 misdemeanants. External care for 0.00 0.100 0.05 0.150 misdemeanants. Protect people who need care from corruption in care 0.070 0.070 0.070 0.210 institutions. Intensive supervising for 0.050 0.050 0.050 0.150 misdemeanants. Middle road: misdemeanants that do not benefit from 0.000 0.015 0.015 0.030 monitoring. Post care for misdemeanants. 0.050 0.050 0.050 0.150 Comprehensive rehabilitation: academic, social, and 0.00 0.040 0.020 0.060 vocational. Social and psychological 0.000 0.040 0.020 0.060 guidance. Reception procedures for 0.00 0.050 0.050 0.100 misdemeanants. Include basic services for 0.350 0.350 0.350 1.050 misdemeanants care. Women security 0.050 0.050 0.050 0.150 Mendicancy reduction and 0.050 0.050 0.050 0.150 rehabilitate cadgers Permanent age care 0.100 0.100 0.100 0.300 Aged voluntary service 0.00 0.020 0.003 0.023 132 Social service for mendicants 0.060 0.020 0.020 0.100 Social service for reformatory 0.0150 0.010 0.010 0.035 and rehabilitation centers Evaluation of charities 0.000 0.010 0.010 0.020 associations Supporting charity associations 0.000 0.200 0.200 0.400 projects Enhancing production capacity 0.500 0.500 0.500 1.500 of poor families Credit funds 0.099 0.099 0.990 1.188 Data base for local society 0.00 0.020 0.020 0.040 development centers Women programs coordination at the ministry of social 0.00 0.030 0.00 0.030 development Supporting women in the local 0.030 0.030 0.000 0.060 society Enabling country women 0.020 0.020 0.010 0.050 vocationally Data base for women services 0.00 0.040 0.010 0.050 Studies and research 0.00 0.050 0.050 0.100 Quality insurance of giving social services for the 0.010 0.030 0.020 0.060 beneficiaries of the ministry of social development intuitions Social consultant services 0.000 0.030 0.020 0.050 center Build the quality of culture and 0.000 0.010 0.010 0.020 superior Data base for social and 0.000 0.010 0.005 0.015 development work studies Training and rehabilitation for university degrees holder at the 0.015 0.025 0.005 0.045 ministry of social development Training and rehabilitation for diploma holder at the ministry 0.005 0.050 0.010 0.065 of social development Training and rehabilitation for 0.010 0.015 0.005 0.030 secondary certificate holder at 133 the ministry of social development Computerizing systems 0.000 0.150 0.050 0.200 Family and childhood 0.100 0.050 0.050 0.200 awareness Communications and public 0.020 0.015 0.015 0.050 relations Electronic management for the 0.020 0.020 0.010 0.050 documents Subsides for disabled people 0.00 3.5 3.5 7.000 Vocational training for the 0.100 0.150 0.200 0.450 beneficiaries families Health insurance for beneficiaries of the 0.000 1.00 1.00 2.000 complementary support income Enabling women 0.00 0.100 0.100 0.200 Operation system 0.00 0.300 0.350 0.650 Vocational rehabilitation 0.000 4.000 4.000 8.000 Physical rehabilitation 0.000 0.250 0.300 0.550 Social care and upbringing 0.150 0.150 0.150 0.45 Caring for infants in daytime 0.010 0.005 0.005 0.02 kindergartens Integrating infants in a normal 0.000 0.010 0.010 0.02 family (fostering) Family awareness in the area of early childhood 0.050 0.050 0.050 0.150 development Enabling families 0.000 0.050 0.030 0.080 Family guiding 0.040 0.040 0.040 0.12 Social rehabilitation 0.100 0.100 0.100 0.300 Developing curriculums of Mnar Centers for Intellection 0.000 0.007 0.010 0.017 development Day services for the mentally 0.010 0.080 0.010 0.1 retarded Internal and external institutional social care 0.250 0.250 0.250 0.750 services 134 Enabling disabled women 0.020 0.020 0.010 0.05 Training and rehabilitating 0.000 0.050 0.020 0.07 retarded children Vocational preparation 0.000 0.060 0.400 0.460 Vocational rehabilitation and 0.050 0.200 0.050 0.3 employment Mobile services unit 0.080 0.010 0.010 0.1 Recreational, technical and 0.000 0.400 0.020 0.42 sporting activities Developing and stimulating 0.000 0.100 0.015 0.115 senses of disabled persons Total 35.654 13.481 13.703 62.838

135

Section II

Main Economic and Social Axes

Developing Governorates and Alleviating Poverty

Municipalities

2004 - 2006

136 The Vision For Municipalities to efficiently and effectively perform all tasks and responsibilities, in serving and developing the local communities, as well as working within an institutionalized process.

The Mission To build the institutional capabilities of the municipalities, to enable them to provide an adequate developmental infrastructure, as well as contribute to sustainable development while providing all the necessary services to local communities.

Main Challenges • The absence of clear standards for transparency and accountability for municipalities’ activities. • The low level of cooperation among neighboring municipalities. • The prevalence of weak technical and institutional capabilities in the Municipalities, the Ministry of Municipal Affairs, and the Cities and Villages Development Bank. • The limited financial resources available for the municipalities in conjunction with their high indebtedness and weak capabilities to invest in new developmental projects.

Objectives • To enhance the role of Municipal Councils in developing local communities. • To improve the financial performance of the Municipalities and to enable them to invest in income generating and job creating projects. • To consolidate the cooperation between the Municipal Councils and the private sector enterprises in implementing development projects and raising the standards of services extended to citizens. • To encourage the participation of women in Municipal Councils. • To consolidate the role of the Cities and Villages Development Bank in the financial restructuring of the Municipalities. • To build institutional capabilities. • To safeguard the environment and to beautify cities. • To enhance the role of Municipalities in cultural development. • To upgrade existing mechanisms for accountability. •

137 Policies and Procedures • Highlighting the role of Municipalities as public services providers while granting them sufficient authority and entrusting them with the necessary tasks to fulfill this role. • Fulfilling the needs of the Municipalities in terms of necessary equipment and tools. • Continuing to support the Municipalities in establishing productivity and service projects, which can contribute to enhancing their financial resources. • Providing the adequate environment needed to enhance the role of Municipal Councils in spreading knowledge and strengthening cultural activities. • The same principle of governance that relies on accountability and transparency. • Activating the role of the Cities and Villages Development Bank as a specialized financial intermediary in the municipalities sector as well as enabling it to extend long-term loans in accordance with banking principles. • Enabling the Municipalities to access sources of long-term funding. • Encourage neighboring Municipalities to work jointly in providing services. • Encouraging the private sector to implement and manage some of the municipalities’ activities. • Providing the Municipalities with incentives to improve their capabilities in acquiring revenues. • Reviewing the mechanisms through which tasks and responsibilities are coordinated amongst the various levels working on the local front in order to ensure the Municipalities take part in achieving sustainable local development. • Improving and developing the database available at the Municipality level. • Training and qualifying the staff of the Ministry and the Cities and Villages Development Bank as well as the Municipalities according to the needs of each. • Supporting the Municipalities in establishing livestock slaughterhouses in all the Governorates and Provinces of the Kingdom. • Expanding and improving the management of the solid-waste dumps that belong to the joint service Councils. 138 • Reviewing the equation for Government financial transfers to the Municipalities to ensure the fair distribution of Government support to the Municipalities in a way that would enable them to upgrade their services.

139 List of Projects in the Municipalities Sector for the year 2004- 2006

Total cost of project Name of project 2004 2005 2006 Total Develop the local Councils 0.050 5.000 5.000 10.050 Construct transition stations for 2.900 1.500 1.500 5.900 carrying waste Purchase maps of air photography 0.135 0.000 0.000 0.135 and other land maps Prepare and modernize the organizational maps, and renew 0.060 0.000 0.000 0.060 signs in cities and villages Geographic Information Systems 0.300 0.300 0.300 0.900 (GIS) Support Municipalities with 0.000 4.000 4.000 8.000 equipment and tools Craft areas 3.400 3.000 3.000 9.400 Vegetables’ market project 0.000 1.000 1.000 2.000 Popular folk markets' project 0.000 2.000 2.000 4.000 Transportation stations 0.000 0.800 0.800 1.600 Livestock markets’ project 0.300 0.150 0.150 0.600 Queen Rania Al Abdullah project for 0.000 2.000 2.000 4.000 beautifying cities Slaughter houses project 3.700 1.600 1.600 6.900 Investment in and development of 0.000 0.500 1.000 1.500 phosphate areas in Russeifa Recreation areas and libraries for 0.000 1.000 1.000 2.000 children Develop the management of solid 5.000 2.000 0.000 7.000 waste and trash dumps Total 15.845 24.850 23.350 64.045

140

Section II

Main Economic and Social Axes

Governorate Development and Poverty Alleviation

Housing

2004-2006

141 The Vision Developing and upgrading the housing sector to solve the housing crisis and develop poor-service level areas, and provide each Jordanian family with the opportunity to own a suitable house within a healthy civic environment.

The Mission To enable low and limited income groups to own a suitable residence and to provide the appropriate infrastructure to poor-service level areas.

Main Challenges • The presence of dilapidated houses. • The absence of basic services in unplanned areas and poor-service level districts; where the infrastructure generally lacks the required public safety and health precautions. • Poor private sector participation in solving the housing problem for limited-income groups. • The high fees for transferring ownership, which reduces the real estate market effectiveness. • Infringement on state land. • Increase in the number of large empty houses due to high real-estate prices. • The imbalances in the structure of the housing sector. • Objectives • To achieve social stability by making safe housing available to the various social groups, within their financial capabilities, at the least possible cost to the economy. • To improve the infrastructure in poor-service level areas. • To liberalize the housing sector from any imbalances in order to ensure its effectiveness and efficiency. • To enhance the production capabilities of industrial workers and craftsmen by providing them with homes close to their workplace, which will support the sustainability of work opportunities and contribute to fighting poverty and unemployment. • To adopt a strict policy of quality control with respect to construction projects which will ensure efficient, enduring and sustainable buildings. 142 • To focus on following public safety requirements in construction projects and to implement the Jordanian National Building Code and other related laws. To create an authorized entity responsible for following up and executing all stages of engineering work. • To enhance the role of the private sector and activate its investment role in producing housing units for the limited- and low-income groups.

Policies and Procedures • Constructing urban settlements with complete integrated services in cooperation with the Municipalities. These settlements should be set up close to industrial estates and craft centers to save time and money for those who work in such trades. In addition, small industrial professions and vocational training programs in these areas should be encouraged. • Directing financial support for housing to targeted segments, enabling these groups to access appropriate financing methods to secure housing, developing financing mechanisms for projects, facilitating access to credit at reasonable costs, and involving financial institutions in the rental and the management of projects. • Scaling down the role of the public sector in the direct production of housing and activating the private sector’s involvement in the investment required for producing housing units for limited-income groups. • Conducting demographic, social, economic, health and environmental studies related to housing and urban development, with the objective of specifying housing needs, providing necessary services in densely-populated areas and eradicating aspects of underdevelopment. • Simplifying the measures that govern land registration, building licenses and ownership transfers through amending laws and regulations related to the planning and organizational processes, in addition to specifying the roles of the concerned parties in these transactions to avoid duplication and overlapping. • Enhancing the coordination between the parties responsible for organizing land, land use, and its uses and implementing housing projects, as well as improving the role of Municipalities in organizing and providing support services to the sector.

143 • Extending long-term financing and facilitating lending terms for low-income groups. • Developing and improving unplanned residential areas with poor- service levels. • Enabling and encouraging the private sector to play a significant role for meeting the housing needs of low-income groups, as well as deepening the partnership between the Housing and Urban Development Corporation and the private sector to implement projects directed at this segment. Additionally, to encourage direct investment projects and forming partnerships for investment projects in collaboration with private sector investors that satisfies the Corporation’s objectives. • Establishing a central entity for laying down the organizational policies, criteria and standards needed to serve the targeted segments. • Studying and implementing infrastructure projects in poorly serviced areas. • Substantially increasing the number of small land plots, through new planned districts, which will facilitate the construction of small houses serving low-income groups. • Limiting the broad haphazard building expansion in planned plots, through the creation of large empty serviced space. • Easing lending conditions and activating the loan-guarantees program for low-income groups whom cannot afford to present additional collateral in order to obtain the necessary loans. • Extending housing loans in accordance with Islamic Shari’a principles and opening Islamic windows within commercial banks. • Reducing the tax and fees on property transfer transactions, as well as amending the related laws and regulations. • Contributing to the cost of infrastructure projects aimed at serving low-income groups, and completing infrastructure plans in poor areas. • Encouraging the private sector to increase its contribution and gradually take over the responsibility of building housing for low- income groups through:

1. Simplifying measures for the private sector and allowing it the right to use all the patterns, instructions, designs and standards of the Housing and Urban Development Corporation. 144 2. Amending legislation related to land use and building codes. 3. Exempting small units, which do not exceed an area of 120 square meters, from income tax. 4. Creating a dialogue with the private sector to assist in identifying the impediments, in order to be able to reach the targeted groups, as well as helping the private sector take practical steps to overcome these obstacles. 5. Giving the private sector the right to use all patterns, instructions, designs and standards developed by the Housing and Urban Development Corporation.

145 Projects in the Housing Sector for the Years 2004-2006

Total cost of project (Million JD) Name of Project

2004 2005 2006 Total Housing Corporation Projects- completion of previous plan’s projects 1.585 0.000 0.000 1.585 Housing Corporation Projects – new housing projects 6.783 11.228 9.080 27.091 Infrastructure development programs in poor-service areas 2.074 2.292 1.156 5.522 Housing projects/ self financed 0.000 2.280 3.832 6.112 Developing random housing projects 0.000 1.532 2.018 3.550 Total 10.442 17.332 16.086 43.860

146

Section II

Main Economic and Social Axes

Governorate Development and Poverty Alleviation

Agriculture

2004 – 2006

147 The Vision To achieve a stable and sustainable agricultural development that is based on utilizing the available resources and balancing demand with supply.

The Mission To enhance the role of the agricultural sector in achieving economic, social and environmental development, in addition to optimally utilizing agricultural resources, whilst maximizing their direct and indirect impact towards achieving rural development in all its dimensions.

Main Challenges • The weak productivity and competitiveness of agricultural products. • The weak backward and vertical linkages between the agricultural sector and other sectors. • The scarcity of private investments in agricultural activities. • The lack of sound management for the limited agricultural resources, plus the inefficient and excessive consumption of ground water. • The low income and poor education of farmers, in addition to the prevalence of non-Jordanian labor in the agricultural sector. • The weak utilization of advanced production technology in farming. • The insufficient supply of training programs, research and agricultural guidance to comply with the latest developments. • The lack of a unified institutional reference available for the agricultural private sector. • The economic openness and fierce competition in local and international markets.

Objectives • To increase the share of the agriculture sector in the Gross Domestic Product. • To boost the contribution of agricultural exports to total national exports. • To increase the contribution of the private sector in agricultural investment, production, marketing and processing, in addition to institutionalizing the work of the agricultural private sector. • To integrate the agricultural sector with other economic sectors especially in the field of agricultural produce and exports.

148 • To enhance the role of the agricultural sector in rural development, to reduce poverty and migration from rural areas to cities, as well as to increase the contribution of women in the development process. • To raise the efficiency and the capabilities of institutions working in the agricultural sector in order to prevent potential environmental hazards in addition to being able to absorb their consequences. • To improve the ways in which agricultural resources are utilized, as well as to sustain their production and raise their efficiency. • To protect pastures, organize grazing, and develop the production capabilities for grazing resources. • To safeguard the sources of irrigation water from pollution and salinity, and to improve the efficiency with which they are managed. • To replace non-Jordanian labor in the agricultural sector with local labor.

Policies and Measures 1) General policies and measures: • Providing a stimulating environment for the private sector to undertake a more effective role in agricultural development in terms of investment, marketing and improving the sector’s competitiveness. • Constructing a clear action plan to institutionalize the agricultural private sector. • Establishing a fund to provide appropriate incentives for utilizing agricultural land and controlling construction expansion at the expense of farmland, as well as rehabilitate agriculturally unutilized diverged lands and formulate a comprehensive plan for land usage. • Expanding the use of harvested water and waterholes for livestock drinking purposes and the development of pastures. • Introducing and employing modern agricultural technologies, and providing them to small farmers, as well as adopting integrated pest management methods to control the residual remains of pesticides in agricultural products. • Supplying adequate training for farmers and to widen the scope of guidance services, as well as to improve the level of agricultural data collection.

149 • Setting-up an agricultural development fund and making use of the facilities provided by the policies of the “Green Fund” to support the producers of basic foodstuffs products within the parameters of the World Trade Organization Agreements, as well as providing aid in emergency situations and in the event of natural disasters. • Forbidding the shift of water which has been allotted for irrigation in the Jordan Valley to any other use, unless alternative suitable sources are obtained, for agricultural purposes and are not constrained by any health, chemical or biological considerations. • Establishing a pricing system for irrigation water in order to raise the efficiency in which this resource is used. • Setting specific terms for the use of treated wastewater for irrigation, which takes into consideration soil characteristics, climate and the quality of crops. • Encouraging the selection of agricultural crops according to the quality of irrigation water, suitability of the soil, climate conditions, export capabilities and marketing opportunities. Additionally, encouraging farmers to use products which yield high economic returns. • Establishing an advanced database regarding the production and marketing of agricultural output in the local and international markets. • Restructuring the Jordan Valley Authority to improve its capabilities in developing irrigation water resources and raising the efficiency with which it is used, as well as providing better services to the beneficiaries. • Amending the Jordan Farmers Association Law in order to expedite the establishment of professional associations and to provide the necessary financial support, as well as upgrading the legislations and adopting procedures for the registration, admission and use of production inputs. This also includes adopting safe disposal methods for emptying containers in order to minimize the effects on public health and the pollution of water resources. • Activating the role of the Higher Agricultural Council in institutionalizing farming operations, stabilizing agricultural policies and ensuring the entities concerned are committed to 150 carrying out the policies and implementing the regulations and procedures in a transparent manner. • Unifying the agricultural research and guidance operations systems, including the marketing aspect in such activities. • Studying the possibility of transforming the Agricultural Credit Corporation into a bank for rural development.

2) Policies and measures for non-irrigated farming: • Adopting regional planning to ensure the balanced specialization of land for various uses while controlling construction expansion at the expense of agricultural land. • Setting appropriate incentives to encourage farmers to preserve lands and to use them in accordance with their production potential. • Establishing a monitoring mechanism to ensure compliance with the procedures pertaining to the protection of agricultural resources (soil, water and plant canopy) in projects. • Ensuring the necessary financing for the rehabilitation of agriculturally unutilized diverged lands, and to set a mechanism that encourages the owners of these lands to benefit from a soft- loan program within a balanced agricultural system. Such a scheme would minimize the rehabilitation cost and would ensure that rehabilitated lands are used within their production potential while also preserving them and preventing deterioration. • Specifying the requirements for using treated wastewater in agriculture on the basis of the quality of water, the soil characteristics, climate and the objective of usage. • Benefiting from what international agreements have to offer in terms of financing and technical assistance in order to support biological diversification, to fight desertification, and to preserve the environment. • Setting-up a mechanism that can effectively monitor the use of chemicals and quality control standards, as well as issue certificates pertaining to product quality as per international standards and specifications. • Formulating a mechanism to encourage private sector participation in increasing seed propagation and seedlings, as well as establishing a system that monitors the production of seeds and seedlings. 151 • Developing integrated pest management systems especially for fruit trees. • Supplying, training and qualifying agricultural guidance staff which would be capable of passing on information to targeted groups at the right time, and providing them with the means and tools necessary for implementation. • Optimizing the benefits made available by international agreements in support of farmers and farming, especially the World Trade Organization Accord and the Agreements which emanate from it. • Offering incentives and soft loans to implement family-run agricultural projects that are founded on rearing animals and utilizing agricultural remains. • Encouraging the private sector to invest in establishing industries in the field of medicinal and aromatic crops in order to raise the products’ value added and create additional job opportunities for rural inhabitants. • Encouraging the manufacturing of agricultural products from medicinal and aromatic crops, “freekah” and dairy products in order to absorb the surplus, raise the product’s value added and create additional opportunities for the rural communities. • Establishing a training program for rural communities -- especially young men and women -- on farming operations entailing special skills in the areas of organic cultivation, harvesting, drying and storing medicinal and aromatic crops, dairy production…etc. • Formulating a sustainable and flexible strategy that deal with recurrent droughts in rain-fed areas, in order to ease the economic, social and environmental effects in drought years and support farmers to continue working in the agricultural field. • Issuing necessary legislation that identifies a clear framework for the collection of agricultural data and statistics and, the parties responsible for data collection, as well as the roles of different institutions in providing the information and benefiting from it.

3) Policies and measures for the animal wealth and pastures’ sector:

152 • Providing soft loans in order to fund water harvest establishment and waterholes for the purposes of livestock and developing pastureland. • Establishing three professional unions or specialized councils for producing and marketing milk, red meat, poultry and table eggs.

4) Policies and measures for the irrigated agriculture sector in the Jordan Valley: • Establishing a pricing system for irrigation water that takes into consideration the quality and quantity of available irrigation water as well as when it is used, in order to efficiently utilize this resource. • Conducting the necessary studies for determining the quantities of water that can be made available for irrigation from the deep layers of the water basins, and from the Red Sea-Dead Sea canal project. • Completing all the studies pertaining to the Red Sea-Dead Sea project and taking on initiatives to implement this project. • Forbidding the shift of water allotted for irrigation in the Jordan Valley for any other use, unless alternative suitable sources for agricultural purposes are established and are not constrained by any health, chemical or biological considerations. • Formulating a strategy for determining the quantities of fresh water that are available annually from the Yarmouk River, plus the needed quantities which are to be added with the water flowing from the King Talal Dam in order to reduce the saline concentration in the irrigation water for central and southern Ghor areas thereby not restricting it for agricultural purposes only. • Specifying clear terms for using treated wastewater in irrigation, which take into consideration the soil characteristics, the climate and the type of crops. • Establishing databases on the characteristics of surface, ground and treated wastewater from their sources and at their usage points. The databases are to be used in the geographic information system to facilitate linking it with the information relating to the earth resources data. Furthermore, a qualified system for following-up on the evaluation and analysis of the

153 information and data should be provided in order to be able to take the necessary decisions at the right time and at all levels. • Ensuring the participation of the Ministry of Agriculture in the strategic planning for using irrigation water in the Jordan Valley. • Accurately determining the Jordan Valley’s needs of irrigation water based on the agricultural environment in terms of soil, water and climate consideration, and to establish irrigation programs that contribute to the maximization of economic returns per one unit of irrigation water. • Supplying information and selecting crops according to the quality of irrigation water, the suitability of the soil, climate conditions, export capabilities, and marketing opportunities, and to encourage farmers to introduce crop types that yield high economic returns. • Extending loans on soft terms to farmers in order to encourage them to introduce modern irrigation and production techniques. • Encouraging the private sector to invest in establishing agricultural industries by promoting contractual cultivation in order to increase the added value and create job opportunities for local residents in the Jordan Valley. • Financing a program for training farmers and guiding them in terms of the use of agricultural inputs like water, pesticides and chemical fertilizers, in addition to ensuring that the proper handling of agricultural products is used, after harvesting in order to maintain its level of quality. • Establishing a mechanism to encourage owners of agricultural units to manage their farms by themselves, and setting appropriate measures to reduce the number of units that are run by non-Jordanians. • Establishing guidance and awareness programs to raise the awareness of farmers in terms of using modern techniques in irrigated farming. • Widening the scope of bilateral agreements in order to open new and diversified markets (such as the promising East European markets) for agricultural products, and to activate the role of Jordanian Embassies in raising awareness about the distinct qualities of Jordanian products, their potential and seasonal availability.

154 • Providing the necessary information about the needs of the local market and the markets importing Jordanian products, or those with good opportunities. The aim of providing such information is to help farmers and exporters make the appropriate decisions concerning the type of crops and areas to be cultivated. • Providing administrative and technical assistance to professional unions during the initial stages of establishing the infrastructure needed to commence operations, and enhance their capabilities to continue performing their tasks and responsibilities. • Establishing an adequate mechanism to supply the farms that are specialized in production-for-export purposes (in accordance with prior contracts) with the quantities of water needed for production during the seasons when water is rationed. • Extending long-term loans on soft terms and other incentives to farms specialized in production-for-export purposes. • Supplying the water needed to encourage farmers to leach the soil from excess salinity during periods of low evaporation rates, and at reduced prices. This will bear a positive impact on sustaining and improving the productivity of land resources. • Intensifying the agricultural ground water drainage projects in some areas to facilitate the disposal of excess salinity in the soil when leached and to avoid quick salt accumulation. • Implementing measures to protect the lands adjacent to valleys where flood water gathers as well as lands that are prone to floods. • Determining the areas that can be irrigated from areas where infrastructure has been developed, on the basis of confirmed quantities of irrigation water and the suitability of the soil for cultivation. • Developing the Jordan Valley Authority laboratories and limiting their tasks to monitoring the changes in soil and water characteristics, and land productivity while providing good services to farmers. • Taking the appropriate measures and providing an adequate investment environment to enable the private sector to shoulder the full responsibility of producing and marketing agricultural products.

155 • Determining and organizing the responsibilities between the institutions concerned together with the management of resources at the Jordan Valley. • Restructuring the Jordan Valley Authority in order to enhance and improve its capabilities in developing the irrigation water resources and raising its efficiency, as well as providing better services to the beneficiaries. • Intensifying political efforts in order to secure all of Jordan’s water rights in addition to monitoring its quality. • Monitoring the implementation of Agreements with neighboring countries with regards to the protection of the environment and common water sources from pollution, and to provide information on the environment and possible risks of epidemics, as well as assigning an official body which will provide farmers with necessary information on the environment in an updated manner. • Intensifying Government efforts to secure additional water resources through cooperation, in setting up joint water projects to preserve the available quantities for irrigation and ensure the best opportunities to sustain irrigated cultivation in the Valley. • Dividing the Valley into production areas based on productivity and marketing standards. This division is to be used as a reference for concentrating investment for export purposes, scheduling of programs for the distribution of irrigation water, and taking strategic decisions before starting to irrigate the areas that were developed but not yet cultivated. • Modernizing the adopted procedures for the registration, integration and use of chemical pesticides as well as other plant growth systems in agricultural production, and to set rules for the disposal means of empty containers and expired pesticides in order to minimize the effects on public health and the pollution of water resources. • Establishing the Jordan Agriculture Chamber. • Providing incentives to export groups and to involve them in the decision-making process regarding the organization of production. • Preparation of an annual plan by the Jordan Valley Authority together with the participation of the Ministry of Agriculture, exporters and producers, in order to determine the quantities of 156 water needed and the quantities that are available annually, prior to the start of the agricultural season. Such a plan will help farmers to make the right decisions concerning production plans and at the right time, thereby determining the areas to be cultivated and the crops to be planted. • Alleviating farmers from bearing any additional costs that may arise as a result of improving the quality of water supplied to them in compensation of the fresh water which gets re-allocated for non-agricultural purposes. • Maximizing the benefits from the policies made available by the “Green Fund,” and providing farmers with soft loans to assist them in overcoming situations or difficulties they may face as a result of partial production losses, epidemics or other emergencies. 5) Policies and measures for irrigated farming in highlands • Controlling the extraction of water from agricultural wells. This however, should be preceded by a complete survey of cultivated land under irrigation which is conducted in cooperation with the Ministry of Agriculture and the Ministry of Water and Irrigation. • Imposing an adequate tariff for the water extracted for agricultural purposes so as to stop excess pumping while taking into consideration the licensing conditions, the quantity of water used and the efficiency with which it is used. A study, however, to identify the economic and social effects on the farmers must precede the imposition of the tariff, which should be implemented gradually to allow the farmers to adapt and adjust to the new conditions. • Gradually reducing the pumping from the southern regions (the southern investment companies) and to concentrate on the production of fruits and export crops that are competitive in the local and international markets, and which are also highly efficient in consuming irrigation water. • Initiating environment protection measures in order to prevent liquid waste from factories, car-wash stations and trash dumps from being mixed with surface water and polluting the ground water. • Raising the awareness of farmers concerning practices related to using treated waste and sewage water for irrigation purposes.

157 • Establishing databases for the characteristics of surface, ground and treated waste water at their sources and usage sites, and linking the databases with those of earth resources and assigning a technical and qualified team to follow-up on the evaluation and analysis of the information and data, which will help in making important decisions and at the right time as well as at all levels (developing the databases at the Ministry of Water and Irrigation). • Setting a mechanism and the necessary measures to motivate farmers to implement farming methods that improve product quality. • Formulating a strategy specifically for developing and using brackish irrigation water with the aim of preserving the environment and maximizing the return on the usage of such water. • Providing incentives to encourage the use of farming technologies. • Providing necessary information about the local market and external markets, which import Jordanian products in order to assist farmers in taking production related decisions. • Extending administrative and technical support to professional unions during the initial stages in order to help them commence their activities and consolidate their capabilities, in continuing to perform their tasks. • Promptly delivering accurate data and information about the prices of products in external markets during specific periods of time, in addition to delivering information that would help evaluate and examine price trends in markets and their requirements in terms of quantities, standards, the types and timing of products, and absorption capacity. • Establishing an adequate mechanism to encourage the removal, collection and recycling of plastic waste, and to control the disposal process of empty chemical insecticide containers as well as expired insecticides to avoid soil pollution. • Assigning production areas for specific products according to production and marketing standards. This evaluation should be used as a reference for directing investments towards export farming.

158 • Upgrading the adopted procedures for registration, entry and use of production inputs while also adopting safe disposal methods for empty containers in order to minimize their impact on public health and water pollution. • Determining the responsible entity for identifying the allowed crops for cultivation with relation to the quality of water and the soil. • Establishing a body responsible for formulating a strategy and plans pertaining to the use of treated water in agriculture. • Establishing an adequate mechanism for supplying treated waste water at reduced rates to farmers who use it in agricultural production. This mechanism should be tied to the scope and usage efficiency. • Establishing regulations for the owners of licensed underground water wells to cooperate with the Ministry of Water and Irrigation and the Ministry of Agriculture in order to control the extraction of water and to organize production. • Enhancing the frameworks for providing and disseminating technical information related to the risks involved in using production inputs, especially waste water, and the utilization of these inputs through safe methods. • Extending support to export associations and involving them in taking decisions related to organizing production. • Stabilizing agricultural policies and committing the related institutions to implement the policies and measures in a transparent manner. • Providing intensive guidance services in the areas of safe utilization of production inputs, such as fertilizers and chemical insecticides, suitable harvesting periods and other important matters.

6) Policies and measures for the marketing sector: • Amending the Municipalities’ Law in a way that would allow the private sector to own and manage wholesale markets within the Municipalities. Additionally, to amend the regulations of the

159 wholesale markets to allow for more efficient organization of sale activities. • Issuing instructions to organize marketing activities related to packing, containers, storage, and transportation and the workshops of exporters. • Developing the auction process in the wholesale markets, increasing monitoring in order to avoid partiality and enhancing its reliance upon market forces. • Including within the Agricultural Law a clause that authorizes the Ministry of Agriculture to license private sector organizations operating in this sector. • Amending the regulations of the wholesale markets to improve their performance and ensure better private sector representation on the boards of directors. • Ceasing the sales tax imposed on production inputs and marketing services as well as the commissions construed from sales in the wholesale markets, in addition to exempting production inputs and equipment from all customs and non- customs duties and fees. • Activating the role of economic attaches at Jordanian Embassies. • Establishing a marketing database for the local market at the Agricultural Marketing Directorate within the Ministry of Agriculture. • Providing incentives and encouraging export projects as well as providing them with the necessary financing to introduce advanced technologies in their operations. • Expediting the establishment of a national authority that issues compliance certifications for agricultural exports. • Distinguishing tractors license from trailer licenses, as well as allowing the licensing of 16.5-metre-long trucks. • Monitoring refrigerated trucks to ensure that adequate specifications for transporting products are met. • Repealing regulations that give priority to Jordanian trucks to transport fresh products and subjecting them to competition with non-Jordanian trucks. • Continuing to coordinate between Royal Jordanian and the exporters in order to organize transportation and to expand the refrigerated storage established at Queen Alia International

160 Airport, by the Marketing Corporation, as well as involving the exporters’ association in the management of the storage facility. • Selling the tomato paste plant owned by the Agricultural Marketing and Processing Company (AMPCO) to the private sector or to detach it from the company and to manage it separately on a commercial basis. • Providing an adequate environment for the private sector to develop the agricultural industries and to adopt motivating policies such as soft-loan financing, tax exemptions in addition to exempting production and manufacturing inputs from all fees. • Establishing professional unions to deal with national parties voicing complaints against unfair competition practices from importers, as stipulated within the World Trade Organization Agreements. • Formulating all the necessary arrangements by the concerned parties to protect the local market from imports consistent with the agreements of the World Trade Organization. Such arrangements include safeguarding against damages, antidumping, compensatory fees and support and customs assessment. • Developing the laboratories and the quarantines of the Ministry of Agriculture and enhancing their readiness in terms of human resources capabilities, and the necessary financial and technical support in order to implement the Sanitary and Phyto Sanitary Agreement (SPS). • Unifying the research and agricultural guidance systems and including the marketing aspect in their activities. • Expediting the establishment of a “Food Corporation”, as well as accelerating and the efforts for integrating and unifying food laboratories within one central administration if possible. • Ensuring the needs of the Jordan Institution for Standards and Metrology to enable it to shoulder its role as an accredited national entity for setting and approving technical criteria, ensuring compliance, as well as issuing quality certificates. • Amending the legislations concerning the Agricultural Credit Corporation, and the National Centre for Agricultural Research and Technology Transfer in order to increase the representation of the private sector. In this regard, representation should be

161 based on an institutional foundation to allow the entities to select their representatives.

162 List of Agriculture Sector Projects for the Year 2004-2006

Total cost of project Name of project 2004 2005 2006 Total Various agricultural researches/National Center for 0.060 0.420 0.450 0.930 Agricultural Research Develop the Zarqa River basin - 0.822 0.000 0.000 0.822 finalization phase Develop the Zarqa River basin – 0.000 3.261 3.261 6.522 new phase Develop the Natural Resources in 1.600 6.116 6.000 13.716 the Yarmouk basin Develop the Kafrain Dam basin 0.585 0.000 0.000 0.585 Develop the Kafrain Dam basin – 0.000 1.822 1.626 3.448 new phase Establish the regional center for 0.410 0.000 0.000 0.410 agricultural research/Mafraq Chemical, glass and medicinal 0.115 0.000 0.000 0.115 materials Develop infrastructure for the 0.133 0.000 0.000 0.133 horticulture export sector Develop infrastructure for the horticulture export sector– new 0.000 2.200 0.261 2.461 phase Regional agricultural project for the 0.045 0.362 0.000 0.407 Middle East region Placing barbed wires and irrigation 0.385 0.000 0.000 0.385 network Constructing a building for 0.040 0.000 0.000 0.040 automated milking/Fujiej National Project for Developing 1.000 0.000 0.000 1.000 Pasture Land Constructing the building for 0.095 0.000 0.000 0.095 veterinary laboratories Mobile veterinary clinics and vehicles for vaccination 0.103 0.000 0.000 0.103 and/spraying synthesized Veterinary vaccines and supplies + materials for the quality control 0.127 0.000 0.000 0.127 laboratory Second campaign for fighting 0.500 0.000 0.000 0.500 163 houseflies Fighting the Mediterranean fly 0.050 0.000 0.000 0.050 Entrepreneurial Project for Supporting Horticulture Agricultural 1.500 0.350 0.350 2.200 Exports Managing natural resources for the 0.700 1.000 1.000 2.700 Karak and Tafileh Governorates Develop the services related to inspecting and monitoring the safety 0.000 1.088 0.272 1.360 of plants and animals Assist local communities in planting 1.059 0.444 0.454 1.957 pistachio nut Assist communities in developing the planting of Pomegranate in 0.093 0.027 0.027 0.147 irrigated areas and Ghoar (Shaffa) Assist local communities in developing the planting of sweet 0.609 0.416 0.616 1.641 almonds in rain-fed highlands Develop Grape Planting Project 0.918 2.205 1.239 4.362 Assist local communities in developing soap manufacturing at 0.010 0.190 0.017 0.217 the family level Raising hybrid goats project – 0.048 0.177 0.200 0.425 family based Assist local communities in using 0.220 0.448 0.448 1.116 gray water for irrigation Raising Guinea Hen and Geese 0.041 0.039 0.039 0.119 Project Assist local communities in rearing 0.039 0.343 0.343 0.725 fish Bee Raising Project- family based 0.110 0.145 0.145 0.400 Planting forage mixtures (barely and 0.060 0.051 0.036 0.147 vetch) in rain-fed areas project Production of “Freekeh” from 0.090 0.090 0.066 0.246 crushed wheat project Using Work Animals Project 0.043 0.105 0.105 0.253 Assist local communities in dairy 0.100 0.100 0.100 0.300 production in small plants Water management and the preservation of the soil in Wadi Al 0.430 0.815 0.769 2.014 Arab project Water management and the 0.285 0.526 0.541 1.352

164 preservation of the soil in the Shobak Province project Water and Soil Management 0.321 0.593 0.619 1.533 Project in the Dhiban Province Promote Greenhouse farming 0.000 0.370 0.370 0.740 Project for the Training and Rehabilitation of Agricultural 0.120 0.100 0.100 0.320 Workers Monitor soil pollution in the high 0.154 0.125 0.107 0.386 areas of the Jordan Valley Establish a national company for the 1.600 1.500 2.000 5.100 marketing of horticultural products Project for Conducting Financial and Technical Feasibility Study for the Establishment of the National 0.160 0.000 0.000 0.160 Company for Marketing Horticultural Products Project for Developing the Central Wholesale Market in Amman and 0.900 0.000 0.000 0.900 the Wholesale Markets in Irbid and Zarqa Marketing Guidance Project for the 0.000 0.715 0.522 1.237 leaders of the marketing channels Project for Developing the Wholesale Market of Livestock 0.600 0.865 0.045 1.510 (cows and sheep) Ensuring product compliance with International and European 1.698 0.138 0.122 1.958 Standards Surveys and Databases Project 1.280 0.530 0.450 2.260 National Program for the Rehabilitation and Development of 1.620 1.000 1.000 3.620 Pastures/ phase one Complete surveying the soil, and classifying land and evaluating its 1.280 0.530 0.450 2.260 productivity Integrate various water harvesting 1.200 2.00 2.000 5.200 methods in pasture lands Develop agricultural systems with 1.260 0.726 0.426 2.412 waterfalls Building institutional capacities project for the Ministry of 0.100 0.935 1.110 2.145 Agriculture 165 Establish Professional unions 0.240 1.053 0.000 1.293 Upgrade Veterinary Quarantine 1.360 0.352 0.620 2.332 Rehabilitate rocky lands (Identify potential areas for rehabilitation and 0.000 9.986 18.044 28.030 set programs for this purpose) Project for Developing the Agricultural Resources in the 0.650 1.720 2.034 4.404 Shobak Province Project for Developing the Agricultural Resources at Al-Wala 0.600 0.798 0.798 2.196 Basin Project for Developing the Agricultural Resources in the 0.600 1.539 1.587 3.726 Tafileh Governorate; North Highlands Villages Project for Managing Agricultural Resources in the Lower Basin of the 0.650 2.398 3.208 6.256 King Talal Dam Project for Managing Agricultural 0.730 1.542 2.050 4.322 Resources in Wadi Ziqlab Project for Developing the Agricultural Resources in Wadi 0.250 0.232 0.000 0.482 Zarqa Ma’een Wadi Hisban Development project 0.650 1.323 1.872 3.845 Management Development Project for Agricultural Resources in Al- 0.600 1.500 1.150 3.250 Qoura Province Rehabilitation of crop lands in the 0.300 0.304 0.304 0.908 Northern Badia Agricultural Automatic Services 0.000 0.707 0.706 1.413 Project Development of Irrgated Ghoar ( Shaffa ) Areas in Al Karak 0.00 1.100 1.245 2.345 Governorate Wadi Al Arab Basin Development 0.650 2.685 4.257 7.592 project Wadi Shu’aib Basin Development 0.600 1.089 1.440 3.129 project Utilization of modern techniques in 0.400 0.648 0.563 1.611 managing forests Improvement of irrigation channels 0.190 0.146 0.135 0.471 to minimize waste

166 Production development of forest 0.980 0.384 0.299 1.663 nurseries Total 34.168 62.373 67.998 164.539

167 Section II

Main Economic and Social Axes

Governorate Development and Poverty Alleviation

Tourism

2004-2006

168 The Vision Achieving economic prosperity and alleviating poverty through sustainable tourism development.

The Mission To optimize the benefits of Jordan's comparative and competitive advantage in the tourism sector as a tool in increasing foreign currency reserves, creating employment opportunities, and supporting sustainable development efforts. The Ministry is working with the private sector, represented by the various tourism occupations, and in cooperation with the local community to develop tourism in its broadest understanding to highlight Jordan’s religious, cultural, historical and environmental treasures that have existed throughout the ages; and to develop noble human values based on peace and mutual respect between people and nations

Main Challenges • Poor technical and institutional capabilities in the tourism sector. • Ineffectiveness of promotional activities in encouraging tourism and attracting tourism investments. • Slow progress in the restoration and maintenance process at archeological sites, in addition to the low quality of work. • Lack of entertainment activities at tourist sites. • Poor supporting infrastructure for the tourism sector. • Poor participation from the private sector and local communities in the tourism development process.

Objectives • To maximize the tourism sector's contribution to the economy. • To increase participation of local communities in the tourism development process. • To employ the tourism sector as an effective tool for raising Jordanian's income levels, reducing poverty and unemployment. • To enhance the principle of partnership in the national management of tourism. • To raise the efficacy of the tourism sector's institutional capacity. • To provide the needed infrastructure and superstructure. • To set up and direct tourism marketing and promotion policies. 169

Policies and Procedures • Raising the tourism sector's contribution to the national GDP through: 1. Adopting programs that would lengthen tourists' stay and increase spending levels. 2. Targeting tourism strategies to appeal to higher-end market segments (quality tourism). 3. Encouraging the use of local production inputs when establishing and running tourism institutes. 4. Encouraging the establishment of tourism projects that reinforce Jordan's comparative and competitive advantage. 5. Encouraging the establishment of tourism projects that are able to achieve time and quality improvements of the tourism program. • Providing the appropriate climate for investment and adjusting the legislation to facilitate the entry of capital. Investing in tourism vocations, as well as expanding to tourism projects and vocation base that receive investment incentives. • Planning for tourism projects in various regions. • Building up the linkages and reducing the leakages of tourism returns. • Involving the local community as an effective and strategic partner in the tourism development process, through:

1. Involving the local community in tourism planning operations and in the decision making process that involves tourism development in their areas. 2. Producing direct awareness campaigns or supporting existing programs on the radio and television, and publishing brochures to increase the "culture of tourism" in Jordan. • Raising the awareness of local communities regarding the importance of tourism. • Enticing local communities to provide manpower and support services. • Creating cooperation agreements with non-profit organizations related to tourism development and administering tourism sites. • Highlighting local communities' activities, culture, heritage and creativity. • Encouraging the establishment of civil tourism societies for local communities. 170 • Distributing the benefits of tourism geographically in the various provinces. • Investing the available resources in implementing tourism projects in limited-resource areas in order to help reduce poverty and unemployment. • Setting up a development fund for the tourism sector to finance small and medium-size projects. • Training and qualifying members of the local community to provide products and tourism services. • Increasing the participation of women from the local communities in the tourism development process. • Working with all concerned parties (public and private) to develop the institutional structure of those institutions operating in the tourism sector. • Building up the capabilities of the Ministry of Tourism and Antiquities as well as all the administrations and authorities affiliated with it. • Computerizing all operations of the Ministry and its affiliated departments and linking the scheme to the electronic Government. • Founding a Geographical Information System. • Developing communication channels with all institutions concerned with the tourism sector. • Developing tourist and antiquity sites to diversify the Jordanian tourism product in order to comply with the requirements of the international tourism markets. • Expanding and providing a higher quality of infrastructure and support services. • Establishing administrative units for all tourist and antiquity sites. • Making available the necessary funding for marketing tourism in accordance with international standards. • Intensifying marketing activities (on the local, Arab and international levels) and offering rewarding incentives. • Expanding policies and programs for marketing tourism in order to open new horizons and to avoid the negative aspects of seasonal tourism. • Focusing on Meetings, Incentives, Conventions, and Exhibitions (MICE) tourism. • Focusing on unique activities that attract tourists such as festivals. • Concentrating on recreational tourism

171 Projects in the Tourism Sector for the Years 2004- 2006

Total cost of the project (Million Name of Project JD)

2004 2005 2006 Total Second Tourism Development project 4.100 1.028 0.000 5.128 Tourism Sector Development project/ 5.500 17.157 17.158 39.815 Japanese loan Protecting and Promoting Cultural 1.266 1.267 1.267 3.800 Heritage project Sweimeh Recreational Park project 1.254 0.000 0.000 1.254 Updating Tourism Development 0.100 0.000 0.000 0.100 strategy Study on cooperation with the private 0.030 0.000 0.000 0.030 sector regarding the management of archaeological sites Restoration and documentation 0.067 0.000 0.000 0.067 activities for archaeological sites in the Fidan district Visitor center in Hamimat Abbassiyyin 0.136 0.000 0.000 0.136 / Al-Quweirah Expanding King Abdullah II Gardens/ 0.200 0.000 0.000 0.200 Maan Rehabilitating the surrounding homes 0.100 0.200 0.000 0.300 to the Silla Visitor's Center/ Tafilah Reconstructing Umm Quais antiquities 0.090 0.000 0.000 0.090 Excavating, maintaining, and restoring 0.180 0.000 0.000 0.180 Jabal Qala’a Reconstructing and rehabilitating 0.060 0.000 0.000 0.060 Ajloun castle and Mar Elias Developing Barqash site 0.035 0.000 0.000 0.035 Improving the area surrounding Ajloun 0.100 0.150 0.000 0.250 castle and supplying the area with a Telepherage Developing Himmat Abu Thabila site 0.050 0.150 0.000 0.200 Protecting the illumination units at 0.015 0.000 0.000 0.015 Ajloun castle Directional signs to tourism sites 0.030 0.000 0.000 0.030 Rehabilitating Umm Quais city 0.070 0.400 0.000 0.470 Transforming part of Iribid City’s 0.080 0.220 0.000 0.300 172 downtown into a touristic market Equipping and furnishing Dar-Al- 0.015 0.000 0.000 0.015 Sarraya museum in Irbid Developing the Shallallah area in 0.050 0.100 0.000 0.150 Ramtha Establishing the South-Ghor 0.770 0.000 0.000 0.770 museum/Lott museum Supporting Baptism Commission 0.300 0.000 0.000 0.300 Maintaining visitor centers and tourism 0.070 0.000 0.000 0.070 offices Administrating and sustaining tourism 0.100 0.000 0.000 0.100 sites Promotion, awareness and information 0.125 0.000 0.000 0.125 campaigns for domestic (internal) tourism Managing Umm-Rassass project 0.050 0.000 0.000 0.050 Contributing to the Jordan Tourism 5.000 0.000 0.000 5.000 Board Reconstruction and restoration of 0.200 0.000 0.000 0.200 Jerash antiquities Reconstruction and restoration of 0.070 0.000 0.000 0.070 Karak castle Excavations and restoration in Khirbat 0.060 0.000 0.000 0.060 Al-Fadeen, and Al-Safawi, and Rihab, and Umm Al-Jimal Excavations and restoration in Umm 0.060 0.000 0.000 0.060 Al-Rassas and Al-Lahoun Excavations and restoration in Bait 0.050 0.000 0.000 0.050 Rass and Quweilbeh Excavations and restoration in the 0.040 0.000 0.000 0.040 Babtism site Restoration and maintenance of 0.050 0.000 0.000 0.050 antiquities in South-Ghor Excavations and restoration in the 0.070 0.000 0.000 0.070 castles and antiquities of Aqaba, Thar Eilieh and the Nabatean Temple Reconstruction and Restoration of 0.150 0.000 0.000 0.150 Petra reserve antiquities Establishing Hallabat visitor center/Al- 0.200 0.000 0.000 0.200 Zarqa in Old Karak Economic project for enabling women 0.120 0.000 0.000 0.120 in the tourism sector

173 Furnishing the Lowest Point on Earth 0.000 0.500 0.000 0.500 Museum/ Ghor-Al-Saffi Third Tourism Development Project 0.000 12.370 15.900 28.270 Developing recreational areas within 0.250 0.250 0.200 0.700 various urban localities Installing sanitary service units and 0.200 0.400 0.150 0.750 direction signs on main tourist roads Providing services and parking areas 0.250 0.250 0.200 0.700 within various antiquity sites Illuminating ancient castles and 0.100 0.255 0.145 0.500 antiquities Upgrading the infrastructure and 1.200 0.000 0.000 1.200 administrating tourist sites in various areas Developing Tel Mar Elias site/Second 0.000 0.120 0.000 0.120 phase Ain Abata roofs and umbrellas 0.000 0.150 0.000 0.150 Rehabilitating Qatrana Castle 0.000 0.250 0.000 0.250 Developing the Burqush Cave site 0.000 0.250 0.000 0.250 Developing the Al-Burqatayn site and 0.000 0.100 0.000 0.100 readying it for investment Rehabilitating the Karak municipality’s 0.000 0.300 0.000 0.300 recreational area Supplemental work at Hammamat Afra 0.000 0.350 0.000 0.350 and Barbeita sites, and transferring the management of the sites to the private sector Wadi Musa Convention Center 0.000 3.500 0.000 3.500 Developing Showmari center to 0.000 0.600 0.000 0.600 preserve natural resources, provide tourist dormitories and places for bird- watching King Talal Dam Park 0.000 0.030 0.200 0.230 Establish Park for Al Karak 0.000 0.030 0.100 0.130 Municipality Developing Monument Locations in Al 0.000 0.030 0.100 0.130 Mazar for the Religious Tourism Encouragement Establishing Visitor Center in Al 0.000 0.030 0.100 0.130 Mojeb Reserve Furnish Cultural Museum in Al Mafrak 0.000 0.030 0.070 0.100 Studies and Designs for Al Mafrak 0.000 0.000 0.030 0.030

174 Park Providing promotional billboards to 0.416 0.000 0.000 0.416 attract Gulf families on the Jaber-Al- Omari road, and the Al-Mudawara- Maan road General Antiquities project 0.000 3.000 5.000 8.000 Tourism parks in Al Alook area 0.000 0.075 0.150 0.225 Studies and designs for developing 0.000 0.030 0.070 0.100 Shabeb Palace Children park in Naoor 0.000 0.030 0.000 0.030 Maintaining and developing Athroah 0.000 0.030 0.000 0.030 location Total 23.429 43.632 40.840 107.901

175

Section II

Main Economic and Social Axes

Governorate Development and Poverty Alleviation

Environment

2004-2006

176 The Vision Creating a healthy environment that ensures citizens’ welfare.

The Mission To improve environmental activities in order to ensure the continuity and sustainability of development initiatives, preserve natural resources, as well as induce a positive change in the environmental behavior amongst all societal groups and to strengthen the partnership between public sector institutions and civil society establishments.

Main Challenges • Inefficient and underproductive usage of limited natural resources such as land, water and energy. • Poor knowledge in the employment of clean technology and in the efficient exploitation of natural resources. • Increasing desertification and reduction in the size of agricultural land due to the lack of a comprehensive plan detailing land uses. • The absence of a scientific system to evaluate the environmental effects of projects. • Poor environmental monitoring and inspection. • Limited knowledge about environmental management methods and their importance. • The lack of economic incentives to protect the environment. • Absence of an environmental information system and weakness in the infrastructure necessary for its establishment. • The existence of numerous institutions involved in environmental work and poor coordination among them. • Pollution of the various environmental elements namely, water, air, soil and related products. • Raising public awareness about environmental issues and the importance of preserving the environment. • Keeping up with scientific developments in the environmental fields.

Objectives • To minimize emissions polluting the air and reduce noise pollution. • To improve various types of waste management. • The capacity building in various environmental fields. • To upgrade and improve the environmental conditions in companies, factories and developmental projects. 177 • To enhance environmental understanding amongst decision makers, civil society institutions and all other segments of society. • To transfer and adopt environmentally-sound technologies. • To encourage industries to adopt environmental management systems. • To strengthen cooperation between the public sector, the private sector and the voluntary societies involved in environmental protection. • To finalize environmental legislation and the necessary mechanisms for its implementation. • To intensify supervision and control on the sources of pollution. • To expand the green areas. • To preserve wildlife and expand natural reserves and national parks. • To raise the level of public cleanliness. • To supervise the quality of drinking water and the quality of water coming from the treatment plants. • To take into account the environmental impact when planning developmental activities. • To implement all plans, programs, policies and strategies related to the environment.

Policies and Procedures • Encouraging the principle of integration and cooperation among the parties working in the environmental field to avoid duplication and overlapping in environmental legislations, procedures and activities. • Encouraging the participation of the private sector and local communities to be involved in environmental projects as well as providing a suitable climate for foreign investments to be involved in environmental operations in Jordan. This can be achieved through setting practical principles for integrating the private sector into the national efforts to protect the environment by facilitating licensing, tax and customs exemptions, and other measures for projects which aim to protect the environment. • Coordinating the efforts of civil environmental societies, while respecting their uniqueness and individual specializations to guarantee the development and improvement of their environmental work, through forming a unit to coordinate local partnership efforts.

178 • Encouraging the introduction and use of environmentally-friendly technologies and extending incentives to projects aimed at environmental protection. • Encouraging the use of renewable energy sources and rationing the use of natural resources. • Supporting the efforts and activities of the youth and women in adopting positive environmental behavior and preserving natural resources. • Practicing the principle of “prevention is better than cure” and urging the adoption of precautionary measures to minimize the chances of hard-to-solve environmental problems occurring. • Intensifying awareness campaigns about the importance of the environment in improving the quality of life. • Updating and activating environmental legislations, regulations and measures that have been issued, as well as completing the issuance of other regulations, including the following: 1. Water protection. 2. Solid waste management. 3. Evaluation of environmental effects. 4. Management, transportation, and treatment of hazardous materials. 5. Soil protection. 6. Establishment of natural reserves and national parks. 7. Nature protection. 8. Air protection. 9. Protection from pollution in cases of emergency. 10. Maritime and coasts protection. 11. Fees and charges.

• Encouraging industries and other developmental activities to adopt environmental management systems. • Establishing fixed and mobile monitoring stations equipped with the necessary instruments, including equipment to measure and observe environmental pollutants, in order to facilitate the process of comprehensive environmental supervision. • Introducing the issue of environment in industry, agriculture, tourism and other developmental projects in order to apply studies evaluating the environmental effects of such projects.

179 • Conducting comprehensive reviews and continued evaluations of the performance and achievements of the parties working in the different environmental fields. • Implementing environmental awareness programs by intensifying media campaigns and employing all available means to do so. • Joining the international community in its efforts to protect the environment especially in issues that are of global concern such as inter alia, desertification, drought, climate change, protecting the ozone layer. • Studying the latest regional and international agreements concerning the environment and joining the ones that are pertinent to Jordan. • Building up capabilities and expertise in the various environmental fields. • Establishing an environmental database and a center for environmental information as well as facilitating participation and access to it. • Integrating environmental education and awareness in the curricula at various educational levels.

180 Projects in the Environment Sector for the Years 2004-2006

Total Cost Of Project (Million JD) Project Title

2004 2005 2006 Total The clean development mechanism 0.100 0.100 0.100 0.300 Second National Communiqués 0.100 0.150 0.150 0.400 Monitoring the quality of ground water at home solid waste dumping sites 0.030 0.030 0.070 0.130 National Project for Studying Water Quality in Jordan 0.150 0.000 0.000 0.150 Hazardous Waste Dumping Project – Suwaqa 1.600 3.171 3.172 7.943 Evaluating the national institutional capabilities available for executing the three international obligations (desertification, biological diversification and climate change) 0.150 0.050 0.000 0.200 The Stockholm Agreement for fixed organic pollutants 0.254 0.000 0.000 0.254 Studying and monitoring water in the Kingdom 0.150 0.000 0.000 0.150 Replacing harmful material to the Ozone Layer in the agricultural sector 0.500 0.500 0.500 1.500 Replacing the harmful material to the Ozone Layer in the industrial sector 0.500 0.500 0.500 1.500 Building capabilities of the Ministry of Environment 1.200 0.500 0.500 2.200 Studying insecticides’ environmental pollution and examining water and soil 0.056 0.000 0.000 0.056 Integrated management of waterfalls in the 0.265 0.425 0.425 1.115 Central station for industrial waste water treatment in the 0.800 1.770 0.800 3.370 Revising duties of the Ministry of Environment and proposing recommendations for its development 0.170 0.000 0.000 0.170 Establishing a national environmental database 0.000 0.330 0.080 0.410 Monitoring environmental indicators for the deterioration of mineral resources 0.000 0.140 0.070 0.210 181 Air quality laboratory 0.000 0.870 0.130 1.000 Establishing an environmental awareness and sustainability education center in the Zarqa Governorate 0.150 0.000 0.000 0.150 Studying environmental problems in the Zarqa River Basin 0.050 0.000 0.000 0.050 Activate Environment Protection Law, Regulations Project 0.000 0.150 0.200 0.350 Environment situation arrangement in Alfhes 0.000 0.250 0.150 0.400 Rehabilitation of important environment locations 0.000 1.500 1.500 3.000 Capacity building in fields of environment protection for official institutions of civil society 0.000 0.200 0.150 0.350 Total 6.225 10.636 8.497 25.358

182

Section II

Main Economic and Social Axes

Institutional and Organizational Framework and Policies

Administrative Development

2004 - 2006

183 The Vision A more efficient and effective public administration that responds to the needs of its citizens and provides services based on the principles of good governance, transparency and accountability, as well as being capable of utilizing information technology, keeping up with developments, and initiating positive change through integrated cooperation and coordination between its components and society. Vision of the Ministry of Administrative Development Developing and administrating a program to reform the public sector in Jordan through establishing priorities, monitoring and evaluating the results of the various reform initiatives, and coordinating with all Governmental Institutions to enable them to apply and benefit from the reforms.

The Mission To implement all articles in the Jordanian Government’s agenda related to the development and reform of the public sector, beginning with policy development and ending with service provision. To coordinate with the various Governmental Departments and Institutions, enabling them to develop and benefit from this reform. To transform this program into reality with the help of Governmental Institutions by enabling them to improve their service standards according to the reform initiative. To enhance and coordinate reform initiatives, especially those that focus on the development of public services to citizens, and raising the standard of these services.

Main Challenges • An incomplete public sector reform strategy. • The lack of an evaluation system to measure the effects of implemented reform efforts. • The structure of the Central Government impedes policy development and its implementation. • A complicated public sector structure, including a large number of Governmental Institutions (more than 100), that suffer from overstaffing (especially in the fourth grade of civil servants) and require capacity building initiatives to improve. • Centralized legal references and decision making, and the absence of an established public service decision-making process at all levels.

184 • An inefficient public sector, which hinders the Government from reaping adequate returns in comparison to the amount it spends on this sector. • Poor institutional capabilities in the public sector, especially in the fields of planning, implementation, monitoring and evaluation, and the absence of the necessary incentives to attract specialists to manage these aspects of projects. • The need to revise human resource management policies so that they become capable of coping with developments and changes. • Poor coordination between the Government, the private sector and civil society institutions in the decision-making processes, especially in those related to development efforts. • A fragile governance support base. • Inefficient public spending.

Objectives • To develop and manage the creation of a strategy to reform the public sector and establish priorities. The strategy will cover the components of development, through coordinating and harmonizing the initiatives and efforts. • To monitor and evaluate the implementation and issuing of work progress reports covering the effects of reform projects on citizens and standards of living. • To encourage the adoption of international principles and practices for public sector reform, so that public institutions can perform their functions and duties efficiently and effectively. These include the development of policies, procedures, mechanisms, instructions, service provision, and monitoring achievements, especially in the following areas:

1. Improving institutional performance through a restructuring process that takes into consideration the conditions requirements necessary for the institution to perform its duties and achieve the objectives it was created for. 2. Increasing productivity and effectiveness through initiatives to increase administrative efficacy, and improve work methods. 3. Strengthening administrative capabilities and existing civil service capabilities.

185 4. Providing capacity building for employees at all levels. Providing civil servants with incentives through the application of developed human resource management measures and policies. • To better allocate Government spending and to generate optimal results from available resources. • To develop the competitive edge of the public administration. • To improve the quality of service provisions to the public. • To translate the values and principles of social justice, equality and the rule of law into an ordered methodology, and to develop the concept of “civil service” as a basis for the relationship between civil servant and citizen within a framework based on transparency and accountability.

Policies and Procedures • Creating a program for reforming the public sector and identifying its components, in addition to continuing work on the four principle reform components: administrative reform, financial reform, judicial development, and implementation of electronic-government. • Emphasizing and formulating work priorities in restructuring the public sector and monitoring and evaluating the effects of initiatives aimed at its reform. • Establishing and strengthening the capabilities of the Public Sector Reform Unit to perform its functions through adjusting its duties and scope of work such that it is able to affect the targeted changes and development. • Researching the obstacles and legal limitations which impede the public sector reform initiative, in addition to identifying the legislative changes and amendments necessary to support this initiative, and advancing the necessary recommendations to achieve this. • Researching the development of the methods, means and policies to enhance the processes and activities needed to develop the strategy. • Monitoring, evaluating and supporting the strategy institutionally. • Identifying a clear mechanism for the institutionalization of the decision making process at the various Governmental levels. • Revising human resource management policies in the civil service with the aim of setting up a medium-term strategy, of 3-5

186 years, to reform the salary and wage system in the public sector, as well as the voluntary retirement from public service system. • Designing a program for the development of the National Training Institute's higher management and strategy. • Expanding the introduction of information technology into public service. • Strengthening institutional work and accountability in Government administration. • Restructuring the Government and identifying its appropriate size by using suitable methods which will guarantee the national reform effort’s targets. • Forming a comprehensive database of employees in the Government. • Increasing the performance capability of the Audit Bureau in monitoring the Government.

187 Projects in the Administrative Development Sector for the Years 2004-2006

Total Cost Of Project (Million JD) Project Title

2004 2005 2006 Total Public Sector Reform program 2.900 2.000 0.000 4.900 Public Sector Reform support 0.125 0.200 0.000 0.325 Third phase of Public Sector Reform Loan project 0.000 3.540 0.000 3.540 Restructuring Central Government Support program 0.000 0.200 0.200 0.400 Revising and improving institutional effectiveness through restructuring, identifying a framework for the study of centralization options for public services 0.500 0.750 0.750 2.000 Raising the effectiveness of the Audit Bureau in the monitoring of the Government body 2.000 0.000 0.000 2.000 Restructuring the decision making process at the Ministerial level 1.400 0.000 0.000 1.400 Entrepreneurial and Experimental Project for the Development of Employee Service Provision Methods 0.070 0.000 0.000 0.070 Establishing and effecting database for Public Sector Reform Unit 0.050 0.000 0.000 0.050 Improving internal work procedures in the Public Sector Reform Unit 0.000 0.025 0.025 0.050 Implementing pubic sector reform projects based on studies 0.000 0.500 0.750 1.250 Updating and developing job descriptions and specifications for human resources 0.000 0.025 0.025 0.05 Establishing and developing Public Sector Reform Policies Unit 0.000 0.200 0.150 0.350 Establishing and developing Public Sector Reform Evaluation Unit 0.000 0.500 1.000 1.500 Qualitative training for Government employees 0.150 0.250 0.250 0.650 Developing information systems in the civil service 2.000 0.000 0.000 2.000 Developing and increasing capabilities of 0.000 0.500 0.500 1.000 the National Training Institute Total 9.195 8.690 3.650 21.535

188

Section II

Main Economic and Social Axes

Institutional and Organizational Framework and Policies

The Judiciary

2004-2006

189 The Vision Improving the general performance of the Judicial System in Jordan and strengthening its role in supporting civil society and national competitiveness, while at the same time maintaining the system’s independence and integrity.

The Mission To enhance and advance the quality of the judicial branch's performance, and strengthen its role in establishing the foundations of civil society as well as strengthening the national economy's competitiveness, while maintaining its independence and integrity.

Main Challenges • The Judicial Branch’s Independence: Despite the absence of financial corruption among judges in recent years, these judges are not completely free of outside influence. • Effectiveness of the Judicial System: 1. There is a general consensus that the system is relatively inefficient. 2. Delays are common in achieving justice on time. 3. The system’s features and measures are not agreed upon. 4. Poor Information Technology Systems. 5. Lack of relevant information to evaluate the system’s current situation. 6. Lack of feedback systems that can measure and evaluate the system’s success. • Human Resources and Training: 1. The shortage of training programs in order to meet the increasing demand of judges. 2. Poor human resources and training programs strategy. 3. Poor performance of some judges. 4. Newly recruited judges and administration staff which lack sufficient experience. • Monitoring and inspection: poor monitoring and inspection in the Judicial system • Organizational structure of the Ministry of Justice:

190 1. The Ministry of Justice suffers from a general weakness that makes it incapable to perform its duties effectively. 2. There are problems in the organizational structure, human resources system and the supporting administration. 3. Poor planning and policy-making. • Concerned parties: 1. Poor relationship between concerned parties of the judicial process including lawyers, police and law schools. 2. Low standard of law school graduates. 3. Lack of consensus between the judges and the main partners when discussing the problems that face the judicial system. 4. Weakness of the main partners to implement new tasks sufficiently. • General consensus: despite the population’s high confidence in the judicial system over other Government systems, it is still relatively weak. • Infrastructure: weakness in the judicial courts’ infrastructure. • Resources: lack of sufficient financial resources.

Objectives • To maintain the independence and integrity of the judicial branch (maintaining the independence, enhancing transparency, capacity building, strengthening the concept of accountability, increase awareness, adopt a measurement base for trial successes, implement a security system and reform standards). • To improve the competence and effectiveness of the judicial branch (to develop clear indicators and standards regarding the performance of the judicial branch which take into consideration international best practices). • To improve the competence and effectiveness of the judicial branch. • To establish the principles of transparency and inquisition within the judicial branch. • To strengthen the role of the judicial branch in establishing the foundations of civil society and strengthening the national economy's competitiveness.

191 Policies and Procedures First Aspect; Ensuring the Continuity and Preservation of the Judiciary's Independence: • Securing the required systems that render systemized information concerning the independence of the judicial authority and comparing this information with relevant international standards. • Increasing the general awareness to secure the judicial systems independence. • Establishing specific programs for basic judicial conduct. • Expansion in acquiring information pertaining to the judicial system and its laws through electronic means. • Establishing a monitoring and inspection system that is supported by strong feedback and proper measures. • Identifying sources of corruption in procedures, filing and management.

Second Aspect; Enhancing the competence of the judicial system: • Improving the systems and procedures through: 1. Conducting a study to evaluate the efforts of the judicial reform for the year 2000. 2. Conducting a study of gaps, documenting current procedures, developing a complete set of indicators and standards related to the progress of operations and procedures, and identifying the incompetent factors within the judicial system. 3. Studying the external factors for incompetence. 4. Promoting the specialization of judges. 5. Reevaluating the decentralization of courts using a progressive system of litigation instead of a parallel one. 6. Establishing a time frame to implement the set of standards.

• Reducing the demand on courts through: 1. Conducting a study of objective evaluation for the system of judicial development for the year 2000. 2. Conducting qualitative studies of litigations and appeals that increase demand on the courts, and adopting alternative methods in dealing with these cases. 3. Support of the civil litigation management initiative and the implementation of an intermediary medium in addition to 192 studying the alternative ways that can increase competence and efficiency such as negotiation and promotion of alternative methods of settling disputes. 4. Implementation of the concept of categorizing securities.

• Computerization of the judicial system through: 1. Launching a system for information management to support the decision-makers in the areas of planning and monitoring. 2. Finding a tool that can help to identify the procedures that cause congestion within the judicial system, and provide the proper feedback, which in turn helps in identifying solutions. 3. Computerization of all procedures of the judicial system and the Ministry of Justice. 4. Developing the programs pertaining to the judicial system. 5. Conducting a study to analyze the problems. 6. Entry of required data into the e-system. 7. Staff training for the new management system. 8. Connecting the judicial system’s management information systems with the police system. 9. The support of the Bar Association’s efforts in developing the database and archive system. 10. The procurement of equipment.

• Capacity building for the judges’ human resources and administration through: 1. Provision of the proper cadre of judges and administrative employees. 2. The organization of employment based on objective policies. 3. Focusing on increasing the competence of training and directing. 4. Confirming the procedures for employee performance evaluation. 5. Establishing a policy for human resources and an action plan for hiring, selecting, promoting, work path, and the issues pertaining to performance standards.

193 6. Conducting a study to analyze the gaps that the judicial institute suffers from and preparing a plan to increase institutional capacity aiming at identifying institutional developmental needs, such as recruit a qualified technical and administrative cadre, develop the curriculum, criteria a set performance and connect the inspection with the monitoring and training. 7. Establishing a comprehensive training plan that focuses on specialization of judges, creating specialized judicial courts, strengthening the general expertise and administrative training, training on monitoring and inspection, and establishing an administrative training system for courts. • Improving the required infrastructure for the judicial branch: 1. Securing the availability of supportive infrastructure for the operations of the judicial branch. 2. Providing the proper facilities and sources. 3. Establishing the civil engineering blueprints for the court buildings in accordance with its classification and its size, which conform to international standards. 4. Conducting an evaluation study for the infrastructure (73 courts and palaces of justice). 5. Developing a plan to improve the infrastructure and modernize the designs of the current facilities to conform to the international standards. 6. Identify the development needs in the area of infrastructure (furniture, computers, and equipment). • Strengthening and developing the performance of certain departments that require special studies and developmental standards (for lawyers, civilians, Bar Association, Law faculties, police, procedural department and technical offices) where an analytical study for the above will be conducted and specified plans will be set in order to increase the competence of the judicial branch.

Third Aspect; Enhancing the role of monitoring and inspection: • Building the institutional capacity for the judicial inspection system and enhancing the inspection team.

194 • Ensuring the existence of sufficient systems to implement the required standards for development. • Conducting a study to identify the requirements. • Increasing human resources for the inspection department. • Developing the systems, standards, and an inspection system to identify the proper standards of procedures. • Linking the reports with standards of training, evaluation, and behavior

Fourth Aspect; Enhancing the Competence and Effectiveness of the Judicial Branch: • Clarifying and enhancing the role of the Ministry of Justice and enforcing its role in establishing policies. • Developing human resources. • Set the Ministry of Justice’s mechanism of development which makes the Ministry of Justice the leader of the development. In addition to implementing suggested procedures for development.` • Developing institutional networks and increasing coordination between the Ministry of Justice, the courts, the Bar Association and the police. • Reevaluating the systems pertaining to the Ministry of Justice. • Focusing on the budget, planning, and setting up policies. • Studying the relationship between the partners and establishing partnerships based on competence.

Fifth Aspect; Theory of law and its implementations: • Revising some legislation that compliment the judicial development program. • Judicial reform: identifying the problems and suggesting laws and regulations that are required for the expertise system, human rights, press freedom, and national economic competitiveness, and which comply with international laws and standards. • Conducting workshops to support the theory of law and its implementations in differentiating courts, higher court, criminal court, procedures in the courts, trade laws, human rights, media, and setting up the policies and proper adjustments.

List of the Judicial Branch Projects for the Years 2004-2006 Cost of Project (Million JDs) Name of Project 2004 2005 2006 Total Training and Initiation of Judicial Branch 0.515 0.249 0.250 1.014 195 Purchase of Photocopy and Facsimile Machines 0.100 0.000 0.000 0.100 Purchase of Six Employment Apartments in 0.080 0.000 0.000 0.080 Aqaba Maintenance of Palace of Justice in Amman 0.040 0.000 0.000 0.040 Preparation and Furnishing of Small Claims 0.070 0.000 0.000 0.070 Court and Court of First Instance Purchase of Computers and Necessary 0.100 0.100 0.100 0.300 Equipment for the Shariite Courts Purchase of 200 Computers for the Courts 0.200 0.000 0.000 0.200 Establishment of Comprehensive Information 3.190 0.000 0.000 3.190 System for the Judicial Branch – Phase I Establishment of Comprehensive Information 0.000 3.900 3.900 7.800 System for the Judicial Branch – Phase II & III Expansion of Maan First Instance Court 0.200 0.000 0.000 0.200 Building Palace of Justice in Salt 0.700 1.500 1.300 3.500 Building Palace of Justice in Irbid 2.000 3.000 2.300 7.300 Building Palace of Justice in Karak 0.700 1.300 1.000 3.000 Revision of the Ministry of Justice Duties and 0.170 0.000 0.000 0.170 Suggesting Developments Studies for Designing Model Courts and 0.300 0.000 0.000 0.300 Modernization of Existing Courts Infrastructure for Model and Existing Courts 0.000 8.000 8.000 16.000 Strengthening the Principal of Transparency in 1.100 0.000 0.000 1.100 the Judicial Branch Development of Services in the Ministry of 1.000 0.000 0.000 1.000 Justice Development of the Archival and File Keeping 1.100 0.000 0.000 1.100 Systems in Litigation Courts Develop the Capabilities of the Technical Unit at the Ministry of Justice to Encourage the 0.500 0.500 0.000 1.000 Judiciary's Academic Research Reducing Demand on the Courts 0.700 0.700 0.000 1.400 Enhancing the Role of Monitoring and 0.500 0.000 0.000 0.500 Inspection Computerization of Shariite Courts and 0.200 0.400 0.400 1.000 Connecting them through one Network Train and Prepare the Shariite Judicial Branch 0.300 0.300 0.400 1.000 Development of the Archival and File Keeping 0.300 0.300 0.400 1.000 Systems in the Shariite Judicial Branch Total 14.065 20.249 18.050 52.364

196

Section II

Main Economic and Social Axes

Institutional and Organizational Framework and Policies:

Trade

2004 - 2006

197

The Mission Building and enhancing the national economy to improve the living conditions of Jordanian citizens through a well-founded partnership with the private sector, in addition to maintaining the process of international trade liberalization. This entails increasing financial transactions and the volume of goods and services traded beyond borders in addition to rapid transfer of information and technology between states.

The Mission To enhance the business and investment environment, in order to establish Jordan as an advanced trade and investment hub in the Middle East. Additionally, to furnish an effective and efficient management to enhance Jordan’s bilateral, multilateral and international economic ties, and the provision of effective security for consumer interests and that of the business sector within the framework of a strong and effective partnership with the private sector.

Main Challenges • The increasing rate of globalization, economic liberalization and competition, and the challenges that they pose. • Difficulty in attracting the required volume and quality of local and foreign investments especially in remote areas. • Poor awareness programs on the local level as well as weak promotional activities internationally to attract foreign investment and maximize the benefits of bilateral and multilateral trade agreements. • A chronic deficit in the trade balance. • The lack of diversification in Jordanian exports in terms of products and markets. • The economic repercussions of regional political and security instability.

Objectives • To institutionalize the Jordanian economic and commercial relations in order to maximize trade and investment benefits and transfer technology. • To attract more foreign and local investment in order to achieve sustainable economic development. 198 • To curb the deficit in the trade balance. • To improve the efficiency and to upgrade the quality of local investment. • To increase the competitiveness of local products and services to improve the competitiveness of national exports. • To diversify exports of products and services and to attain new markets. Policies and Procedures • Developing the institutional framework of private sector entities, boosting the participation of the private sector on Boards of Directors of institutions concerned with investment, and enforcing the laws in this regard. • Stressing the importance of private sector participation in drafting economic laws before endorsing them. • Studying the potential for creating an umbrella and a unified frame of reference for institutions and programs engaged in extending technical and financial support for small and medium-size enterprises in order to strengthen coordination and prevent duplication. • Studying the possibility of the participation of local commercial banks in setting up funds to provide guarantees against export risks. • Ensuring that all investment institutions work under well enforced investment laws, in order to develop a clear investment vision for the coming period based on flexibility and transparency principles in order to strengthen investors’ trust. • Maintaining efforts to prepare the adequate legal and institutional environment to encourage investments by continuing the process of simplifying legal and administrative requirements demanded from local and foreign investors. Other measures include setting up the “ONE-STOP-SHOP” for registering, licensing and other procedures related to investment in Jordan. Diagnosis and the resulting provision of solutions to solve the difficulties will be shouldered in cooperation with the private sector. • Formulating a commercial policy and a strategy to penetrate external markets in order to boost the volume of exports by an average of 11 % annually through:

ƒ Identifying the opportunities of trade development and targeted markets. 199 ƒ Monitoring the economic and commercial developments in other markets that can impact Jordanian trade policies. ƒ Having both the public and private sectors prepare and negotiate bilateral and multilateral trade agreements and strategies for penetrating external markets. ƒ Enhancing the Jordanian role in the multilateral trading system by entering into new regional commercial arrangements. ƒ Developing and modifying customs tariff structure and policy issues on trade financing. ƒ Promoting competition and anti-monopoly incentives as well as attempting to improve the competitive capabilities of products and services by upgrading quality, raising productivity and lowering costs.

• Maximizing benefits of existing economic and trade agreements, and accordingly measuring the progress of their implementation with suitable monitoring mechanisms, through:

ƒ Conducting studies to measure the effects of joining the WTO and the signing of other free trade agreements concerning the commercial, industrial and other economic sectors. ƒ Managing a qualified information center on WTO matters and other international commercial agreements as well as improving the task of its dissemination to benefiting private sector institutions. ƒ Activating the Arab Free Trade Agreement. ƒ Ensuring that trade partners are committed to their obligations in accordance with the trade agreements in which Jordan is a party. Additionally, establishing a qualified system to provide protection for national economic sectors including the use of mechanisms for disputes settlement.

• Supporting and developing institutions that provide support to national, industrial and commercial sectors enabling them to provide commercial consultancy and assistance to their members, especially small and medium-size ventures.

200 • Studying the effects of e-commerce on the main industrial and commercial sectors. • Formulating legislations that govern e-commerce. • Strengthening the role of Jordanian diplomatic missions abroad in order to promote Jordan and attract foreign investment as well as increasing opportunities for introducing Jordanian products into foreign markets. • Supporting the establishment of specialized trading houses. • Transferring production technologies as well as skills, creative capabilities and administrative methods in addition to adopting them in order to improve productivity and quality of products and services. • Enforcing laws related to promoting investment and developing economic projects as well as empowering institutions working in this field with expertise and coordinating work between them. • Accelerating the privatization process in the energy, mining and transport sectors to widen the role of the private sector and its leadership in economic activity. • Supporting creative and innovative ideas and making the financial, legislative and institutional environment more attractive in order to encourage venture capital activities. • Giving more attention to research, development and marketing to improve the competitive capabilities of the national economy through adequate mechanisms linking the role of scientific research and development with the productive sector. • Encouraging the establishment of ties between local industries and projects on the one hand, and direct foreign investment projects on the other, to transfer skills and technological advances more efficiently. • Carrying out awareness campaigns about the Government's trade policy to educate and inform the private sector about the contents and requirements of trade agreements concluded and how to make best use of them.

201 List of Trade Sector Projects for the Year 2004-2006

Total Cost Of Project Name of Project (Million JDs) 2004 2005 2006 Total Economic Studies and Research to Grasp the Opportunities of Trade 0.000 0.150 0.150 0.300 Development and Targeted Markets Conducting Studies to Measure the Effec Industrial, 0.000 0.100 0.100 0.200 Commercial and Other Economic Sectors Backing and Developing the Institutions Support the 0.000 0.125 0.125 0.250 Commercial and Industrial Sectors Establishing and Managing a 0.000 0.100 0.100 0.200 Reference Information Center

Total 0.000 0.475 0.475 0.950

202

Section II

Main Economic and Social Axes

Institutional and Organizational Framework and Policies

Industry

2004 - 2006

203 The Vision Ensuring that Jordanian industrial products are capable of competing in local and foreign markets.

The Mission To provide the suitable environment to maximize the contribution of the industrial sector in achieving sustainable economic development and to enable it to interact with the challenges of globalization and economic liberalization within the framework of a dynamic partnership between the public and private sectors.

Main Challenges • The small size of the local market and limited traditional markets for industrial products. • The narrow production base and little diversification of industrial exports in terms of products and markets. • The increase of imported industrial products. • Low productivity and poor competitiveness of industrial products. • Moderate spending on research and development. • National industries are mostly considered to be small and medium-size. • The high cost of financing coupled with limited capital available for setting up and developing industrial projects. • The high cost of local industrial services such as energy, water and telecommunications compared to neighboring countries. • The scarcity of skilled labor for some promising sectors.

Objectives • To expand and diversify the productivity base and to raise the share of the industrial sector in the gross domestic product by 1% annually. • To improve the level of quality and to raise the competitiveness of Jordanian products at the local and international levels. • To boost industrial exports by a minimum average of 11% annually for traditional and non-traditional markets. • To increase industrial investments by an average of 10% annually. 204 • To increase the labor rate in the industrial sector by 5%. • To enhance scientific research, development, consulting and marketing services. • To publicize the technical developments and its productivity applications on the industrial sector. • To provide the necessary legislative environment and to facilitate investment procedures such as, setting up and registering companies, and granting industrial licenses. • To encourage industrial entities to adopt environment-friendly policies. • To optimize the benefits of the various Free Trade Agreements including the World Trade Organization Agreement, the Jordanian-European Partnership Agreement, the US Free Trade Agreement and the Arab Free Trade Zone Agreement, as well as establishing a special department at the Ministry of Industry and Trade to advise and enable the private sector to benefit from these accords.

Policies and Procedures • Developing the institutional framework of public sector organizations and widening the participation of the private sector in the boards of directors of investment related Institutions, and to enforce related laws. • Encouraging the private sector participation in drafting economic laws before endorsing them. • Establishing an umbrella and a unified reference for the institutions and programs concerned with extending technical and financial support for small and medium-size enterprises in order to strengthen coordination and prevent duplication. • Facilitating the participation of the local commercial banks in setting up export insurance funds. • Modernizing the industrial sector and enhancing its competitiveness and export capabilities especially for the small and medium-size projects by making use of the aid programs provided by donor countries. • Encouraging cooperation between national industrial institutions. • Formulating a national program to support small and medium- size enterprises by extending diversified services to them, as well

205 as specifying a mechanism to coordinate the work of the entities that provides financial and technical support for small projects. • Encouraging joint projects with international firms, which would contribute to advanced technology transfer to the Kingdom, open new markets for Jordanian products and employ Jordanian labor. • Finalizing the implementation of the comprehensive program that exempts all industrial production inputs from customs duties and sales tax. • Implementing the concept of “ONE-STOP-SHOP” at the pre and post-project establishment stages. A special legislation to this effect should be issued to organize this service and provide the legal basis to activate it and specify its authorities. • Establishing a central industrial database at the Ministry of Industry and Trade. This database should be linked to others in related institutions through the National Information System along with a clear mechanism to define it. • Conducting comprehensive studies to identify new markets and to establish new trade centers in potential non-traditional markets such as Europe and Africa. Providing information on technical requirements including national specifications and technical modes for all export countries and their respective conformity evaluation parties. • Adopting the specifications, standards and comprehensive quality criteria related to technical requirements (national specifications, technical modes and conformity evaluation procedures) of advanced countries to which exports are expected. • Upgrading the quality of labor in industrial companies through the establishment of training programs, upgrading the vocational training programs and benefiting from the technical and vocational training and educational fund. • Establishing technical centers specialized in the areas of packing, packaging, designing, clothing, pharmaceuticals and Dead Sea products to provide specialized technical services. • Extending technical support and providing qualified expertise and necessary financing for industrial institutions to help with wastewater treatment and industrial waste and to develop environmental management systems and water recycling processes.

206 • Forming a national committee for industrial development comprised of working teams representing the public and private sectors to follow up the implementation of industrial policies and review it in light of developments. • Amending laws (whenever the need arises) and adopting the necessary legislations to protect the environment while executing them in conformity with the directives and criteria related to this issue, especially the laws regulating the work of the private sector entities and organizations. • Supporting and activating the role of the Industrial Development Bank and other financial institutions concerned with the industrial sector. • Developing a modern mechanism to encourage partnership between the public and private sectors in order to formulate a common vision of local, regional and international economic issues. This can be achieved by private sector representation on the boards of directors and general assemblies concerned with economic development and investment. • Setting up industrial incubators to protect and provide care for nascent as well as existing investment ventures, and providing them with administrative, technical and financial assistance and services. • Providing basic government services, such as electricity, water, telecommunications and roads to industrial estates that are being established in the least developed areas. • Directing investors who wish to set up industrial estates to least developed areas by providing more incentives and tax exemptions than those granted to similar investments in highly developed areas, especially in Amman. Moreover, encouraging investors to base their industries in less developed areas by providing additional incentives in terms of the nature of the projects and the employment opportunities they will create. • Designing financial and moral incentives for researchers in scientific and technological institutions in order to attract the necessary qualifications and strengthen the coordination between higher education, scientific research institutions, and the industrial sector. • Announcing the WTO requirements to avoid harmful trade practices by implementing anti-dumping measures, 207 compensatory support and fees, precautionary measures, trade disputes settlements in addition to improving the means for effective solutions against unfair trade practices.

List of Industrial Sector Projects for the Year 2004-2006

Total Cost Of Project Project Title (Million JDs) 2004 2005 2006 Total Modernization and Development of Economic 5.000 7.200 9.800 22.000 Projects Free Zones Infrastructure Projects (Zarqa, 1.055 0.000 0.000 1.055 Sahab, Karak) Electronic Archives Project 0.620 0.000 0.000 0.620 Developing Control, Specification, Testing and 0.000 1.360 0.340 1.700 Conformity Certificates Euro-Med Management, Activity and Quality 1.600 0.000 0.000 1.600 Control of Small and Medium-Size Enterprises Jordanian Center for Designing Clothes and 0.730 0.560 0.560 1.850 Training Services Investment Promotion in Jordan 3.000 3.000 3.000 9.000

Promotion of Various Production Sectors 0.050 0.150 0.150 0.350

Participation in International Fairs 0.020 0.000 0.000 0.020 Revision of Departmental Duties Concerned with the Partnership Agreement in the Ministry 0.170 0.000 0.000 0.170 of Industry and Trade and Establishing Development Suggestions Establishment of a National Accreditation Body 0.500 0.500 0.500 1.500 Establishment of National Specifications 0.020 0.040 0.000 0.060 Database Center Jordanian-US Free Trade Agreement Promotion 2.400 0.000 1.200 1.200 Program Total 12.765 14.01 15.55 42.325

208

Section II

Main Economic and Social Axes

Institutional and Organizational Framework and Policies

Media

2004–2006

209 The Vision To benefit from the Information Technology and Communications revolution in order to form solid policies in the local, regional and international community which can reflect creative and innovative images of the modern Arab identity to the viewers, in addition to deepening the national awareness that is based on the principles of open minded beliefs and the freedom of understanding. The vision’s policies and objectives are based on the principles of Jordan First which focuses on creating a modern, creative, neutral and innovative media sector.

The Mission To form concepts through knowledge, participation, and convincing this be achieved by developing social concepts which will assist to accept changes and deal with them to form awareness of sowity. The freedom of exchanging information and the news media should not be used to harm others or mess with their freedom or private lives. It should aim to educate the citizens about their rights and responsibilities towards development, enhancing the principles of equality, Justice, respecting the law in all aspects, and the importance of respecting the truth and human dignity.

Main Challenges • Creating a balance between developmental media and entertainment. • Distinguishing between objectives, polios and procedures to insure the stability and consistency of the media sector. • Finding a balance between the media and economy within the framework of a globalized economy and media. • Linking the educational policies with the media policies. • Understanding the local, regional and international changing circumstances surrounding the media sector and mission. • Obtaining high technology and knowledge to be able to reflect a modern and developed message.

Objectives • To prepare media policies that reflect Jordan’s philosophy which is based on open dialogue and creating new legislation that is suitable to the era’s development and conditions. • Developing the appropriate infrastructure, obtaining the latest technologies, recruiting qualified human resources and building their capacities and capabilities. 210 • To strengthen the pillars of democracy and respect for each others opinions in order to benefit and modernize our country, but also using this freedom responsibly. • To improve the basis of knowledge and information and support human rights and public freedom. • To support the privatization of the media institutions and to develop better institutions which are capable of setting a precedence and presence in the international markets and media.

Policies and Procedures • Stressing the importance of portraying the Islamic and Arabic identity as the representation of the Jordanian people. • Excluding exaggeration and inaccuracy from the media. • Creating a balance between the media and entertainment missions and messages. • Providing accurate and balanced media reports in order to avoid any sort of misunderstandings or change in words. • Promoting the use of good language and creativity in developing ideas. • Avoiding the use of copied media and maintaining strategic thinking. • Benefiting from the information technology and using it in the development of the media mission. • Working with the tools and capabilities that we currently have and avoiding mixing this with wishes and dreams. • The so – called Responsible Media should have the freedom it requires, but should not to be in conflict with the law. • Benefiting from the media manufacturing development and using it to better accomplish our media mission. • Using a good command of language that is easily understood.

211

Media Projects in the Social and Economic Development Plan 2004 - 2006

Project Title Total Cost of Project 2004 2005 2006 Total Creating a knowledge bank in the Department of 0.033 0.033 0.034 0.10 Printing and Publishing Production of Media brochures and studies / 0.033 0.033 0.034 0.10 Department of Printing and Publishing Developing the Internet website for the 0.033 0.033 0.034 0.10 Department of Printing and Publishing and connecting it to the government. Developing the local calculator at the Department 0.080 0.080 0.080 0.240 of Printing and Publishing Developing Archiving system / Audio Visual 0.050 0 0 0.050 Commission “Mafiola” machine and accessories / Audio Visual 0.035 0 0 0.035 Commission Developing Internet Website for the Audio Visual 0 0.070 0.070 0.14 Commission Training and upgrading Journalists and technicians 0 0.040 0.040 0.080 at Jordan Press Agency Developing the News system in the Jordan Press 0 0.2 0.2 0.4 Agency Developing the Jordan Press Agency building 0 0.75 0.75 1.5 Preparing TV Studio / Higher Media Council 0.25 0.25 0 0.5 2 Montage units for Higher Media Council 0 0.15 0 0.15 Finish the preparations of Sound broadcasting for 0 0 0.1 0.1 Higher Media Council Mobile TV cameras For field filming with 0.15 0 0 0.15 accessories / Higher Media Council Media and Media Planning Project/ Jordan Media 0.250 0.250 0 0.500 Center Developing the Information systems / Jordan 0 0.12 0.12 0.24 Media Center Society encouragement and participation in 0 0.073 0.073 0.146 planning and decision making Translation unit / Jordan Media Center 0.016 0.016 0.015 0.047

Jordan in Words Project 0.092 0.046 0 0.138

212 Human Resources Development Project 0.078 0.091 0 0.169

Training and Administrative Development Project 0.055 0.077 0 0.132

Studies and Public Opinion Survey Project 0.050 0.050 0.050 0.150

Public Relations and Visitors Information Project 0.020 0.040 0 0.060

Foreign Offices and International Cooperation 0.018 0.035 0 0.053 Project TOTAL 1.243 2.437 1.600 5.280

213 Section II

Main Economic and Social Axes

Institutional and Organizational Framework and Policies

Aqaba Special Economic Zone

2004 - 2006

214 The Vision For Aqaba to become an international investment centre on the Red Sea, in order to accelerate the Kingdom's economic development.

The Mission To create an internationally competitive and attractive investment climate in Aqaba, and sustaining this climate to ensure the optimum utilization of resources in accordance with the highest standards of international performance and within the advanced institutional and administrative framework of transparency and good performance.

Main Challenges • Insufficient infrastructure services and entertainment activities. • Limited economic resources and narrow production base. • The high cost of production elements. • The slow pace in implementing projects and reform programs. • Poor private sector participation. • Challenges arising from political instability and insecurity in the region.

Objectives • To attract more direct and indirect foreign investments so as to exceed JD800 million by the year 2006. • To create more job opportunities. • To develop the Aqaba Special Economic Zone and improve the performance of public facilities particularly the seaport and the airport. • To boost and sustain the financial revenues of the Aqaba Authority. • To enhance the participation of the private sector in order to maximize the benefits from the available resources. • To develop the local community within the concept of strengthening sustainable development. • To enhance the administrative and institutional capabilities as a model of good governance.

215 Policies and Procedures • Accelerating the procedures for setting up the Aqaba Development Company and activate its role in expanding public facilities in a way that would not contradict with the tasks and responsibilities of the Aqaba Special Economic Zone Authority. • Providing the financial support to the Aqaba Authority and the Aqaba Development Company to enable both to enhance the performance of their duties. • Facilitating the work of investors inside the zone. • Providing distinguished and high-level services to investors in the Zone in accordance with the latest information technology and communications systems. • Activating the role of the private sector in developing the Zone and supporting private sector projects that would create job opportunities for members of the local community. • Executing a comprehensive plan for the Zone, in order to establish it as an advanced investment and tourism centre. • Applying the concept of sustainable development by achieving a balance between economic growth in the Zone and environmental protection for future generations through activating environment control measures. • Applying the concept of e-Government to contribute in creating a good governance model.

216 List of Aqaba Economic Zone Projects for the Years 2004-2006 I. Financed Projects

Total Cost Of Project (Million JD) Name of Project 2004 2005 2006 Total Developing the Institutional development 5.3 0 0 5.3 capabilities in the Aqaba Zone Developing the port containers area 10.052 0 0 10.052 Preparing the construction basis for creating a storage place and an area for unloading and 4.148 0 0 4.148 loading trucks Protect the Aqaba airport and surrounding areas 0.500 0 0 0.500 from flooding. Developing the storage area and light industry 0.400 1.300 1.300 3.000 area and the back road to the light industries city Developing the Exhibition area and the art 0.450 0.100 0.200 0.750 crafts area Providing technical support for Aqaba Special 2.500 1.400 1.400 5.300 Economic Zone Developing the tourism Area and facilities in 0.300 0.300 0.300 0.900 the Southern area Developing 4th residential area 0.750 0.150 0.100 1.000 Developing 2nd commercial area 0.050 0.500 0.500 1.050 Developing down town Aqaba 0.1000 1.000 1.000 2.100 11th residential area/Al Shalaleh 2.000 6.000 8.000 16.000 Constructing aircraft parks and runway – 5.200 0 0 5.200 King Hussein International Airport Expansion of King Hussein International 1.500 0 0 1.500 Airport - Air Cargo and other buildings Developing the 12th area 0.100 0.300 0.200 0.600 Managing the Filing and Documents 0.100 0.100 0.100 0.300 processing Developing and training the task force of the 0.035 0.040 0 0.075 Aqaba Special Industrial Zone Storing and analysing data in the Aqaba 0.050 0.050 0.050 0.150 Special Industrial Zone Website for the Aqaba Special Industrial Zone 0.100 0.100 0.080 0.280 Food and environment laboratory 0.641 4.748 0.260 5.649 Developing the tourism unit in the Aqaba 0.212 1.208 0.652 2.072 Special Industrial Zone Developing “Hafayer” Area project 1.000 5.000 6.000 12.000 Developing Mecca Street Connecting Aqaba 0 4.000 4.000 8.000 entrance to Port entrance

217 Wadi el Yotom Canal and Street project 0 2.000 4.000 6.000 Finish the construction of the sewers in the 0.050 0.150 0.150 0.350 southern beach area Residential houses 0.040 1.450 1.500 2.990 Developing the entrance to Wadi Rum Road 0.100 0.100 0 0.200 TOTAL 35.678 29.996 29.792 95.466

218