Jordan is a small country with limited natural resources and inadequate supplies of water. A limited water supply due to a long standing drought in addition to limitation of arable land has severely hampered agricultural production. Jordan has established a water protocol with Israel, which has relieved some water limitations; however, the country needs additional sources and is currently pursuing several options.

Jordan's economy has traditionally centered on its natural resources of phosphates, potash, and fertilizer derivatives as well as tourism and foreign aid. Jordan’s government plans to reinvigorate economic growth by focusing on information technology (IT), the Qualified Industrial Zones (QIZ) and the Aqaba Special Economic Zone (ASEZ), and expanding tourism.

King Abdullah has undertaken the initiative on economic reform. The King has allowed partial privatization of some state-owned enterprises. In January 2000, Jordan acceded to the World Trade Organization. Additionally, he has signed trade-liberalizing agreements with the European Union, the United States, and some countries within the Middle East.

Economic Statistics

GDP (2001 est.): $7.5 billion.

Annual growth rate (2001 est.): 4.1%.

Per capita GDP (2001 est.): $1,500.

Agriculture: Products--fruits, vegetables, wheat, olive oil. Land--4% arable.

Industry (25% of GDP): Types--phosphate mining, manufacturing, cement and petroleum production, and construction.

Trade (2000 est.): Exports--$1.5 billion: chemicals, phosphates, potash, agricultural products, manufactures. Major markets--U.S., Iraq, Saudi Arabia, India, EU, UAE, Syria, Indonesia, Malaysia, China.

Imports--$3.7 billion: machinery, transportation equipment, food and live animals, petroleum products, and chemicals. Major suppliers--U.S., Iraq, Japan, U.K., Syria, Turkey, EU, Japan, and China.

Source: US State Department’s Background Note on Jordan 
              Bureau of Near Eastern Affairs 
              January 2002