JD30m fund launched to stimulate Kingdom’s exports — Industry Ministry

AMMAN — The government has allocated JD30 million in the draft budget for next year for the Industry Support and Development Fund, which will be officially launched early next year, according to the Ministry of Industry, Trade and Supply.

The ministry indicated that the Industry Support and Development Fund falls within the third axis of the government’s economic priorities programme for the years 2021-2023: “Supporting priority economic sectors/industry”. 

The programme aims to develop small- and medium-sized enterprises, support companies' export readiness, stimulate national exports and develop export promotion services.

Director of Industrial Development at the Ministry of Industry Yasmin Khreis noted that the fund’s main goal is to improve and support Jordanian exports. 

“The first goal of this fund is to increase exports and open new markets, as well as develop and increase Jordanian products and production lines, and increase exports to existing markets,” she told The Jordan Times on Sunday.

Khreis highlighted that the fund also aims to support the production and operational capacity in the industrial sector (the employees), in addition to granting aid to the industrial sector in the form of grants, not loans.

“There is also support from the World Bank for the industrial sector over the next three years, with a value of $100 million,” Khreis said.

She indicated that each goal will have a specific financial value allocated from the support of the government and the support of the World Bank.

Economist Wajdi Makhamreh said that there has been a rise in national exports after the pandemic; however, it is concentrated in certain industries such as fertilisers, chemicals and potash.

“There must be diversification and not just support for specific markets or products and new markets should be opened in order to increase national export income. National exports reach about 130 markets, so the support is needed,” Makhamreh told The Jordan Times on Sunday.

Makhamreh called on the government to review and strengthen free trade agreements with several countries to serve Jordan's interest as well. 

“We must reduce the deficit in the trade balance as the value of imports is still higher than exports,” he added.

Makhamreh encouraged the government to focus on supporting promising industries such as pharmaceuticals, chemicals, veterinary industries, technology and logistics. 

“Sectors supporting exports should also receive support,” he concluded.