Economy Type
Resource, Service & Regional Gateway Economy
Jordan is classified as a Resource, Service & Regional Gateway Economy country.
This is because it exports phosphates, potassium, fertilizers, pharmaceuticals, and clothing, and develops tourism, education, medical, ICT, and logistics services, while connecting the Gulf, Iraq, and Levant regions through the Port of Aqaba.
However, high dependence on imports for oil, gas, and food, as well as water shortages, refugee reception, government debt, and conflicts with neighboring countries, constrain growth. Reflecting the impact on the Middle East, the IMF forecasts a growth rate of 2.7% and a consumer price inflation rate of approximately 2.3% in 2026.
Country Definition
Jordan is a stable regional gateway connecting the Gulf and the Levant, based on phosphates, potassium, pharmaceuticals, tourism, ICT, education, and medical services.
Why It Matters
Jordan is a medium-sized market with a population of approximately 11.59 million, and its strategic value lies more in its geopolitical location and institutional stability than in its own resources or domestic market size. It borders Iraq, Saudi Arabia, Syria, Israel, and Palestine, and has access to the Red Sea and international maritime logistics networks through the Port of Aqaba.
Phosphates, potassium, fertilizers, clothing, and pharmaceuticals are important in merchandise exports. In 2024, merchandise exports amounted to approximately $12.5 billion, with the United States, Saudi Arabia, India, and Iraq being major markets.
Korea Perspective
For South Korea, Jordan holds greater significance for fertilizers and minerals, pharmaceuticals, renewable energy, water treatment and desalination, medical and ICT, construction, and logistics markets linked to Iraq and the Gulf, rather than as a large-scale consumer market.
Korean companies can consider entering the fields of solar power and ESS, power transmission and distribution, smart water systems, desalination, medical devices, pharmaceutical cooperation, agricultural technology, and Aqaba logistics and public digitalization.
Key Keywords
- Phosphate
- Potash
- Fertilizer
- Pharmaceuticals
- Tourism
- ICT
- Renewable Energy
- Water Security
- Aqaba Port
- Regional Gateway
Jordan is located in the West Asian Levant region and borders Syria, Iraq, Saudi Arabia, Israel, and Palestine. The capital, Amman, is the center of administration, finance, ICT, education, and healthcare; Zarqa is a manufacturing hub; and Aqaba is a key base for ports, tourism, and logistics.
As a constitutional monarchy, it maintains a relatively stable system of state administration, and the dinar system pegged to the US dollar contributes to currency stability. The IMF assessed that the growth rate rose to 2.7% in the first half of 2025 and that prices stabilized at around 2%.
Key Features
- Levant-Gulf connecting location
- Relatively stable politics and institutions
- Possesses phosphate and potassium resources
- Export base for pharmaceuticals and clothing
- Medical, Education, and ICT Service Capabilities
- Port of Aqaba
- High dependence on energy imports
- World-class water shortage
- Refugees, Employment, and Financial Burden
- Impact of conflicts in neighboring countries
Jordan's economy has a service-oriented structure with a high proportion of wholesale and retail trade, finance, telecommunications, transportation, tourism, education and healthcare, and public services.
The World Bank projected a growth rate of approximately 2.8% for 2025, but the unemployment rate reached 21.4% in the third quarter of 2025. With the female unemployment rate even higher at 33.9%, the problem of economic growth failing to translate into sufficient private sector jobs persists.
The IMF projected a growth rate of 2.7% for 2026 and suggested that the current account deficit could expand to about 6.9% of GDP as tourism revenue weakens due to regional conflicts and import costs for freight, insurance, and energy rise.
Market characteristics
- service-oriented economy
- stable monetary and financial system
- High proportion of government and international organization projects
- Small domestic market and limited purchasing power
- High youth and female unemployment rates
- Dependence on energy and food imports
- Impact of tourism, remittances, and aid
- High public debt and fiscal constraints
- Relatively high institutional stability even in regional disputes
MarketHub Point
Jordan should be evaluated based on stability, specialized services, public projects, and connectivity with neighboring countries, rather than the size of its domestic market.
Phosphates and potassium are Jordan's representative resource industries. Phosphates are linked to the fertilizer and chemical industries, while Dead Sea potassium is linked to agricultural fertilizers and chemical products.
Pharmaceuticals are Jordan's representative high-value-added manufacturing industry. Based on its capabilities in generic drugs and pharmaceutical production and registration, the country exports to the Middle East and North Africa markets.
The clothing industry has established an export-oriented production base by utilizing the free trade agreement with the United States and industrial complexes. Tourism generates foreign currency and employment, centered on Petra, Wadi Rum, the Dead Sea, Aqaba, and religious and medical tourism.
While solar and wind power have expanded rapidly in the energy sector, dependence on oil and gas imports and power grid flexibility remain significant challenges. The IEA assesses that Jordan has promoted the expansion of clean energy by utilizing incentives for renewable energy facilities and related equipment.
Key industries
- Phosphate fertilizer
- Potassium · Chemistry
- medicines
- Clothing and Textiles
- Tourism and Hotels
- Medical and educational services
- ICT and Business Services
- Food and Agriculture
- erection
- Ports and Logistics
- solar and wind power
Key resources
- phosphate
- potassium
- silica sand and limestone
- solar power
- wind force
- Dead Sea minerals
- Tourism and Cultural Heritage
- English and Arabic speakers
- Aqaba Port
- Local service network
MarketHub Point
Jordan's competitiveness lies not in the mineral resources themselves, but in processing phosphates and potassium into fertilizers and chemicals, and connecting human resources to pharmaceuticals, ICT, and medical services.
Jordan's major exports are potassium, phosphates, fertilizers, clothing, pharmaceuticals, chemical products, and some agri-foods. Major imports are crude oil and gas, vehicles, machinery, electrical and electronic goods, grains, pharmaceutical raw materials, and industrial intermediate goods.
According to WTO data, merchandise imports in 2024 amounted to approximately $26.28 billion, and Jordan's average applied tariff rate is relatively low. The United States, Saudi Arabia, India, Iraq, and the EU are major trading markets.
The Port of Aqaba is Jordan's only maritime gateway, handling the import of energy, grain, machinery, and consumer goods, as well as the export of fertilizers and minerals. Land roads leading to Iraq, Saudi Arabia, and Syria are important for regional trade and reconstruction logistics.
major trading partners
- USA
- Saudi Arabia
- India
- Iraq
- china
- United Arab Emirates
- European Union
- Egypt
- Turkey
- neighboring Levant countries
Supply chain characteristics
- phosphate, potassium, and fertilizer exports
- Clothing and pharmaceutical export base
- Dependence on imports of energy, food, and machinery
- Aqaba Port Single Maritime Gateway
- Iraq and Gulf land logistics potential
- Red Sea and Suez shipping risks
- Significant impact on tourism and aviation services
- Cold storage and pharmaceutical logistics are important
- Sensitive to border situations and conflicts with neighboring countries
MarketHub Point
The key to Jordan's supply chain lies in connecting the Gulf, Iraq, and Levant markets by utilizing the Port of Aqaba and land corridors.
Major business opportunities in Jordan are concentrated in water resources, energy, pharmaceuticals, healthcare, ICT, tourism, mineral processing, and regional logistics.
The most important project market is water. Jordan is one of the countries with the most severe water shortages in the world, requiring investment in seawater desalination, large-scale water transmission, leak management, wastewater reuse, and smart water networks. Since desalination and large-scale water transport also increase electricity demand, renewable energy, ESS, and high-efficiency pumps must be designed in conjunction.
In the pharmaceutical and medical sectors, collaboration is possible in joint production, generic drugs, medical devices, hospital information systems, and telemedicine. In ICT, there is demand for digital government, fintech, cybersecurity, BPO, and Arabic-based services.
Market characteristics
- Government and international organization projects
- US, EU, and Gulf support and development finance are important
- Relationships with local companies and agents are important
- Potential test and service base in the Middle East
- Emphasis on price, financing terms, and long-term maintenance
- Relatively high human capital
- Small domestic demand and public fiscal constraints
- Need to review regional security and business continuity
Key Opportunities
- Desalination and water transmission facilities
- Smart Water Supply & Leak Management
- Sewage treatment and reuse
- Solar, Wind, and ESS
- Power Grid and Energy Efficiency
- Phosphate and potassium processing
- Fertilizers and fine chemicals
- Pharmaceuticals and medical devices
- Digital Health
- ICT and e-government
- Tourism and Hotels
- Aqaba Port · Iraq Logistics
Major Risks
- Water shortage and drought
- Energy import price
- high public debt
- high unemployment rate
- small domestic market
- Fluctuations in the tourism industry
- Refugee reception and public service burden
- War and border risks in neighboring countries
- Red Sea and Suez logistics costs rise
- Government procurement and payment delays
- burden on electricity and water public enterprises
The Jordanian economy is highly likely to maintain moderate growth in the high 2% range in 2026. The IMF assesses that policy stability and fiscal and financial support from the international community underpin the economy's resilience, despite the shock of regional conflicts.
Long-term growth engines could be water resource infrastructure, renewable energy, pharmaceuticals, ICT, tourism recovery, mineral processing, and reconstruction logistics for Iraq and Syria.
However, it is difficult to significantly lower the high unemployment rate with the current growth rate alone. The World Bank also assesses that despite Jordan's stable growth, investment and job creation are insufficient.
Changes to Watch Out For in the Future
- Middle East Conflict and Tourism Recovery
- Aqaba Port and Red Sea Logistics
- National Water Project
- Desalination and Renewable Energy Linkage
- Solar, Wind, and ESS
- reform of state-owned power companies
- Phosphate and potassium prices
- pharmaceutical exports
- ICT and Digital Services
- Reconstruction of Iraq and Syria
- Youth and Women Employment
- Public debt and international financial support
Market Position
Levant Stability Hub + Water, Resource & Regional Service Market
Phosphates, potassium, pharmaceuticals, and a relatively stable system; a service and project market connecting the Gulf, Iraq, and the Levant based on the Port of Aqaba
Key Opportunities
- Water treatment and desalination
- Smart water
- Solar, Wind, and ESS
- Phosphate and potassium processing
- Fertilizers and chemicals
- Pharmaceuticals and medical devices
- Digital Health
- ICT and e-government
- Tourism and Hotels
- Aqaba Port and Logistics
- Iraq Reconstruction Linkage
Recommended Strategy
Prioritize
Priority is given to project sectors that Jordan structurally needs, such as water, energy, healthcare, and ICT.
↓
Partner
We design payment, operation, and maintenance structures together with governments, international organizations, development banks, and local specialized firms.
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Expand
We will expand the projects and service track record secured in Jordan to the Iraq, Gulf, and Levant markets.
Final Assessment
Jordan is a stable strategic project market in the Middle East that requires an approach focused on water resources, renewable energy, fertilizers, pharmaceuticals, ICT, tourism, and regional logistics, rather than general consumer goods.
Scope of investigation
This data was compiled by cross-referencing data from international organizations, the Jordanian government and statistical agencies, and trade, energy, water resources, and industry data.
international organizations
- International Monetary Fund
- World Bank
- World Trade Organization
- International Finance Corporation
- European Bank for Reconstruction and Development
- International Energy Agency
- United Nations
- UNCTAD
Government and public institutions
- Government of Jordan
- Department of Statistics Jordan
- Central Bank of Jordan
- Ministry of Planning and International Cooperation
- Ministry of Energy and Mineral Resources
- Ministry of Water and Irrigation
- Jordan Investment Commission related materials
- Aqaba Special Economic Zone Authority
- KOTRA
- Korea Export-Import Bank Overseas Economic Research Institute
Major foreign media
- Reuters
- Bloomberg
- Financial Times
- The Economist
- BBC
- Jordan Times
- Petra News Agency
- Middle East economic media
Research and industrial data
- IMF Jordan 2025·2026 EFF·RSF Data
- World Bank Jordan Economic Monitor
- WTO Jordan Trade Policy Review
- WTO Jordan Trade and Tariff Profile
- IEA Jordan Energy Profile
- Phosphate, Potassium, Fertilizer, and Pharmaceutical Industry Data
- Desalination, Water Transmission, Water, and Energy Linkage Data
- Public data related to tourism, ICT, refugees, and employment
Writing Verification
This document was prepared in accordance with the following principles.
- Written based on facts and open sources
- Cross-review of data from international organizations, governments, trade, energy, and water resources
- Reflecting the latest data available as of July 2026
- Distinction between 2025 growth performance and 2026 outlook
- Distinguishing between mineral raw materials and the fertilizer and chemical processing industries
- Separate analysis of tourism revenue and merchandise exports
- Reflecting both the expansion of renewable energy facilities and dependence on energy imports
- Simultaneous analysis of water scarcity and energy costs of desalination
- Reflecting a balance between regional gateway opportunities and security risks from neighboring countries
- Reflecting the perspective of utilization by South Korean companies and public institutions
- Apply MarketHub WCI v1.0 Golden Template
- Applying the same table of contents and standards to 195 countries
Jordan is a stable regional gateway country in the Middle East connecting the Gulf, Iraq, and the Levant, based on phosphate, potassium, fertilizers, pharmaceuticals, clothing, and tourism, medical, education, and ICT services.
South Korea should understand Jordan not merely as a consumer market, but as a project and service market capable of integrating desalination, water transmission, and smart water systems; solar power and ESS; fertilizers and mineral processing; pharmaceuticals and medical devices; digital government; and logistics at the Port of Aqaba.
In particular, water scarcity is the most fundamental constraint on Jordan's economy and life, but at the same time, it creates long-term industrial demand to combine water treatment, desalination, renewable energy, pumps, power grids, and smart metering.
However, considering the small domestic market, high unemployment rate, public debt, energy imports, and conflicts with neighboring countries, a phased entry combined with international development finance, government projects, and local specialized firms is more appropriate than sole private investment.
Final evaluation
Jordan is a key regional gateway strategic country that requires long-term cooperation from South Korean companies in the water treatment, energy, fertilizer, pharmaceutical, ICT, construction, and logistics sectors to secure stable project bases in the Middle East and expand into the markets of Iraq, the Gulf, and the Levant.