AMMAN — Following His Majesty King Abdullah’s Speech from the Throne on Sunday, in which he discussed the government's plan to stimulate the national economy and investments, and directed the three branches of the government to carry out their duties, economic experts hailed the King’s positive outlook on the future.

 

"In his speech, His Majesty sends out clear messages to Parliament and the government on stimulating the economy and sheds light on the plans that the government is supposed to carry out to achieve economic growth," Economist Husam Ayesh told The Jordan Times on Monday over the phone. 

 

“King Abdullah wants the Parliament and the government to work side by side to achieve the necessary reforms,” Ayesh said.

 

"The economic scene needs to be reexamined to come out with programmes and work processes that actually enable Jordan to achieve growth and jobs, with tangible results," he added.

 

King Abdullah “briefly and directly” issued his directives to Parliament and the government to focus mainly on the economy in the upcoming phase, which will require intensified efforts to amend laws and changes to the legal framework, including updating it to ensure better economic performance, Ayesh said, adding that citizens should be at the core of those changes.

 

The government must also be able to attract investments through providing a secure environment, which can be achieved through the programmes announced recently, Ayesh said. 

 

"The retrieval of Baqura and Al Ghamr was His Majesty's way to point out that as these lands are now part of Jordanian territory; they can be invested in and benefitted from," the economist said.

 

Investing in the lands also increases trust between the government, Parliament and the public, Ayesh said, adding that this reflects the Kingdom's will to achieve what it promised, including the retrieval of Baqura and Al Ghamr and the improvement of the economy.

 

Economist Mazen Marji expressed hopes that taxes and fees will be reduced, in order to increase ease of business in the Kingdom as well as lift the burdens on citizens. 

 

He highlighted the importance of the one-stop window for investments, coupled with lowering taxes and exempting certain projects and investments from customs fees. These measures, he said, would help stimulate the economy, which could be why the King targetted these two aspects in particular. 

 

"There need to be big investment projects at the core in order to increase foreign currency and stimulate economic growth," economist Wajdi Makhamreh said.

 

"In order to adhere to His Majesty's directives, the government needs to focus on competitive sectors, especially technology, tourism, medical tourism and, of course, agriculture now that the Baqura and Al Ghamr lands are retrieved, as they are designated for farming," Makhamreh said.

 

The Kingdom needs investments that bring in revenues in order to be able to reduce taxes and customs, Makhamreh noted.

 

Economist Mazen Irsheid said that taking the necessary steps to reduce taxes and customs would greatly help projects and investments, and expressed hopes that the government would also address the issue of the energy bill in the process.  

 

"The energy bill brings JD1 billion to the treasury, so there should be room to lower energy costs, as that would reflect positively on national exports, which have regressed a lot recently," Irsheid said.

 

Another priority besides the energy bill that Irsheid recommended is the interest rate on loans.

 

"Although the Central Bank of Jordan lowered interest rates on loans recently, the other banks in the Kingdom still have not committed to the lowered rate," Irsheid said, concluding that lower interest rates benefit all segments, from investors to start-up founders to real estate and car purchasers.