After nearly fifteen months in office, Prime Minister Dr Jaafar Hassan’s remarks reflect an economic approach that moves beyond identifying challenges toward presenting time-bound, implementable solutions. The focus has shifted from merely describing economic and social problems to linking them with actionable programs that can be implemented, monitored, and measured, within a framework that balances macroeconomic planning with on-the-ground execution.

 

Employment and income, particularly for young people, emerged as the most prominent issue in the Prime Minister’s remarks, given their central role in social stability and economic growth. The proposed approach relies on sector-based projects and capital investment, rather than short-term measures or temporary interventions. In this context, the Prime Minister highlighted field monitoring through visits to approximately 130 sites, based on the premise that incremental improvements in public services, especially in education and health, can generate cumulative improvements in living standards, provided that service delivery is linked to its broader economic and social impact rather than treated as a purely administrative matter.

 

The education sector was presented as a long-term driver of growth through strengthening human capital. This perspective aligns with economic theory, which emphasizes that sustainable growth depends not only on the accumulation of physical capital, but also on the quality of human capital. Government plans in this area include building 500 schools over five years and expanding kindergarten capacity to accommodate around 9,000 children over the next two years. In addition, partnerships with the private sector are being pursued through corporate social responsibility initiatives to rehabilitate 100 schools at a cost exceeding JOD 150 million over three years. The economic returns of these policies are expected to materialize gradually over the medium to long term.

 

With respect to major projects, the Prime Minister referred to planned investments of approximately USD 11 billion over four years starting in 2026, largely financed by external sources and distributed across transport, water, energy, tourism, and construction. The impact of these investments is expected to extend beyond direct growth, supporting related sectors such as industry and logistics, and generating multiplier effects on output and employment.

 

Financing remains a decisive factor in the successful implementation of these projects. Access to funding alone is insufficient without effective economic management capable of coordinating fiscal and investment policies, setting priorities, and assessing the overall impact of each project in terms of value added and job creation. The effectiveness of capital spending therefore depends on the government’s ability to manage risks and achieve tangible economic and social returns.

 

Within the financing framework, the question of appropriate instruments to support large-scale projects and ensure their sustainability remains central. Two options merit deeper consideration. The first is the establishment of a local development bank or a sovereign investment fund dedicated to financing high value-added projects that expand productive capacity, generate employment, and enhance export performance. Such an institution could reduce reliance on external financing and improve the alignment of funding with national economic priorities. The second option involves establishing a publicly listed investment and financing company, with two-thirds of its capital contributed by local and foreign private investors and the remaining third by the government, followed by listing on the Amman Stock Exchange. This model would help mobilize private capital while strengthening transparency and governance.

 

In infrastructure, the national railway project stands out, beginning with the Aqaba–Ma’an link and with plans for future expansion northward. The project is not limited to transport, but is closely connected to supply chains, logistics, and storage services, with the objective of improving internal and regional connectivity and reducing transport costs. The Amreh City project also reflects long-term urban planning, through the allocation of half a million dunums for projects that cannot be accommodated within Amman, including housing, exhibitions, entertainment, and urban development. The aim is to utilize public land more efficiently while easing development pressure on the capital.

 

The sustainability of these projects is closely linked to workforce development. Without aligning skills with labor market needs, employment outcomes will remain limited. In this context, the Prime Minister referred to the settlement of approximately JOD 600 million in arrears and land expropriation claims from previous years, a step that helps reduce social tensions associated with public projects.

 

Public debt remains a key constraint on fiscal policy. The government’s focus, as indicated by the Prime Minister, is on the cost of debt servicing rather than its absolute size, given its direct impact on capital spending capacity and wage improvements. Reducing debt servicing costs creates fiscal space for productive investment while maintaining financial stability.

 

The targeted economic growth rate of 4 percent by 2028 represents an ambitious objective amid a challenging regional environment. Achieving this target will require accelerating the implementation of the Economic Modernization Program, adhering to project timelines, developing workforce skills, and maintaining disciplined public spending to ensure fiscal sustainability.

 

The Prime Minister’s economic remarks reflect an approach that seeks to link sectoral initiatives with the broader macroeconomic framework, with particular emphasis on education, infrastructure, energy, and housing. The success of this approach will ultimately depend on effective implementation, the capacity of the economic team, the continuity of financing, and the ability to translate investment plans into measurable outcomes.