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    19-Oct-2026

Jordan and the cost of regional instability: How can we protect citizens' livelihoods? - By Hasan Dajah, The Jordan Times

 

 

Regional instability does not remain confined to the borders of the countries where it originates; it spills over into neighboring economies through energy prices, trade routes, tourism flows, and investment decisions. In Jordan, this interconnectedness is particularly significant, as safeguarding national stability requires protecting the ability of households to meet their basic needs. Citizens gauge the impact of a crisis by how it affects their income, employment opportunities, and cost of living. Meanwhile, the effectiveness of the public response is measured by its capacity to mitigate the transmission of external shocks into daily life, without undermining the economy’s potential for recovery.
 
Economic developments confirm that these risks go beyond mere theoretical possibilities. In its assessment of Jordan in April 2026, the International Monetary Fund pointed to the impact of regional conflict-manifested through rising energy prices and disruptions to tourism. Similarly, the World Bank, in its regional update in October, noted that the repercussions of the conflict extend to the aviation and logistics sectors, as well as business confidence. These assessments highlight the core of Jordan’s challenge: managing an open economy within a volatile environment, while ensuring the continuity of production and services, and limiting the exposure of lower-income groups to economic losses.
 
Regional conditions affect economic life through trade, tourism, and the costs of transport and energy. Some of these impacts inevitably reach households, whether through fluctuations in the prices of goods or a decline in activity across certain sectors. Consequently, efforts aimed at securing market needs and ensuring the continuity of production and trade are of great importance in protecting citizens' livelihoods and preserving job opportunities. Cooperation between government institutions and the private sector helps in navigating these circumstances and meeting people's needs.
 
In the face of these challenges, national cooperation serves as a foundation for strengthening economic stability. By aligning the efforts of the government, business enterprises, and society, resources can be directed toward shared priorities-foremost among them being the provision of goods and services, the support of production, and the preservation of jobs. Furthermore, partnerships with sisterly and friendly nations can help expand markets, diversify supply sources, and attract investments, thereby bolstering the Jordanian economy and enhancing its capacity to adapt to surrounding developments.
 
The Jordanian family remains the focal point of these efforts; supporting the most affected households helps them meet their daily needs and maintain their stability. Financial assistance and social services can provide essential support during difficult times, alongside continued access to education and healthcare. Providing care for families experiencing a decline in income is particularly important, as it enables them to overcome this phase and move forward with confidence and peace of mind.
 
Additionally, supporting small and medium-sized enterprises (SMEs) is a vital aspect of safeguarding citizens' livelihoods, given the employment opportunities and income sources they provide across various governorates. Offering appropriate financing, assisting with product marketing, and providing guidance to business owners can help these enterprises remain operational and retain their employees. Partnerships between banks, relevant institutions, and business owners can facilitate the creation of arrangements tailored to emergencies, thereby fostering the continuity of economic activity and supporting prospects for recovery and growth.
 
In the realms of trade and food security, resilience requires diversifying import sources and transport alternatives, as well as managing strategic inventories based on transparent assessments of needs and risks. Furthermore, streamlining customs clearance and enhancing information exchange among relevant authorities can help reduce delays and additional costs. These efforts should be complemented by monitoring competition to prevent monopolies and by disseminating reliable information regarding the availability of goods-a measure that helps curb impulsive buying. As for bolstering local production, initiatives should be directed toward viable sectors-while accounting for water scarcity and energy costs-to ensure that economic security is strengthened without depleting resources or imposing undue burdens on consumers.
 
The various provinces serve as a litmus test for the equity of the response; for instance, the impact on the tourism sector in Petra requires different interventions than those needed for an industrial facility or an agricultural community. Consequently, it is beneficial to develop local impact maps and channel training, public procurement, and operational programs toward the most vulnerable regions. Universities can contribute by analyzing data and developing solutions for local projects. Supporting the tourism sector also necessitates diversifying markets and products, improving accessibility, and employing a precise marketing narrative that reflects reality-avoiding promises that are not supported by actual travel conditions.
 
Ultimately, fiscal policy must strike a balance between urgent protection measures and long-term sustainability; an ill-conceived response today could translate into taxes and financial burdens tomorrow. Therefore, it is necessary to identify the sources and duration of funding for interventions, reprioritize spending, safeguard essential investments, and strengthen international partnerships to secure concessional support. This should be accompanied by regular government communication that explains the rationale behind decisions and the inherent limits of intervention capacity. Public trust is fostered when citizens understand why a measure was taken, who stands to benefit, when it will be reviewed, and how its outcomes are measured-rather than simply being offered vague, reassuring statements.
 
Protecting the livelihoods of Jordanians in a volatile region requires integrating diplomatic efforts aimed at de-escalation with economic and social policies that support the stability of daily life. Proactive preparedness and cooperation between national institutions and the private sector are essential for navigating change, ensuring the continuity of services, and guaranteeing the availability of necessities. National security is strengthened when families feel confident in their ability to meet their needs; workers retain their sources of income, and young people find opportunities for employment and productivity.
 
It is therefore crucial to direct efforts toward supporting citizens, expanding their opportunities, and fostering solidarity and cooperation in the face of challenges. An economy’s resilience is truly valuable only when its benefits are reflected in the lives of the people; the strength of a state is embodied in the stability of its society, the public’s confidence in the future, and the collective capacity to continue building, working, and maintaining hope-all driven by a national spirit that unites everyone around a common interest.
 
 
The writer is Professor of Strategic Studies, Al-Hussein Bin Talal University
 

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