Trade, competitiveness and employment in Jordan

Jordan has realized the necessity to pursue opportunities through integration into international production networks and cross-border trade. The country has recently undertaken ambitious reforms of its trade regime. These initiatives comprise the accession to the WTO in 2000, the signing of several preferential trade agreements, notably with the European Union and the United States in 2001, and the pursuit of unilateral border policy reforms. This paper discusses Jordan’s recent trade performance, with special attention to the impact of trade reforms and the country’s special economic zones on employment. Moreover, a set of indicators of economic competitiveness will be examined to highlight Jordan’s position vis-à-vis a group of comparator countries. And finally, some recommendations for the attention of policy makers will be derived on how trade-related growth could be made more job-rich.