Jordan - Country Commercial Guide
Information and Communication Technology

This is a best prospect industry sector for this country.  Includes a market overview and trade data.

Last published date: 2021-10-25

Market Overview

The Information Communications and Technology (ICT) sector in Jordan is one of the fastest growing sectors in Jordan’s economy, accounting for 3.8 percent of gross GDP with total annual revenue exceeding USD 2.3 billion.  Despite the challenging economic environment, the ICT sector continues to stand as one of Jordan’s greatest strengths, witnessing growth of 6 percent during the pandemic. Technological innovation is a top priority on the ICT sector’s agenda and the country is taking measures to position itself as a regional digital hub.   Jordan is considered to have a high rate of entrepreneurship initiatives compared to other countries in the region and enjoys the availability of affordable technical talent, geopolitical stability, good infrastructure, a liberalized telecom sector, proximity to key regional markets, and government support. There are more than 900 active companies in the sector that directly employ about 22,000 employees. With Jordan’s population representing 3 percent of the MENA region, it constitutes 23 percent of the region’s tech entrepreneurs. The Kingdom now ranks 49th on the Global Entrepreneurship Index (GEI) and has more than 25 business incubators, accelerators, and creative centers. It is estimated that 98 percent of ICT companies in Jordan are SMEs.

 Leading Sub-Sectors

  • Verticals: HealthTech, FinTech and EdTech
  • IT infrastructure
  • Software
  • Online & mobile solutions and services
  • Gaming
  • Business Process Outsourcing

Opportunities

Some of the top areas of opportunity in the Jordanian ICT sector for U.S. companies include:

Access to Regional and International Markets:

Jordanian ICT companies, including SMEs, face almost no cultural or language barriers entering neighboring Arab markets. Jordan has a strong strategic geographic location in the center of the Middle East and has good relations with countries in the region. This indicates good opportunities to leverage Jordan as a platform to access regional markets. 

IT Infrastructure Projects: 

Jordan has a good ICT infrastructure, especially since the liberalization of the telecom sector in 1999. With regards to hardware and networking infrastructure, Jordan is calling for investors to partner on implementation of a project that would connect 990 public schools, 217 hospitals and healthcare centers and 126 government entities in Irbid, Mafraq, Jerash and Ajloun. Additionally, there is an opportunity to implement a national broadband network that connects 1,318 public schools, 231 public hospitals and healthcare centers and 169 government entities in Amman, Zarqa, Madaba and Balqa’. Furthermore, local operators are replacing traditional core networks and substituting them with internet protocol-based ones.  The revolution in Internet of Things (IoT) services will also require advanced infrastructure.

Arabization of the Online Content:

Many Jordanian companies conduct “Arabization” of software and solutions. Arabization not only involves translating internationally successful products into the Arabic language, but also adapting content to the Arab context for consumers all over the world. With 75 percent of Arabic Internet content generated by Jordan’s ICT sector, the market not only offers an opportunity for U.S. software providers to develop and leverage existing sales channels to regional markets, but a competitive proposition for investment in content applications and e-learning.

Gaming:

Jordan offers considerable business opportunities in online and mobile gaming as well as for design studios involved in gaming and animation and localization of content.

Digital payments and financial services:

Service providers have started moving away from traditional payment services to new digital services, such as e-wallets. E-wallets increased from less than 350 thousand in 2019 to over 1 million in 2020. An increase in use of digital payments would benefit from implementation of the Electronic Know Your Customer (e-KYC) services and the acceleration of digitization efforts for government-linked payments.

E-Government:

E-government services will play an important role in Jordan’s mid-term development strategy. Jordan’s e-government initiatives are outlined in several policy documents, including the REACH2025 national digitization strategy, which highlights e-government service delivery as a critical pillar for the Kingdom’s ongoing digital transformation. Planned improvements to the Kingdom’s business environment entail launching new online business licensing and other services that could present opportunities for U.S. firms

Training:

Developing highly skilled workforce is crucial in Jordan.  To address the immediate need for skilled talent, the government of Jordan passed the Vocational and Technical Skills Development law in July 2019 to create an institutional framework for sector-specific skills development, including the ICT sector.

Other Opportunities:

Other trends in the ICT sector are also expected to spark opportunities for U.S. technology suppliers in Artificial Intelligence (AI), internet of things (IoT), automation, digital education environments, mobile applications, media services, Over the Top (OTT) services, and Internet Protocol Television (IPTV) media services, Data Privacy, Block Chain, Machine-to-Machine (M2M), smart spaces, and XaaS (anything as a service).

Resources

  • Jordan Ministry of Digital Economy and Entrepreneurship
  • Jordan Telecommunication Regulatory Commission
  • Jordan Information and Communication Technology Association
  • Intaj – The Information and Communications Technology Association of Jordan

For additional information, please contact U.S Commercial Service - Jordan at office.amman@trade.gov