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. Digital transformation is a top priority, with a move towards e-government services.  Additionally, technological innovation is also an area of focus as 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 26,000 employees.  With Jordan’s population representing 3 percent of the MENA region, it constitutes 27 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. 

Jordan is taking positive steps in the field of cybersecurity, ranking 71st out of 193 participating countries in the Global Cybersecurity Index (GCI).  In 2019, the Cybersecurity Law was enacted, providing a blueprint for the country’s cyber-defense capabilities, including the establishment of a National Cybersecurity Council and a National Center for Cybersecurity.  5G is currently an area of focus with the government recently signing agreements with telecom operators to introduce 5G services by 2024.

 Leading Sub-Sectors

• Verticals: HealthTech, FinTech and EdTech
• IT infrastructure
• Cybersecurity
• 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 inviting investors to partner on the operation, management, leasing, and commercialization, and expansion of the country’s national broadband network.  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.  5G implementation and 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.

• Digital payments and financial services: Jordan was the first country in the region to launch an interoperable mobile payments system, JoMoPay, providing an early platform for fintech and increased financial inclusion.  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 Public Sector Modernization Roadmap 2022-2025, 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: Areas of focus in the ICT sector are 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).

Trade Shows: FinConJo, the World Cybersecurity Summit, MENA ICT Forum.

Resources

• Jordan Ministry of Digital Economy and Entrepreneurship
• Jordan Telecommunication Regulatory Commission
• Jordan National Cybersecurity Center
• 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