Approval to Establish a Non-Listed Public Shareholding Company for Developing Cities and Infrastructure - Jordan News

Jordan News

09-02-2025

The Cabinet, during its meeting on Sunday, chaired by Prime Minister Jaafar Housan, approved the establishment of a non-listed public shareholding company under the name "Jordanian Company for Urban and Infrastructure Development." The company will operate in accordance with the provisions of the Jordanian Investment Law No. 16 of 2016. اضافة اعلان
The company will be 100% government-owned and its objectives include implementing and developing major strategic infrastructure projects, as well as large-scale public facilities with significant economic or service value to be constructed across various governorates of Jordan, such as intercity public transport projects, alternative roads, and railway transport. It will also own lands for new cities to develop and prepare their infrastructure for investment purposes.
Specialized companies will be established under this company to implement projects in different sectors and infrastructure, some of which will form the core of the new city, such as the sports stadium project, which His Majesty King Abdullah II has directed to be started as the foundation for a fully integrated sports city. Other infrastructure projects like the exhibition city will also be carried out in partnership with the private sector, in line with the government's aim to strengthen public-private partnerships. Many of these projects will be offered as investment opportunities.
Regarding the Economic Modernization Vision, the Cabinet also decided to amend the guidelines for extending electrical services under the Rural Development Fund as of November 2021. The amendment aims to support industries that intend to expand and new industries, in addition to facilitating the process of extending electrical services to citizens.
According to the amendments, the regulatory status will be adjusted so that extending electrical services to production, investment, and industrial projects inside and outside organized areas will be easier. A new paragraph will be added to provide for the "contribution to the construction or capacity enhancement of existing substations serving developmental industrial cities or new industrial projects, or projects planning expansion," with the Rural Development Fund contributing 25%. This aims to encourage investment, create job opportunities, and reduce unemployment.
The amendments also aim to reduce the costs of extending electrical services to farmers and contribute to achieving food security. Electrical services will be allowed for clusters consisting of at least five homes, at a cost of 6,000 JDs per home, for clusters requiring medium and low voltage substations and poles, provided they have an approved organizational plan and meet the necessary requirements, and the cluster is serviced by infrastructure such as roads and water.
Additionally, the Cabinet approved a draft amendment to the Customs System in the Aqaba Special Economic Zone for 2025 to enable customs officers to enforce the customs law within the Aqaba Special Economic Zone according to agreed-upon procedures between the Customs Department and the Authority.
To ease procedures for citizens and support investment, facilitate the business environment, and stimulate economic activities, the Cabinet also approved a recommendation from the Committee on Pending Tax Issues to settle 1,082 cases for companies and taxpayers. This decision continues the government's approach to tax settlements and mitigation measures in recent months.
Regarding administrative and regulatory updates, the Cabinet approved the reasons for the draft Jordan Olympic Committee Law for 2025, aligning with recent amendments to the Olympic Charter issued by the International Olympic Committee. A new article was added specifying the components of the Jordan Olympic Committee, including the General Assembly, Board of Directors, Executive Office, auxiliary and independent committees, and the General Secretariat.
The Cabinet also approved the reasons for the draft formation of the Western Irbid Magistrate Court Law for 2025 to address the increasing population and alleviate the burden on the Irbid Magistrate Court.
As part of agreements with international organizations and friendly countries, the Cabinet approved a project document to enhance veterinary services and veterinary health assistance in Jordan, as well as update the legislative and regulatory frameworks between the Jordanian Government, represented by the Ministry of Agriculture, and the Food and Agriculture Organization of the United Nations (FAO). The project aims to improve early warning systems, manage national and global health risks, ensure sustainable food production systems, and implement agricultural practices that increase productivity, enhance climate resilience, and improve land and soil quality by 2030.
The Cabinet also approved Jordan's membership in the Women's Development Organization, an offshoot of the Organization of Islamic Cooperation, and tasked the Ministries of Foreign Affairs and Social Development to complete the necessary procedures for membership.
Additionally, the Cabinet approved a memorandum of understanding between the Ministry of Digital Economy and Entrepreneurship in Jordan and the University of Waterloo in Canada. This agreement aims to explore possibilities for cooperation and coordination in areas of mutual interest, applying successful educational models from the University of Waterloo to Jordanian universities, particularly the integrated educational system combining academic study with practical experience, as well as establishing a joint business incubator based on the Velocity business incubator model and the "WatSPEED" professional and executive education programs at the university.