Amman, August 2 (Petra) - The Cabinet approved on Sunday a package of investment incentives, tax exemptions, regulatory reforms, and public relief measures to boost industrial investment, support key sectors, and advance the Economic Modernization Vision (EMV).
To boost industrial competitiveness and attract high-value investments, the Cabinet granted the Rawda Industrial Zone in the Ma'an Development Area (MDA) special incentives equivalent to those provided to Karak and Tafilah Industrial Zones.
Under the decision, industrial investments will receive a five-year sliding discount on electricity rates, starting at 75% for the first two years, 50% for the next two years, and 25% in the fifth year, alongside inclusion in small-and-medium enterprise power support programs.
The area will also join the Ministry of Labor's Productive Branches Program, providing local employment support through partial salary subsidies, social security coverage, or transportation allowances for three years.
Exported goods originating from Rawda will benefit from a 50% discount on container handling fees at Aqaba Port for three years, while land purchase prices have been slashed to JD7.5 per square meter for plots exceeding 20 dunams.
Land-price reduction incentives in Madaba, Tafilah, and Salt Industrial Zones were also extended for three years for up to 15 qualifying companies per city, fully funded through existing government grants.
In a bid to position the Kingdom as a regional technology hub, the Cabinet approved sales tax and customs duty exemptions for imports and local purchases of inputs used in semiconductor manufacturing. The Ministry of Digital Economy and Entrepreneurship will oversee technical evaluations and process exemption applications.
To safeguard the insurance sector, ministers approved the main principles of a draft amendment to the Policyholders and Insurance Beneficiaries Guarantee Fund Regulation for 2026. Supervised by the Central Bank of Jordan, the policy shifts the sector toward a preventive model by offering contribution discounts to solvent insurers that merge with financially weaker firms, reducing the risk of corporate liquidations.
The government also rolled out financial relief measures to ease economic burdens on Jordanians. Drivers who committed traffic violations before March 27 can receive a 30% discount on outstanding fines if paid in full within 60 days.
For the agricultural sector, debtors of the Jordan Cooperative Corporation are granted a 50% waiver on accumulated fines and legal interest if they settle their principal loan balances by the end of the year. Collected funds from the JD4.6 million loan portfolio will be funneled into the newly established Cooperative Development Fund to finance new rural programs.
Ministers updated the administrative structure of the Ministry of Foreign Affairs and Expatriates, splitting operations and consular affairs into distinct directorates, creating a dedicated unit to oversee more than 800 local mission staff abroad, and establishing an accomplishment and compliance unit to monitor strategic projects across diplomatic posts. //Petra// HA
