Amman, July 1 (Petra) -- The World Bank's Board of Executive Directors has approved a US$700 million loan to support Jordan's efforts to translate macroeconomic stability into stronger private investment and the creation of more and better jobs.

According to a World Bank statement issued on Wednesday, the Jordan Growth and Competitiveness Development Policy Financing II will support the government's reform agenda by unlocking private investment, expanding access to finance, creating employment opportunities and accelerating the Kingdom's green and digital transition.

The World Bank said Jordan has maintained macroeconomic stability despite a challenging regional environment, recording 2.8 percent real GDP growth in 2025. It also noted that the Kingdom secured its first sovereign credit rating upgrade in more than two decades in 2024, which was maintained again in 2025, creating an opportunity to transform economic stability into higher investment, faster growth and broader economic opportunities.

World Bank Middle East Division Director Jean-Christophe Carret said Jordan had navigated a difficult regional environment with discipline and determination, preserving macroeconomic stability while sustaining the momentum of economic reforms.

He said the financing programme will support the government's efforts to strengthen private sector-led growth by making it easier and less costly to do business, expanding access to finance, including for women entrepreneurs, and advancing reforms in the digital, green and energy sectors.

"Together, these measures can help unlock investment and create the conditions for more and better jobs for Jordanians," Carret said.

The programme supports two complementary reform pillars under Jordan's Economic Modernization Vision. The first focuses on strengthening the business environment by streamlining sectoral licensing procedures, modernizing the legal framework governing electronic and cross-border transactions, extending social protection to workers employed under flexible and part-time arrangements, and encouraging greater private sector investment in the electricity sector through private transmission, generation and energy storage systems.

The second pillar aims to deepen access to finance for businesses and entrepreneurs by modernizing capital markets and introducing new financing instruments, including crowdfunding and cash-flow-based lending, particularly for micro, small and medium-sized enterprises (MSMEs), which account for around 99 percent of companies operating in Jordan.

The World Bank said the reforms will also expand access to business accounts for unbanked micro-entrepreneurs, advance green finance through the implementation of Jordan's National Green Taxonomy, modernize the legal framework governing insurance products and accelerate the transition to fully digital government payments, helping reduce transaction costs, improve efficiency and strengthen digital inclusion.

Carret said Jordan's reform programme marks an important step toward building a more inclusive economy driven by private investment and supported by the opportunities created through the green and digital transitions.

He reaffirmed the World Bank's commitment to supporting Jordan's reform agenda and helping transform macroeconomic stability into tangible opportunities for businesses, entrepreneurs and workers.

//Petra//