ICT

Jordan has developed one of the leading information and communications technology (ICT) sectors in the region, with more than 400 active companies, directly employing about 16,000 employees and overall contributing about 84,000 jobs

Jordan succeeded in creating and developing a highly-competitive information and technology sector which is considered one of the pioneering sectors in MENA. Today, Jordan is capable of providing all the key elements required by international companies; becoming a new regional window that serves the region and a regional tech startup hub thanks to an ICT-focused educational system, business-friendly environment, and low startup costs.

Overview:

  • The Third highest contributor to Jordan’s GDP in 2015; contributing over 14% with more than 400 companies in telecom, IT, business outsourcing, mobile and online content, and games development, and 16000 employees and overall contributing about 84,000 jobs.[1]
  • With a 30% internet penetration rate in the telecommunications sector, there is room for growth, as the government hopes to rise that rate to 50% over the coming years. Jordan has more than 6.6 million mobile phone subscriptions, which represents a 108% penetration rate.[2]

[3]

  • 75% of the Arabic contents on the internet are generated by Jordan’s ICT sector.
  • Cisco, HP, Sun Microsystems, Orange, Intel Capital, Yahoo among others are already invested in Jordan.
  • Strong graduate pool with 10% of students (20,491) enrolled in mathematical and computer science related courses (official 2014 statistics).
  • According to the Global Information Technology report 2016(WEF), Jordan is ranked 32 out of 139 countries in the Quality of educational system, 47 in the availability of latest technologies, and 47 in the capacity for innovation.
  • Government wage subsidies cover the training and salaries of fresh graduates employed by the sector (50% subsidy for the first year and 25% for following six months).
  • Total ICT exports reached USD235 million, with 85% of these exports targeted Arab countries (INTAJ,2013)
  • Regionally competitively priced broadband internet tariffs at USD$42.7 per month PPP prices (2015 World Economic Forum indicators).
  • The Country’s location, supported with by free trade agreements (FTAs) offering Access to 1.5bn customers in 161 countries. For more details, please click here.
  • The government outlined sales tax exemptions on goods and services related to ICT services, a 30 percent reduction on income tax rates for 10 years and custom duties exemptions on specific ICT services Besides, an attractive incentives package: From total income tax exemption in Free zones for export to reduced corporate income tax of 5% in development zones and exemption of customs duties and sales tax. For more information click here.
  • Irbid Development Area and King Hussein Business Park Development Area offer a business park environment for financial services IT and design studios for gaming and animation.
  • ICT Infrastructure Indicators[4]
 

Fixed Telephone Lines (per 100 Pop) 2015

Cost of broadband (USD)

Cost of broadband (as % of GNI per capita)

Fixed Broadband Internet Tariffs (PPP$/month)

Int'l Internet Bandwidth (Kb/s per user)

% Households with Internet Access

Jordan

5.2

22.6

6.2

42.7

4.0

44.9

Egypt

8.3

8.0

4.0

21.9

5.3

34.5

Tunisia

9.3

10.5

3.0

15.7

19.1

18.2

Turkey

18.1

13.8

1.7

20.0

65.5

49.1

Saudi Arabia

16.4

26.6

2.0

82.4

81.1

72.7

UAE

22.3

40.6

1.2

76.9

52.3

76.1



Business Opportunities:

Design studios for gaming and animation and localization of content.

Equity funds (VC) to target growing IT start-ups in Jordan and the region (seed, growth and beyond).

Customer Call Center.

BPO/ITO Service Park an export hub for back-office business and IT services.

E-learning Arabized content

Software Technology Park

Financial sector IT solutions

 

Internet Usage Indicators (2010-2015)

Year

2010

2011

2012

2013

2014

2015

Number of users (Million)

2.3

3.1

4.3

5.3

5.7

7.9

Spread percentage (population)

38

51

67

73

75

83

 

Investments in Telecommunication Sector (Million JD)

 

2010

2011

2012

2013

2014

2015

Fixed Lines

19

10

11

14

19

18

Cellar Lines

78

104

81

129

258

264

Internet

16

11

7

12

8

6

Others

2

2

0.3

0.5

0.5

---

Total

115

127

99.3

155.5

285.5

288

Source: Telecommunication Regulatory Commission Report, 2015

[1] Doing Business in Jordan: 2014 Country Commercial Guide for U.S. Companies

[4] Sources: http://royal.pingdom.com/wp-content/uploads/2013/03/Broadband-prices-worldwide.pdf, 2013; World Economic Forum Global Information Technology Report 2014-15; World Economic Forum Indicators 2015; International Telecommunication Union