INVESTMENT PROMOTION LEGISLATION IN JORDAN

Investment Promotion Legislation in Jordan and Its Efficacy in Attracting Foreign Investment

[Name of the Institute]

Investment Promotion Legislation in Jordan and Its Efficacy in Attracting Foreign Investment

Introduction

The paper examines the future f investment promotion legislation in Jordan its efficacy in attracting the foreign investment. This research has PhD potential because it explores an area of law fundamental to the economic development of Jordan, which constitutes a stable business and commercial hub of the Middle East; identifies benefits and shortcomings in the current investment legislation, and proposes addition or amendments to increase the amount of foreign investment to the country.

Aim and Objectives

The aim of this study is to investigate the Jordanian Investment Promotion Act (IPA), and its subsequent amendments (including the Competition Law of 2004), with regard to investment in Jordan by foreign investors; and propose reform to facilitate development of these investments, and to encourage investment and actions to increase and promote foreign investment in Jordan.

Objectives of the proposed investigation

Review the literature and secondary data to determine the methods and criteria for assessing the implementation of the Investment Promotion Act (IPA) in Jordan to evaluate its impact on foreign investment

Conduct primary research within the foreign projects and investments sectors in Jordan to identify and evaluate significant impacts of the IPA.

Investigate the provisions of the IPA with other laws that may hinder the attraction for foreign investors to invest in Jordan.

Diagnose weaknesses in the IPA, and the steps necessary to overcome these weaknesses, especially in light of political changes in the Middle East.

Compare the numbers of foreign investments in light of the implementation of various laws to encourage investment in Jordan (1995, 2004, and 2006).

Shed light on the investment environment in Jordan to determine the extent they are able to attract foreign investors.

Literature Review

Development Plan

The current research stems its importance from the importance of attracting foreign investment, which could radically change the reality of the local economy by reducing the burden of the state and create jobs that contribute to reducing levels of unemployment and reduce poverty and raise the level of social well-being and keep up with the world under the concept of globalization.

Jordan is one of the most important countries in the Middle East for several reasons including its geographical position and political stability in comparison with neighboring countries, and good economic performance during the recent global crisis, and in addition the Jordanian economy is an open economy, and secure and stable environment and free of complications. So that many foreign investors are looking at the economic situation in Jordan is encouraging. But there have been complications in the establishment of any project and this leads the researcher to study the effect of the application of the Investment Promotion Act on foreign investment (Bergstrand,2005,87). Replace the Investment Promotion Law of 2004 with the encouragement of investment law fields open many in the financial market for all investors and provide for equal treatment of investors regardless of nationality. And the nature of the investment business ...