AMMAN — Nearly 57 per cent of investors in Jordan expect economic conditions to improve over the coming year, while 23.2 per cent believe the current economic situation in 2025 is better than a year earlier, according to the thirteenth round of the Investor Confidence Survey conducted in early December by The Jordan Strategy Forum (JSF).

 

The share of investors who view the economy as worse than the previous year declined to 50.9 per cent, down from 63.1 per cent in 2024, signalling a cautious shift in sentiment within the private sector, according to a JSF statement.

 

The survey, conducted via telephone interviews with 570 business owners and senior private sector leaders, covered large, medium, and small enterprises across Jordan’s key economic sectors. Respondents included 334 from the service sector, 116 from industry, 81 from trade, and 39 from agriculture, reflecting each sector’s contribution to the national economy. On average, three contact attempts were required to complete each interview.

 

Ownership structures showed that 91.6 per cent of surveyed companies were fully Jordanian-owned, while 8.4 per cent were jointly owned with investors from other nationalities, including Syrian, Egyptian, Palestinian, Iraqi, and Saudi partners. Firms were evenly distributed across establishment years, indicating a balanced mix of newer and more established businesses.

 

Broader confidence indicators also showed improvement. In 2025, 46.7 per cent of investors said “the country is moving in the right direction,” up 14.5 percentage points from 2024, marking the first time since 2019 that optimism has exceeded pessimism on this measure.

 

"Investors cited security, stability, and public safety as primary drivers, followed by economic reforms, improvements in the investment and trade environment, and more effective government decision-making."

 

However, nearly an equal proportion, 46.3 per cent, believe the country is moving in the wrong direction, citing weak economic performance, ineffective laws, complex administrative procedures, and market stagnation as their main concerns.

 

Looking ahead, expectations for 2026 appear more positive. “Optimism regarding future economic conditions rose to 57 per cent, up from 36.6 per cent in the previous survey round,” the report stated.

 

Business performance indicators mirrored this trend, with 27 per cent of respondents reporting improved economic transactions in 2025 compared with the previous year, nearly double the proportion recorded in 2024, while those reporting deteriorating conditions fell to 41.2 per cent.

 

Sectoral disparities remain evident. The trade sector continues to face the greatest challenges, with more than half of respondents reporting weaker transaction volumes than in 2024. By contrast, the industrial sector emerged as the most optimistic, with investors anticipating improved performance.

 

Economist Waseem Hussein described the findings as “a sign of tentative stabilisation rather than a full economic recovery.” He told The Jordan Times that “improved confidence is closely linked to perceptions of security continuity, which remain essential for private sector planning.”

 

He added that translating sentiment into sustained growth will require consistent reform implementation and regulatory predictability.

 

Economist Tahseen Khawaldwh cautioned that rising optimism should be interpreted carefully, noting that “persistent pressures on the trade sector reveal ongoing weaknesses in domestic demand and purchasing power.”