Jordan (11/03)For the most current version of this Note, see Background Notes A-Z. PROFILE OFFICIAL NAME: Geography People Government
Economy
PEOPLE HISTORY Transjordan was one of the Arab states which moved to assist Palestinian nationalists opposed to the creation of Israel in May 1948, and took part in the warfare between the Arab states and the newly founded State of Israel. The armistice agreements of April 3, 1949 left Jordan in control of the West Bank and provided that the armistice demarcation lines were without prejudice to future territorial settlements or boundary lines. In 1950, the country was renamed the Hashemite Kingdom of Jordan to include those portions of Palestine annexed by King Abdullah. While recognizing Jordanian administration over the West Bank, the United States maintained the position that ultimate sovereignty was subject to future agreement. Jordan signed a mutual defense pact in May 1967 with Egypt, and it participated in the June 1967 war between Israel and the Arab states of Syria, Egypt, and Iraq. During the war, Israel gained control of the West Bank and all of Jerusalem. In 1988, Jordan renounced all claims to the West Bank but retained an administrative role pending a final settlement, and its 1994 treaty with Israel allowed for a continuing Jordanian role in Muslim holy places in Jerusalem. The U.S. Government considers the West Bank to be territory occupied by Israel and believes that its final status should be determined through direct negotiations among the parties concerned on the basis of UN Security Council Resolutions 242 and 338. The 1967 war led to a dramatic increase in the number of Palestinians living in Jordan. Its Palestinian refugee population--700,000 in 1966--grew by another 300,000 from the West Bank. The period following the 1967 war saw an upsurge in the power and importance of Palestinian resistance elements (fedayeen) in Jordan. The heavily armed fedayeen constituted a growing threat to the sovereignty and security of the Hashemite state, and open fighting erupted in June 1970. No fighting occurred along the 1967 Jordan River cease-fire line during the October 1973 Arab-Israeli war, but Jordan sent a brigade to Syria to fight Israeli units on Syrian territory. Jordan did not participate in the Gulf war of 1990-91. In 1991, Jordan agreed, along with Syria, Lebanon, and Palestinian representatives, to participate in direct peace negotiations with Israel sponsored by the U.S. and Russia. It negotiated an end to hostilities with Israel and signed a peace treaty in 1994. Jordan has since sought to remain at peace with all of its neighbors. GOVERNMENT Legislative power rests in the bicameral National Assembly. The number of deputies in the current Chamber of Deputies is 110, with a number of seats reserved for various religions, ethnicities, and a women’s quota. The Chamber, elected by universal suffrage to a 4-year term, is subject to dissolution by the king. The king appoints the 40-member Senate for an 8-year term. The constitution provides for three categories of courts--civil, religious, and special. Administratively, Jordan is divided into 12 governorates, each headed by a governor appointed by the king. They are the sole authorities for all government departments and development projects in their respective areas. Principal Government Officials Jordan maintains an embassy in the United States at 3504 International Drive NW, Washington, DC 20008 (tel. 202-966-2664). POLITICAL CONDITIONS King Abdullah II succeeded his father Hussein following the latter's death in February 1999. Abdullah moved quickly to reaffirm Jordan's peace treaty with Israel and its relations with the U.S. Abdullah, during the first year in power, refocused the government's agenda on economic reform. Jordan's continuing structural economic difficulties, burgeoning population, and more open political environment led to the emergence of a variety of political parties. Moving toward greater independence, Jordan's Parliament has investigated corruption charges against several regime figures and has become the major forum in which differing political views, including those of political Islamists, are expressed. In June 2001, the King dissolved Parliament. Parliamentary elections were held in June 2003 and municipal elections were held in July 2003. The King dissolved the government in October 2003, appointing a new Prime Minister and ushered in an unprecedented three women and several young technocrats as ministers. The cabinet declared its commitment to accelerated economic and political reforms. ECONOMY The Free Trade Agreement (FTA) with the United States that went into effect in December 2001 will phase out duties on nearly all goods and services by 2010. The agreement also provides for more open markets in communications, construction, finance, health, transportation, and services, as well as strict application of international standards for the protection of intellectual property. In 1996, Jordan and the United States signed a civil aviation agreement that provides for "open skies" between the two countries, and a U.S.-Jordan treaty for the protection and encouragement of bilateral investment entered into force in 2003. Jordan has been a member of the World Trade Organization since 2000. Jordan is classified by the World Bank as a "lower middle income country." The per person GDP is approximately $1,755 and rates of poverty and unemployment remain high. Education and literacy rates and measures of social well-being are relatively high compared to other countries with similar incomes. Jordan's population growth rate is high, but has declined in recent years, to approximately 2.7% currently, the average for the region. One of the most important factors in the government’s efforts to improve the well-being of its citizens is the macroeconomic stability that has been achieved since the 1990s. Rates of price inflation are negligible and the currency has been stable with an exchange rate fixed to the U.S. dollar since 1995. While pursuing economic reform and increased trade, Jordan's economy will continue to be vulnerable to external shocks and regional unrest. Without calm in the region, economic growth seems destined to stay below its potential. FOREIGN RELATIONS Following the first Gulf war, Jordan largely restored its relations with Western countries through its participation in the Middle East peace process and enforcement of UN sanctions against Iraq. Relations between Jordan and the Gulf countries improved substantially after King Hussein's death. Following the fall of the Iraqi regime, Jordan has played a pivotal role in supporting the restoration of stability and security to Iraq. The Government of Jordan signed a memorandum of understanding with the Coalition Provisional Authority in Iraq to facilitate the training of up to 30,000 Iraqi police cadets at a Jordanian facility. Jordan signed a nonbelligerency agreement with Israel (the Washington Declaration) in Washington, DC, on July 25, 1994. Jordan and Israel signed a historic peace treaty on October 26, 1994, witnessed by President Clinton, accompanied by Secretary Christopher. The U.S. has participated with Jordan and Israel in trilateral development discussions in which key issues have been water-sharing and security; cooperation on Jordan Rift Valley development; infrastructure projects; and trade, finance, and banking issues. Jordan also participates in the multilateral peace talks. Jordan belongs to the UN and several of its specialized and related agencies, including the World Trade Organization (WTO), the International Meteorological Organization (IMO), Food and Agriculture Organization (FAO), International Atomic Energy Agency (IAEA), and World Health Organization (WHO). Jordan also is a member of the World Bank, International Monetary Fund (IMF), Organization of the Islamic Conference (OIC), Nonaligned Movement, and Arab League. Since the outbreak of the Intifadah in September 2000, Jordan has worked hard, in a variety of fora, to maintain lines of communication between the Israelis and the Palestinians to counsel moderation and to return the parties to negotiations of outstanding permanent status issues. U.S.-JORDANIAN RELATIONS U.S. policy seeks to reinforce Jordan's commitment to peace, stability, and moderation. The peace process and Jordan's opposition to terrorism parallel and indirectly assist wider U.S. interests. Accordingly, through economic and military assistance and through close political cooperation, the United States has helped Jordan maintain its stability and prosperity. Since 1952, the United States has provided Jordan with economic assistance totaling more than $2 billion, including funds for development projects, health care, support for macroeconomic policy shifts toward a more completely free market system, and both grant and loan acquisition of U.S. agricultural commodities. These programs have been successful and have contributed to Jordanian stability while strengthening the bilateral relationship. U.S. military assistance--provision of materiel and training--is designed to meet Jordan's legitimate defense needs, including preservation of border integrity and regional stability. Principal U.S. Officials The U.S. Embassy in Jordan is located in Abdoun, Amman (tel. 962-6-592-0101) and is closed on all U.S. federal holidays and some Jordanian holidays. For the most current version of this Note, see Background Notes A-Z. |