Jordan

Market overview

Jordan's public and private sectors are back to work as of 26 May, after a two-month stop that began on 21 March. Places where social gatherings are common, such as cinemas, restaurants and mosques, remain closed. A night curfew will remain in force until further notice. Social distancing rules are still in place and individuals must keep one and a half metres away from each other. Wearing masks and gloves is also mandatory when entering public places.

The Jordanian government is supporting business and citizens to overcome COVID-19's consequences, but its resources are limited. Private and corporate donors from within Lebanon and internationally have made donations to the Jordanian Ministry of Health and to charity and relief funds for Jordanians. The Prime Minister chose a committee to run the funds both private and public sectors are donating for the government to face the pandemic.

Jordan's Civil Aviation Regulatory Commission is working on a plan to gradually resume operations in the aviation sector. The first step will cover the transport of cargo, followed by passenger travel as a second step.


Government support

The Central Bank of Jordan has provided facilities to enable companies to pay the salaries of their employees. 25,000 employees have received their salaries through these facilities. The Social Security Corporation has also developed a new programme that aims to reach 170,000 daily workers or self-employed workers.

The Central Bank in Jordan is supporting economic sectors through different types of programmes that currently reach a total of 1.7 billion  Jordanian dinars. This includes support of 500 million Jordanian dinars for small to medium business that have 200 employees or fewer, and have sales lower than 5 million dinars.

The Central Bank has also announced that all banks should decrease the interest rate by 1.5% by the end of April 2020, for small to medium to businesses, retailers and residents.

The Jordanian Tax Authority has announced a proposed extension for the submission of audited financial statements (currently due on 30 April 2020), but has not yet officially confirmed that the deadline for the submission of corporate income tax returns will also be postponed.

Jordan's Petroleum Refinery purchased 1 million barrels of crude oil last month and agreed to purchase 2 million barrels by end of April; which will fulfil the refinery's stock capacity. However, demand for petroleum products is now 80 to 90% lower, as a result of the restrictions the government imposed.

Supply chain, logistics and freight

Customs continues to handle clearance as usual but long delays should be anticipated. Land borders have been closed since 25 March except for essential items. Several measures have been announced that may ease goods movement into Jordan:

  • Reduction in the regulatory procedures related to the importation of goods

  • Decrease in the percentage of goods being inspected for local use

  • Adjustment of the grace period fees and cooling charges due at the Aqaba Port

  • Approval for all companies listed on the Golden and Silver Importers List of the Jordanian Customs' Department to pay their customs duties in instalments (being 30% of the amount due upfront and the remaining 70% at a later date), provided that these companies are not subject to any violations.

Advice for exporters

New Zealand businesses may benefit from reduced and deferred taxes on goods sold in Jordan. Sales tax collection is being postponed until the date goods are sold (as opposed to the date on which the contract is signed or the sale is concluded). This applies to all local supplies as well as imports of food, medicine and health-related goods.


Sector insights

As is to be expected, numerous sectors have been affected by the COVID-19 pandemic. Below you'll find information on any COVID-19 effects across important sectors and industries in Jordan.

Retail

The retail sector in general is facing major issues, and a huge number of the population are suffering from it.

Many retail shops have been hit due to the government lockdown. These shops can no longer pay high imposed rents and therefore can no longer support their families as these shops were their only source of income.

Home deliveries are still permitted. The government has offered taxi drivers the opportunity of delivering grocery orders. However, the regulations imposed are difficult for taxis to meet.

Additional resources

Below you can find information and contact details for other New Zealand government and international agencies regarding their response to COVID-19.

New Zealand Government agencies

Covid19.govt.nz
COVID-19 helpline for businesses
Business.govt.nz
New Zealand Customs
Ministry for Primary Industries (MPI)
New Zealand Export Credit (NZEC)
MFAT Export Helpline
MFAT Safetravel
Callaghan Innovation
Immigration
Ministry of Health
WorkSafe New Zealand

Global agencies

World Health Organization (WHO)
Centers for Disease Control and Prevention (CDC)

Contact NZTE

We're available to talk to you about any issues your export business is facing due to COVID-19.

For existing NZTE customers, please contact your New Zealand-based Customer Manager.

If you're unsure who to contact or haven't worked with us before, you can call NZTE on 0800 555 888 or email below and one of our Customer Advisors will help you.