Introducing a new regulation governing foreign investment

On 16 June 2016, Regulation No. 77 of 2016 governing non-Jordanian Investment has been published in the Official Gazette, replacing the previous regulation No.47 of 2000. The new regulation made changes to foreign ownership restrictions in particular sectors. In several industries, the non-Jordanian investors' participation limit has been reduced from 50% to 49% (e.g. the maintenance of road transport means). Other industries, in which previously full ownership by a non-Jordanian investor had been prohibited, have been removed from the restriction list (e.g. activities relating to railway services). The new regulation has also set out certain industries in which non-Jordanians are prohibited from participating (e.g. activities relating to security services). In addition, it has removed the requirement for a minimum capital contribution of JOD 50,000 for non-Jordanian investors.

• Type:

  • Entry and establishment (Ownership and control, Approval and admission)

• Industry:

  • Not industry specific

• Sources:

  • Al Tamimi & Company, Recent updates on Jordan’s Foreign Investment Regulation, http://www.tamimi.com/en/magazine/law-update/section-14/dec-jan-2017/recent-updates-on-jordans-foreign-investment-regulation.html, 23 Jan 2017
  • Dentons, New Regulation issued governing non-Jordanian Investment, http://www.dentons.com/en/insights/alerts/2016/august/22/new-regulation-issued-governing-non-jordanian-investment, 22 Aug 2016