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June 22, 2022
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Amman: Saudi Arabia’s longstanding relationship with Jordan is the story of the two kingdoms becoming “role models” for regional and pan-Arab cooperation, which, according to experts, is expected to strengthen with several new initiatives on the political and economic fronts.

Ahead of Crown Prince Mohammed bin Salman’s upcoming visit to Jordan, observers point to the long, shared history, common culture and values ​​of the two peoples, which have had an impact on diplomatic relations.

Diplomacy is not the right word to describe Amman-Riyadh relations. It is history, geography, politics and the common interest,” said Samih Maitah, Jordan’s former minister of media affairs.

In remarks to Arab News, Maita explained that the two nations have become a “role model” for regional cooperation and coordination, largely thanks to “a number of facts including similar political and ruling systems”.

Maitah, a prolific writer, explained that the two countries have long taken a similar political approach to regional and international issues, including Palestine, Iran, Iraq, Syria and Yemen. This includes tackling terrorism, and “nowadays, illegal drug trafficking (from Syria).”

“Since a stable Jordan is in the interests of Saudi Arabia, a strong Saudi Arabia is central to the interests of Jordan. A sustained Amman-Riyadh strategic partnership is a top priority and cannot be compromised or sacrificed. Fully aware and they are working accordingly.

Jordanian strategic analyst and university professor Amer Sabaileh echoed Maita’s remarks, praising the progress of the relationship and calling for stronger political cooperation and coordination.

Sabaileh told Arab News that Jordan should play a role in “Saudi Arabia’s new vision (2030) and its leaders’ ambitious plan for the entire region”.

“Saudi Arabia has a progressive and ambitious strategic vision for the entire Middle East region, and Jordan urgently needs to capitalize on the Saudi Crown Prince’s visit to Amman.”

“Consistent Jordan-Saudi cooperation and coordination serves the interests of the entire region,” he said.

Saudi Arabia is Jordan’s largest economic partner with investments of over $13 billion. Trade between the two countries reached $5 billion in 2021.

Saudi Arabia is Jordan’s largest donor, according to the World Bank, having given its neighbor $3 billion in direct financial aid, or about 8 percent of Jordan’s GDP.

In April this year, Saudi Arabia sent $50 million in direct funding to Jordan, the fourth tranche of five given by Riyadh to the country. According to the Saudi Press Agency, the aid was part of a 2018 agreement between Saudi Arabia, Kuwait and the UAE to provide a $2.5 billion economic aid package to Jordan.

The Saudi-Jordan Investment Fund, backed by the Saudi Public Investment Fund, recently signed an agreement with Jordan to invest $400 million in healthcare facilities in the country.

The project has been described as an “outcome” of Saudi investment in Jordan.

Fastfact

diplomatic relations

March 22, 1945 Saudi Arabia and Jordan set up committees in Cairo with four other members of the Arab League to coordinate policy, arrange studies, and matters of general concern.

3 June 1999 Crown Prince Abdullah bin Abdulaziz holds talks with King Abdullah II of Joran on the latest developments in the Middle East peace process.

10 May 2011 Jordan bids to join Gulf Cooperation Council

March 27, 2017 King Salman arrives in Amman for a summit meeting with King Abdullah II of Jordan. 15 agreements and $1 billion marking a new economic era between the two countries.

29 October 2019 King Abdullah II attends the Future Investment Initiative 2019 conference in Riyadh.

8 March 2021 King Abdullah II of Jordan arrived in Riyadh where he reviewed relations and joint cooperation to further develop promising opportunities.

26 January 2022 Saudi Arabia and Jordan collaborate in NEOM to establish projects and partnerships that could potentially benefit both sides in critical and strategic areas, particularly in the energy and water desalination sectors on the Red Sea.

During the signing ceremony, Jordan’s Prime Minister Bishar Khasavaneh emphasized that the leaders of the two countries had deep ties, and urged greater cooperation on all fronts.

Supporting this view, Saudi Ambassador to Jordan Naif bin Bandar al-Sudairi said that the Kingdom was eager to enhance its ties with Jordan.

SJIF President Hisham Attar explained that the Fund’s main objective is to contribute to economic development in Jordan through long-term investments in key strategic sectors, reflecting the vision of the leaders of both countries.

He also highlighted the objectives of Saudi Vision 2030 and the strategy of Saudi Arabia’s Public Investment Fund to further promote economic integration. SJIF was trying to be the most influential investor in Jordan.

SJIF, represented by the Jordan Investment Fund, and the Government of Jordan signed a Memorandum of Understanding on 16 June, which will enable SJIF to explore investments in the national railway network project.

According to a statement by SJIF, the project includes the construction of a 418-km railway line connecting the Aqaba Container Terminal to the Madouna land port in southern Amman for shipments of containers, phosphates, grains and automobiles.

In June 2021, SJIF announced a $15 million investment in Jordan’s leading technology company OpenSooq, an e-commerce mobile app that enables consumer-to-consumer sales as part of its capital growth investment strategy. .

The fund said at the time that the investment sought to enhance the entrepreneurial environment in Jordan, which would support the growth of local companies, and provide them with the opportunity for regional expansion.

In March this year, a bilateral agreement worth more than a billion dollars was signed by the business leaders of Mecca and Amman.

Participating in the signing ceremony between the Makkah Chamber of Commerce and Industry and its Amman counterpart, Jordan’s Minister of Industry, Trade and Supply Yusuf Mahmoud Al-Shamali said: “The need to strengthen these ties to rise above $1 billion There is a need, especially since Amman is proud of Saudi products, and Saudi investments in Jordan are of paramount importance.

Jamal Shalabi, a professor of political science at Jordan’s Hashemite University, pointed out that Saudi Arabia has shifted its economic cooperation with Jordan “from cash aid to direct investment in services and infrastructure projects.”

“It is much smarter and more sustainable and has a direct impact on job creation and accelerating economic growth,” he said during a ceremony marking the centenary of the Jordan State at the university in April.

According to official figures, about 430,000 Jordanians work in Saudi Arabia.

Remittances from Saudi Arabia to Jordan increased by $16.4 million to $1.1 billion during the first four months of 2022, a 1.5 percent increase from the same period last year.

Data from the Central Bank of Jordan showed that these remittances totaled $3.4 billion at the end of 2021. Most of the remittances of Jordanian expatriates come from the Gulf countries, and Saudi Arabia in particular.

An opinion poll conducted by the University of Jordan’s Center for Strategic Studies in March showed that Jordanians view “institutional relations with Saudi Arabia” as a top priority for their country.

The survey also revealed that 37 percent of Jordanians view Saudi Arabia as their country’s biggest economic and political supporter and “culturally and traditionally the closest neighbour”.