ICT Industry in Jordan: General Profile
A pillar of the Jordanian economy, the ICT sector has been the center of attention for decades as efforts are continuously underway to capitalize on the country’s position as a major ICT player and solutions exporter.
With a GDP contribution worth around 12 percent, the ICT sector has witnessed significant growth over the years. In 2015, IT revenues grew to more than USD 600 million, while the telecom sector’s total revenues reached more than USD 1.35 billion.
Why working with Jordan IT companies?
Jordanian IT companies are considered a key regional player offering some of the most skilled professionals at the disposal of local and international markets. According to the Oxford Business Group report in 2019, Jordanian IT companies provide digital services and solutions by implementing successfully the latest technologies due to an increasing and fast adaptable young professionals enrolled in the IT industry.
What to pay attention to when working with Jordanian IT companies
Due to the low cost of IT professionals, Jordanian IT companies face challenges in financing and implementing high-tech solutions in the business sector. This leads to underdeveloped business culture and environment which may be a challenge for foreign clients when working with Jordanian IT companies.
Additionally, another challenge for Jordanian IT companies is the tax burden which keeps the development and investment rate away from the technological boom, which was expected to start at the beginning of 2017.
How reliable are Jordanian IT companies
Compared to the regional players, Jordanian IT companies have a balanced image in the global market. Due to the military and political instabilities, many foreign investors and clients rather prefer to work with companies from neighboring countries, where they can rely on relatively moderate stability.
How does the Jordanian IT industry relate to the neighboring countries?
The progress registered by Jordan in developing the IT industry is impressive and has shown results by attracting a number of tech giants to open representatives and offices in the country. However, this was not enough to be competitive in the region, having as leaders the Emirates, Qatar, and Saudi Arabia way in front of the list.
Despite rising regional competition and slower domestic economic growth and a tough regulatory environment, ICT remains one of the kingdom’s greatest strengths, and its ongoing expansion remains high on the list of government priorities. With a history of forward-thinking tech and telecoms development, Jordan is well-positioned to continue capitalizing on its bright population. The sector’s long-term growth prospects, buoyed by private-sector ambitions and strong government leadership, should see its recovery continue in 2020 and beyond.