ADDRESS BY MR ABDULLAH ENSOUR, PRIME MINISTER OF JORDAN
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1 ADDRESS BY MR ABDULLAH ENSOUR, PRIME MINISTER OF JORDAN AM106e-X 1 EA
2 The Hashemite Kingdom of Jordan The Twenty-Second Annual Meeting of the European Bank for Reconstruction and Development Board of Governors and Business Forum Address by His Excellency Prime Minister Dr. Abdullah Ensour Istanbul The Republic of Turkey May 10-11, 2013 AM106e-X 2 EA
3 In the name of God, the Most Merciful, the Most Compassionate His Excellency Mr. Recep Tayyip Erdoğan, Prime Minister of the Turkish Republic, men of state, the President of the European Bank for Reconstruction and Development, excellencies and heads of state, and the distinguished audience: Peace, God s mercy and blessings be upon you. I am pleased to be here among you today, and for us to gather at this twentysecond annual meeting of the European Bank for Reconstruction and Development Board of Governors and Business Forum. We meet here for the purpose of discussing a number of topics of concern to our respective states in light of the political and economic circumstances through which our region is passing, the political instability we face, and its implications for economic conditions in our countries. On this occasion I would like to offer my sincerest thanks to His Excellency Turkish Prime Minister Recep Tayyip Erdoğan for his sponsorship of this meeting and, through him, to pay grateful tribute to the Republic of Turkey, both its government and its people, for hosting the twenty-second annual meeting of the European Bank for Reconstruction and Development Board of Governors and Business Forum. Indeed, this gathering of ours represents a valuable opportunity for us all to exchange views and expertise relating to our countries' various experiences, and to raise a number of issues of mutual concern. Allow me also to take this opportunity, on behalf of the government and people of the Hashemite Kingdom of Jordan, to express our heartfelt thanks and profound appreciation to the President of the European Bank for Reconstruction and Development, Mr. Suma Chakrabarti, and all of the bank's employees, for their efforts toward preparing for this meeting and the Business Forum. We would like to thank the EBRD for helping our countries to confront the economic challenges they are currently facing by marshalling the funding necessary to enable the public and private sectors to contribute to supporting our countries' developmental efforts. The EBRD has likewise provided much needed technical support in a number of high-priority sectors, the most important of these being water, energy, transportation, the financial sector, and supporting small and medium-size enterprises. This meeting is being held at an extremely important and critical time given the radical transformations being witnessed by the countries of this region. We cannot ignore the peoples' aspirations for democracy and the opportunity to participate in determining their own futures after years of marginalization and exclusion. These transformations have helped to bring about a number of positive changes associated with the shift toward democratic rule and citizens' participation in determining their own political, economic and social priorities rather than continuing to be subject to autocratic regimes. These same transformations, however, have had a number of negative economic and security repercussions in the short term, as evidenced by the occurrence of clear imbalances in economic growth rates and reduced security in some countries. Such imbalances have reflected negatively on citizens' daily lives and AM106e-X 3 EA
4 productivity. Nevertheless, we hope that these negative repercussions will be shortlived rather than long lasting. We realise that these challenges have been amplified in our region by the negative impacts of the global financial crisis, the food crisis, and problems related to water security and energy. Taken together, the aforementioned phenomena have led to declining growth rates and rising unemployment, issues which call for extraordinary efforts to contain the challenges being faced by our region. The Jordanian leadership realises that since the political and economic spheres are inseparable, political reforms cannot be achieved and consolidated in isolation from economic reforms. We also realise that many of the causes underlying failed development efforts are attributable to the mistaken notion that economic development can be hastened in the absence of a clear movement toward modernization and the required political reform. Consequently, over the past year Jordan has taken numerous significant reform-related steps. The most important of these are essential constitutional amendments which have resulted in the establishment of the Constitutional Court and the Independent Election Commission, and the introduction of amendments to the Election Law, the political fairness law, and the Law on Public Assembly. One of the most important benefits that have been achieved is the holding of parliamentary elections at the beginning of this year with full supervision by the Independent Election Commission. This process led to the election of a house of representatives which was free from any attempts to unduly influence the will of the electorate. On the contrary, elections were conducted in an atmosphere of transparency, freedom and impartiality which was highly commended by international and local observers alike. More importantly, citizens themselves expressed satisfaction with the way the elections were conducted. Following up this achievement, the Jordanian government is committed to working to achieve a parliamentary government, that is, a government that emerges entirely out of Parliament in fulfilment of the vision of His Highness King Abdullah II. In keeping with this vision, the position which I now occupy of prime minister was for the first time nominated by the House of Representatives after several rounds of consultations with parliamentary blocs and independent representatives. I for my part then held consultations and discussions with all of the blocs and independent representatives, which led to the formation of a new government. This process has helped prepare for the maturation of the idea of a parliamentary government on a systematic basis, and our efforts are currently directed toward achievement of this goal. As part of our understanding of our political and legislative duties, we in the Jordanian government are of the conviction that partisan action is a fundamental requirement of a parliamentary government. In the coming days, therefore, the government will be working in consultation with the House of Representatives, civil society organizations, and the various political and trade union parties and groups, on presenting a new draft election law and a new draft party law. Its aim in so doing is to promote political parties in the House of Representatives, and thereby to galvanise the capacity of the House of Representatives to generate parliamentary governments in the future. AM106e-X 4 EA
5 We in Jordan believe that the aim of any process, be it political or developmental, is to benefit a country's citizens, bolster their confidence in state institutions, and encourage them to participate in decision-making and contribute to the determination of their own priorities. In order to translate this belief into action, we have formed a National Fairness Committee which is working on making specific, clear recommendations to empower oversight mechanisms and strengthen their institutional capacities, reform administrative and financial systems, establish the principles of governance, transparency and accountability in all state institutions, guarantee the efficient management of public funds, and develop regulatory frameworks for participatory relationships among the various sectors. These efforts have been bolstered by Jordan joining the Open Government Partnership initiative, and we have formed a working group which has prepared a voluntary action plan associated with our participation in the initiative. This action plan includes the steps the government has taken to promote transparency, and the steps and programmes that will be implemented to reinforce and build on what has been achieved. Given its belief in the importance of carrying out a variety of relevant reforms, Jordan is committed to continue working in this area. In spite of the growth rate our national economy has witnessed over the past decade, Jordan is now facing economic and financial challenges that have had a great impact on its overall economic performance. The most salient of these challenges include reduced economic growth rates, rising rates of inflation, an unprecedented increase in the state deficit, the balance of payments current account deficit, rising service costs, lower levels of direct foreign investment, and on-going poverty and unemployment. The principle causes underlying these challenges are attributable to the successive economic and financial crises through which the global and regional economies have passed, and which continue to have a significant on our national economy as well; substantial rises in global oil prices; rising electricity generation costs resulting from the use of heavy fuel; political and security tensions in the region and the state of uncertainty through which it is passing; and the escalating crisis in Syria with its negative impacts on Jordan, whose reception of large numbers of Syrian refugees add an additional burden on the state treasury and various national sectors. In order to promote economic development and bolster the capacity of the national economy, the government will build on what has been achieved by reinforcing catalysts to economic growth and by proceeding with the economic reforms required in order to keep pace with current developments. New government work programmes for the years 2013 to 2016, which will be implemented with investments estimated at approximately $10 million, cover priorities, programmes and more than 1,000 enterprises in twenty-two economic, social, and service sectors. Our aim in so doing is to develop and strengthen the economic and social environments in such a way that we ensure the achievement of sustainable development and the fair distribution of development gains. In addition to capital enterprises, government programmes aim to improve the legislative and organizational system in order to catalyse economic growth, give the private sector a greater role in the economic process, and encourage and attract direct AM106e-X 5 EA
6 foreign investment. The relevant pieces of legislation, which are being prepared in close consultation with the private sector, include the investment law which was recently approved by the cabinet; a law governing partnerships between the public and private sectors; the business, bankruptcy and liquidation reorganisation law; a law guaranteeing rights to movable property; a draft law for development of entrepreneurship and small and medium-size enterprises; and a draft law on attracting and developing venture capital funds. The investment programme and new legislation aim to develop infrastructure facilities and to increase the role of the private sector within a clear, transparent organizational framework. Jordan may be viewed as a gateway between our region and the world which enables investors and entrepreneurs to access markets representing more than one billion consumers. Jordan boasts a highly developed, modern infrastructure and numerous logistical facilities in a number of sectors which also assist in providing access to these markets. Add to this the human element and the local abundance of educated, trained personnel, whose availability helps to provide an environment conducive to attracting new investments, expanding existing ones, and encouraging partnerships in a variety of sectors. All of this is a reflection of the Jordanian government's belief in the importance of cooperation with private sector investors toward finding lasting solutions to the difficulties we face, particularly in the energy and water sectors given the challenges they present for further expansion and growth. We wish to thank the European Bank for Reconstruction and Development for its decision to expand its operations in countries of the southeast Mediterranean region and to launch its investments in Jordan. We place great importance on cooperation with the EBRD in the coming phase, and we look forward to on-going discussions with EBRD officials on a variety of levels on how to direct cooperation and make the best possible use of resources in the following high-priority areas: (1) Support for the implementation of the government work programmes, particularly the large-scale projects to be carried out in partnership with the private sector, in a manner that will contribute to balanced growth which encompasses the various segments of society. (2) Support for the Jordanian private sector through increased EBRD investments in infrastructure projects. This support will also help the Jordanian government cope with the challenges it faces, especially in electricity production and the water and energy sectors, that have been exacerbated by the influx of Syrian refugees. Hence, we welcome and anticipate more private sector investments in Jordan in the areas of renewable energy, water and water treatment plants, and transportation. (3) Support for small and medium-size enterprises which help stimulate the economy by creating jobs and alleviating unemployment in the various areas of the country, and provision of assistance that can help to ensure funding for these enterprises. In conclusion, allow me once again to express my profound appreciation for being given the opportunity to take part in this important gathering, and I express my hope that it will meet with eminent success. AM106e-X 6 EA
7 Thank you for listening, and, once again: Peace, God s mercy and blessings be upon you. AM106e-X 7 EA
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