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Jordan: Licensing Reform

Increasing Jordan’s Competitiveness: Regulatory Guillotine and Impact Assessment Reform Project. Vocational License, Constructions Permits, & Policy Development Process. This project aimed to substantially reduce the costs and risks of regulations and administrative procedures affecting businesses and citizens by simplifying or eliminating unneeded, unjustified, or failed procedures and conditions,  while safeguarding the public interests.

JC&A helped prepare an illustrative Regulatory Impact Assessment (RIA) in construction permitting and vocational licensing. The RIAs documented the following concrete benefits for Jordan:

  1. Faster economic growth: more jobs and higher real wages
  2. Reduced time and risks for businesses
  3. Higher business compliance with the new system, and therefore higher levels of public safety
  4. Secure more sustainable revenues for government
  5. Enhanced ranking of Jordan in the Doing Business Report

JC&A prepared the RIA methodology to monetize the effects of reform. We assessed a five year impact to include the dynamic effects – the number of new businesses will increase year after year due to these reforms. In brief, businesses in Jordan will gain JD 237 million, while the government invests JD 18 million over five years, showing an enormous return on investment for this reform.

Jordan, Makeen for Training, Consulting & Business Development, 2018