The Investment Environment Law in Jordan No. 21 of 2022, which was issued in the Official Gazette in mid-October, entered into effect. The law includes granting incentives, exemptions, and benefits to investors within specific principles and requirements.
As for the basic incentives granted outside the development and free zones, the law grants basic incentives that include exempting fixed assets, production requirements, and spare parts for economic activity from customs duties. It also includes basic incentives outside the development and free zones; Exemption from income tax due or reducing it by at least 30 percent on economic activities in the least developed regions in the Kingdom or projects that employ at least 250 Jordanians for a maximum period of 5 years from the date of actual operation.
The law also included granting additional non-basic incentives, which is the authority of the Ministerial Incentives Committee, which includes the Ministers of Investment, Planning and International Cooperation, Industry, Trade and Supply, and Finance, within specific conditions and criteria. These additional incentives include the price of rent or sale of lands owned by the state treasury, subsidies for energy and water costs, renewable energy projects, or infrastructure. This type of incentive is for vital projects needed by the state, or has a clear positive impact on the national economy and employment, and is decided upon by the Ministerial Incentives Committee.
Source (Al-Dustour Jordanian Newspaper, Edited)
