Jordan’s Cabinet approved a revised framework for its citizenship‑by‑investment program (CIP) on Wednesday, increasing the minimum stock‑market investment to JOD 1.5 million (≈ US$2 million) and lowering capital thresholds for investors who establish operating businesses outside Amman. The changes aim to redirect foreign capital toward productive, job‑creating activities.
Program performance to date
- Since its launch in 2018, Jordan has naturalised 681 investors, averaging 85 approvals per year.
- The program has an annual cap of 500 approvals; 150 approvals were recorded since December 2024.
- The Ministry of Investment will now serve as the sole administrative window for all investor files, consolidating processing and reducing red tape.
Stock‑market (passive) route
- Minimum investment: JOD 1.5 million (up from JOD 1 million).
- Portfolio requirement: No more than 10 % of the total may be held in any single company, forcing a minimum of ten different stocks (previously up to 20 % per company).
- Holding period: Extended from three to five years. During this period the shares cannot be leveraged, mortgaged, or liquidated, and trading profits cannot be withdrawn.
- Purchase timeline: The share purchase must be completed through a licensed brokerage within four months of written approval from the ministry.
These stricter conditions shift the program away from purely passive financial investment, raising concerns about market‑volatility risk and liquidity for investors.
Operating‑business routes (active investment)
- New business capital requirement:
- JOD 500,000 (≈ US$705,000) for ventures in the governorates.
- JOD 700,000 (≈ US$987,000) for ventures in Amman.
- Job creation: Must generate employment registered with the Social Security Corporation (SSC).
- Residency and citizenship timeline:
- Temporary residency granted immediately.
- Four‑month grace period to complete hiring after launch.
- Three‑year temporary passport before full citizenship is recommended.
For existing active investments, the asset thresholds are:
- JOD 700,000 in fixed and non‑current assets over three years in Amman.
- JOD 350,000 (≈ US$494,000) in the governorates.
In both cases, investors must keep at least 90 % of the mandatory Jordanian workforce on SSC rolls for three consecutive years.
Employment‑only pathway
- Amman: Employ 150 Jordanians.
- Governorates: Employ 100 Jordanians.
- No capital minimum required.
- The workforce must be SSC‑registered for at least one year and maintained for two years after naturalisation.
This option ties citizenship directly to payroll rather than capital investment.
Sector‑specific carve‑outs
- Pharmacy sector: Investors who commit JOD 3 million (≈ US$4.23 million) to logistics, medical supplies, or pharmaceutical warehousing qualify, subject to the same employment quotas.
Outlook
- Analysts view the reforms as a repricing of the program: the passive route becomes more expensive, while active‑business routes remain comparatively cheaper.
- The government plans to review the rules every six months, indicating that further adjustments may follow.
Overall, the revised framework seeks to channel foreign capital into productive sectors and regional development, moving the CIP away from purely financial investments toward tangible economic contributions.
Source article: www.imidaily.com
