The Department of Statistics has

The Foreign Direct Investment (FDI) Survey was implemented in 2006 by the Department of Statistics (DoS) in cooperation with the Central Bank of Jordan (CBJ) and the Jordan Investment Board, based on data collected for the years 2004 and 2005.

- The Survey, implemented for the first time in Jordan, provides data on Jordan’s foreign investment balances in 2004 and 2005, from which the flow of foreign investment (FI) can be estimated. It also gives information on the distribution of FI (by nationality of investors) among Jordan’s different economic sectors, as well as the breakdown of FI into FDI and portfolio investments (PI).

- The FDI Survey data will be the basis for estimating FI flows into the balance of payments (BP), which, in the past, used to be computed on the basis of CBJ estimates.

- The Survey provides useful data for the various parties that are interested in FI statistics, mainly the CBJ, which is involved in the development of BP data and in monitoring the International Investment Position (IIP). The Survey findings will contribute to improving the coverage of IIP data, the publication of which is a main requirement for Jordan’s accession to the International Monetary Fund’s Special Data Dissemination System (SDDS), expected to be completed next July.

- The Survey targeted around 350 large-scale establishments with hefty foreign investments.

- Because of the FI impact on the management of investment-receiving establishments, the Survey considers any contribution of 10% or more by a non-resident individual or corporate person in the capital of an establishment as an FDI investment. On the other hand, any contribution of less than 10% is considered to be PI investment, except in a few cases, in which the foreign investor is among the establishment’s Board of Directors, even though his/her share is less than 10%. The Survey deals with such investments as FDIs.

- The Survey’s results are consistent with statistics issued by the Ministry of Industry and Trade, the Companies Controller’s Department, and the Amman Financial Market, taking into consideration the differences between the concepts upon which these statistics are based and the concepts adopted for implementing the Survey. The findings are also in harmony with previous estimates, prepared by the CBJ in the framework of a project that aims to develop BP and IIP statistics.

- The Survey covered investments by non-resident Jordanians, as well as non-Jordanian (Arab and foreign) investors.

Summary of the Survey’s Main Results:

The following is a summary of the Survey findings:

First: Total foreign investments (TFI), FDI, and PI at book value for the years 2004 and 2005, in JD Millions:

2004					2005
TFI Balance	FDI Balance	%	PI Balance	%	TFI Balance	FDI Investment	%	PI Balance	%
3832.9	2858	74.6	974.9	25.4	4553.6	3325.8	73	1227.8	27

The TFI flow for 2004 and 2005 at book value stands at JD 720.7 million.

Second: Contribution of non-resident Jordanians and non-resident non-Jordanians in the investment balance in 2004, in JD millions:

TFI Balance				FDI Balance				PI Balance
Non-resident Jordanians		Non-resident non-Jordanians		Non-resident Jordanians		Non-resident non-Jordanians		Non-resident Jordanians		Non-resident non-Jordanians
307.2	8%	3525.7	92%	55.5	1.9%	2802.5	98.1%	251.7	25.8%	723.1	74.2%

Third: Contribution by non-resident Jordanians and non-resident non-Jordanians in the FI balance during 2005:

TFI Balance				FDI Balance				PI Balance
Non-resident Jordanians		Non-resident Non-Jordanians		Non-resident Jordanians		Non-resident Non-Jordanians		Non-resident Jordanians		Non-resident Non- Jordanians
349.4	7.7%	4204.2	92.3%	38.2	1.1%	3287.5	98.9%	311.1	25.3%	916.6	74.7%

Fourth: TFI balance and FDI balance at book value by nationality of investor during 2004 and 2005:

Nationality	2004		2005
Nationality	TFI Balance	FDI Balance	TFI Balance	FDI Investment
Non-resident Jordanians	8%	2%	7.7%	1.2%
Saudi Arabia	16.7%	22.5%	17.3%	15.7%
United Arab Emirates	9.6%	27%	9.4%	14.9%
USA	6.2%	17.5%	5%	19.9%
UK	2.7%	1.1%	3.1%	1.6%
Kuwait	2.3%	1.8%	2.5%	7.3%
No-resident non-Jordanians	92%	98%	92.3%	98.8%
Saudi Arabia	17.7%	21%	17.3%	20.7%
Kuwait	12%	13.7%	14.2%	16.6%
Egypt	6.3%	7.9%	5.4%	6.9%
Iraq	6%	7.2%	5.8%	7%
France	5%	6.5%	4.3%	5.4%

Activity	2004		Activity	2005
Activity	TFI Balance	FDI balance	Activity	TFI Balance	FDI Balance
Financial Intermediation, except Insurance	48.9%	36%	Financial Intermediation, except Insurance	49.9%	36.7%
Other mining and quarrying activities	16.8%	22.2%	Other mining and quarrying activities	15.9%	21.5%
Post and communications	6%	7.3%	Post and communication	6.5%	8.2%
Research and Development	4.6%	6.2%	Research and Development	3.9%	5.3%
Hotels and restaurants	4%	4.8%	Manufacture of chemical materials and products	3.8%	4.6%

Summary of the Survey’s Main Results:

The following is a summary of the Survey findings:

The TFI flow for 2004 and 2005 at book value stands at JD 720.7 million.

Nationality

Activity

2004

2005

49.9%