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National Trade Data Bank
ITEM ID     : ST BNOTES JORDAN
DATE        : Oct 28, 1994

AGENCY      : U.S. DEPARTMENT OF STATE
PROGRAM     : BACKGROUND NOTES
TITLE       : Background Notes - JORDAN

Source key      : ST
Program key     : ST BNOTES
Update sched.   : Occasionally
Data type       : TEXT
End year        : 1994
Date of record  : 19941018
Keywords 3      :
Keywords 3      : | JORDAN

BACKGROUND NOTES:  JORDAN
PUBLISHED BY THE BUREAU OF PUBLIC AFFAIRS
U.S. DEPARTMENT OF STATE

AUGUST 1994
Official Name:  Hashemite Kingdom of Jordan

PROFILE

Geography*

Area:  89,544 sq. km. (34,573 sq. mi.).

Cities:  Capital--Amman (pop. 1 million).  Other cities--
Irbid (281,000), Az-Zarqa (421,000).


____________
*From 1949 to 1967, Jordan administered that part of
former mandate Palestine west of the Jordan River known
as the West Bank.  Since the 1967 war, when Israel took
control of this territory, the United States has
considered the West Bank to be territory occupied by
Israel.  The United States believes that the final status
of the West Bank can be determined only through
negotiations among the parties concerned on the basis of
Security Council Resolutions 242 and 338.


People
Nationality:  Noun and adjective--Jordanian(s).

Population (est.):  3.9 million.

Religions:  Sunni Muslim 95% (est.), Christian 5% (est.).

Languages:  Arabic (official), English.

Education:  Literacy (1992)--82%.

Health:  Infant mortality rate (1992)--37/1,000.  Life
expectancy (1992)--69 yrs.

Ethnic groups:  Mostly Arab, but small communities of
Circassians, Armenians, and Kurds.

Work force (750,000):  Government and services--47%.
Manufacturing and mining--25%.  Trade--16%.  Agriculture-
-12%.


Government
Type:  Constitutional monarchy.

Independence:  May 25, 1946.

Constitution:  January 8, 1952.

Branches:  Executive--king (chief of state), prime
minister (head of government), council of ministers
(cabinet).  Legislative--bicameral National Assembly
(appointed Senate, elected Chamber of Deputies).
Judicial--civil, religious, special courts.

Political parties:  Wide spectrum of parties legalized in
1992.

Suffrage:  Universal at 19.

Administrative subdivisions:  Eight governorates--Irbid,
al-Mafraq, al-Zarqa, Amman, al-Balqa, al-Karak, al-
Tafilah, and Ma'an.

Flag:  Three horizontal bands of black, white, and green
joined at the staff by a red triangle with a white star
in the middle.


Economy
GDP (1993 est.):  $5.4 billion.

Annual growth rate (1993):  6.2%.

Per capita GDP (1993 est.):  $1,385.

Natural resources:  Phosphate, potash.

Agriculture:  Products--fruits, vegetables, wheat, olive
oil.  Land--10% arable.

Industry (30% of GDP):  Types--phosphate mining,
manufacturing, and cement and petroleum production.

Trade (1993 est.):  Exports--$1.2 billion:  phosphates,
fruits, vegetables.  Major markets--Iraq, Saudi Arabia,
U.S.  Imports--$3.4 billion:  machinery, transportation
equipment, cereals, petroleum products.  Major suppliers-
-U.S., Iraq, Japan, U.K., Syria.

Official exchange rate (1992):  684 Jordanian dinar=U.S.
$1.



PEOPLE
Jordanians are Arabic except for a few small communities
of Circassians, Armenians, and Kurds which have long
since adapted to Arab culture.  The official language is
Arabic, but English is used widely in commerce and
government.  About 70% of Jordan's population is urban;
less than 6% of the rural population is nomadic or
seminomadic.  Most people live where the rainfall
supports agriculture.  About 1.5 million Palestinian
Arabs--including more than 950,000 registered refugees
and displaced persons--reside in Jordan, many as
citizens.


HISTORY
The land that became Jordan is part of the richly
historical Fertile Crescent region.  Its history began
around 2000 B.C., when Semitic Amorites settled around
the Jordan River in the area called Canaan.  Subsequent
invaders and settlers included Hittites, Egyptians,
Israelites, Assyrians, Babylonians, Persians, Greeks,
Romans, Arab Muslims, Christian Crusaders, Mameluks,
Ottoman Turks, and, finally, the British.

At the end of World War I, the territory now comprising
Israel, Jordan, the West Bank, Gaza, and Jerusalem was
awarded to the United Kingdom by the League of Nations as
the mandate for Palestine and Transjordan.  In 1922, the
British divided the mandate, establishing the
semiautonomous Emirate of Transjordan--ruled by the
Hashemite Prince Abdullah--and continuing the
administration of Palestine under a British High
Commissioner.

The mandate over Transjordan ended on May 22, 1946; on
May 25, the country became the independent Hashemite
Kingdom of Transjordan.  It continued to have a special
defense treaty relationship with the United Kingdom until
1957, when the treaty was dissolved by mutual consent.

The British mandate over Palestine ended on May 14, 1948,
and the State of Israel was proclaimed.  Neighboring Arab
states, including Transjordan, moved to assist
Palestinian nationalists opposed to this development,
resulting in open warfare between the Arab states and the
newly founded State of Israel.  The armistice agreements
of April 3, 1949, established armistice demarcation lines
between Jordan and Israel, leaving Jordan in control of
the West Bank.  The agreements expressly provided that
the armistice demarcation lines were without prejudice to
future territorial settlements or boundary lines.

In 1950, the country was renamed the Hashemite Kingdom of
Jordan to include those portions of Palestine annexed by
King Abdullah.  Jordan established three governorates on
the West Bank:  Nablus, al-Quds (Jerusalem), and al-
Khalil.  While recognizing Jordanian administration over
the West Bank, the United States maintained the position
that ultimate sovereignty was subject to future
agreement.

Jordan signed a mutual defense pact in May 1967 with
Egypt, and it participated in the June 1967 war between
Israel and the Arab states of Syria, Egypt, and Iraq.
After repelling the Arab attack, Israel extended its
control to the Jordan River, including Jordanian-
controlled eastern Jerusalem.  In 1988, Jordan renounced
all claims to the West Bank but retained an
administrative role pending a final settlement on the
West Bank.  The U.S. Government considers the West Bank
to be territory occupied by Israel and believes that its
final status should be determined through direct
negotiations among the parties concerned on the basis of
UN Security Council Resolutions 242 and 338.

The 1967 war led to a dramatic increase in the number of
Palestinians living in Jordan.  Its Palestinian refugee
population--700,000 in 1966--grew by another 300,000 from
the West Bank.  The period following the 1967 war saw an
upsurge in the power and importance of Palestinian
resistance elements (fedayeen) in Jordan.  Differing with
the Jordanian Government's policies, the heavily armed
fedayeen constituted a growing threat to the sovereignty
and security of the Hashemite state.  Tensions between
the government and the fedayeen increased until open
fighting erupted in June 1970.

Other Arab governments attempted to work out a peaceful
solution, but by September, continuing fedayeen actions
in Jordan--including the destruction of three
international airliners hijacked and held in the desert
east of Amman--prompted the government to take action to
regain control over its territory and population.  In the
ensuing heavy fighting, a Syrian tank force (camouflaged
as a Palestinian force) initially took up positions in
northern Jordan to support the fedayeen.  By September
22, Arab foreign ministers meeting at Cairo had arranged
a cease-fire beginning the following day.  Sporadic
violence continued, however, until Jordanian forces won a
decisive victory over the fedayeen in July 1971,
expelling them from the country.  Since then, the
fedayeen have not presented a threat to the Jordanian
Government.

No fighting occurred along the 1967 Jordan River cease-
fire line during the October 1973 Arab-Israeli war, but
Jordan sent a brigade to Syria to fight Israeli units on
Syrian territory.  Jordan did not participate in the Gulf
war of 1990-91.  Except for a period of border tension
with Syria in 1980, it has been at de facto peace with
all its neighbors.  In 1991, Jordan agreed, along with
Syria, Lebanon, and Palestinian representatives, to
participate in direct peace negotiations with Israel
sponsored by the U.S. and Russia.


GOVERNMENT
Jordan is a constitutional monarchy based on the
constitution promulgated on January 8, 1952.  Executive
authority is vested in the king and his council of
ministers.  The king signs and executes all laws.  His
veto power may be overridden by a two-thirds vote of both
houses of the National Assembly.  He appoints and may
dismiss all judges by decree, approves amendments to the
constitution, declares war, and commands the armed
forces.  Cabinet decisions, court judgments, and the
national currency are issued in his name.

The council of ministers, led by a prime minister, is
appointed by the king, who may dismiss other cabinet
members at the prime minister's request.  The cabinet is
responsible to the Chamber of Deputies on matters of
general policy and can be forced to resign by a two-
thirds vote of "no confidence" by that body.

Legislative power rests in the bicameral National
Assembly.  The 80-member Chamber of Deputies, elected by
universal suffrage to a four-year term, is subject to
dissolution by the king.  Of the 80 seats, 71 must go to
Muslims and nine to Christians.  The 40-member Senate is
appointed by the king for an eight-year term.

The constitution provides for three categories of courts-
-civil, religious, and special.  Administratively, Jordan
is divided into eight governorates, each headed by a
governor appointed by the king.  They are the sole
authorities for all government departments and
development projects in their respective areas.

Principal Government Officials
Chief of State--King Hussein I
Prime Minister, Minister of Defense,
Foreign Minister--Dr. Abd Al-Salam Majali
Ambassador to the U.S.--Fayez Tarawneh
Ambassador to the UN--Adnan Abu Odeh

Jordan maintains an embassy in the United States at 3504
International Drive NW, Washington, DC 20008 (tel. 202-
966-2664).


POLITICAL CONDITIONS
King Hussein has ruled Jordan since 1953 and has survived
a number of challenges to his rule, drawing on the
loyalty of his military and serving as a symbol of unity
and stability for both the East Bank and Palestinian
communities in Jordan.  In 1989, Jordan held free and
fair parliamentary elections in which Muslim Brothers and
other Islamists won more than one-third of the 80 seats.
Since those elections, King Hussein has shown a
commitment to democratization, most importantly by ending
martial law in 1991, legalizing political parties in
1992, and holding new parliamentary elections in November
1993.

Jordan's continuing structural economic difficulties,
burgeoning population, and more open political
environment have led to the emergence of a variety of
political parties.  Moving toward greater independence,
parliament has investigated corruption charges against
several regime figures and has become the major forum in
which differing political views, including that of
political Islamists, are expressed.  While King Hussein
remains the ultimate authority in Jordan, parliament is
playing an increasingly important role.

Although Jordan in 1988 disengaged from the West Bank and
ceased efforts to restore the country's 1948-67 position,
it retains considerable influence in the West Bank--for
example, regulating the operations of Jordanian banks and
issuing limited-validity Jordanian passports to West
Bankers.


ECONOMY
Jordan is a small country with limited natural resources.
Just over 10% of its land is arable, and even that is
subject to the vagaries of a limited water supply.
Rainfall is low and highly variable, and much of Jordan's
available ground water is not renewable.  Jordan's
economic resource base traditionally has centered on
phosphates, potash, and their fertilizer derivatives and
on overseas remittances.  These are its principal sources
of hard currency earnings.  Lacking forests, coal
reserves, hydroelectric power, or commercially viable oil
deposits, Jordan relies on natural gas for 10% of its
domestic energy needs.  For the other 90%, Jordan depends
entirely on its oil-producing neighbors.

Although the population is highly educated, its high
growth rate (3.4%) and relative youth (more than 50% of
Jordanians are under 16) will make it difficult for the
economy to generate jobs and sustain living standards.
Jordan's distance from other markets makes its exports
less competitive outside the region, and political
disputes among its traditional trading partners (Iraq,
Saudi Arabia, and the Gulf states) frequently restrict
regional trade and development.

Since 1987, Jordan has struggled with a substantial debt
burden, lower per capita income, and rising unemployment.
From 1988-90, the official cost of living index rose 56%,
while the dinar lost 51% of its value against the dollar.
In 1989, Jordan concluded an 18-month standby arrangement
(SBA) with the IMF and achieved agreement with Paris Club
creditors to reschedule $573 million of debt.  At the
same time, to increase revenues, the government raised
prices of certain commodities and utilities, triggering
riots in the south.  The mood of political discontent
that swept the country in the wake of the riots helped
set the stage for Jordan's moves toward democratization.

The SBA was derailed by economic consequences of the
1990-91 Gulf war.  While tourist trade plummeted, the
Gulf states' decision to limit economic ties with Jordan
deprived it of worker remittances, traditional export
markets, a secure supply of oil, and substantial foreign
aid revenues.  UN sanctions against Iraq-- Jordan's
largest pre-war trading partner--caused further hard-
ships, including higher shipping costs due to inspections
of cargo shipments entering the Gulf of Aqaba.  Finally,
absorbing up to 300,000 returnees from the Gulf countries
exacerbated unemployment and strained the government's
ability to provide essential services.

In February 1992, Jordan renewed its commitment to
pursuing long-term economic growth and entered into
another 18-month standby arrangement with the IMF,
followed by another Paris Club rescheduling of $771
million.  Success in implementing its economic reform
program will depend upon how effectively the government
can stimulate private enterprise and encourage trade and
investment in productive enterprises.  In 1992, economic
performance was solid:  With all IMF targets met by wide
margins, Jordan's $4.7-billion economy grew an impressive
11%.  Inflation was held to 6.8%, but unemployment
persisted at high levels (20%-25%).  Although much of the
1992 growth resulted from non-recurring factors--a
construction boom and customs receipts generated by Gulf
war returnees--Jordan experienced growth of 6.2% in 1993.

Further economic reform efforts are likely to be tempered
by concerns about effects on low-income voters.  With
parliament playing a more active role in the formulation
of economic policy, it may be difficult to impose further
belt-tightening measures.  In the near term, Jordan will
continue to depend on foreign grants and concessional
loans to further its development efforts.  While in the
past the largest aid flows have come from the Arab
states, the United States and other Western countries
also have been important sources of development funds.

In 1994, Jordan's economy dipped into recession during
the first half.  Its prospects for growth in the second
half improved following Jordan's additional rescheduling
of debt with Paris Club creditors, decisions by the U.S.
and U.K. to forgive its official debt, and growing
confidence as a result of progress in the Middle East
peace process.


FOREIGN RELATIONS
Jordan has consistently followed a pro-Western foreign
policy and traditionally has had close relations with the
United States and the United Kingdom.  These relations
were damaged by the popular support in Jordan for Iraq
during the Gulf war.  Although the Government of Jordan
stated its opposition to the Iraqi occupation of Kuwait,
popular support for Iraq was driven by Jordan's
Palestinian community, which favored Saddam as a champion
against Western supporters of Israel.

Since the end of the war, Jordan has largely restored its
relations with Western countries through its
participation in the Middle East peace process and
enforcement of UN sanctions against Iraq.  Relations
between Jordan and the Gulf countries have improved only
slightly since the Gulf crisis.  Relations with Egypt are
better--with the two countries cooperating on the peace
process--and relations with Syria also are cooperative on
the peace process.

Jordan signed a non-belligerency agreement with Israel
(the Washington Declaration) in Washington, DC, in July
1994.  In bilateral discussions and in Trilateral
Economic Committee discussions--which include the U.S.--
key issues are water-sharing and security as well as
cooperation on Jordan Rift Valley development;
infrastructure projects; and trade, finance, and banking
issues.  Jordan also participates in the multilateral
peace talks.

Jordan belongs to the UN and several of its specialized
and related agencies, including the Food and Agriculture
Organization (FAO), International Atomic Energy Agency
(IAEA), and World Health Organization (WHO).  Jordan also
is a member of the World Bank, International Monetary
Fund (IMF), Organization of the Islamic Conference (OIC),
INTELSAT, Nonaligned Movement, and Arab League.


U.S.-JORDANIAN RELATIONS
Relations between the U.S. and Jordan have been close for
four decades.  A primary objective of U.S. policy,
particularly since the end of the Gulf war, has been the
achievement of a comprehensive, just, and lasting peace
in the Middle East.  Jordan's constructive participation
in the Madrid peace process is key in achieving peace.

U.S. policy seeks to reinforce Jordan's commitment to
democratization, stability, and moderation.  The peace
process and Jordan's opposition to terrorism parallel and
indirectly assist wider U.S. interests.  Accordingly,
through economic and military assistance and through
close political cooperation, the United States has helped
Jordan maintain its stability and move forward with
democratization.  Recently, though, a declining U.S.
foreign assistance budget has limited its ability to
assist Jordan.

Since 1952, the United States has provided Jordan with
economic assistance totaling more than $1.5 billion,
including funds for development projects, health care,
support for macro-economic policy shifts toward a more
completely free-market system, and both grant and loan
acquisition of U.S. agricultural commodities.  These
programs have been overwhelmingly successful and have
contributed to Jordanian stability while strengthening
the bilateral relationship.  U.S. military assistance--
provision of materiel and training--is designed to meet
Jordan's legitimate defense needs, including preservation
of border integrity and regional stability.

Principal U.S. Officials
Ambassador--Wesley W. Egan
Deputy Chief of Mission--Robert Beecroft

The U.S. embassy in Jordan is located in Abdoun, Amman
(tel. 820-101) and is closed on all U.S. federal holidays
and some Jordanian holidays.


TRAVEL NOTES

Passport and visa:  A valid Jordanian visa is necessary
for entry.

Climate and clothing:  Although the climate is moderate,
seasons vary enough to require a diverse wardrobe.  Due
to cultural sensitivities, conservative dress is
recommended.

Health:  Good medical and surgical care is available in
Amman.  Avoid uncooked vegetables and unpasteurized milk.
Tapwater is not potable.

Telecommunications:  Direct-dial, long-distance telephone
service is provided to the U.S., Damascus, Cairo, and
most European cities.  Telegraph service is available.

Transportation:  Amman is served by several Middle
Eastern and European airlines.  Taxis are available in
Amman; tipping is not customary.




Published by the United States Department  of State  --
Bureau of Public Affairs  --  Office of  Public
Communication  --  Washington, DC  --  August 1994  --
Managing Editor:  Peter A. Knecht  --  Editor:  Marilyn
J. Bremner

Department of State Publication 7956  --  Background
Notes Series  For sale by the Superintendent of
Documents, U.S. Government Printing Office, Washington,
DC  20402.