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Government panel outlines new economic measures

Electric vehicle taxes lowered, spending and purchasing see unified online platform, bureaucracy to be reduced

By - Nov 19,2019 - Last updated at Nov 19,2019

The government announces new economic measures on Monday during a panel discussion held at the Royal Cultural Centre in Amman (Petra photo)

AMMAN — The government announced on Monday during a panel discussion held at the Royal Cultural Centre in Amman that taxes on electric vehicles have been lowered, management spending and purchasing will be unified on a single online platform and bureaucracy will be reduced.

The panel discussion, following Prime Minister Omar Razzaz's opening remarks, saw the participation of Finance Minister Mohamad Al-Ississ, Secretary General of the Prime Ministry Sami Dawood, Minister of State for Institutional Performance Development Yasera Ghosheh, General Director of the General Supplies Department Nizar Mhaidat and President of the Legislation and Opinion Bureau Fida Hamoud.

 

Taxes on vehicles

 

During the panel, Al-Ississ announced that the government has lowered taxes on electric vehicles from 25 per cent to 10 per cent for vehicles with a motor capacity of up to 250 kilowatts and 15 per cent for vehicles with a motor capacity of 251 kilowatts and above. 

As for the weight tax, Al-Ississ noted that it was previously based on the vehicle's weight alone, which was "unjust", as someone buying an old model would have to pay the same taxes as someone buying a new model with the same weight.

Thus, the government abolished the weight tax and replaced it with a separate 4 per cent tax imposed on the original total value of the vehicle. 

"This will reduce the financial burden imposed by the weight tax, but more importantly, it will make a distinction between luxury vehicles and regular ones," the minister noted. 

The minister also announced that consumption rates that were changed in 2017 will be brought back to their original levels as well, noting that this was one of the sector's main demands.

 

Government budget

 

For his part, Mhaidat announced the launch of a new public sector purchasing system that replaces 56 systems. 

He also announced the merging of the unified purchases and general supplies departments into one department titled "Government Purchases Department". 

Mhaidat said that his department is working on a project that aims at controlling spending, noting that under this project, each government department will have to determine its annual needs at the beginning of the year, which will then be announced online for transparency in order to calculate these needs from the general budget.

As a result, Mhaidat said, no funding will be dispensed outside of what was announced at the beginning of the year, which should help in paying off the budget’s debt.

He noted that the new systems ensure “proper governance and total transparency”, as well as minimise human resources and utilise technology to enhance efficiency.

 

Bureaucracy 

 

For his part, Minister of State Yasera Ghosheh said that a study conducted in 2018 aimed at reconsidering the roles of certain government departments, which is why certain institutions have been abolished or merged with others. 

The work in this regard will continue, as ministries have one month to reconsider departments beyond the announced eight, evaluating the need for those departments in order to decide their fate. 

The minister said that relaying the tasks of certain departments to others and merging will “significantly lower” operational costs, which she said will appear in the budget clearly at some point. 

For his part, Dawood announced that as of January 1, 2020, there will be a new civil service system that will treat public sector employees equally in ministries and departments. 

Based on international studies and standards, the government has also evaluated the number of directors at certain commissions and departments in order to resolve any imbalance and ensure that the appropriate numbers of directors are employed.

These procedures and changes will not affect certain independent entities, such as the Independent Election Commission, the Central Bank of Jordan and the Audit Bureau, he added. 

"Twenty-nine per cent of citizen applications unnecessarily reach the Cabinet," Dawood said, noting that the government sent 175 legislations to the Lower House in order to reconsider these applications and reduce bureaucracy. 

 

Bundle's impact

 

Minister of State for Media Affairs Amjad Adaileh said in a tweet on his official Twitter account that the new bundle “will help many sectors” and resolve various hindrances and inefficiencies in management and bureaucracy. 

He added that this will reflect positively on services provided to the public and that this is at the top of His Majesty King Abdullah's priorities and at the core of the Royal directives to the government. 

‘Small Claims’ initiative seeks to cut short litigation period in monetary disputes

By - Nov 19,2019 - Last updated at Nov 19,2019

AMMAN — The Ministry of Justice, in cooperation with the United Nations Development Programme (UNDP), has launched the Small Claims Initiative with the goal of substantially reducing the litigation period in small-value monetary disputes over civil or commercial matters.

The Small Claims Initiative has institutionalised new procedures aiming to settle small financial disputes “quickly and easily” by reducing the litigation period and subsequently easing the burden of accumulating cases in courts, as small financial disputes before the courts have reached 25 per cent of total cases, according to a UNDP statement. 

The initiative will save the time and efforts of litigants, the statement said.

During a ceremony marking the opening of the initiative, Minister of Justice Bassam Talhouni said that the ministry, in cooperation with concerned authorities, adopted the national initiative for quick, simplified and concise procedures to solve small-claim lawsuits, while ensuring that they remain low-cost.

“The procedures target average citizens so that they can utilise their right to litigation procedures easily. Long and expensive procedures often made citizens hesitant to go to court with their legal disputes,” he said.

UNDP Resident Representative Sara Ferrer Olivella commended the Ministry of Justice for advancing the Small Claims Initiative. She told an audience of judges, lawyers and legal professionals: “The success of the Small Claims Initiative is a vital contribution to the economy of Jordan, easing the way for doing business and saving time and money in lengthy legal procedures. From a UNDP perspective, this is a must and something we all strive for,” according to the statement.

The Ministry, with the support of the UNDP, has engaged in exploring opportunities for further improving the performance of the justice system in handling small claims since February 2019. A “Small Claims Committee” was established in February 2019 with the mandate of developing a model capable of handling small claims in Jordan.

The Committee is composed of 12 members and chaired by Walid Kanakriyah, Judge in Amman’s Court of Appeals. 

Water ministry begins shift to digitalisation

By - Nov 19,2019 - Last updated at Nov 19,2019

Water Minister Raed Abul Saud announced on Monday that the Ministry of Water has launched a new electronic system at sector institutions (Photo courtesy of Ministry of Water)

AMMAN — The Ministry of Water has launched a new electronic system at sector institutions, termed “gate of electronic services”, which aims at streamlining administrative transactions related to water and sewage services, Water Minister Raed Abul Saud announced on Monday.

The system was launched with technical assistance from USAID in coordination with the Ministry of Digital Economy and Entrepreneurship, the Jordan News Agency, Petra, reported.

Abul Saud said that the ministry has begun the shift to digitalise all transactions and procedures within three months, to “save time and effort”.

The minister noted that the system is expected to safely increase productivity, reduce expenditures, enhance procedural efficiency and provide more accurate monitoring of transactions. 

For his part, Issa Halabi, head of the ministry’s ICT department, said that the system will ease the workload of employees in filing and documenting information, noting that in two weeks, it will be available for all employees in the field outside of the ministry’s headquarters.

King departs on working visit to Canada, US

By - Nov 17,2019 - Last updated at Nov 17,2019

AMMAN — His Majesty King Abdullah on Sunday departed on a working visit to Canada and the United States.

In Ottawa, King Abdullah is scheduled to hold talks with Canadian Prime Minister Justin Trudeau on bilateral ties and regional developments, according to a Royal Court statement.

From Canada, His Majesty will head to the US to receive the 2019 Scholar-Statesman Award in New York, from the Washington Institute for Near East Policy, in recognition of the King’s leadership and commitment to advancing peace, stability, harmony and tolerance in the Middle East.

HRH Prince Ali was sworn in as Regent, in the presence of Cabinet members.

Gov’t to roll out 2nd incentive package to stimulate economy

Improving public sector's performance, remedying administrative shortfalls top agenda

By - Nov 17,2019 - Last updated at Nov 17,2019

AMMAN — The government on Monday will launch the second executive package of its recently unveiled comprehensive programme to stimulate the economy. 

A new series of stimulus measures and decisions on vital sectors to complement the first package to boost economy and investment, alongside a set of managerial and financial reform procedures, will be announced during a ceremony to be held at the Royal Cultural Centre in Amman, in the presence of Prime Minister Omar Razzaz and his ministerial team.

The second phase will include the integration and cancellation of independent entities, which fall within governmental efforts towards economic reform, which it has embarked upon with the aim of improving the public sector's performance and services, as well as efficiently budgeting and remedying administrative shortfalls and red tape.

The governmental measures are part of its comprehensive economic programme, which includes packages that come in phases with the aim of achieving a “qualitative leap” for the national economy to improve living standards and services, in compliance with His Majesty King Abdullah's directives, the Jordan News Agency, Petra, reported.

In October, the government launched the first package of the economic stimulus plan.

The blueprint comprises four aspects: Stimulating the economy and investment, management and financial reform, improving citizens’ livelihood and improving services comprehensively.

The comprehensive programme is a manifestation of His Majesty King Abdullah’s Royal directives that focus on citizens’s livelihood and how the programme will improve it, as well as its implementation within a time frame.  

In regards to improving livelihoods, the prime minister had said that this aspect requires its own root solutions, noting the need for reconsidering many regulations, especially the Civil Service Bureau by-law to overcome unemployment. 

Regarding the fourth aspect of improving services, the prime minister had said that the government will focus on a comprehensive shift rather than the current approach of improving certain areas or details, noting that “this is the hardest aspect because, regardless of the sector, it requires improvement of infrastructure, investment and the reinvigoration of quality services, which we will work on”.

Referring to education, Razzaz had said that kindergarten education must be made compulsory for all. 

“As of the academic year 2020/2021, education for five-year-olds will be compulsory, and two years after that, it will become compulsory for four-year-olds, which is something that no Arab country has done before, and it will be a challenge that we need to face...,” the premier noted. 

Razzaz said that a special programme will be drafted for comprehensive health insurance, under the directives of His Majesty, which should be completed by 2023. 

As for the issue of insolvency, Razzaz had said that previously, when provisional attachment was implemented, all the assets of a debtor were seized, even if their value was more than the value of the debt. Now, the premier said, changes will make provisional attachment apply to assets with a value equal to the exact amount of dues owed to a creditor. 

“By the beginning of 2020, all aspects will be completed, except for improving services,” Razzaz said.

The set of regulations to work on the first aspect has focused on the real estate and housing sector, the production and export sectors and the employment of Jordanians.

King meets Bani Hassan tribe leaders as part of Basman Forum meetings

His Majesty directs gov’t to form committees from Zarqa, Mafraq and Jerash to draft master plan that reflects priorities of local communities

By - Nov 17,2019 - Last updated at Nov 17,2019

His Majesty King Abdullah meets with representatives and leading figures from the Bani Hassan tribe at the Royal Hashemite Court on Sunday (Photo courtesy of Royal Court)

AMMAN — His Majesty King Abdullah on Sunday met with representatives and leading figures from the Bani Hassan tribe, as part of the Basman Forum meetings, at the Royal Hashemite Court.

Speaking at the meeting, attended by Prime Minister Omar Razzaz, King Abdullah welcomed Bani Hassan representatives, commending the tribe’s patriotic stances, according to a Royal Court statement.

His Majesty stressed the important role of tribes throughout Jordan’s history in contributing to the nation’s progress and development.

The King said focus in the next stage will be on establishing investment projects to create job opportunities for youth, noting that the priority is to improve citizens’ living standards.

His Majesty directed the government to form committees from Zarqa, Mafraq and Jerash governorates to draft a master plan that reflects the priorities and requirements of local communities there.

For their part, representatives from the Bani Hassan tribe expressed appreciation for the King’s ongoing outreach to citizens to hear their concerns and efforts to enhance their living standards, reaffirming their pride and support for the Hashemite leadership.

The attendees praised His Majesty’s decision to terminate the Peace Treaty annexes on Baqura and Al Ghamr, highlighting the step as a historic national achievement.

Moreover, attendees underscored Jordanians’ unity behind the King in safeguarding the nation’s achievements, highlighting their pride in the armed forces and security agencies.

Bani Hassan representatives also praised His Majesty’s position in defending the Palestinian cause and safeguarding Islamic and Christian holy sites in Jerusalem, in line with the Hashemite Custodianship, commending the King’s efforts towards regional security and stability.

During the meeting, Prime Minister Razzaz highlighted job creation and youth empowerment as priorities for the government.

He pointed out that the government, in coordination with municipal and governorate councils, will work on improving health, education and infrastructure services around the governorates.

Royal Hashemite Court Chief Yousef Issawi, Adviser to His Majesty for Communication and Coordination Bisher Khasawneh, Adviser to His Majesty for Policies and Media Kemal Al Nasser, Adviser to His Majesty for Tribal Affairs Saad Hayel Srour, Interior Minister Salameh Hammad, and Acting Chairman of the Joint Chiefs of Staff Maj. Gen. Mohammad Bani Yassin attended the meeting, held as part of the Basman Forum meetings to maintain outreach to the public.

King swears in Haddad as Audit Bureau president

By - Nov 17,2019 - Last updated at Nov 17,2019

AMMAN — Assem Haddad was sworn in before His Majesty King Abdullah on Sunday as president of the Audit Bureau, according to a Royal Court statement. Prime Minister Omar Razzaz and Royal Hashemite Court Chief Yousef Issawi attended the ceremony, held at Basman Palace, the statement said.

 

‘Foreign workers given final extension to rectify status’

By - Nov 17,2019 - Last updated at Nov 17,2019

AMMAN — The Ministry of Labour has decided to grant a final extension to the grace period given for guest workers to rectify their legal status, lasting until the end of this year.

According to Labour Minister Nidal Bataineh, the extension was given in view of the high turnout at the ministry’s department by business owners and guest workers seeking to rectify their legal status, according to a statement carried by the Jordan News Agency, Petra.

Bataineh noted that the decision seeks to motivate guest workers to legalise their status and meet the workforce demands of various sectors.

 

Amman Industry, trade chambers to hold Jordanian-Kuwaiti business forum

By - Nov 17,2019 - Last updated at Nov 17,2019

AMMAN — The Amman Chambers of Industry and Trade on Monday will hold a Jordanian-Kuwaiti business forum in Amman in cooperation with the Kuwaiti chamber of industry and trade to discuss the two countries’ economic relations commercial partnerships.

President of the Amman Chamber of Trade Senator Nael Kabariti on Sunday said that the forum is an “important step” towards enhancing bilateral commercial relations, highlighting the chamber’s interest in strengthening bilateral private sector ties, as reported by the Jordan News Agency, Petra. The forum will include meetings between Jordanian business owners and the Kuwaiti delegation.

The delegation, which will be headed by General Manager of the Kuwaiti Public Authority for Industry Abdul Karim Taqi, will include representatives of the public and private sectors.

Kuwait leads foreign investors in Jordan, with $18 billion. Jordan’s exports to Kuwait have amounted to $144 million over the past seven months, and imports from Kuwait have reached $27 million, according to Petra.

Kingdom's industrial sector aims to boost exports to Palestinian market

By - Nov 17,2019 - Last updated at Nov 17,2019

AMMAN — The Jordanian industrial sector seeks to increase Jordanian exports to the Palestinian market, Jordan Chamber of Industry board member and representative of the food industry sector Mohammad Walid Jitan said on Friday.

Jitan gave his remarks during the opening ceremony of a workshop on Palestinian products that aims to break Israeli control over the Palestinian economy.

Commercial Attaché at the Palestinian embassy to Jordan Shaher Abu Gharbieh called for further commercial cooperation between the two countries.

Representative of the Ministry of Industry and Trade Nabil Tal said that work is ongoing to implement the roadmap recently signed between the two countries, which includes the exchange of more than 100 goods imported by the two countries from foreign markets, and connects the most prominent producers of these goods to importers from both sides. 

 

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