Cabinet approves incentives, regulations to stimulate economic activity, investment

AMMAN — The Cabinet approved on Tuesday several bylaws and decisions aimed at stimulating economic activity, enhancing investment, and creating an attractive environment, in line with the Economic Modernization Vision.  

During a session chaired by Prime Minister Jafar Hassan, the Cabinet decided to grant additional incentives to new industrial projects in Al-Hussein Bin Abdullah II Industrial Estate (HUIE) in Karak and Tafila Industrial Estate. 

The aim is to encourage investment, and boost their competitiveness, especially given the current lower-than-expected interest in these areas, a Prime Ministry statement said. 

The Cabinet also approved amendments to the Investment Environment Law of 2022, exempting some assets and production inputs from taxes at a rate of 0 per cent.

The production inputs exempted from taxes include materials used in construction and building, items for household appliances, food industries, and equipment for scientific and educational research, the statement said.  

Recommendations from the Settlement and Reconciliation Committee were approved during the session under which tax statuses for 33 companies and individuals are to be settled.

The Council of Ministers also approved recommendations from the committee overseeing disputes between taxpayers and the Customs Department, resolving 22 cases.  

The goal, according to the statement,  is to enhance taxpayer compliance with the law, increase tax revenues, support the budget, and bolster the government’s capacity to deliver services and implement citizen-centred projects.

The Cabinet also approved measures to rectify the status of Syrian workers for the period before June 30, 2024. 

To benefit from this decision, employers must adjust the status of Syrian workers before June 1, 2025.  

The Cabinet also adopted decisions to support essential goods and advance procedures for implementing community service projects aimed at improving the quality of services provided to citizens. 

It also approved an agreement to finance the construction of five vocational schools as part of the Public Education Infrastructure Development Project, in collaboration with the Kuwait Fund for Arab Economic Development.  

It also approved a grant agreement to be implemented by the Ministry of Education in cooperation with UNICEF, valued at approximately JD26 million. 

The grant will fund educational projects within the ministry and higher education institutions and address learning loss.