Jordan, Mexico seek closer economic cooperation

AMMAN — His Majesty King Abdullah met with Mexican President Enrique Peña Nieto on Thursday in Mexico City and discussed means to enhance economic cooperation, in addition to developments in the Middle East.

The King and Nieto, who held a joint press conference after the talks, also attended the signing of several cooperation agreements between Jordan and Mexico, a Royal Court statement said.

Also on Thursday, King Abdullah met with several business leaders and members of the Arab Mexican Chamber of Industry and Commerce, emphasising different opportunities that Jordan and Mexico can tap to boost economic cooperation.

His Majesty said Jordan has taken a number of strides to strengthen its national economy. 

The Kingdom, he said, endorsed several pieces of legislation deemed vital to streamline and boost economic activities and ensure comprehensive development.

Despite the global economic crisis and current regional conditions, the Kingdom has been able to maintain its excellent reputation in terms of security and stability, going hand-in-hand with its implementation of development plans, he added.

The King cited several success stories where Jordan managed to transform challenges into opportunities, thus boosting its investment environment.

He also highlighted the role of the private sector in fostering the business climate in Jordan and providing job opportunities, especially for the younger generation.

Today’s meeting will strengthen relations, not only between Jordan and Mexico, but also between the Arab world and Latin America, the King told attendees, emphasising Jordan’s strategic location.

In light of the various bilateral and international agreements signed by the Kingdom, the Jordanian market represents a gateway for Mexico to reach more than one billion consumers, His Majesty said, pointing out that this is in the best interest of investors and businessmen who can benefit from these advantages.

Jordan is interested in attracting investments in the mining, tourism, transport, IT, energy and water sectors, the King said, adding that Jordan facilitates investments in various economic and commercial fields.

King Abdullah invited Mexican companies and businessmen to visit Jordan and become further acquainted with investment opportunities available in the country to boost partnership with their Jordanian counterparts.

The King voiced hope the meeting would maximise the partnership with Mexico, one of the world’s largest economies.

He pointed out that the opening of a Jordanian embassy in Mexico, which is scheduled at the end of this year, will help maintain cooperation between the business communities in both countries and facilitate commercial and investment cooperation. 

King Abdullah drew attention to the similarities between Jordan and Mexico, noting that the two countries are capable of achieving economic integration. 

As Jordan represents a gateway for Mexican products to Middle East markets, Mexico is seen as a gateway for Jordan to the other countries of Latin America.

Mexican businessmen and leading economic figures expressed their appreciation of the King’s support for investments from Latin America and Mexico in particular.

Commending the Jordanian model and the opportunities that it can provide due to its stability, they expressed their readiness through various economic institutions and private sector entities to cooperate with Jordan in the fields of research and development, and expertise exchange, especially in the industry, transport and IT sectors.

They noted that the two countries will mark 40 years since the establishment of diplomatic relations by strengthening economic and investment cooperation and increasing the joint trade volume.

In 2013, the bilateral trade volume reached $61 million, up from around $4 million in 2012.

Mexico’s Economy Secretary Ildefonso Guajardo said the Mexican business community expects the King’s visit to be the start of solid economic ties, in accordance with a free trade agreement that is scheduled to be signed soon between Jordan and Mexico.

Asserting the importance of the King’s visit to Mexico, Minister of Industry and Trade Hatem Halawani said it paves the way for further economic cooperation with the second largest economy in Latin America.

Halawani said in remarks to the Jordan News Agency, Petra, that since Mexico is a member of the North American Free Trade Agreement and in light of the free trade agreement that will be signed between the two countries soon, Jordanian exporters will have a greater opportunity to penetrate the Mexican market.

During the King’s visit to Mexico, the two countries are signing three agreements and a memorandum of understanding to pave the way for negotiations on the envisaged bilateral free trade agreement and to bolster educational, cultural and technical cooperation in the tourism, agriculture, environment, health and energy sectors.

“It is an important visit... and we hope it will reflect… on the Jordanian economy and increase the joint trade volume,” Halawani told Petra.

In the coming three months, the two countries will exchange business delegation visits to further explore investment opportunities and forge ahead with a new stage of economic cooperation, he added.

His Majesty, who arrived in the Latin American country on Wednesday night, seeks through this visit to establish bilateral ties with Mexico and other Latin American countries, positioning Jordan as an “investment and tourism destination, and gateway for Latin Americans into the region”, according to the Royal Court.

The objectives of the visit, which is in response to an invitation to the King from Nieto, also include promoting the Jordanian perspective on Middle East developments to Mexico and Latin American leaders, according to an infographic posted by the Royal Court on Twitter.

Mexico is the 14th largest economy in the world according to 2012 figures, with a gross domestic product of $1.178 trillion.

The Kingdom’s total exports to Mexico reached JD4 million (around $5.7 million) during the first 10 months of 2013, according to the Royal Court, while Jordan’s imports from the Latin American country over the same period reached JD35.4 million (around $50 million).