Jordan Country Summary

FATF Status

Jordan is no longer on the FATF List of Countries that have been identified as having strategic AML deficiencies

Latest FATF Statement - 27 October 2023

The FATF welcomes Jordan’s significant progress in improving its AML/CFT regime. Jordan strengthened the effectiveness of its AML/CFT regime to meet the commitments in its action plan regarding the strategic deficiencies that the FATF identified in October 2021 related to (1) completing and disseminating the ML/TF risk assessments of legal persons and virtual assets; (2) strengthening risk-based supervision and conducting training for FIs and DNFBPs; (3) maintaining comprehensive and updated basic and beneficial ownership information on legal persons; (4) pursuing money laundering investigations and prosecutions for predicate offences in line with its risk profile and strengthening the sanctioning and confiscation regime, including at the border; (5) implementing a legal and institutional framework for TFS; and (6) conducting risk-based monitoring of NPOs without disrupting legitimate NPO activities. Jordan is therefore no longer subject to the FATF’s increased monitoring process.

Jordan should continue to work with MENAFATF to sustain its improvements in its AML/CFT system.

Compliance with FATF Recommendations

The last follow-up Mutual Evaluation Report relating to the implementation of anti-money laundering and counter-terrorist financing standards in Jordan was undertaken in 2022. According to that Evaluation, Jordan was deemed Compliant for 8 and Largely Compliant for 24 of the FATF 40 Recommendations. It was deemed Highly Effective for 0 and Substantially Effective for 2 of the Effectiveness & Technical Compliance ratings.

Jordan has made strides in combating corruption by ratifying the United Nations Convention against Corruption and implementing various laws, including an Anti-Corruption Law and an Illicit Gains Law. Despite these efforts, personal connections often influence economic interests, and while the legal framework supports whistleblower protection, it does not mandate businesses to adopt anti-corruption codes. U.S. businesses report that corruption is not a significant barrier to investment in the country.

Jordan's economy is characterized by a welcoming stance towards foreign investment, although implementation of investment promotion policies can be inconsistent. The country faces challenges such as high electricity costs and water scarcity, but it also offers significant opportunities, particularly in technology and tourism, supported by a well-educated workforce and numerous free trade agreements.

Jordan's investment climate is characterized by government support for foreign investment, although implementation of policies can be inconsistent, leading to challenges such as high electricity costs and water scarcity. The country offers significant opportunities for foreign investors, particularly in sectors like technology and tourism, bolstered by a well-educated workforce and numerous free trade agreements. However, restrictions exist in certain sectors, and foreign investors may face limitations on ownership and operational control.