Jordan: year in review (page 1 of 2)

Tourism

Jordan's tourism industry received a boost in 2007 when the ancient Nabataean city of Petra was named one of the 'new seven wonders of the world'
by the New7Wonders Foundation. The kingdom's tourism industry had already been performing strongly before the announcement, with the total number of tourists up 13.8 per cent when compared to January-June of 2006, with around three million visitors making the journey, as opposed to 2.6 million in 2006.

Royal Jordanian registered the highest monthly total of passengers in its 44 year history in August when it transported 256,000 people. As you might expect, the influx of tourists has had a positive impact on Jordan's tourism revenues, with $807m earned in the half-year period, a lift of more than 20 per cent on the $669m accrued by the end of June last year.

With Jordan relying heavily on tourism as a major component of its economy, the Jordan Tourism Board (JTB) has looked to improve its exposure in some existing, but under-exploited, markets.

The JTB headed up Jordan's delegation to the ITB Berlin travel exhibition in March, hoping to attract more of the 60 million Germans who take holidays abroad each year. The kingdom is also looking to tap into new markets in Russia, China, India, Kazakhstan and Turkey.

Real Estate

With sales of high-end residential units on the decline in Jordan, several developers launched projects in the kingdom that are intended for those in the low to middle income bracket.

Tameer International, part of the UAE based property developer Tameer Holding, announced that its first housing venture in the kingdom, Madinat Al Majd, will be mostly targeted to individuals with low to mid incomes. The development, which will be located in Zarqa, will cost about $500m and will comprise around 18,500 residential units, with 70 per cent of the units earmarked for those with limited means.

The Jordanian Company for Real Estate also announced that its new Al Jiza Residential City project will be aimed at the low to mid income bracket. The $900m project, which will be located 37 kilometres south of Amman, will provide around 16,000 residential units as well as offices and retail outlets. The prices of the apartments will start from around $28,400 and HSBC will cover 70 per cent of the value of any unit over a period of up to 20 years.

The largest residential project in the kingdom intended for those with limited means is the King Abdullah bin Abdul Aziz Al Saud Residential City, which is also being built in Zarqa.

The project will contain 70,000 residential units and will house around 370,000 people once it is complete. The Jordanian government has pledged to negotiate manageable loan packages with various financial institutions for those who intend to purchase a home in the development.

Meanwhile, Jordanian real estate development firm Saraya Holdings is seeking new opportunities overseas. In September, the firm's urban development management arm, the Millennium Development International Company, invested $325m in the upcoming development of an international financial district zone in the South Johor area of Nusajaya, Malaysia.

Saraya has also joined forces with Kazakhstani real estate developer Kazemir Aktau to construct a mixed use development at Aktau City on the Caspian Sea, a centre of Kazakhstan's oil and gas industry.