The World Bank expects Jordan’s economy to grow by 2.7 per cent in 2026 and 2.9 per cent in 2027, leaving its forecasts unchanged from April as war-related disruption weighs on regional economies. The bank put growth at 2.8 per cent in 2025. Its October 2026 MENAAP Economic Update said the 2026 projection was 0.1 percentage points below the January estimate, while the 2027 forecast stood 0.1 points higher.
Regional pressures and trade
The broader Middle East, North Africa, Afghanistan and Pakistan region is expected to contract by 2.1 per cent in 2026, after growing 3.3 per cent in 2025. The World Bank said war, regional developments and disruption to energy and trade markets had prompted it to downgrade growth prospects for numerous economies in the region.
Oil-importing economies, Jordan among them, have proved more resilient than oil exporters. The group’s growth is expected to reach 4.3 per cent in 2026, up from 3.9 per cent in 2025. The report said war affects these economies mainly through higher energy, food, shipping and insurance costs, putting pressure on external accounts and inflation. Strong domestic demand has softened some of the impact in several countries.
In Jordan, falling tourism revenues and higher energy import costs are expected to contribute to slightly slower projected growth in 2026. Robust domestic economic activity and trade through Aqaba helped offset some of the pressure. The bank expects growth to pick up moderately in 2027 as regional trade and transit conditions improve.
The report said flight arrivals in cities outside the Gulf region, including Amman, had returned to or exceeded pre-conflict levels by late August. It didn’t state a year for that late-August comparison.
Economic indicators and AI investment
Jordan’s GDP per capita growth is projected to rise from 1.8 per cent in 2025 to 2 per cent in 2026 and 2.1 per cent in 2027. Inflation is forecast at 2.5 per cent in 2026, then easing to 2.3 per cent in 2027; it stood at 1.8 per cent in 2025.
The fiscal deficit is forecast to narrow from 5 per cent of GDP in 2025 to 4.6 per cent in 2026 and 4.3 per cent in 2027. The current account deficit is expected to reach 7.3 per cent of GDP in 2026 and 5.9 per cent in 2027, compared with 5.6 per cent in 2025.
The World Bank said Jordan performs relatively well in innovation and economic integration, while pointing to gaps in digital infrastructure. It classified the country among lower-middle-income economies whose GovTech maturity exceeds the average for their income group.
Jordan is consolidating its position as a regional technology hub, according to the report, and already uses artificial intelligence in education and health. The applications support learning and provide preventive screening and diagnostics in remote areas. The country is focusing on research and development, business-environment reform, capacity building and wider public-sector applications to address constraints in capital and market size.
The report’s data showed 113 Jordanian firms active in the AI technology market as of July 2026. Jordan’s strategy aims to increase the number of AI researchers by 30 per cent. Al Mamlaka public news service cited the report.