Our Last Best Chance_ The Pursuit of Peace in a Time of Peril - King Abdullah II [88]
Spielberg and I remained in touch, and when I became king I approached him for help in developing the Jordanian film industry. Thankfully, he had forgiven my youthful antics, and he introduced us to the dean of the University of Southern California School of Cinematic Arts, the oldest film school in America. With help from USC, we founded the Red Sea Institute of Cinematic Arts in Aqaba, a graduate school devoted to teaching filmmaking. The institute opened in September 2008 with its first class of twenty-five students.
Creative industries such as film, media, and information technology hold the keys to Jordan’s future economic development—even if the path toward growth will sometimes be a little unexpected.
We can now look back on eleven years of progress. Opening up our economy to global trade has allowed our exports to rise sixfold between 1998 and 2008, the rate of unemployment to fall from 15.3 percent to 12 percent, and GDP per head to double. A UN survey in 2007 ranked Jordan 6th highest in the world in attracting foreign investment relative to the size of its economy, up from 132nd in 1995. The 2008 annual survey by the World Economic Forum rated Jordan the 48th most competitive economy in the world, ahead of Italy, Russia, Brazil, and India.
Jordan has not been immune from the impact of the global economic crisis. Growth slowed dramatically and the 2009 budget deficit, which stood at about 8.5 percent of GDP, is almost unprecedented in the history of the kingdom. Like countries the world over, Jordan had to take tough measures in 2009 to reduce its spending. But unlike many other countries, we did not have the means to offer financial stimulus packages that could get the economy moving again. We had to review policy, improve our investment environment, and ensure a more efficient management of the economy.
The global economic crisis was a challenge, but it also offered opportunities. Many international companies, especially those based in the rich neighboring Gulf region, were examining means to reduce their costs and improve their competitiveness. I was determined to put Jordan on their radar screens. Our highly educated professionals, strong infrastructure, strategic position in the heart of the region, and access to some of the biggest global markets and an open business environment give us a valuable competitive edge. So we began identifying specific opportunities that could attract investors and modernizing our economic legislation. In the past when I met investors, I would tell them that Jordan was a great place to invest. Now I can refer to specific projects and point to clear advantages to encourage companies to do business in Jordan.
We have embarked on a number of “mega-projects” to secure our food and water needs and develop our infrastructure and our position as a regional energy and transport hub. The government has been directed to better manage these vital resources. But political events have sometimes hijacked our economic growth. The only thing that can bring lasting prosperity to our region, replacing bombs and bullets with tourists and entrepreneurs, is a lasting solution to the conflict between Israel and the Palestinians, the root cause of much of the violence and instability in our region.
My dream is that we will link the economies of Israel, Palestine, and Jordan in a common market—patterned on Benelux in western Europe. We could combine the technical know-how and entrepreneurial drive of Jordan, Israel, and Palestine to create an economic and business hub in the Levant. The potential for joint tourism is massive, as is that for foreign investment. The possibility for cooperation is immense. The Israelis are world leaders in agriculture but lack land and workers. We could work together to make the desert bloom.
But such visions of economic cooperation