Keys to the Kingdom
National Anthem
The Office
Human Resources

 

Background


Evidence has shown throughout the world that sustained economic growth is linked conclusively with the development of a nation’s human resources. The strength of the links from human development to economic growth depends on two sets of factors. It depends first of all on the accumulation of human capital—through investments in health, nutrition, education and housing. The result of such investments is a healthier and better educated population that is capable of being economically more productive.

Secondly, strong links require that people have the opportunity to participate in the social, economic and political development of their country. High levels of human development promote economic growth, which in turn can further promote human development. Conversely, weak human development often results in low economic growth, further hampering the prospect of future human development.

The strength of this cycle depends on the strength of each link. Weak links which undermine either overall economic growth or the accumulation of human capital can promote a vicious circle or result in lopsided development. To achieve a sustainable rising standard of living, states should pursue policies which balance economic growth with accumulating human capital.

The 1997 UN Human Development Report demonstrates the progress that Jordan has made in advancing the welfare of its people despite the difficult challenges that the country has faced. The annual report pays close attention to three key socio-economic indicators—GDP per capita, life expectancy and adult literacy rate—which reflect the overall progress of each country’s quest to improve the quality of its people’s lives. The survey measures all countries’ achievements in these areas and calculates their average score to produce the Human Development Index (HDI), which is based on a scale of 0 to 1. The survey then ranks all countries according to their HDI, indicating the strength of economic prosperity and human capital accumulation. In the 1997 report (which relies on statistics compiled in 1994), Jordan ranked 46 out of the 120 developing countries listed and 84 of all 175 countries measured.

Jordan has excelled in using GDP growth very effectively to reduce the extent of poverty in the country. The 1997 UN Human Development Report combines a number of statistics--the adult survival rate past age 40, illiteracy, access to health services and safe water, and the percentage of malnourished children under age five--to produce the Human Poverty Index (HPI). According to the HPI, 10.9% of Jordan’s population is living in poverty, and the Kingdom ranks eighth among the 78 developing countries measured. The fact that Jordan ranks far higher on the HPI than on the HDI points to the emphasis that the country has always placed on improving basic living standards for all of its citizens, especially the poor.

The 1996 UN Human Development Report distinguishes between balanced and "flawed and lopsided" growth which ignores human development. Particularly important in this analysis is the opportunity for people to participate in the social, political and economic life of their country. Jordan has managed to steer clear of most of the "bad" forms of growth. What the UN calls "voiceless growth," or growth without democracy, has been countered by Jordan’s ongoing program of democratization, which was reinstituted with parliamentary elections in 1989. Since then, martial law was lifted, the National Charter was adopted, political parties were legalized and free and fair elections were held in 1993 and 1997.

"Rootless growth," where the economy prospers while cultural values are eroded, has also been avoided. The government has long upheld the pluralistic values of Jordanian society by promoting cultural diversity in political and economic life. Ethnic minorities such as Circassians and Chechens, as well as the Arab Christian minority, are adequately represented in Parliament and play a prominent role in business and government. The government has also promoted cultural festivals, encouraged the rebirth of local handicrafts and taken steps to preserve Jordan’s archeological and historical heritage.

The birth of a strong and vocal environmental movement has helped Jordan fend off what the UN terms "futureless growth," or growth which exploits the environment, leaving behind fewer resources for future generations. In addition to the early pioneering efforts of the Royal Society for the Conservation of Nature, a widespread network of environmental NGOs has in recent years attracted more than 10,000 members, and their active stance has heightened public awareness on environmental issues. However, Jordan faces a real problem where natural resources are concerned. With a rapidly depleting water supply, and a population expected to double by the year 2012, the agricultural and manufacturing sectors are expected to face an acute water deficit, not to mention a shortage of drinking water.

Unfortunately, with a high rate of unemployment, the country’s economic growth can be categorized as "jobless growth." Moreover, Jordan’s growth has not equally benefited all population groups, and can therefore be categorized to some extent as "ruthless growth," where the fruits of growth are concentrated more in the hands of a few to the exclusion of the many. These unbalanced growth patterns are partially the result of the economic restructuring program the country began in 1989. Fortunately, the Jordanian leadership has historically recognized the importance of social development, and is currently implementing policies designed specifically to strengthen the social safety net while not sacrificing the overall thrust of the restructuring program.