The Share of Financial Services in Jordan EconomyA research Paper

Abstract

An increasing Share of financial services in Jordan economy emerged strongly since the start of the fourth quarter of the last century. Services share of GDP increased from 54.5% to 69.9% between 1975 and 2000. In the same period financial services increased from 11.1% to 20.6%, while the share of services of the labor force increased from 64.7% in 1975 to 69.4% in 1999. Because of the importance of financial services in terms of their increasing productivity and well being of workers, we investigated the sectoral distribution of Jordan GDP during the period aforementioned; using the central bank published data. The results were consistent with these of the other countries, even the industrial ones, showing the strong share of services in which Jordan has a relative advantage, such as health services and higher education services. Financial and tourism sectors should be given special attention to compete in today’s world of WTO. Services could be the rewarding and promising sector in Jordan.