A Key Opportunity to Reduce Unemployment Rates

The World Development Report 2026, issued by the World Bank Group, offers a different perspective on the relationship between artificial intelligence and the Jordanian economy.

It classifies Jordan among regional services export hubs and sees potential for leveraging AI to increase worker productivity, develop digital and knowledge-based services, and expand exports.

However, it notes that the adoption of this technology by Jordanian companies remains relatively low.

The opportunity lies in Jordan’s ability to use technology to maximize an advantage it already possesses in the services sector and transform it into economic growth and job opportunities.

This becomes particularly important when viewed through the lens of unemployment.

Jordan does not suffer from a shortage of educated people as much as it suffers from the economy’s limited ability to generate jobs capable of absorbing new entrants into the labor market.

The Jordanian market is limited in size, and any employment policy that relies primarily on domestic demand will eventually encounter the ceiling imposed by the size of this market.

Therefore, exporting services becomes an important way to overcome this constraint. A Jordanian company capable of selling its services in the Gulf, Europe, the United States or elsewhere can grow without being exclusively dependent on the level of domestic demand.

Artificial intelligence can make a significant difference if a Jordanian company is able to increase employee productivity, reduce service costs, improve quality and accelerate delivery.

Technology may reduce the need for certain jobs, but at the same time, it can create demand for new jobs and skills if used to increase sales, reach new markets, and develop new services and products.

Higher productivity can translate into economic expansion and additional demand for labor.

One future objective of Jordanian economic policy could be to direct the use of AI toward expanding markets for companies, which brings us to the issue of training.

It would be a mistake to assume that addressing these new transformations requires training tens of thousands of young people in “artificial intelligence” in a general sense.

Such training will not reduce unemployment unless there is an economic need for the skills being taught.

Training programs should instead begin with jobs and sectors where there is actual demand, and then identify the skills within those jobs that are being transformed by AI.

Jordan can build on the advantage of having a large base of educated young people. If the gap between the qualifications they possess and the skills demanded by companies capable of operating in international markets can be narrowed, part of the unemployment problem could be transformed into a source of competitive strength.

This requires a different relationship between universities and the private sector. It is not enough for universities to simply add general AI courses to their curricula; they should instead monitor how this technology is changing the professions themselves.

However, preparing young people represents only half of the equation. The other half concerns companies, which should be helped to integrate technology into their operations.

Jordan could consider targeted programs for companies with genuine growth and export potential, helping them assess their operations, identify areas where AI can increase productivity, train their employees, and link any incentives or financing to measurable outcomes, such as increased exports or employment expansion.

Jordan could also identify a specific number of services in which it has a competitive advantage that can be developed, rather than spreading efforts across all fields.

The selection criteria should combine the availability of Jordanian talent that can be further developed, growing external demand, and the potential to use AI to improve productivity and quality in those services.

The real opportunity lies in making Jordan more capable of producing and exporting services using artificial intelligence, building on assets it already possesses and working to improve them.

In a country where unemployment exceeds one-fifth of the labor force, maximizing such an opportunity should be viewed as part of the employment and growth policy for the years ahead.