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Home Sector Banking & Finance World Bank approves $700 million grant to Jordan to boost human capital, education

World Bank approves $700 million grant to Jordan to boost human capital, education

The $400 million MASAR Program aims to equip Jordanian youth with skills for the labor market and economic transformation
World Bank approves $700 million grant to Jordan to boost human capital, education
The $300 million Jordan Human Capital Program seeks to enhance social sector governance and sustainability for all Jordanians.

The World Bank Group has approved two new programs to strengthen Jordan’s human capital through targeted investments in education, health, and social assistance, while also promoting the resilience of Jordanian households. With a combined financing of $700 million, the Jordan Human Capital Program and the Jordan: Modernizing Education, Skills, and Administrative Reforms (MASAR) Program aim to drive sustainable and inclusive growth, enhance education quality, and better equip youth with the skills needed for future jobs.

Resilience in a volatile region

Jordan has demonstrated remarkable resilience in an increasingly volatile region, but external shocks have impacted economic growth and job creation, and hindered progress in addressing pressing socio-economic challenges. With over 66 percent of its population under 30, Jordan has a unique opportunity to capitalize on its demographic dividend for development and growth. However, gaps remain in education access, particularly for early childhood education, and further investments are needed to improve education quality and revitalize technical and vocational education and training (TVET) programs. Additionally, the high prevalence of risk factors like smoking and the growing burden of non-communicable diseases have led to increased morbidity, reduced productivity, and lower job market participation. Despite the government’s impressive progress in expanding social protection programs, significant coverage gaps remain in the social protection system, with a third of Jordanian workers still lacking access to social security.

Investing in human capital for sustainable growth

“To achieve its development ambitions, Jordan will need to harness its greatest potential asset — its human capital, particularly its youth and women,” said Jean-Christophe Carret, World Bank country director for the Middle East Department. “By further investing in education, health, and social protection, Jordan can strengthen the resilience of its economy and make it more inclusive. These efforts will ensure that the young population, particularly women and the most vulnerable, can fully participate in and benefit from the Kingdom’s growth and development.”

World Bank Jordan

Jordan Human Capital Program

The $300 million Jordan Human Capital Program aims to improve the governance and effectiveness of social sectors to ensure better and more sustainable outcomes for all Jordanians, and promote resilience, including safeguarding households from the adverse effects of climate change. The program supports results-oriented, cost-effective service delivery and focuses on further improving the governance and accountability of public spending in key sectors: education, health, and social assistance.

MASAR Program

The $400 million MASAR Program (including a $7 million grant from the Global Concessional Financing Facility) aims to equip Jordan’s children and youth with relevant skills for the labor market and the country’s ongoing economic transformation. The program focuses on three key areas: 1) improving home-to-school transitions and increasing access to foundational learning; 2) enhancing school-to-work transitions and expanding access to labor market-relevant TVET; and 3) improving the efficiency of the education system and human resources management.

World Bank Jordan

Achieving milestones with MASAR

By 2029, the MASAR program is expected to achieve significant milestones, including enrolling 25,000 additional students in KG2, ensuring 4,200 KG classrooms meet minimum quality standards, enrolling 150,000 students in grades 1-3 in targeted programs to improve foundational skills, graduating 50,000 students from accredited TVET programs in priority sectors, and ensuring 70 percent of civil servant teachers and school leaders are recruited through a new competency-based mechanism. The program will also benefit refugees and contribute to the 2024-2026 Jordan Response Plan for the Syrian Crisis.

Read more: Egypt, Lebanon, and Jordan’s tourism grapples with war… Cairo’s recovery efforts in focus

Alignment with Jordan’s reform priorities

The Jordan Human Capital and MASAR Programs are fully aligned with Jordan’s own reform priorities outlined in the Economic Modernization Vision and Public Sector Modernization roadmap 2023-2025. They prioritize human capital and support the implementation of the ambitious ‘Smart Jordan’ driver. The MASAR program further aligns with the World Bank’s ongoing support for education and public sector reforms in Jordan, building on previous achievements to create a more efficient, inclusive, and responsive education system.

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