World Bank Group Approves $700M for Programs to Boost Human Capital and Education in Jordan

Despite Jordan’s resilience in a volatile region, external shocks have impacted economic growth and job creation, exacerbating socio-economic challenges.

The World Bank Group has approved two new programs with a combined financing of $700 million aimed at strengthening Jordan's human capital through targeted investments in education, health, and social assistance. These initiatives, the Jordan Human Capital Program and the Jordan: Modernizing Education, Skills, and Administrative Reforms (MASAR) Program, are designed to promote sustainable and inclusive growth, enhance education quality, and equip the youth with skills needed for future jobs.

Despite Jordan's resilience in a volatile region, external shocks have impacted economic growth and job creation, exacerbating socio-economic challenges. With over 66% of its population under 30, Jordan has a unique opportunity to leverage its demographic dividend for development and growth. However, gaps remain in education access, particularly in early childhood education. Further investments are necessary to improve education quality and expand technical and vocational education and training (TVET) for future jobs. Additionally, high prevalence of risk factors such as smoking and the growing burden of non-communicable diseases reduce productivity and job market participation. Although Jordan has made significant progress in expanding its social protection programs, coverage gaps remain, with a third of workers lacking social security access.

"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."

Jordan Human Capital Program

The Jordan Human Capital Program ($300 million) aims to improve the governance and effectiveness of social sectors to ensure better and more sustainable outcomes for all Jordanians, promoting resilience and safeguarding households from climate change effects. The program supports results-oriented, cost-effective service delivery and focuses on improving governance and accountability in key sectors such as education, health, and social assistance. This program targets the most critical areas for equipping young Jordanians with skills needed to grow the economy, managing health sector finances, and reducing inequality and poverty through progressive social assistance programs.

MASAR Program

The MASAR Program ($400 million, 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 ongoing economic transformation. The program focuses on:

Improving home-to-school transitions and increasing access to foundational learning

Enhancing school-to-work transitions and expanding access to labor market-relevant TVET

Improving efficiency in the education system and human resources management

MASAR also includes technical assistance and capacity building to support the government's implementation of critical reforms. By 2029, MASAR aims to enroll 25,000 additional students in KG2, ensure 4,200 KG classrooms meet quality standards, and enroll 150,000 students in grades 1-3 in programs to improve foundational skills. It also aims to graduate 50,000 students from accredited TVET programs in priority sectors and recruit 70% of civil servant teachers and school leaders through a competency-based mechanism. Additionally, the program will benefit refugees and contribute to the 2024-2026 Jordan Response Plan for the Syrian Crisis.

Alignment with National Priorities

The Jordan Human Capital and MASAR Programs align with Jordan's 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' initiative. 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.