Jordan approves the national blockchain policy, aiming for economic modernization and enhanced government transparency by 2025.
On January 2, the Jordanian Cabinet approved an ambitious national blockchain policy aiming to integrate this technology into public services by 2025. This initiative is expected to improve government operational efficiency, enhance data security, and build public trust, while also contributing to the country’s comprehensive digital transformation strategy.
The new policy focuses on the application of blockchain in public administrative management, aiming to streamline procedures, reduce costs, and enhance transparency. Automation and real-time transaction verification are expected to benefit both businesses and citizens while strengthening trust in government operational efficiency. The government is also committed to protecting citizens' data privacy during the implementation of this technology, addressing the growing demand for global digital security.
The blockchain wave in the Middle East
In addition to applications in public services, the policy also supports the development of a domestic blockchain ecosystem, including nurturing startups, building capacity, and training specialized human resources.
The above action aligns with Jordan's broader economic modernization plan aimed at attracting foreign investment, diversifying the economy, and enhancing Jordan's competitive position in the global digital economy. The improvement of public service efficiency is expected to be a lever for economic growth and create positive spillover effects in many other areas.
Jordan's strong investment in blockchain is not just a standalone effort but also reflects a broader emerging trend in the Middle East. On the same day that Jordan announced its blockchain policy, Syria's transitional government also stated that it was considering legalizing Bitcoin and digitizing the Syrian pound.
This move is seen as a potential strategy to stabilize an economy ravaged by prolonged conflict and attract international investment. According to the Syrian Center for Economic Research (SCER), the Central Bank of Syria will oversee this process to ensure a safe and transparent legal framework.
Interest in blockchain and cryptocurrency in this region is also reflected through positive moves from major financial hubs. In October 2023, the Dubai Financial Services Authority (DFSA) granted a principle license to Ripple, allowing the company to expand its payment service offerings in the Dubai International Financial Centre (DIFC).
As of December 2023, the TON Foundation has also registered operations in the Abu Dhabi Global Market (ADGM), leveraging the legal framework for distributed ledger technology (DLT) to strengthen its legal and governance framework.
These moves illustrate the broader picture of the growth of blockchain technology in the Middle East. Amidst a global economy increasingly shifting towards the digital era, the adoption of advanced technologies such as blockchain is seen as key to driving growth, enhancing efficiency, and boosting competitiveness.
Cryptocurrency revenue in Jordan from 2017 to 2024. Source: Statista
Jordan, with its new blockchain policy, is betting on a digital future, hoping to reap significant benefits in the coming years. The increase in cryptocurrency transactions and investments by Jordanian citizens since 2022 to cope with the unemployment crisis also shows the available potential and the public's acceptance of this technology.