KEY FOREIGN POLICY ISSUES

          Jordan And The European Union

 

 

Jordan and the European Economic Community first established diplomatic relations in 1977. In 1978 a first cooperation agreement came into force.

 

The existing contractual framework overreaching the bilateral and multilateral relations between Jordan and the EU:

 

Euro-Mediterranean Partnership

 

The  Euro-Mediterranean Partnership launched at the 1995 Barcelona conference established a policy with ambitious and long-term objectives. The three main fields of activity set in the Barcelona Declaration adopted in the conference are (a) the political and security partnership, (b) the economic and financial partnership, (c) the partnership in social, cultural and human affairs. The Association Agreement with Jordan defines the specific areas in which these objectives can be developed on the bilateral level.

 

With the enlargement of the European Union earlier in 2004, Jordan is determined to benefit from the new opportunities it offers to deepen existing relations with the Union and further develop their partnership.   

 

Association Agreement

 

The  Association Agreement that was signed on November 24, 1997 has entered into force on May 1, 2002, and replaced the cooperation agreement of 1977. The Association Agreement provides a comprehensive framework for the economic, political and social dimensions to the EU-Jordan bilateral relations within the Euro-Mediterranean Partnership.

The main aim of the Association Agreement is to create a free trade area between the EU and Jordan over a period of 12 years, and help increase economic growth for the businesses community.

The first EU-Jordan Association Council meeting was held in Luxembourg in June 2002, and the second was held in October 2003 to review progress and help speed up implementation of the Association Agreement. A number of technical sub-committees were set up to gear up efforts in some important areas, including trade and investment promotion, agriculture, science and technology, regional co-operation, social affairs and customs. At the third meeting, which took place in Luxembourg as well on October 11, 2004, the two sides adopted a decision on the establishment of a subcommittee on human rights, democracy and governance.

• Statement of the Hashemite Kingdom of Jordan at the third meeting of the EU-Jordan Associaiton Council ( Luxembourg , 11 October 2004)

• Statement by the European Union at the third meeting of the EU-Jordan Associaiton Council (Luxembourg, 11 October 2004)

Mediterranean Arab Free Trade Agreement (Aghadir)

 

Jordan is one of the four signatories of the Mediterranean Arab Free Trade Agreement  (Aghadir Agreement) with Morocco , Egypt and Tunisia . The Aghadir Agreement signed in Al-Rabat , Morocco on February 25, 2004 is open to accession by other countries.

The agreement signed between Jordan and Israel , on the sidelines of the Extraordinary Annual Meeting of the World Economic Forum held last May at the Dead Sea , upgrades trade relations with the EU through offering improved terms for rules of origin regarding exports jointly manufactured by the two countries' industrial zones to the European Union.  

 

European Neighborhood Policy

 

The new European Neighborhood Policy , which was first outlined by the European Commission in its Communication on Wider Europe (March 2003), sets ambitious objectives for partnership with neighboring countries based on strong commitment to shared values and political, economic and institutional reforms. This new policy aims at building upon the framework of cooperation provided by the Association Agreement. In return for concrete progress and the effective implementation of political, economic and institutional reforms the European Union offers the prospect of a stake in its internal market and paves the way for further economic integration and liberalization. In addition, neighboring countries are invited to participate in MEDA neighborhood programs to strengthen cross-border cooperation and to share responsibility in conflict prevention and resolution with the European Union.

 

Since its launching in 2003, Jordan has welcomed the European Neighborhood Policy (ENP) and expressed readiness to respond positively to this new EU approach. Jordan and the European Commission worked in close consultation throughout the year 2004 on developing a joint action plan to be used to support national reforms and modernization. After a draft plan was jointly endorsed in June 2004, the final Action Plan was adopted in early December of the same year by the European Commission and in January 2005 by the Government of Jordan. The plan offers Jordan increased financial support for the political reform and economic modernization agenda of the Government. It also offers Jordan intensified political, security, economic and cultural relations, and shared responsibility in conflict prevention and conflict resolution. After endorsement by the EU member states, the Action Plan will be submitted to the EU-Jordan Association Council in 2005 for approval.

 

European Union's Assistance to Jordan 

 

The European Union's assistance to Jordan has so far reached a total of €458 million in community and macroeconomic assistance (€254 million under MEDA I and until now €204 million under MEDA II).

 

The main priorities of EU cooperation with Jordan , as set out in the Country Strategy Paper 2002 - 2006 adopted by the European Commission in 2001, are:

• Trade enhancement and institutional building and regional integration

• Stable macro-economic framework and economic reforms

• Social reforms and human resources development

• Development of infrastructures including regional cooperation

The National Indicative Program (NIP) 2002 - 2004 for Jordan set out programs for which the total funding amounted to €142 million during this period. The National Indicative Program for 2005 - 2006, signed during the World Economic Forum at the Dead Sea on May 15-17 2004, provides a €110 million assistance to support (a) democracy, human rights and good governance (€5 million), (b) the preparation of the Neighborhood Policy and implementation of the Association Agreement (€55 million), (c) the social sector (€42 million), (d) the development of the knowledge society (€8 million). An additional grant of 30 million euros was given to Jordan in November 2004 to help the Kingdom alleviate poverty and develop underprivileged areas.

 

European assistance to Jordan is not limited to grants, the volume of the European Investment Bank (EIB) lending to Jordan during the period 1995 - 2002 amounted to €363.2 million intended among others for the potash and phosphate mining industry, the water supply network of Greater Amman, the Amman wastewater treatment, and the Aqaba port. Furthermore, Jordan is entitled to benefit from the Facility for Euro-Mediterranean Investment and Partnership (FEMIP) designed to fund technical assistance activities and to improve the economic and social investment climate in the Mediterranean countries. 

 

Issues of Common Concern

 

The Middle East Peace Process

 

On the issue of the Middle East Peace Process, Jordan appreciates the European Union's continued commitment to give new impetus to peace efforts, contributing to the creation of a viable, contiguous, sovereign and independent Palestinian state.

 

Jordan is equally concerned at the continuing violence and acts of terrorism affecting both the Palestinians and Israelis, and joins the European Union's repeated calls on both sides to fulfill their obligations under the roadmap -- the only route to achieving a lasting peace in the Middle East .

 

Jordan has welcomed the European Union's strong position that refuses to recognize any change to the pre-1967 borders other than those arrived at by agreement between the two concerned parties.  

 

Jordan values the European Union's stance vis-à-vis the prospect of an Israeli withdrawal from the Gaza Strip, provided it is implemented in accordance with the elements identified by the EU in the conclusions of the European Council of March 2004. However, both Israel and the Palestinian Authority bear a responsibility to ensure that the Gaza withdrawal is carried out successfully.

 

Jordan recalls the General Assembly's overwhelming vote, including that of the European Union, demanding that Israel heed last July's (2004) Advisory Opinion of the International Court of Justice (ICJ) to halt the construction of the wall in the West Bank , tear down the portions built on Palestinian land, and provide reparations to Palestinians whose lives have been harmed.

 

Jordan welcomes the European's Commission's recent contribution to the new World Bank Trust Fund set to amount to around €250 million for 2004 and hopes that other donors would follow suit in order to enable the Palestinian Authority to achieve the required reforms.  

 

Iraq

 

With regard to the situation in Iraq , Jordan together with the European Union believes that the security situation in Iraq remains a major impediment to the success of the political and reconstruction process. Both Jordan and the European Union condemn all violence and terrorist attacks, including the kidnappings and the brutal murder of hostages.

 

Jordan acknowledges the European Union's determination to support and assist the Iraqi people rebuild their country and regain its proper place in the region as well as in the international community. Nevertheless, Jordan has warmly welcomed the transfer of sovereignty to the Interim Iraqi Government with the objective of establishing a secure, stable, unified, prosperous and democratic Iraq , and the European Union's willingness to work in partnership with the Interim Iraqi Government and the Iraqi people with the aim of reaching these objectives. In this regard, Jordan welcomes the Commission's communication “The EU and Iraq - A Framework for Engagement” endorsed by the June 2004 European Council.

 

While Jordan welcomes the EU's Strategic Partnership with the Mediterranean and the Middle East endorsed by the June 2004 European Council, it reiterates its commitment to the Barcelona process and its wish to develop it further through existing frameworks including the Association Agreement and the European Neighborhood Policy. However, Jordan believes that progress on the resolution of the Middle East conflict through the implementation of the roadmap is central to the success of such partnership, yet cannot be a precondition to pursue the reform challenges facing countries of the region. 

 

Recently, the European Union has restated that it is a staunch supporter of the International Criminal Court and will continue to oppose efforts that would undermine the ICC. Likewise, Jordan is firmly committed to the Rome Statute of the ICC and would continue to comply with its obligations under the Statute.