Jordan Human Capital Program

The Human Capital Program aims to (i) improve the governance and effectiveness of social sectors and (ii) safeguard households against climate and health shocks. Efficiency and sustainability are cross-cutting themes that span both pillars. The proposed Program addresses gaps in the legal and regulatory framework that hinder the effectiveness and resilience of institutions in enhancing human capital and reflects the mature policy dialogue and robust analytic work program that helped inform the feasibility, appropriateness, and impact of proposed policy and institutional reforms. The Japan International Cooperation Agency and the OPEC Fund for International Development are planning to provide parallel complementary financing to the reform program. The People-Centric Digital Government Program for Results (PforR), the Enhancing Women’s Economic Opportunities Operation PforR, the proposed Modernizing Education, Skills, and Administrative Reforms (MASAR) PforR, and the pipeline proposed Health System Strengthening PforR help support the implementation of policy actions under this Program. Also, while this DPF is focused on human capital development, competitiveness and growth is being addressed in the Inclusive, Transparent, and Climate Responsive Investments PforR and the Multi-donor Trust Fund on Growth, which is being considered as a focus area for an FY25 DPF/PforR operation as highlighted in the country partnership framework (CPF). Moreover, since the new Extended Fund Facility (EFF) of the International Monetary Fund (IMF) addresses Jordan’s broader macro-fiscal challenges (such as domestic resource mobilization and expenditure-side reforms in the water and energy sectors), this proposed Program presents an opportunity to address pending constraints on enhancing and preserving human capital, critical to unleashing Jordan’s growth potential.