The Government of Jordan, together with the Arab Fund for Economic and Social Development (AFESD) and the OECD Development Assistance Committee (OECD-DAC), convened a high-level Policy Dialogue on Harnessing Blended Finance for Public-Private Partnership (PPP) Projects in Jordan. This policy dialogue is part of the Arab Fund's Country Partnership Strategy (CPS) Jordan 2025–2029, and marks also the second activity under the Strategic Arab-DAC Engagement on Blended Finance for Sustainable Development launched during the Arab-DAC Dialogue 2024.

The Dialogue brought together over 120 participants comprising senior government officials, development partners, private investors, financial institutions, and international experts to discuss how blended finance can unlock private sector participation in critical PPP projects, accelerate sustainable development, and stimulate social and technological entrepreneurship in Jordan.

A Strategic Priority for Jordan and the Arab Fund

The Arab Fund's Country Partnership Strategy (CPS) Jordan 2025–2029 dedicated a program for mobilizing private capital for PPP Projects under Blended Finance scheme. This underscores the shared commitment to leveraging innovative financing tools to improve delivery of social services and stimulate private investments.

Public-Private Partnerships (PPPs) remain a vital mechanism for governments seeking to mobilize private sector capital, expertise, and innovation in developing public infrastructure and services. PPPs are also increasingly recognized as engines for the emergence of youth-led enterprises, social entrepreneurs, and technology-driven SMEs that operate within or around PPP value chains.

Blended finance offers a powerful solution, defined by the OECD-DAC as “the strategic use of development finance for the mobilization of additional finance towards sustainable development in developing countries”. Blended finance enables concessional resources to de-risk investments, crowd in private capital, and close viability gaps for PPP projects, particularly in critical sectors such as energy, transport, water, health, education, social development, youth and sports. It also promotes the growth of social and technological SMEs that support or integrate into PPP structures.

Leadership Statements

H.E. Minister of Planning & International Cooperation of Jordan (Ms. Zeina Toukan)

“Jordan is committed to building a modern, resilient, and investment-ready PPP ecosystem that delivers high-quality services to our citizens. Blended finance represents an essential tool for bridging financing gaps, reducing risks, and accelerating the implementation of strategic projects. Today’s Dialogue reinforces the partnerships we need—between government, donors, the private sector, and international institutions—to move ambitious PPP projects from vision to implementation.”

H.E. Minister of Investment of Jordan (H.E. Dr. Tareq Abughazaleh)

“Jordan continues to strengthen the public-private partnership (PPP) framework within the Economic Modernization Vision, in a manner that ensures the development of high-quality infrastructure and services, enhances spending efficiency, and increases private sector participation in national development. He noted that blended finance represents an important tool to open new horizons for investment and expand the pipeline of bankable projects, particularly in priority sectors that directly impact citizens, and reaffirmed the Ministry of Investment’s commitment to working closely with domestic and international partners to ensure the development of sound, value-adding, investment-ready projects that contribute to the national economy and support Jordan's sustainable development future.”

H.E. Director General and Chairman of the Board of Directors of the Arab Fund (Mr. Fawzi Yousef Alhunaif)

“As a long-standing partner to Jordan, the Arab Fund is proud to support this strategic initiative that combines development financing with innovative approaches to mobilize private capital. The AFESD Country Partnership Strategy with Jordan emphasizes stronger PPP capabilities, improved service delivery, and expanded access to quality social infrastructure and services. Blended finance is a cornerstone for achieving these goals.”

H.E. Chairman of the OECD-DAC (Mr. Carsten STAUR)

“The OECD-DAC is pleased to deepen cooperation with the Arab region through the Arab-DAC Dialogue and the Community of Practice on Private Finance for Sustainable Development. Blended finance—when designed responsibly—strengthens accountability, enhances development impact, and mobilizes capital for countries like Jordan that are committed to reform and long-term sustainability.”

Towards a More Resilient and Sustainable PPP Ecosystem

The Policy Dialogue provided an open platform to explore global best practices, identify opportunities for donor and private sector collaboration, and outline concrete steps to strengthen Jordan’s enabling environment for blended finance and PPPs, including:

- Establishing a bankable PPP pipeline with robust project preparation mechanisms.
- Improving policies, regulations, and approval processes for PPPs.
- Expanding instruments such as guarantees, concessional windows, liquidity support, and climate-aligned financing.
- Enhancing coordination among development partners, DFIs, donors, and the private sector.
- Supporting SMEs and youth-led enterprises that integrate into PPP value chains.

The Dialogue concluded with a strong commitment from all parties to deepen cooperation and align public, donor, and private sector efforts toward scaling blended finance solutions that advance Jordan’s development priorities. The discussion will continue over the two days, November 26 and 27, dedicated to workshops on education, health, transport, and infrastructure sectors, as well as on climate protection from the impacts of change and resilience.

For more information on the Arab Fund's Country Partnership Strategy with Jordan for the period 2025-2029, please click here:  
About the Strategic Arab-DAC Engagement

The Strategic Arab-DAC Engagement on Blended Finance for Sustainable Development is a joint initiative by AFESD, the OECD-DAC, and Arab and international partners. It aims to build a shared understanding, promote peer learning, and facilitate practical cooperation on blended finance and private capital mobilization in the Arab region. The DAC Community of Practice on Private Finance for Sustainable Development (CoP-PF4SD) welcomes the momentum generated by the event’s discussions on public-private partnerships and private finance mobilization, especially in the context of Jordan and the wider MENA region. The CoP-PF4SD will build on these insights to inform member policies and projects, strengthening knowledge exchange and collaboration. This dialogue reinforces the CoP’s engagement with MENA partners, following the Arab-DAC Dialogue, and supports efforts to scale sustainable investment in the region. For more information, please click here 

For inquiries, please contact:
Ministry of Planning & International Cooperation of Jordan
Mr. Malik Al Braizat, Head, Arab & Islamic Financial Institutions Section
Email: [email protected]
Mobile: (+962) 799800012
 
Arab Fund for Economic & Social Development 
For Operational inquiries
Mr. Jamel BOUAOUN  
New Financial Products Manager  
Phone: (+965) 24959318  
Email: [email protected]  

For Media inquiries
Mr. Mohamed Eissa
Head of Communications
Phone: (+965) 24959340
Email: [email protected]