Jordan is to receive a large investment in its Red Sea port from a Dutch port operator.
The Aqaba Development Company signed a memorandum of understanding Tuesday with APM Terminals for a $242 million investment in Aqaba. The money will go toward turning the port city into a regional logistics hub. The two entities also aim to increase the amount of maritime trade passing through Aqaba and establish a training center for Jordanian youth so they can learn about port systems, Jordan’s official Petra news agency reported.
Why it matters: Jordan’s port in Aqaba developed after the country purchased additional Red Sea coastline from Saudi Arabia. It has since become a big tourist attraction, attracting Israelis traveling on a budget, divers and others. Jordan’s tourism revenue has increased significantly so far this year.
Jordan’s economy was negatively impacted by the strict coronavirus-related restrictions in 2020. The economy is marked by high unemployment, rising debt and weak investment, according to The World Bank.
Know more: The Danish shipping giant Maersk is the parent company APM Terminals. Last month, Maersk agreed to invest $500 million in Egypt’s Suez Canal.