Aqaba Special Economic Zone – ASEZ October, 2014 A Model of Governance!

By Prof. Dr. Kamel O. Mahadin Chief Commissioner

Vision of the ASEZ

“a world class business hub and leisure destination on the Red Sea, acts as a development driving force for Jordan that improves the quality of life and

prosperity for the community through sustainable development”

Vision of the ASEZ

launched in 2001 as a duty-free, low tax multi-sector development zone;

ASEZ area is 375 Km2 and encompasses the total Jordanian coastline of (27 km);

Sea-ports, and International Airport;

Population of over 140,000 people;

ASEZ is regulated by the Aqaba Special Economic Zone Authority - financially & administratively autonomous institution!

ASEZA adopted a comprehensive Master Plan encompassing all development activities in the Zone (Portal, Urban, Tourist, Commercial, Academic… etc.)

Strategic Location 3 Continents – 5 Countries

Gateway to the Levant

ASEZA Law (32) of the Year 2000

Natural & Historical endowments

Signed Almost 30 MOU’s

Cultural endowments

ASEZA One-Stop-Shop

World-class Incentives

Advanced Master Plan

Market Access Number of Free Trade

Agreements

Multi-Modal Transport hub

Tourism Destination ‘Golden-Triangle’

Open-skies International Airport

Duty-Free Zone Aqaba Development Corporation (ADC)

Flexible Regulatory Framework

ASEZ COMPETITIVE ADVANTAGE TO ATTRACT INVESTMENTS

ASEZ Master Plan 2001 - 2020

Aqaba Town Port Areas Coral Costal Zone Southern Industrial Zone Airport Industrial Zone

Ownership Launched in 2004 as ASEZA Central Development ARM

GOVERNMENT, ASEZA & ADC

ASEZA

ADC

Prime Ministry

JOINT COMMITTE

Flexibility of the Model!

Supervises the work of ASEZA;

Prime Minister is represented in ASEZ by ASEZA Chief Commissioner & Chairs the ASEZA meeting when present.

Independent Government entity reports directly to the Prime Minister.

Sets Zone Rules and Regulations.

Is managed by a Board of Commissioners (total of 6)

Provides one-stop shop Administrative Services (including administration of customs and taxes) Develop the Zone, including infrastructure development (excluding all sovereign services);

Provide efficient utility and other services to Zone tenants;

Market the Zone in integrated manner to local and international investors;

Invest in Enabling facilities (e.g. training, labor pool, etc.);

Recommended to be a single private sector operator/developer to achieve critical scale and higher efficiency.

ASEZA – PEOPLE FOCUSED ROLE

ASEZA

ASEZ MANAGEMENT

REVENUE COLLECTION

PUBLIC & SOCIAL WELFARE

ASEZ PROMOTION

BUSINESS FACILITATION

Municipal Projects, Police & Public Security, Urban Planning & Zoning, Coast Guard, Fire Department.

Tax Collection, Sales of Residential Lands, Customs.

New Public Hospital Facilities, New Public Educational Facilities.

General ASEZ Promotion, Tourism Promotion.

Licensing & Registration, Permits, One-Stop Approvals.

ASEZ MANAGEMENT:

REVENUE COLLECTION:

PUBLIC WELFARE:

ASEZ PROMOTION:

BUSINESS FACILITATION:

ADC

INFRASTRUCTURE DEVELOPMENT

BUSINESS / LAND DEVELOPMENT

ENABLING PROJECTS

PROGRAM MANAGEMENT

OPERATION MANAGEMENT

INFRASTRUCTURE DEVELOPMENT: BUSINESS / LAND DEVELOPMENT:

ENABLING PROJECTS:

PROGRAM MANAGEMENT: OPERATION MANAGEMENT:

ADC – BUSINESS FOCUSED ROLE

Port Development, Airport Development, Utilities, Surface Transport Development.

Land Development, Business Marketing & Investment Promotion, New Business Land-related Development, Land Lease & Sale.

Development of Tourism Attractions and Shared Services.

Logistics Projects, Tourism Development, Industrial Zone Planning, Development Program.

Warehousing Operations, Lease Operations

Royal Jordanian Falcons Funded by ADC

Saraya Aqaba (5.4%)

Aqaba Container Terminal (49.9%)

Aqaba National Real Estate (30%)

Aqaba Water Company (15%)

Ports Authority (100%)

Aqaba Port Marine Services (30%)

Aqaba AirPorts Company (100%)

Aqaba International School (100%)

Al Madaen Market (47%)

United Transportation (15%)

ADC SUBSIDIARIES

Current on-ground Achievements

Achievements Exceeded The Master Plan Target by more than 300% in a short period

of time.

far beyond Initial Objective

2013

R

eal E

stat

e &

Tou

rism

Pro

ject

s

Total Area : 4.3 million sqm Investment Value: USD 2.5 Billion

Total Area : 634,000 sqm Investment Value: USD 1.5 Billion

Total Area : 3.2 million sqm Investment Value: USD 10 Billion

Total Area : 2.7 million sqm Investment Value: USD 1.2 Billion

Ayla Oasis Saraya Aqaba

Marsa Zayed Tala-Bay Resort

En

able

r Pro

ject

s / P

PPs

Total Area : 10,000 sqm Investment Value: USD 10 Million

Total Area : 36,000 sqm Investment Value: USD 20 Million

Total Area : 500,000 sqm Investment Value: USD 150 Million

Total Area : 31,000 sqm Investment Value: USD 20 Million

Produce Market Labor Village

Aqaba University International School

Aqaba Town Park Project – in Pipeline!

303 DONUMS AREA

CITY PARK LAND USE

Around 50K POPULATION SURROUNDING THE SITE

5 (residential area 6,8,10 Rimal, and Mahdood)

NO. OF RESIDENTIAL BLOCKS SURROUNDING THE SITE

15.470 million JOD ESTIMATED CONSTRUCTION BUDGET

A

B

C

Thank You