Aqaba: This Is How We Built the City
For many decades, Aqaba held strategic significance with untapped potential, and it wasn't until 2001, under the leadership of His Majesty King Abdullah II and his pioneering economic and development vision, that Aqaba was reimagined as a special economic zone.
In just two decades, Aqaba Governorate underwent a remarkable transformation. From a modest town with a population of around 104,000, primarily concentrated in the city centre (70,000), it evolved into a vibrant hub with approximately 223,000 residents, of which 176,000 were based in the city centre.
Aqaba burgeoned into a bustling metropolis teeming with economic vitality, social dynamism, and regional tourism prominence. It expanded to become the fifth-largest city in the Kingdom, boasting the second-highest economic capital, substantial investments and top-notch infrastructure. Moreover, the city generated over 51,000 employment opportunities. Aqaba's astounding progress over two decades surpassed all initial expectations, marking a monumental success story of transformation.
The Royal vision driving the transformation of Aqaba into a special economic zone was rooted in leveraging the city's strategic coastal advantages. The goal was to transform Aqaba into an economic powerhouse for the nation and establish the city as a regional logistics hub for transportation and services. Additionally, the aim was to position Aqaba as an advanced commercial and industrial centre in southern Jordan and a prominent regional and global tourism destination. This vision included seamless integration with iconic attractions like Petra and Wadi Rum, forming what is often referred to as the "Golden Triangle."
The initial plan for the Aqaba Special Economic Zone (ASEZ) envisaged attracting $6 billion in investments by 2020. Surpassing expectations, the city successfully attracted investments worth $10 billion by 2008 alone. By 2023, the completed investment volume had risen to approximately $20 billion, far exceeding the initial projections.
During the first decade of "Contemporary Aqaba", efforts were concentrated on bolstering the city's infrastructure to position it as an integrated logistics hub in the Middle East. This involved investing in multimodal transportation, including an integrated port system, an international airport and cutting-edge logistical facilities.
During that period, significant investments poured into the tourism and real estate sectors. In 2001, a comprehensive masterplan was devised for the city of Aqaba. Central to this plan was the strategic reutilisation of the main port areas for tourism-centric purposes. This necessitated relocating all ports to the southern region, thereby facilitating the expansion of the city's coastal front and the establishment of a port primed to offer logistical services complemented by industrial support.
In 2004, the Aqaba Development Company was founded, serving as the investment and development nucleus within ASEZ. Two years later, in 2006, an important milestone was achieved with the establishment of the Aqaba Container Port through a strategic partnership with a seasoned operating and development entity, tasked with managing and overseeing the port's operations for a 25-year term. By 2008, the Aqaba Container Port had transformed into a regional gateway servicing the Levant, operating in accordance with the highest international benchmarks. In 2012, His Majesty laid the foundation stone for the new port of Aqaba in partnership with the Aqaba Development Company and the government.
By 2023, Aqaba boasted a comprehensive port network comprising 12 specialised ports, featuring a total of 32 berths. Among these are the container port, industrial port, which underwent refurbishment in 2016, oil port, liquefied petroleum gas port, new phosphate port in 2013 and the marine services port of Aqaba. Others include the Sheikh Sabah LNG Port, the passenger port, the middle port (Yarmouk Port) and the multi-purpose liquids port. While all these ports are government-owned, they operate under varying management contracts.
Furthermore, the King Hussein International Airport in Aqaba underwent extensive development, enabling it to accommodate a wide range of aircraft. The total number of passengers—arrivals and departures—doubled from 120,000 in 2000 to 238,000 by 2022. In addition, a series of logistics villages and nine storage facilities were established.
In the industrial sphere, ASEZ has made significant strides, now encompassing four industrial areas: Aqaba International Industrial Estate, Al Quwairah Industrial City, Jordan Industrial Ports Company, and National Real Estate Company Jordan. These areas host approximately 100 state-of-the-art industrial facilities spanning various sectors.
The Wadi Rum area underwent extensive development, emerging as a popular tourist destination. A modern visitor centre was established, and the number of tourist camps within the reserve surged to approximately 200 by 2022. Furthermore, a comprehensive development plan was devised for the region with an allocation of JD14 million for the years 2022-2024.
Two decades since the inception of ASEZ, modern Aqaba stands as a testament to Jordanian vision and determination. Over this period, the city has generated more than 51,000 employment opportunities. Aqaba's allure as a tourist destination is undeniable, boasting 71 hotels offering around 5,600 rooms and accommodating nearly one million overnight visitors each year.