Business leader, mayor welcome move to create fund for compensations in natural disasters

AMMAN — The Cabinet’s recent decision to establish a fund to support Jordanians hit hard by natural disasters is a “step in the right direction”, according to field experts.   

However, they highlighted the need for the fund to be transparent and to compensate only documented and evidence-based damage.

The Council of Ministers on Wednesday approved a draft by-law on the establishment of the fund to minimise the losses of citizens affected by natural disasters, including floods, earthquakes, hurricanes, thunderbolts, ground cracks, landslides and fires, in addition to other conditions the Cabinet includes.

The fund is expected to have a “positive” impact on taxpayers’ stance on the government’s reactions to their problems, said Amman Chamber of Commerce Vice Chairman Ghassan Kherfan, particularly traders with “modest” shops.

Meanwhile, the concerned authorities should “clearly” specify compensation conditions beforehand and educate the public on the importance of obtaining official documentation on the damage, assisted by photographs, unlike what happened with downtown Amman traders during the recent floods.

“It is important to correctly evaluate losses,” Kherfan told The Jordan Times in a phone interview on Thursday, noting that some may tend to “exaggerate” the amount of losses to collect higher assistance.

The official announcement mentioned “cash and in-kind” assistance. Kherfan explained that in-kind assistance could be a reduction in sales or income taxes for affected traders.

Ali Dalki, mayor of Muath Bin Jabal Municipality, which witnessed widespread damage due to floods in early November, described the move as “excellent if implemented fairly”.

He said the compensation for the recent floods was “insignificant”, as families with completely damaged furniture were give a food package and two blankets.

However, an “efficient” use of the fund will help citizens and the government in responding to emergency situations, Dalki noted, adding that it has to contain tens of thousands of dinars in order for the government’s response to be “quick and effective” since natural disasters usually result in major losses.

The fund, according to the Cabinet decision, will be administered by the Finance Ministry, which will oversee balances and expenditures, in accordance with the by-law 

Officials at the ministry could not be reached for comment despite several attempts by The Jordan Times to reach them.