The adoption of a specific competition law in the Hashemite Kingdom of Jordan was a step taken by the Kingdom for the purposes of furthering its economic reform programme, which started in 2000. This programme was in a large part motivated by a desire on the part of the government to attract increased foreign direct investment into the Kingdom. The new Millennium brought new hopes for Jordan within the economic sphere: a new young – many would say Western – Monarch was sworn in; promising peace and harmony, especially between Jordan's neighbours; a serious interest by several key hi-technology international firms in the country looking to create a Middle Eastern silicon valley in the Jordan Valley emerged; and an increasing number of well-educated and wealthy Jordanians returned home bringing with them vast intellectual and financial assets.

Jordan is a small and weak economy, which – along with the Jordanian society and political regime – is incredibly easy to destabilise. The Kingdom enjoys a strong heritage though resources are scarce. Its particular geographic location and the composition of its population – with a Palestinian majority – has been the cause of problems threatening unrest within the country on several occasions. The Kingdom has been, for many years, ruled by the same family and often, according to many people, with an invisible iron fist directed at the country's Palestinian majority.