Prince Muhammad completed his primary schooling at the Islamic Scientific College in Amman and then attended the Collège Alpin International Beau Soleil in Switzerland. He then went to Bryanston School, Dorset, in the United Kingdom where he finished his secondary education. Between 1956 and 1957 he attended the Military Academy in Baghdad. In 1960 he earned his private pilot's license.
Upon his return to Jordan in 1958, Prince Muhammad joined the Jordan Arab Army and served in the first Royal Guard Regiment before becoming Aide de Camp to King Hussein. Prince Muhammad was made Crown Prince of Jordan in 1952 when his elder brother Crown Prince Hussein became king. He held the post until 1962.
In 1971, he was appointed head of the council of tribal chiefs by King Hussein. In 1973, a royal decree invested him as the personal representative of King Hussein. He then headed the supreme committee for tourism in Jordan. He also served as regent and as head of the regency council on numerous occasions in the absence of the King. He held the honorary rank of full general in the Jordanian Armed Forces as well as many high decorations from Jordan and other countries.