Publication: Growth in the Middle East and North Africa
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Date
2024-10-16
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2024-10-16
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Elmallakh, Nelly
Faurès, Diego
Mousa, Mennatallah Emam
Suvanov, Ilias
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Abstract
This issue of the MENA Economic Update presents a summary of recent macroeconomic trends, including an update of the conflict centered in Gaza and its regional spillovers, alongside an analysis of factors that shape the long-term growth potential of the region, with special attention to the persistent effects of conflicts. A modest uptick in growth is forecast for 2024, which nonetheless masks important disparities within the region. The acceleration is driven by the high-income oil exporters, while growth is expected to decelerate among developing MENA countries, both developing oil exporters and developing oil importers. Despite current challenges, the region can dramatically boost growth by better allocating talent in the labor market, leveraging its strategic location, and promoting innovation. Closing the gender employment gap, rethinking the footprint of the public sector, and facilitating technology transfers through trade under enhanced data quality and transparency can help the region leap toward the frontier. Peace is a pre-condition for catching up to the frontier, as conflict can undo decades of progress, delaying economic development by generations.
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“Gatti, Roberta; Torres, Jesica; Elmallakh, Nelly; Mele, Gianluca; Faurès, Diego; Mousa, Mennatallah Emam; Suvanov, Ilias. 2024. Growth in the Middle East and North Africa. Middle East and North Africa Economic Update, October 2024. © World Bank. http://hdl.handle.net/10986/42000 License: CC BY 3.0 IGO.”
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