“AMF” reveals its expectations regarding the economies of Arab countries

The UAE's economic growth is expected to remain strong, averaging 4.6 percent from 2022 to 2024, driven by higher oil prices and improved business confidence, according to the Arab Monetary Fund.

Decrease in the consumer price index

The Arab Economic Outlook report issued by the Arab Monetary Fund (AMF)also predicts a growth rate of 4.2 percent for the United Arab Emirates in 2023, accompanied by a decline in the consumer price index to 2.9 percent in 2023 and 2.57 percent in 2024.

Curb Inflation

And with the stability of oil and gas prices and the decline in the prices of basic commodities, such as agricultural products, the report expected a growth of 3.4 percent for Arab economies, accompanied by stricter monetary policies to curb inflation.

Economic shocks

The report showed that Arab countries that have programs and strategies for economic reform to diversify their economies, improve their resilience, enhance their business environments, empower the private sector and invest in human capital are better able to deal with economic shocks.

According to the report, the economic growth rate of the Arab countries will rise to 4% in 2024, mainly due to the expected stability of oil and gas prices, commodity prices and inflation control.

Oil-exporting Arab countries

The report stressed that the rise in energy prices will enhance the economic growth of the major oil-exporting Arab countries in 2023 and 2024, as their economies are expected to grow by 3.4 percent in 2023 and by 4.2 percent in 2024.

Positive outlook

The report added that the GCC countries have positive expectations for the year 2023, as GDP growth is expected by 3.4 percent, mainly due to their efforts to diversify their sources of income.

Pointing out that oil prices are likely to remain stable and high. , which led to higher oil revenues and improved financial results, foreign exchange reserves and financial positions.

The report stressed that promoting the localization of the workforce and increasing the participation of citizens in the private sector is another key approach to achieving growth in the GCC countries, most notably in the UAE, Saudi Arabia and Bahrain.

Economic growth

The report stated that many international organizations have different estimates of global economic growth in 2023 and 2024, ranging from 1.7 percent to 2.9 percent for 2023 and from 2.7 percent to 3.1 percent for 2024.