Washington, D.C.: The International Monetary Fund (IMF) detailed the economic outlook for the Middle East and Central Asia, noting growth prospects amidst rising geopolitical tensions and ongoing conflicts that influence regional stability and economic performance.
According to International Monetary Fund, Jihad Azour, Director of the Middle East and Central Asia Department, emphasized the mixed economic forecasts during the IMF’s 2024 Annual Meetings. The discussion highlighted three key points: the near-term strengthening of growth in both the Middle East and North Africa (MENA) and the Caucasus and Central Asia (CCA) regions, the high level of uncertainty due to geopolitical issues, and the challenges posed by prolonged conflicts and economic sanctions. Azour pointed out that while MENA countries face significant growth headwinds from ongoing conflicts and oil production cuts, CCA countries continue to exhibit robust growth. However, the economic landscape is fraught with challenges such as potential trade slowdowns, remittance fluctuations, and volatile oil markets.
Azour also stressed the need for comprehensive economic reforms to sustain medium-term growth, improve governance, and boost job creation across the regions. He underscored the importance of IMF’s ongoing support through financial assistance and capacity development to help member countries navigate these turbulent times. The briefing concluded with an open discussion where further concerns about the economic impacts of regional instability, particularly in Lebanon and Sudan, were addressed.