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Middle Eastern Trade

Arab Spring countries are experiencing unprecedented political turmoil because of their push for free and open governments and economies. Growth is faltering and fiscal and external pressures are driving away foreign investments.¹ The international community has been called upon by these revolutionizing nations to provide financial support and policy advice. Additionally, Middle Eastern oil exporters are benefitting from high oil prices.

There are a few downside events that will severely affect Middle Eastern economies: further escalation of the Euro area crisis, oil supply concerns, excessively tight macroeconomic policies in advanced economies, and disruption in global bond and currency markets will all slowdown growth and cause turmoil in the Middle East.¹

 

Reference:
1.  (April 2012). Regional Economic Outlook Update: Middle East and Central Asia. Retrieved from http://www.imf.org/external/pubs/ft/reo/2012/mcd/eng/mreo0412.htm

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