The Impact of Global Economic Crisis in the Middle East

The Impact of Global Economic Crisis in the Middle East

Table of Contents

Glossary 3

Introduction 4

Background 4

The Effect of the Crisis 5

Financial Markets 5

Oil 6

Foreign Assets 7

Impact in tourism sector 7

Remittances 8

Non-Oil Exports 8

Response to mitigate the turmoil 8

Crisis on Economic Performance 9

Economic Growth 9

Inflation 10

Financial System Stability Assessment and Measures 10

Methodology 12

Conclusion 12

Bibliography 13

Works Cited 14

Glossary

Terms | Abbreviations |

Middle-East and North Africa Countries | MENA |

Gulf Corporation Council | GCC |

Gross Domestic Products | GDP |

Organization of the Petroleum Exporting Countries | OPEC |

International Monetary Fund | IMF |

Sovereign Wealth Fund | SWF |

Banking Control Law | BCL |

Saudi Arabia Monetary Agency | SAMA |

Capital Market Authority | CMA |

Real Estate Development Fund | REDF |

Public Pension Agency | PPA |

General Organization for Social Insurance | GOSI |

Kuwait Investment Authority | KIA |

Introduction

The purpose of the report is to lay down a detailed analysis on the impact of Global Economic Crisis in the Middle East countries, the phenomenon that begun from the financial turmoil in the year 2008. The effect of global crisis in economy has made a direct impact to the Middle-East and North Africa Countries (MENA).

Background

The Middle East comprises a vast geographic area; from Morocco in the northwest corner of Africa to Oman located at the tip of Arabian Peninsula in the east, Iraq in the north to Sudan, and a vast expanse in Sub-Saharan Africa, to the South. The countries which comprise Middle East act different in respect to the economic development and its structure. For example, Syria exercises indigenous economy with limited co-operation from the Western countries. Other countries, especially Gulf Corporation Council (GCC) maintain close ties to the Global Economy, which invariably affects the GCC...