The global economical crisis has hit the Middle East and North Africa negatively, with growth declining to 2.6% in 2009 compared to 5.7% in 2008. Nevertheless, according to the latest economical outlook of the IMF the region is doing much better than other parts of the world. The reasons given by the IMF are:
- Oil importing countries such as Djibouti and Egypt could benefit from lower oil prices.
- Oil importing countries escaped the crisis due to less linkage to global financial markets (capitaleritrea).
- Strict financial and economic management
- Oil exporting countries can rely on their large oil reserves
- Government spending to offset slowdown in domestic and international demand
- Stabilisation of the national banking system
The report states that the economical linkage between the rich oil exporting countries and the poorer oil importing countries will help the region to cushion the global crisis better. Read more: IMF.
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