The World Bank projects that the Middle East and North Africa region will experience growth rates of 2.7% in 2024 and 4.2% in 2025, signaling a return to pre-pandemic levels of low growth seen in the decade leading up to the global crisis. This growth outlook is part of a broader trend of slowing global economic growth, with variations in growth patterns across advanced, emerging market, and developing economies. Specifically, the report forecasts a 2.7% real GDP growth for the Middle East and North Africa region in 2024, rising to 4.2% in 2025.
The World Bank anticipates growth rates in the Gulf Cooperation Council countries to reach 2.8% in 2024 and 4.7% in 2025. Projections show an upward revision in real GDP growth for countries like the UAE, with estimates of 3.9% in 2024 and 4.1% in 2025. Saudi Arabia, Kuwait, Bahrain, Qatar, and Oman are also expected to see growth in the coming years, albeit at varying rates.
In addition to economic growth forecasts, the report also highlights the devastating impact of ongoing conflicts in the region, particularly in the Gaza Strip, where loss of life, displacement, and destruction of infrastructure have led to a severe humanitarian crisis. The report warns of impending famine and catastrophic hunger in the region, with significant implications for the future of children in affected areas.
The conflict in the Middle East and North Africa region is further compounded by global economic challenges, such as the repercussions of the COVID-19 pandemic, the Russian invasion of Ukraine, and rising inflation rates. These factors have contributed to slower growth rates across the region, with emerging market and developing economies expected to grow at a slower pace compared to pre-pandemic levels.
Despite these challenges, the World Bank remains cautiously optimistic about the region’s economic prospects, emphasizing the need for resilience and adaptation in the face of ongoing conflicts and global economic uncertainties. The report underscores the importance of sustainable growth policies and investments to navigate the complex economic landscape in the Middle East and North Africa.