Towards New Horizons-Arab Economic Transformation amid Political Transitions released by IMF
A report released by IMF has called for bold economic policy reforms to achieve economic stability in the Arab world.
The International Monetary Fund (IMF) on 11 April 2014 released a report entitled Towards New Horizons-Arab Economic Transformation amid Political Transitions. IMF in its report has said that to achieve economic stability and for job-creation the Arab countries will have to come up with bold economic policy reforms. The released report had examined the economies of Egypt, Jordan, Libya, Morocco, Tunisia, and Yemen during the Transition period.
In its report, IMF has said that the near-term outlook in the Arab world will be challenging and the priority in the coming years should be given towards maintenance of economic stability.
The report has highlighted that the economic growth in the Arab countries is still too low and the job created are very few to meet the aspirations of the people. It also says that in case the strong economic and financial reforms are not implemented than the recovery in these countries would be insufficient to reduce the region’s high rates of unemployment, particularly among the women and youth.
The report had recommended focus on three medium-term policy priorities for the Arab countries in Transition, namely
• Creation of more jobs in near term
• Reduction of vulnerabilities to safeguard economic stability
• Setting in motion reforms to generate higher and more inclusive growth in coming years
The report has suggested that a strong economic reform agenda will be essential for propelling private sector activities and also to foster a more dynamic, competitive, innovative-driven and inclusive economy.
This study has also asserted that the support from the international community will be critical, through increased financing, better access for the Arab Countries in Transition’s (ACT) exports to advanced economies markets and broader policy advice and capacity-building.
IMF Managing Director - Christine Lagarde
Editor or Author of the report - Harald Finger and Daniela Gressani