Arab economies have grown by 1.3 percent in 2017, with upward projections of a 2.2 percent growth in 2018 and a 2.9 percent in 2019, Chairman of the Board of Executive Directors and Director General at Arab Monetary Fund Abdulrahman Bin Abdullah AlHamidy said.
The growth hike is considered possible as expectations of the recovery of the oil sector gained traction. More so, continues positive effects of economic reforms in all Arab countries.
However, Arab economies are still facing challenges in reducing unemployment and establishing comprehensive and sustainable growth, AlHamidy said during the joint annual meetings of the Arab financial institutions held in the Dead Sea region of Jordan.
Participants at the meeting will discuss many topics of interest to the Arab financial bodies, mainly related to decisions adopted by individual financial bodies, annual plans and budgets, and prospect programs to be carried out by financial entities.
AlHamidy said that it was necessary to raise growth rates to 5-6 percent per year so that Arab labor markets could absorb new employment and achieve a relative reduction in unemployment rates, particularly among young people and university graduates.
Rates for youth unemployment registered around 29.1 percent in 2017.
Yemen's Minister of Planning and International Cooperation Mohammed Saeed Al-Saadi said that economic conditions in Arab countries recorded what he labeled a ‘limited’ growth rate last year, according to preliminary estimates, hitting a mark of 1.3 percent rather than the 2 percent witnessed in 2016 previous year.
Saddi traced back the slowdown in growth in Arab oil-exporting countries to the cut back of output levels in the oil sectors.
