COVID-19 to hit MENA countries’ economies hard: Capital Economics

COVID-19 to hit MENA countries’ economies hard: Capital Economics

Business COVID-19 to hit MENA countries' economies hard: Capital Economics. Comments Off on COVID-19 to hit MENA countries' economies hard: Capital Economics. There will be much more economic damage than expected, Capital Economics said in its MENA economics update' report released on Tuesday.. While increased oil production will provide some offsetting support for Gulf countries, nearly all economies look set to contract over this year as a whole, the report mentioned.. Several countries have resorted to curfews and shut down large swathes of their economies, the report mentioned. ". Sectors that are most vulnerable to social distancing, such as retail trade and tourism, are likely to be hit the hardest, the report forecasted.. Tunisia and Jordan have the International Monetary Fund (IMF) backstops in place but there will be little scope for fiscal stimulus, said the report, adding that external positions are in better shape in Egypt and Morocco but poor public finances limit the scope for fiscal stimulus..