GCC economies expected to experience divergent recovery

GCC economies expected to experience divergent recovery

Muscat: The economies in the Middle East and North Africa (Mena) region are expected to experience an extended and divergent recovery, according to a new report. This recovery would depend on the current stage of the pandemic in the country, the economic exposure to sensitive and most affected sectors and the efforts from the government in terms of vaccine administration and other economic reforms, the Kuwait-based Kamco Invest said. Quoting the IMF the report said that economies in the region will have to balance priorities in terms of immediate requirements that include saving lives and employment as well as deal with near term challenges like rising debt levels and building more sustainable economies. Gross domestic product (GDP) growth in the Mena region is expected to average at 4. 0 per cent in 2021, a higher growth against the 3. 2 per cent estimated in October-2020, while growth amongst countries varies depending on how reforms are implemented. However, the report added that this revision came mainly on the back of upward revisions for four out of six Gulf Cooperation Council (GCC) countries while 13 countries in the overall region saw their projections pared. Kamco report says that "We believe that the