Issue  No.61
15 February 2016

This report is designed to give you a snapshot about the MENA region tackling multiple issues:


         33.2  USD           1,212  USD


    Economic Outlook
  • Egypt's Central Bank brought in over 14 BN USD to the local banks in order to enhance the imports activity. On the other hand, a central bank statement has revealed that prices on some food items have dropped by 25-35% due to the dollar injections and the annual urban consumer inflation rate fell from 11.1% the previous month to 10.1% after the flow of foreign currency to local banks.
  • Tunisia will get a 560 MM USD loan from the European Union in order to boost its economy. It is worth mentioning that Tunisia is facing economic difficulties since 2011 including a drop in tourism, which is a main source of jobs and revenues to the country.
  • The UAE Prime Minister announced that the country is planning to cut the number of ministries and outsource government tasks to the private sector. The Minister also announced the formulation of a single education ministry and removing the ministry of higher education.
  • According to the Head of the European Union Delegation to Egypt, the European investment in Egypt has increased by 4% during 2015. Also he added that the volume of mutual trade between Egypt and the EU has increased by 11% since the beginning of 2015.
  • Germany will provide a loan to Iraq that is worth 566 MM USD in order to assist the country with the great drop in oil prices. It's worthy to note that the projected deficit for Iraq's 2016 budget is more than 20 BN USD that will be mainly financed by aids from international organizations.
  • OPEC is expecting an oil surplus in 2016 by 720,000 barrels per day as Saudi Arabia and other members produce more oil. OPEC also forecasted a 3.2% world economic growth compared to 3.4% forecasted before as a result of low oil prices.  
  • Saudi Arabia and Bahrain has banned some Iranian ships from entering their ports and imposed more shipping restrictions. It's still not clear what will be the impact of these restrictions on Iran's international trade after sanctions has been removed on their shipping sector.
  • The UAE Ministry of Economy and US Department of Commerce have signed a partnership agreement. The aim of the agreement is to facilitate the exchange of innovation and entrepreneurship expertise in which the UAE's National Innovation Committee will be responsible for overseeing the execution of the initiatives.
  • Oman has announced a 14 BN USD loss in 2015 revenues compared to 2014 as a result of low oil prices. Although the Omani government has produced 981,000 barrels per day of crude oil in 2015 compared to 943,500 barrels per day in 2014, however, the average price per barrel in 2015 was 56.5 USD which is 45% less than the average price in 2014.
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