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How sustainable is the Gulf’s fiscal splurge?

We’ve argued for some time that the Gulf economies should outperform the rest of the MENA region over the next couple of years, in large part thanks to large increases in government spending. But while the Gulf’s fiscal positions are among the strongest in the world, they are also increasingly reliant on oil prices remaining high. In this Watch, we take a closer look at what this could mean for the region.

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