Middle East & North Africa Economics

Middle East Economics Focus

26 November, 2018

Can the Gulf economies weather the slump in oil prices?

The latest slump in oil prices is unlikely to lead to major balance sheet strains in the largest Gulf economies and, even if prices fall further to $40-50pb, dollar pegs shouldn’t come under threat. But in the long run, this will only be sustainable if policy is kept tight and domestic demand stays subdued. This is a key reason why we think that the recent economic recovery will falter in the coming quarters and that growth will ultimately be weaker than most expect.

Access this publication and more, take our free trial subscription today.

Free Trial

Already a subscriber? Simply log in to view this article.

Save to Library

New Book

Making a Success of Brexit
and Reforming the EU

by Roger Bootle

"Outstanding - engaging - absorbing"
Daily Telegraph

Buy now on Amazon
We use cookies to ensure you get the best experience on our website. Read our Cookie Policy for more information.