Middle Eastern countries will record a $1.3 trillion (€1.29 trillion) increase in income by 2026 due to rising crude oil and natural gas prices, an estimate by International Monetary Fund (IMF).
In an interview with the British Economic Journal “Financial Times”, IMF Director for the Middle East and North Africa, Azur Jihadpointed out that this increase in income was in relation to the energy price forecasts that existed before war in Ukraine.
The IMF technician also indicated that it is “important” that oil and gas exporting countries use that extra income to “invest in the future”as well as internal productivity.
[La petrolera saudí Aramco registra unos ingresos récord de 47.188 millones de euros]
Unlike most Western countries, most oil and gas companies in the Middle East are owned by owned by their respective countries. Thus, it is the countries that directly benefit from the increase in income due to higher energy prices.
“What will be really important is how [los países de Oriente Próximo] manage this new cycle and how at the same time they maintain the benefits of additional liquidity and policies that do not drive them into a pro-cyclical state,” Azur stressed.
Middle East countries include Armenia, Azerbaijan, Bahrain, Qatar, Cyprus, Egypt, Georgia, Iraq, Iran, Israel, Jordan, Kuwait, Lebanon, Oman, Palestine, Saudi Arabia, Syria, Turkey, Yemen, United Arab Emirates.