Private Sector Job Creation in MENA: Prioritizing the Reform Agenda

IMF Working Papers, September 27, 2019

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Canonical URL: Private Sector Job Creation in MENA: Prioritizing the Reform Agenda

Authors: Benedicte Baduel, Carolin Geginat, Gaëlle Pierre
Date: September 27, 2019
Core question: To what extent did firms in selected MENA countries report being constrained by the business environment around the time of the Arab Spring, and how did these constraints affect their employment performance?
Data source cited: World Bank enterprise survey

Small firms in MENA faced more structural constraints than similar firms in other regions.
MENA firms’ weaker job creation is explained in great part by the macroeconomic environment and structural constraints.
Specific factors identified as explaining a significant part of the lack of employment growth in MENA firms compared to their peers:
- Low GDP growth
- Falling external competitiveness
- Corruption
- Lack of access to finance
- Poor access to electricity

Subject tags included in the publication: Business environment, Commodities, Economic sectors, Electricity, Employment, Job creation, Labor, Labor productivity, Production
Keywords listed: Arab Countries in Transition, Business environment, Central and Eastern Europe, credit constraint, Electricity, employment, employment creation, employment growth, employment performance, enterprise survey, firm exit, firms in Mena, firms' characteristic, Job creation, Labor productivity, medium-sized firm, MENA, micro firm, private sector, SMEs, World Bank enterprise survey, World Bank enterprises survey, WP