Policy Papers

Economic Diversification in Oil-Exporting Arab Countries

Publication Date:

April 29, 2016

Electronic Access:

Free Download. Use the free Adobe Acrobat Reader to view this PDF file

Summary:

countries face similar challenges to create jobs and foster more inclusive growth. The current environment of likely durable low oil prices has exacerbated these challenges.

• The non-oil private sector remains relatively small and, consequently, has been only a limited source of growth and employment.
• Because oil is an exhaustible resource, new sectors need to be developed so they can take over as the oil and gas industry dwindles.
• Over-reliance on oil also exacerbates macroeconomic volatility.

Greater economic diversification would unlock job-creating growth, increase resilience to oil price volatility and improve prospects for future generations.

Macro-economic stability and supportive regulatory and institutional frameworks are key prerequisites for economic diversification...

Series:

Policy Papers

Subject:

Economic conditions Employment Labor market reforms Nonoil sector Oil exporting countries Oil prices Oil revenues Population Private sector Public sector