World Bank forecasts improved economic outlook for MENAAP region

Investing.com -- The World Bank has projected an improved economic outlook for the Middle East, North Africa, Afghanistan & Pakistan (MENAAP) region, with growth expected to reach 2.8% in 2025 and 3.3% in 2026, according to a report released Tuesday.

Gulf Cooperation Council (GCC) countries are likely to benefit from phasing out voluntary oil production cuts and growth in non-oil sectors, while oil-importing countries are expected to see economic improvements driven by private spending, investments, and rebounds in agriculture and tourism.

However, oil-exporting developing countries may experience a significant slowdown due to conflict and reduced oil production. The report also highlighted global uncertainty, trade policy shifts, and continued conflict as potential risks to the region’s economic outlook.

The World Bank report, titled "Jobs and Women: Untapped Talent, Unrealized Growth," emphasized that the region could achieve greater economic progress by better utilizing women’s talents and skills. Currently, only about one in five women participate in the labor force—the lowest rate globally—despite significant educational achievements.

"I urge bold action—not partial measures," said Ousmane Dione, Vice President for the World Bank’s MENAAP region. "To unlock the full potential of women in the region, we must tackle every barrier to their inclusion with comprehensive measures."

According to Roberta Gatti, Chief Economist for the MENAAP region, "Removing barriers that prevent women from accessing jobs could boost GDP per capita by 20 to 30 percent in economies like Egypt, Jordan, and Pakistan."

The report analyzed household choices, social norms, legal rules, and business environments to estimate potential economic gains from removing barriers to women’s workforce participation, concluding that no other region stands to benefit more from eliminating these constraints.

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