Regional Renaissance: The MENAAP Economic Rebound and Untapped Potential

A Glimpse of the Future: Economic Growth

The World Bank’s latest report unveils a promising future for the Middle East, North Africa, Afghanistan, and Pakistan (MENAAP) region. With economic growth projected to reach 2.8% in 2025 and 3.3% in 2026, signs of revival are in the air. However, navigating this path isn’t without challenges. Global instability, policy changes, and endemic conflicts pose looming threats.

The Gulf’s Dual Path: Oil and Innovation

In the Gulf Cooperation Council countries, the shift away from voluntary oil production cuts coupled with burgeoning non-oil sectors sets a positive trajectory. Oil-importing nations are poised for resurgence, driven by revitalized private spending, investment influx, and tourism expansion. Yet, oil-exporting developing countries face hurdles due to ongoing conflicts and reduced oil outputs.

An Untapped Resource: Women’s Participation

Jobs and Women: Untapped Talent, Unrealized Growth underscores the region’s potential by championing women’s roles. With the lowest female labor force participation globally, the MENAAP region teeters on the brink of transformation. The current participation rate, a mere one in five, reveals the untapped reservoir of female talent despite strides in education.

Transformative Potential: A Call to Action

Ousmane Dione, Vice President for the World Bank’s MENAAP region, calls for bold measures, not quick fixes. “To harness the full potential of women, we must dismantle barriers with comprehensive strategies,” he emphasizes. A dynamic private sector is pivotal in redefining women’s roles and sparking substantial progress.

Economic Gains Beyond Measure

Roberta Gatti, Chief Economist for the MENAAP region, highlights a staggering opportunity: increasing female workforce participation. “Removing barriers that hinder women from joining the workforce can spike GDP per capita by 20 to 30% in places like Egypt, Jordan, and Pakistan,” she notes. A shift in mindset and policy could reshape the economic landscape, offering unparalleled growth.

As stated in World Bank, the key lies in eliminating social barriers, reshaping norms, and rewriting legal frameworks to unlock prosperity. The future holds promise as the MENAAP region awakens to its full potential, and by embracing inclusivity, it can usher in a new era of growth and opportunity for all.