Middle Eastern and North African economies — especially in the Gulf — are showing resilience amid global uncertainty, allowing governments to tap debt markets to finance spending plans, according to the International Monetary Fund. The region has largely escaped the “direct fallout from higher US tariffs and global trade restrictions” and had limited impact from wars, Jihad Azour, the IMF’s director for the Middle East and Central Asia, said in Dubai.
The fund expects stronger growth ahead, driven by higher oil output and expanding non-oil sectors such as tourism and consumption. Governments are taking advantage of this strength: regional debt issuance has already reached $48 billion this year, surpassing 2024 levels, Azour noted, as countries pursue diversification projects while preserving capital buffers.