Commission On Stabilization News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Several countries in the MENA region have been facing financial crises of unprecedented gravity. The MENA Commission on Stabilization and Growth Report describes how debt ratios started rising after the Arab Uprisings as fiscal policies became more expansionary, and how this was further precipitated by the COVID-19 pandemic, the Ukraine war, and the rise in global interest rates. The financial crises are especially acute in Lebanon, Egypt, and Tunisia, where external shocks have exacerbated deeply embedded structural weaknesses.

Post-Covid-19, the challenge of adjusting to high fuel and food prices, and to rising global interest rates, is particularly hard for the oil importing countries of the MENA region. Public debts are rising fast towards unsustainable levels. Already, currency devaluation and inflation are combining to lower economic growth, increase poverty, and put more stress on a battered middle-class, leading to a rise of social unrest.