A business outlook for the Arab region

Abstract

The Arab Region comprises 22 countries in Northern Africa, the Levant, and the Arabian Peninsula stretching from the Atlantic Ocean to the Indian Ocean. It has a total population of about 360 million people, with more than 50% under the age of 25.1 It is highly diversified and can be classified into three major groups: the oil-rich countries that enjoy enormous oil and natural gas reserves; the oil importing countries that have diversified economies; and the least developed countries that feature among the lowest world rankings on the scale of socioeconomic indicators. Consequently, economic development in the Arab Region exhibits great diversity. There is a significant divide between the rich oil states of the Gulf Cooperation Council Countries (GCC) and poor countries like the Comoros, Mauritania, and Djibouti. For example, the gross domestic product (GDP) per capita of Qatar, the wealthiest Arab country (and the wealthiest in the world) is 73 times higher than that of Mauritania.2 Two other Arab countries that are on the list of the top wealthiest countries in the world are the United Arab Emirates (UAE) and Kuwait.3