Economic Research Forum (ERF) -

Editors' picks

Debt clouds over the Middle East

A number of MENA countries face high debt levels. Egypt, ...

Commentary

COVID-19 pandemic and the Middle East and Central Asia

The number of confirmed COVID-19 pandemic in the Middle East ...

Video

Mahmoud Mohieldin and Ishac Diwan on the Political Economy of COVID 19

The Middle East and North Africa (MENA) region, as the rest of the world, is facing human, economic and social crises. A decade of political instability, violence and austerity had left critical public institutions insufficiently prepared and underfunded to deal with this perfect storm. While the countries of the region are all exposed to this storm, they are not in the same boat. Their initial conditions, preparedness to shocks and readiness to adapt, change and rebuild are different. Within countries their has also been increasing inequality, and in many cases countries suffered from significant increase in extreme poverty. Despite some efforts there are alarming indicators of drifting from the path towards achieving the sustainable development goals (SDGs) Comprehensive socioeconomic actions are needed to meet the requirements of response and recovery within as well as across countries. While there has been a great deal of discrepancies in crisis response, the recovery may take different paths and widen the existent gaps and deepen the divergence in the region. Building back better and creating resilience includes addressing the inequality which have made some societies more vulnerable than others. The comprehensive nature and magnitude of the crisis requires very different approach of policy design including the political economy of responses to the crisis and plans for recovery.

In focus

Sources of the 2020 crisis in Lebanon

The devastating financial tsunami that is engulfing Lebanon has been ...

Lebanon must learn from the Syrian disaster

Overlapping crises are threatening the political, economic and social stability ...

Lebanon’s new leadership confronts daunting economic challenges amid geopolitical tensions across the wider region. As this column explains, understanding what has happened over the past decade to citizens’ trust in key public institutions – parliament, the government and the armed forces – will be a crucial part of the policy response.

A Macroeconomic Accounting of Unemployment in Jordan: Unemployment is mainly an issue for adults and men

Since unemployment rates in Jordan are higher among young people and women than other groups, unemployment is commonly characterised as a youth and gender issue. However, the majority of the country’s unemployed are adults and men. This suggests that unemployment is primarily a macroeconomic issue challenge for the entire labour market. The appropriate response therefore is coordinated fiscal, monetary, structural and institutional policies, while more targeted measures can still benefit specific groups.

Tunisia’s energy transition: the key role of small businesses

Micro, small and medium-sized enterprises (MSMEs) play a critical role in Tunisia’s economy, contributing significantly to GDP and employment. As this column explains, they are also essential for advancing the country’s ambitions to make a successful transition from reliance on fossil fuels to more widespread use of renewable energy sources. A fair distribution of the transition’s benefits across all regions and communities will secure a future where MSMEs thrive as leaders in a prosperous, inclusive and sustainable Tunisia.

The green energy transition: employment pathways for MENA

The potential employment impacts of green and renewable energy in the Middle East and North Africa are multifaceted and promising. As this column explains, embracing renewable energy technologies presents an opportunity for the region to diversify its economy, mitigate the possible negative impacts of digitalisation on existing jobs, reduce its carbon footprint and create significant levels of employment across a variety of sectors. Green energy is not just an environmental imperative but an economic necessity.

Drivers of renewable energy adoption in Egyptian firms

How can policy-makers encourage small and medium-sized enterprises to adopt renewable energy sources in their production processes? This column reports evidence from Egypt, where gender and youth play a key role within firms in encouraging practices that are more positive for the environment and can help to mitigate climate change.

The hidden potential of Jordan’s small firms for driving a green transition

For Jordan, a green transition represents an enormous transformative opportunity. But a decade-long increase in the use of renewable energy has not freed the country of its economic woes. This column explores the currently underused yet potentially powerful force of micro, small and medium-sized enterprises – and proposes policies that could improve the investment climate and clear legislative and regulatory barriers.

Global value chains and sustainable development

What is the role of exchange rate undervaluation in promoting participation in global value chains by firms in developing countries? What is the impact of the stringency of national environmental regulations on firms’ GVC participation? And how do firms’ political connections affect their participation in GVCs? These questions will be explored for the MENA region at a special session of the ERF annual conference, which takes place in Cairo in April 2025.

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