Economic Research Forum (ERF)

Ishac Diwan

Editorial board

Ishac Diwan
Director of Research, Finance for Development Lab, Paris School of Economics

Ishac Diwan is the Director of Research, Finance for Development Lab, Paris School of Economics. Previously, he was Chair d'Excellence Monde Arabe at Paris Sciences et Lettres, and visiting professor at SIPA, Columbia University. His research focuses on topics related to Political Economy of the Middle East, Development and Growth in Africa, Financial Flows and Trade – domestic and global issues. He received his PhD. in Economics from University of California, Berkeley. He is an ERF Research Fellow.

Content by this Author

The historical roots of state weakness and social inequities in Lebanon

After the collapse of the Ottoman Empire and through the interwar period, Lebanon and much of modern Syria were administered under what was known as the French Mandate. This column explores the legacy of the arrangement, concluding that it had a highly negative impact on the post-independence economic, political, and social development of Lebanon.

To escape the crisis, embark on a path of renewal

In the chaotic global post-Covid-19 economy, with the war in Ukraine, the challenge of adjusting to the stagflation engulfing the world is particularly hard for the oil-importing countries of the Middle East and North Africa. This column summarises the key messages of a report from the MENA Commission on Stabilization and Growth.

Covid-19, trust and rising economic challenges in the Arab world

There is a common view that managing Covid-19 is all about making a trade-off between lives and livelihoods. But as this column explains, comparing global performance, countries have tended to do well, or not, on both health and economics simultaneously. A key correlate of successful country performance is a high level of trust in government, which makes compliance with public health and social measures more efficient – and therefore minimises economic casualty.

Lebanon’s dysfunctional political economy

Using the prospect of a flood of refugees as a bargaining chip in international negotiations, the government is happy to subsist on foreign exchange reserves while waiting to collect geopolitical rents. Yet as this Project Syndicate column argues, there is reason to hope that this strategy, which has already impoverished half the population, will fail.

Killer lockdowns

Most developed countries have responded to the Covid-19 crisis by imposing lockdowns to control the spread of infections rather than taking the ‘herd immunity’ approach that some have advocated. This column argues that poor countries should not necessarily mimic this response: for them, the risks of the herd immunity approach can be dwarfed by the risks of starvation, destitution, instability and violence arising from a prolonged lockdown.

Lebanon’s economic crisis: how to avoid a ‘lost decade’

An independent group of development specialists, economists and finance experts met in Beirut in late December to discuss Lebanon’s economic crisis and the way forward. This column summarises their ten-point action plan to arrest the crisis and place the country on a path of sustained recovery.

Cronyism reduces job creation in Lebanon

Firm-level political connections are widespread. This column examines whether they affect employment decisions in Lebanon, a country where the majority of university students think that connections are important for finding jobs and many admit to having used them.

Lebanon’s perfect storm

After years of maintaining a dysfunctional political economy based on sectarianism and rentierism, Lebanon's ruling elites are being confronted with simultaneous financial, economic and political crises. As this Project Syndicate column argues, the question now is how they respond to a reformist movement demanding fundamental change, including a new political settlement.

Low social and political returns to education in the Arab world

Arab societies urgently need to start looking at how to improve education systems, not just in ways to improve the marketability of individuals but, as importantly, to improve their social and political impact on society. Drawing on evidence from the World Values Survey, this column argues for strengthening a sense of community, beefing up values of civic engagement, inculcating democratic principles, supporting gender equality and promoting social tolerance.

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Egypt’s labour market: new survey data for evidence-based decision-making

As Egypt faces substantial social and economic shifts, understanding the labour market is crucial for designing policies that promote employment and inclusive economic growth. This column introduces the latest wave of the Egypt Labor Market Panel Survey, which provides fresh, nationally representative data that are vital for examining these dynamics.

The evolution of labour supply in Egypt

Egypt stands at a critical point in its demographic and labour market evolution. As this column explains, while fertility rates have dropped, reducing long-term demographic pressures, the ‘echo generation’, children of the youth bulge, will soon enter the labour market, intensifying the need for policies to accelerate job creation. At the same time, participation in the labour force, particularly among women and young people, is declining, partly as a result of discouragement.

More jobs, better jobs and inclusive jobs: the promise of renewable energy

Among the many economic and environmental challenges facing the countries of the Middle East and North Africa (MENA), two stand out: the need for jobs and the need to combat the threat of climate change by moving away from reliance on fossil fuels. As this column explains, embracing renewable energy technologies presents an opportunity for the region to diversify its economy, mitigate the possible negative impacts of digital technologies on existing jobs, reduce its carbon footprint and create significant levels of employment, particularly for women and the youth, across a variety of sectors.

Sanctions and energy efficiency in Iran’s industries

What is the effect of economic sanctions on the energy efficiency of Iran’s industries? This column reports the findings of new research, which examines the impact of sanction intensity within industrial sub-sectors of the Iranian economy on their energy efficiency.

Towards a productive, inclusive and green economy in MENA

Decarbonisation of the global economy is a huge opportunity for countries in the Middle East and North Africa. As this column explains, they can supercharge their development by breaking into fast-growing industries that will help the world to reduce its emissions and reach net zero, as well as offering greater employment opportunities and new export lines. Micro, small and medium enterprises in the region can lead the transition to a cleaner and sustainable future, but this may require the formation of clusters of firms that overcome some of the constraints that their limited size could involve.

Poverty and plutonomy: measuring extreme bipolarisation in the Arab world

Inequality in the Arab world is not just a question of extreme poverty or extreme affluence: it’s about both. This column presents research that uses the lenses of both poverty analysis and plutonomy analysis to capture the extreme polarisation between the poor, who suffer from exclusion and deprivation, and the ultra-wealthy, who wield immense power over economic and political systems.

Participation of Arab countries in global value chains

To what extent are countries in the Arab region participating in the global value chains (GVCs) that now dominate world trade? What are the main determinants of engagement in GVCs? And what are the expected benefits for Arab countries from joining them? This column answers these questions, concluding that it is important to focus on the products in which countries both enjoy a natural comparative advantage and can increase domestic value added in the intermediate and final parts of the production process.

Growth in the Middle East and North Africa

What is the economic outlook for the Middle East and North Africa? How is the current conflict centred in Gaza affecting economies in the region? What are the potential long-term effects of conflict on development? And which strategies can MENA countries adopt to accelerate economic growth? This column outlines the findings in the World Bank’s latest half-yearly MENA Economic Update, which answers these questions and more.

The future of regionalism in the Arab world: a political economy view

The potential growth benefits of greater trade integration of the Arab countries, both within the Middle East and with the rest of the world economy, have long been discussed. But as this column explains, in the current climate of international political and economic relations, moves towards trade liberalisation and new or deeper trade agreements are unlikely to happen. Policy-makers in the region need to pursue alternative strategies to develop their economies.

Climate change: a growing threat to sustainable development in Tunisia

Tunisia’s vulnerability to extreme weather events is intensifying, placing immense pressure on vital sectors such as agriculture, energy and water resources, exacerbating inequalities and hindering social progress. This column explores the economic impacts of climate change on the country, its implications for achieving the sustainable development goals, and the urgent need for adaptive strategies and policy interventions.




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