World Bank: Middle East economies need to grow 6.5% in seven years to reduce unemployment

The World Bank said that the Middle East and North Africa (MENA) region needs to grow at 6.5 per cent annually in order to provide 30 million jobs over seven years in the period between 2014 and 2020, so as to reduce the high unemployment rates in the region.

According to the World Bank estimates, countries in the MENA can generate 24 million jobs over the seven years through economic growth rates of five per cent per year, stopping unemployment rates rising.

In a World Bank’s economic report titled “Predictions, Perceptions and Economic Reality – Challenges of Seven Middle East and North Africa Countries Described in 14 Charts,” which was released on August 7, about the economic brief in seven Middle Eastern countries said the economic expectations are looking positive for in Egypt, Tunisia, Jordan and Iran in 2014.

The report, a full copy of which was received by the Anadolu news agency yesterday, said Libya, Lebanon and Yemen would witness an economic recovery if the security situation in the countries showed stability.

It said that the expected pace of growth is still much lower than the rapid growth rates that were witnessed by these countries in the period between 2000 and 2011.

The sustainability of growth remains uncertain as these economies have been suffering from a long period of structural problems that prevented them from moving to a higher growth path in terms of growth and sustainability, the report said.

The unemployment rate in Egypt in the fourth quarter of fiscal year 2013/2014 was approximately 13.4 per cent, 11 per cent during the fourth quarter of 2013 in Jordan, and in Tunisia 15.3 per cent.

The report said that while these countries recorded a rapid growth before 2011, this growth was not sustainable.