(MENAFN) Economic growth in the six-nation Gulf Cooperation Council GCC) will not be affected by the falling oil prices as these countries have abundance of financial reserves, which will allow them to keep on moving with the level of spending, an expert from International Monetary Fund (IMF) said, Arab News reported.
The Riyadh Chamber of Commerce and Industry (RCCI) organized the workshop in cooperation with the IMF.
Speaking on the Middle East economy in light of the global changes and the role of the private sector, the IMF advisor for the Middle East and Central Asia Department said that losses of the GCC countries are estimated at USD300 billion in the wake of the oil price drop, however, economic growth in the GCC countries will not be affected by the price fall due to the abundance of financial reserves, which will make the GCC countries keep the level of spending.
However, he observed that oil price drop makes it imperative for the oil exporting countries reconsider their economic policies in the coming period through cuts in government spending and improvements in investment environment, so as to create new financial sources in a way to make them keep up the targeted economic growth rates.
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.