BAKU, Azerbaijan, April 16. Economic growth in
MENA is projected to slow to 1.4% in 2026, affected by the Middle
East conflict, said Jihad Azour, Director of the IMF’s Middle East
and Central Asia Department, at the International Monetary Fund
(IMF) media roundtable, Trend reports.
"Prior to the conflict, the MENA region was one of the most
promising. Growth gaining traction, inflation easing, and the
non-oil sector performing well. That progress has been sharply
reversed. Even under our reference scenario, growth in MNA is
projected to slow to 1.4% in 2026, which constitutes a downgrade
revision of 2.3 percentage points from our October forecast," he
emphasized.
According to Azour, the impact is highly uneven across countries
in the region.
"Among conflict-affected oil exporters, five of eight economies
are now projected to contract in 2026. These economies face higher
energy costs, weaker remittances, and tighter financial conditions
at a time where their buffers were already limited," he said.
Azour added that low-income and fragile states face the most
severe pressures, including rising food prices and worsening
financial conditions.
