Bahrain to join growing Gulf economies this year

TDT | Manama

The Daily Tribune – www.newsofbahrain.com

The economies in the six-member Gulf Cooperation Council (GCC) will grow at their fastest pace in several years, according to a Reuters poll of economists who cautioned the risk to that outlook was skewed to the downside.

Economic growth in Bahrain, Qatar and Oman is expected to average between three to four per cent by 2022.

If realised, that would be the best these countries have witnessed in several years.

“Despite the relatively tight fiscal policy, and some external headwinds, we expect the GCC economies to see faster growth in 2022 as they continue to build on the progress made last year,” said Khatija Haque, head of research and chief economist at Emirates NBD.

“While the outlook for 2022 remains broadly constructive, there is still a high degree of uncertainty, especially with regards to the evolution of the coronavirus pandemic.”

The January 11-19 poll of 25 economists forecast all six economies in the GCC would grow faster this year than was expected three months ago.

Saudi Arabia was predicted to top the list with a growth of 5.7 per cent, followed by Kuwait and the UAE with 5.3 per cent and 4.8 per cent respectively.

As the global economy deals with the prospect of persistent inflation, the region’s Slowly but surely, Bahrain’s economy is bouncing back price outlook was modest, but varied.