Survey of Economic and Social Developments in the Arab Region 2012-2013

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The Survey of Economic and Social Development in the Arab Region 2012-2013 assesses the most recent economic and social developments of Arab countries, using the data that became available by the 2nd quarter of 2013. The immediate policy challenge for most of Arab countries is to create employment without relying on an expansionary fiscal and monetary policy mix. The Survey finds that several policy options are available for this policy challenge even in this highly uncertain situation surrounding the region’s socioeconomic development. In parallel to the specific policy proposals, the Survey emphasizes the importance of policy dialogue in the area of employment and more constructive regional integration framework on this subject. The revival of regional leverage along this line of reform needs be encouraged to halt the polarization by stabilizing the region’s socioeconomic development paths for all Arab countries.

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Labour Market in the Arab Region: Main characteristics and short-term responses to the unemployment problem

Along with major political and social aspects, the Arab uprisings were mainly underpinned by the lack of employment opportunities, especially for youth. Deficiency in competitiveness and productivity, in line with poor economic growth, had resulted in one of the highest unemployment levels in the world. This situation can be attributed to a complex combination of different factors. In essence, the demographic transition that occurred in the region and the economic transformations that have taken place in former centrally-planned countries have created a strong pressure on the job market.


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