At the World Governments Summit in Dubai, the Head of the International Monetary Fund (IMF) expressed confidence in the global economy despite ongoing risks such as wars and geopolitical tensions. However, she cautioned that further implications could result from the Gaza war, which could compound challenges for economies still recovering from previous shocks.
The IMF recently lowered its growth forecast for the Middle East and North Africa region to 2.9 percent, which is 0.5 percentage points less than what was assumed in October. The organization emphasized that the outlook for the region is extremely uncertain, with many risks dominating, including an expansion of conflict in the Gaza Strip to neighboring countries and trade disruptions caused by violence in the Red Sea. These factors could have serious consequences, particularly on the tourism industry.