Kuwait … 10th largest economy in MENA

GDP reached $159.7 billion in 2023

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KUWAIT CITY, Jan 27: Kuwait is the 10th largest economy in the Middle East and North Africa (MENA), according to the report issued by the Middle East Economy, which included a list of the 10 largest economies in the world in terms of gross domestic product (GDP), reports Al-Anba daily. Data from the International Monetary Fund (IMF) revealed that Kuwait was expected to achieve a GDP of $159.7 billion in 2023, while Turkey came in first place with $1.15 trillion. Kuwait is considered one of the richest countries in the world. It enjoys a vibrant economy that derives momentum primarily from its abundant oil resources. Its oil reserves and the tax exemption system have pushed the Kuwaiti dinar to become the most valuable currency in the world at the level of $3.25 and it is considered a clear evidence the economic stability of the country.

Economic diversification
While progress in achieving economic diversification and structural reforms is gradual, Kuwait’s greater economic resilience is supported by the large foreign assets of the sovereign wealth fund managed by the Kuwait Investment Authority (KIA). The MENA region includes some of the most important economic powers in the world, not to mention that it is home to a number of the largest and most ancient oil-producing countries, which enhances the region’s position and dominance on the global stage. Regarding the economic prospects for MENA, the report stated that despite the slowdown in economic growth in the region in 2023 due to oil production cuts, high inflation rates, and a tight financial environment; the region will see improvement in 2024.

IMF was also quoted as saying: “The future outlook for MENA carries expectations that growth will improve in 2024 with the disappearance of some factors affecting current economic activity, but growth in the medium term is expected to be below average. History is in the midst of ongoing structural challenges. Countries in the Middle East region, in particular, could recover, bringing the growth of their economies to 3.4 percent in 2024. The Institute of Chartered Accountants in England and Wales shares this view with the IMF and it forecasts that the region will grow at 3.2 percent, which is higher than their global GDP growth forecast of 2.1 percent. It is worth noting that non-energy sectors will push the region’s growth forward, especially in Saudi Arabia and the United Arab Emirates (UAE). The Fund defined GDP as the total value at current prices of final goods and services produced within a country during a specific period, and that the most common measure for economic growth is to calculate gross domestic product by adding consumer spending, government spending, and commercial investment to the aspect of net exports that refer to the difference between exports and imports.

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