AMF expects Arab economies to grow 4% in 2024

The Arab Monetary Fund (AMF) expects Arab economies to achieve growth of 4 percent in year 2024, compared to 3.4 percent of year 2023, stated chairman Abdel Rahman bin Abdullah Al-Hamidi on Monday.

Speaking at the opening the Arab Banking Conference 2023 that launched at the Saudi capital, Hamidi added that public debt totaled $1214 billion at the end of 2022. Arab countries’ debt comprises $785.3 billion of public debt which is 97.7 percent of the countries’ GDP, he said.

Moreover, he underscored that high debt levels and elevated unemployment rates represent the largest economic challenges for Arab countries that scored 10.7 percent which is considered double global rates.

Arab Banking system

Hamidi pointed out that the Arab banking system has become more eligible to withstand financial shock and economic blows due to enhanced liquidity and solvency levels according to International Financial Reporting Standard (IFRS) and international regulatory framework for banks (Basel III).

The Arab Banking Conference 2023, Riyadh is intended to take place on the 4th and 5th of September, under the theme”Arab Economic Outlook in Light of International Changes.” Hamidi confirmed that the Arab Banking sector is in a stable state with assets worth $4.1 trillion equating 124 percent of GDP of the Arab countries.

He also pointed out that the Arab Banking sector is marked with high liquidity levels since the average capital adequacy ratio amounted to 17.4 percent at the end of 2022.