Mideast Needs IMF Help To Curb Unemployment: UAE Minister

Many countries in the Middle East need International Monetary Fund’s (IMF) support to avoid the high unemployment rate and the region’s sluggish growth scenario.

Concerted efforts are needed to boost confidence and reduce uncertainty in the region, Obaid Humaid Al Tayer, Minister for Financial Affairs of the United Arab Emirates (UAE) said while addressing the International Monetary and Financial Committee’s 26th meeting in Tokyo yesterday.

Speaking on behalf of over a dozen countries, including Qatar, the United Arab Emirates (UAE), Bahrain, Kuwait, Oman, Egypt, Iraq, Jordan, Lebanon, Libya, Maldives, Syria and Yemen, the UAE Minister said the Middle East was facing risks from continued difficulties in the global economy as well as from regional tensions.

“While continued high oil prices have positively impacted the economic performance of oil exporters, these countries may need to adjust polices in response to a significant decline in oil prices. These countries would welcome Fund supporting further developing th successfully mobilised resources to address risks to global economic and financial stability.

However, while it is important for the Fund to maintain sufficient reserves, we went along with the majority in supporting the use of the remaining windfall profits from gold sales to subsidise lending to low income countries.

The Fund analysis needs to take into account employment issues and the social aspects of policy measures in programme design, he said.

The Peninsula