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FINANCIAL NEWS
GCC economic growth to diminish 4 percent
24 Sep 2013
(MENAFN) Growth of Gulf Cooperative Countries (GCC) is expected to decline 4 percent over the current and the following years, 2013 and 2014, according to Arab News.
However, it is expected that Saudi Arabia’s economic growth will improve 4 percent in the current year, while UAE will record 3.5 percent growth in the same year.
Ludovic Subran, chief economist at Euler Hermes, said: “World GDP growth by year-end will be lower than earlier forecast – at 2.2 percent – due to euro zone contractions (-0.5 percent). There will be moderate growth in emerging countries (4.4 percent). GCC countries, having experienced two years of sustained economic growth, are expected to slow down to 4 percent in 2013 mainly due to the global demand slowdown (2.2 percent in 2013). A global and delayed recovery is expected in 2014 (3.1 percent). However, the overall growth deceleration will increase the momentum of global insolvencies (8 percent in 2013; 2 percent in 2014).”
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