Kuwait is Leaving Behind the Lean Days

Despite a favorable milieu and optimism prevailing amidst the business leaders in the Middle East, the chances look good for a partial economic recovery this year. According to the World Bank's forecasts, the economies in the Middle East and North Africa (MENA) region are expected to grow by 5.2 percent this year, the fastest rate since 2016, on the back of oilprice windfalls benefitting the region's oil exporters. The war and the virus could still influence this trend. When it comes to Gulf Cooperation Council (GCC), the World bank predicts

the GCC economies to expand by 5.9 percent overall by the end of this year.

After more than a year of contractions, Kuwait exited recession in 2021. The gradual easing of COVID-19 restrictions and OPEC+ cuts significantly helped. According to data divulged by the World Bank, its fiscal deficit is expected to narrow with surging oil prices and its economic recovery projected to gather pace in 2022, due to the combined effects of fewer pandemic-related restrictions, higher oil production, and rising oil prices, boosting both oil and non-oil sectors.

It's getting increasingly clear that, just like the rest of the world, the complete recovery would take time in the region. The private sector bears enormous responsibilities on its shoulders. Smart operational strategies from the corporate realm would reduce the leaders' pressure, not to mention the significant need to leverage IT in the process. While the government continues to render support, the private sector in the Middle East must keep its focus on the dynamic technology world.