Amid regional turmoil, A report recently released by the
"Short-term policy actions, such as increasing public sector wages and subsidies - aimed at reducing social tensions - exacerbate the situation, which is driven by long-standing structural weaknesses, including labor market rigidities, complicated and opaque regulations, infrastructure deficiencies, regressive and inefficient subsidies and inadequate social safety nets," it said.Since the "Arab Spring," these countries had political and economic instability and a decrease in growth, said the report.
"The Arab Spring, which turned into the Arab Winter, has had huge costs. One estimate puts the loss at
"Up to half of the Syrian population is internally displaced and 2 million refugees are straining [the] capacities of neighboring countries."
Rivlin wrote in the article that "many countries in the region also suffer from a challenging business climate, characterized by poor and limited infrastructure such as costly, unreliable and inefficient supplies of electricity and water."
He concludes that the political problems in the Arab world hinder the implementation of needed reforms.
These packages increase government spending and public sector wages, with the aim of increasing growth to 3.5 percent in the fiscal year ending in June.
However, the report notes that real GDP growth in
The official unemployment rate reached 13.4% in the third quarter of 2013, but it is believed that the real rate is much higher when taking into account the black market economy. The rate of unemployment for women is twice that of men, reaching 25%.
Another statistic shows 74% of unemployed are youth ages 15 to 29. Another 30% of unemployed have at least one university degree.
Government subsidies continue to grow, adding to the country's debt, which reached 13.7% of GDP in 2013.On
"Oil exports have been halved and the financial system has remained constrained, partly by international sanctions," it said, pointing out that inflation is high, having reached 35% in December.
The unemployment rate is 12% and the rial has lost 80% of its value against the dollar since
Around 866,000 Syrian refugees flooded the country in 2013, which makes up 20% of the
Unemployment has increased to 14% in the third quarter of 2013. The country did, however, have an increase in foreign direct investment in the first half of 2013, reaching
Oil worker strikes and militia interference have reduced production.
The public sector is responsible for 80% of employment, with only 4% employed in the private sector.
The unemployment rate was around 15% in 2013, though in reality it is believed to be closer to 30%, the report said, adding that youth unemployment is at around 50%.
According to statistics from the
Amid regional turmoil,
A report recently released by the