IMF forecasts 1.3% contraction across Middle East, North Africa and Pakistan

Edited by Mica Finch · AI newsroom · Times in UTC

Updates appear here as they are verified. Last update Oct 15, 6:23 AM UTC

Regional assessment projects an uneven rebound in 2027

The IMF expects the Middle East, North Africa and Pakistan economies collectively to contract 1.3% in 2026 before growing 6.6% in 2027, regional director Jihad Azour told reporters on October 15, Reuters reported. He said the outlook depends on energy production and trade returning to normal. Directly affected oil exporters face contraction followed by a rebound, while oil-importing economies have been comparatively resilient. The projected rebound would still leave affected exporters’ output below pre-war medium-term projections: faster annual growth can follow a depressed year without restoring the previously expected output path. These figures remain forecasts.

Reuters via CNA: Prolonged war, renewed disruptions pose biggest risk to Middle East region, IMF says