Title: Azour: Halt of Ships in the Red Sea Negatively Affects Middle Eastern Economies

Director of the Middle East and Central Asia at the International Monetary Fund, Jihad Azour, stated during the Arab Strategic Forum in Dubai that "the prolonged halt of shipping traffic in the Red Sea due to Houthi attacks could significantly impact several Middle Eastern economies and global trade." Azour noted that "shipping container prices have risen, and trade volumes in the Suez Canal have decreased following the initial Houthi attack on ships last month." He added, "The security situation in the Red Sea poses risks to global supply chains and the trade of essential goods, as the Bab el-Mandeb Strait is a vital route for international trade and oil and gas shipments." He expected that "the economies of the Middle East and North Africa will continue to grow this year despite the challenges," anticipating "an improvement in the growth rate." Azour observed that "the impact of the Gaza war on the economies of the broader Middle East and North Africa remains limited so far, as its harsh effects mainly affect Palestine and neighboring countries, particularly in sectors like tourism." He stated that "Syria, Jordan, and Egypt are the most affected by the ongoing war in Gaza." He continued, "All Gulf Cooperation Council countries will witness better economic results this year," and that "Saudi Arabia will succeed, like the United Arab Emirates, in maintaining the growth level for 2023 in the non-oil sector."