exporting countries, particularly in the Gulf region, will continue to expand quickly, the International Monetary Fund (IMF) said Monday. Their prospects appear even better with crude oil prices hitting their highest in more than two years at upwards of $112 per barrel, propped up by disruption in oil exports from war-ravaged Libya. “Disruption of oil production in Libya means that, given constraints on non-OPEC capacity, oil production from other OPEC suppliers will increase in 2011,” the IMF said. High energy prices will swell the region's current account surplus, which is projected to rise to 12.7 percent of GDP in 2011 from 6.5 percent of GDP in 2010. Growth in Saudi Arabia has also been revised up to 7.5 percent this year, compared with 4.5 percent projected in October, “supported by sizable government infrastructure investment,” the IMF said. Qatar's economy is projected to expand by a massive 20 percent this year, compared with 16.3 percent in 2010. This growth is “underpinned by continued expansion in natural gas production and large investment expenditures,” it said. Growth in Qatar has been revised upwards from 18.6 percent in October. Kuwait's economy will grow by 5.3 percent and the UAE 3.3 percent. Iraq's economy will also grow 9.6 percent, Algeria's 3.6 percent and Sudan's 4.7 percent. However, spreading social unrest in MENA is putting pressure on economic growth in several countries in the region. Growth in Iran is expected to stall temporarily in 2011 “as subsidies for energy and other products are phased out - a much-needed reform that will yield benefits in the medium term.” – Agence France
