Arab Region’s GDP Grew by 1.8% in 2024

March 17, 2025

(3 Minutes Read)

According to a report by the Arab Investment & Export Credit Guarantee Corporation (Dhaman), the region is expected to see a positive economic performance, predicting a growth rate of 4.1%

The Arab region’s GDP grew by 1.8% in 2024, exceeding USD 3.5 trillion, despite the ongoing regional challenges. The economic output of Saudi Arabia, the UAE, Egypt, Iraq, and Algeria continued to dominate, with these countries contributing more than 72% to the total Arab GDP.

According to a report by the Arab Investment & Export Credit Guarantee Corporation (Dhaman), the region is expected to see a positive economic performance, predicting a growth rate of 4.1%. This anticipated growth is expected to be driven by stronger performance in 14 Arab countries, particularly the nine oil-dependent nations, which together will make up over 78% of the Arab GDP.

A decline of roughly 4% in crude oil production, combined with a 1% decrease in global oil prices, hurt the region’s performance. Furthermore, the spillover effects of the conflict in Gaza were felt across neighbouring countries, including Lebanon, Yemen, Syria, and Iraq.

The region’s combined budget surplus of US$15 billion in 2023 turned into a deficit of USD 58 billion in 2024, representing a sharp reversal. This deficit is expected to widen to USD 68 billion in 2025, making up around 2% of the region’s GDP.