In: Economics
Compare GDP growth of GCC over the past 3 years. I want for (2017-2018-2019 )
B. Compare FDI exposure of GCC countries for past 3 years. I want for (2017-2018-2019 )
please help me with it , I need much information and numbers
GDP growth rate of GCC (2017/2018/2019)
Gulf cooperation council (GCC) is collectively of all the gulf
countries which are included in the council. In 2017 the GCC saw a
real slow growth to 0.5% , majorly complying in lower oil output.
The agreement, which came into force in January, has been extended
till the end of 2018, further dampening prospects for oil growth.
Qatar, Saudi Arabia, Kuwait and the UAE are adhering to the oil
curbs.
GCC countries are continuing to adjust to lower oil prices and
substantial fiscal consolidation has taken place in most countries.
The projected growth is benefiting from a pick-up in global
economic activity. Global growth is forecast at 3.6 percent this
year and 3.7 percent in 2018, compared to 3.2 percent in
2016.
GCC countries should continue to focus on expenditure
rationalisation, further energy price reforms, increased non-oil
revenues, and improved efficiency of capital spending, the report
said. The UAE and Saudi Arabia introduced this year an excise tax
on energy drinks and tobacco at a rate of 100 per cent and on fizzy
drinks at a rate of 50 per cent and both plan to levy a 5 per cent
valued-added tax on January 1.
The fund estimates that revenue from these reforms, which will vary
across countries, could generate 1.7 to 6.6 per cent of non-oil GDP
by 2019 depending on each country’s reforms.
The introduction of VAT in the region could generate new revenue of
1.5-3 per cent of non-oil GDP, the fund said. GCC GDP in constant
prices, is forecast to be 1.7% in 2017 grow by 2.2% in 2018 and by
2.8% in 2019, while the GDP at current prices is forecast to grow
by 6.4% in 2018 and 4.1% in 2019.
FDI Exposure of GCC (2017/2018/2019)
The GCC are expected to post robust
growth over the next decade both in
terms of population and GDP. By 2019 the GCC population is forecast
to reach 53.5m, a 30% increase over the level in 2000. Over the
same period, the region’s real GDP is expected to grow by 56%.
Nominal GDP, which was US$341.6bn in 2000, is forecast to soar to
over US$1trn in 2010 and US$2trn in 2020.Although the economic
forecast is positive, it carries a risk: that unmanaged growth will
bring
negative side-effects such as power shortages and soaring prices,
in particular for food. Some GCC states are already experiencing
sporadic shortages of electricity and gas, while water supplies are
already strained and food shortages loom as risks for an
import-dependent region. A key challenge for the Gulf in the next
decade therefore will be to manage energy, water and food resources
to ensure both high living standards and sustainable growth in the
long term. FDI in Saudi Arabia is mediated by SAGIA, which issues
licences and determines ownership rules. It has been expanding the
range of sectors where 100% ownership is permitted, adding retail
and wholesale trade to the list in 2016 and engineering in 2017, as
part of efforts towards the Saudi Vision 2030; in other approved
sectors, only 75% is permitted. This relative openness, and the
size of the Saudi economy, explain why it ranks second in the
region for FDI penetration. It has also seen flows remain
relatively strong in recent years. Total foreign ownership of GCC
equities stood at about $60bn at end-March 2018, about 6% of market
capitalisation. In addition, other GCC nationals, not categorised
as foreigners, are major investors, owning nearly 7% of the Abu
Dhabi market, for example. The upgrade of the Saudi market may push
it into the lead, a large part of existing foreign ownership is in
historic strategic partnerships in various banking and industrial
firms. FinTech has been a hot topic in the region, and we now are
beginning to see its impact. Digitalization in retail banking is
leading to productivity gains, less overhead, and – ultimately –
further consolidation in the market. The UAE is at the forefront,
but is not alone. As we enter 2019, there are several major banking
sector mergers on the horizon, driven – in part – by technological
disruption. data and analysis on Foreign Direct Investment (FDI)
flows reveals that despite an increase of 12% in 2019 to USD 1 426
billion, global FDI flows remained below levels recorded between
2010 and 2017. Compared to 2017, FDI flows decreased by 15%,
continuing the downward trend observed since 2015.