2010年-世界发展银行全球_Economic_Integration_in_MENA___The_GCC_the_Maghreb_and_the_Mashreq_3页_653kb

MENA Knowledge and Learning: Economic Integration in the MENA Region

Core Content

This document provides an analysis of economic integration within the Middle East and North Africa (MENA) region, focusing on three sub-regions: the Gulf Cooperation Council (GCC), the Maghreb, and the Mashreq. It highlights the challenges and opportunities for deeper regional cooperation, particularly in the context of global economic integration and internal development.

Main Points

• MENA Region Overview:

  • The MENA region has weathered the global financial crisis relatively well.
  • However, it faces significant medium-term challenges such as high unemployment, vulnerability to oil and food price shocks, and water scarcity.
  • Integration into the global economy has been slow, and the region's share of global non-oil exports has stagnated, indicating missed opportunities for diversification and growth.

• Regional Integration Efforts:

  • The region has made some progress in integrating into the global economy through initiatives like the Pan-Arab Free Trade Area (PAFTA) and the GCC's low common tariffs.
  • Improvements in infrastructure, particularly roads and telecommunications, have contributed to these gains.
  • Much work remains to be done, especially in reducing non-tariff barriers, harmonizing policies, and improving trade facilitation.

• Trade in Services:

  • Trade in services has recently become a priority for national and regional authorities.
  • This area holds substantial potential for welfare gains, especially in sectors like finance, transportation, and communications.

• World Bank's Role:

  • The World Bank Group has been actively involved in promoting regional cooperation through investment projects, policy harmonization, and institution-building.
  • A series of reports have been prepared to assess the state of regional integration, focusing on the GCC, Maghreb, and Mashreq sub-regions.

Key Sub-Regions Analysis

GCC (Gulf Cooperation Council)

• Overview:

  • The GCC is the most advanced model of subregional integration in the MENA region.
  • It has expanded beyond free trade in goods to include labor and capital mobility, and sectoral openness.

• Trade Performance:

  • Intra-GCC trade has grown at an average of 30% annually from 2004 to 2008, but remains below 10% of non-oil trade.
  • The UAE is the leading contributor to GCC trade.
  • Compared to other blocs like ASEAN, NAFTA, and the EU, GCC integration is still limited.

• Challenges:

  • High dependence on hydrocarbons, which are managed at the national level.
  • Political sovereignty remains a key constraint on supranational institutions.
  • Public sector dominance complicates economic reforms like privatization.
  • Internal competition in sectors like finance and transport hinders regional cooperation.

• Opportunities:

  • Improved labor market strategies, including open immigration policies.
  • Financial sector reforms to address regional spillovers from debt distress.
  • Fiscal policy reforms to diversify revenue sources.
  • Service sector liberalization to expand markets and improve resource allocation.

Maghreb

• Overview:

  • Trade between Maghreb countries (Algeria, Libya, Mauritania, Morocco, Tunisia) is relatively small and concentrated in a few products.
  • Morocco and Tunisia show higher trade volume and diversification.

• Integration Status:

  • The Arab Maghreb Union was established over 20 years ago, but intra-Maghreb trade remains low, at less than 2% of GDP and 3% of total trade in 2007.
  • Trade with Europe is more significant than with other regions.

• Challenges:

  • High trade barriers, logistical bottlenecks, and lack of diversified production bases.
  • Political considerations hinder deeper integration.

• Opportunities:

  • Trade liberalization with the EU and WTO can help harmonize regional policies.
  • Comprehensive services reforms in finance, transport, and communications could yield significant benefits.

Mashreq

• Overview:

  • The Mashreq sub-region (Iraq, Jordan, Lebanon, Syria, West Bank and Gaza) has lower trade levels as a share of GDP compared to the MENA region.
  • However, non-oil trade is only marginally lower when adjusted for oil.

• Trade Performance:

  • Mashreq countries trade more with the EU than with each other or other MENA countries.
  • They account for a significant share of regional service trade.
  • Exports of manufactured goods are relatively diversified, with only Tunisia and Morocco surpassing them.

• Challenges:

  • Limited trade facilitation and transport infrastructure.
  • Need for better policies to support investment and private sector development.

Conclusion

• The MENA region exhibits significant heterogeneity in terms of reforms and integration.
• Countries that have pursued aggressive trade reforms have attracted more FDI and achieved greater economic diversification.
• Regional cooperation and subregional integration are crucial for enhancing economic welfare.
• Accession to WTO and regional trade agreements does not preclude the need for deeper regional collaboration.

Contact Information

• Director: Emmanuel Mbi, MNA Operational Core Services Unit
• Manager: David Steel, MNA Development Effectiveness Unit
• Regional Quick Notes Team: Omer Karasapan, Roby Fields, Hafed Al-Ghwell, and Aliya Jalloh
• Phone: (202) 473 8177
• Website: http://www.worldbank.org/mena-quicknotes

The MNA Quick Notes are intended to summarize lessons learned from MNA and other Bank Knowledge and Learning activities. The Notes do not necessarily reflect the views of the World Bank, its board or its member countries.