Middle East & North Africa

Many countries across the Middle East and North Africa, or MENA, region have faced critical challenges in ensuring the effective and equitable vaccination of their citizens against COVID-19. With a few exceptions, like Morocco, Israel and several Gulf states, countries in the region have faced difficulties in securing sufficient doses due to logistical constraints, poor planning and vaccine hesitancy. As of mid-August, only 21 percent of the region’s population had received at least one dose, and less than 13 percent were fully vaccinated. This puts the region far behind the developing country average of 36 percent with at least one dose and 22 percent fully vaccinated. Moreover, while some countries have accelerated their vaccination campaigns under the pressure of recent COVID-19 surges, other campaigns seem to be slowing or stalling. As countries brace for new waves of the pandemic, MENA governments—and their international supporters—must find ways to address the root causes of their halting vaccination campaigns.

Following the UAE, and Bahrain, and one month before Sudan, Morocco became the third country in the MENA region to normalize ties with Israel in 2020. In exchange for resuming ties with Tel Aviv, Rabat benefited from important security and financial deals with the United States and ensured the recognition of the kingdom’s sovereignty over Western Sahara. This paper explores the domestic, regional, and international politics that determined the kingdom’s approach and assesses how the kingdom has navigated competing pressures.

In response to the global pandemic, public authorities in Egypt responded with a comprehensive package aimed at tackling the health emergency and supporting economic activity. This column examines how private sector firms perceived ease of access to finance before and after the emergence of Covid-19 in 2020.

The geopolitical and geo-economic forces wrought by the coronavirus pandemic, as examined previously in this series, are likely to slow the transition to a more sustainable global energy mix. Fortunately, the pandemic has also resulted in governments gaining vastly greater influence over whether this shift stalls or accelerates.

For most people, there was nothing to celebrate when the International Monetary Fund downgraded its outlook for global economic growth in June, anticipating a contraction of 4.9% for 2020. Yet for others, such as the small but persistent group of economists and others known as the “degrowth movement,” the Covid-induced economic slowdown has a silver lining.

The search for silver linings to the coronavirus pandemic has come up woefully short. But one hopeful — and much talked of — prospect is that the disruption will accelerate the global shift to a more sustainable energy future.

As economies begin to orient themselves towards recovery and growth in a post-COVID-19 era, they will first need to disentangle themselves from their prior bedfellows, the state, whose courtship was necessary for survival during the pandemic.  Such bedfellow relationships have become increasingly common as government intervention is urgently needed for economic stabilization. Governments have also embraced their new role with vigor. According to the IMF, as of April 2020, countries have committed around $8 trillion to combat the pandemic and to remedy its ill effects on economies and societies. Decisions about how this money will be spent will undoubtedly recalibrate the logic of capitalism for years to come. 

Today’s economic crisis leaves us with an unsettling and perplexing regret. Why weren’t financial portfolios already adjusted for risks that stem from health events such as pandemics? After all, financial portfolios are adjusted for liquidity risks, market risks, credit risks, and even operational and political risks.

Could using the cash in your pocket have the potential to spread covid-19? That question has rarely appeared in the news, but many governments and leaders in the digital payments industry are wondering how the virus might impact the use of cash. Several countries have already taken drastic measures to limit circulation of bank notes. Could such interventions lead to the end of cash payments?

Because hand-to-hand exchange of physical currency could transmit the coronavirus, countries around the world are being forced to reconsider the use of cash. In fact, COVID-19 might turn out to be the catalyst that finally brings digital payments fully into the mainstream. Not surprisingly, the digital-payments industry is already focusing on the opportunities created by the crisis.