ESCWA Publication: E/ESCWA/2020/POLICY BRIEF.8
Country: Arab region
Publication Type: Policy briefs
Cluster: 2030 Agenda and SDG Coordination
Focus Area: Financing for development
Initiatives: Arab information society
SDGs: Goal 8: Decent Work and Economic Growth
Keywords: Covid-19, Finance, Government policy
Impact of COVID-19 on Arab financial systems
September 2020
The combined impact of COVID-19 and a historic drop in oil prices has placed some Arab countries’ financial systems on the brink of collapse. The Arab region is experiencing an unprecedented drop in demand for equities and commodities, tightened financial conditions, higher risk premiums, and low banking sector resilience. This requires immediate measures by Arab Governments and central banks to sustain financial sector liquidity and facilitate necessary credit at any cost during the relief period tailgated by additional financial measures during recovery.
Related content
Financing for development
,
The combined impact of COVID-19 and a historic drop in oil prices has placed some Arab countries’ financial systems on the brink of collapse. The Arab region is experiencing an unprecedented drop in demand for equities and commodities, tightened financial conditions, higher risk premiums, and low banking sector resilience. This requires immediate measures by Arab Governments and central banks to sustain financial sector liquidity and facilitate necessary credit at any cost during the relief period tailgated by additional financial measures during recovery.
