On the economics and politics of IMF loans
Loans made by the International Monetary Fund are supposed to be based mainly on technical economic considerations. But as this column explains, international politics can play a key role in the IMF’s lending decisions. What’s more, domestic politics in recipient countries can have a significant impact on the outcomes of loans, with democratic regimes more likely to experience economic benefits.
When gender matters for exports by MENA firms
There is considerable evidence that export-oriented strategies have a beneficial impact on growth and development. This column reports research suggesting that enhancing women’s participation in the export sector could be a new source of competitiveness for firms in the Middle East and North Africa.
Competition laws: a key role for economic growth in MENA
Competition policy lacks the attention it deserves in the countries of the Middle East and North Africa (MENA), a region characterised by monopolies and lack of market contestability. As this column explains, there are many questions about the extent of anti-competitive barriers facing new market entrants in the region. What’s more, MENA’s weak overall performance on competition is likely to be hindering economic growth and the path towards structural transformation.
Economies of agglomeration and firm productivity in Egypt
There is a strong body of international evidence that firms are more productive when they cluster near one another geographically. This column reports new findings on the substantial productivity benefits of such agglomeration in Egypt. The results have important implications for policy, including the value of establishing specialised industrial zones for promising business clusters with high growth potential.
Exports and innovation in the MENA region: when skills matter
Firms that want to start exporting have to be able to innovate and upgrade their use of technology in the face of fierce competition in international markets. As this column explains, highly skilled production and non-production workers are essential. In other words, engaging in international trade creates the need for a bias towards skills.
Investment climate and firms’ exports in Egypt: when politics matters
Despite significant reforms taken by the Egyptian government to liberalise markets and enhance the business environment, political factors continue to affect firms’ capacity to export. This column reports research on the impact of the overall investment climate on Egyptian exports in the manufacturing sector.