Gulf Arab economies likely to grow more slowly through 2020 | ZAWYA MENA Edition

Gulf Arab economies likely to grow more slowly through 2020 | ZAWYA MENA Edition:

Gulf Arab economies will grow at a slower pace than previously forecast, a quarterly Reuters poll of economists found, as oil output cuts, lower crude prices and weaker global growth put pressure on regional economies.

Gross domestic product in Saudi Arabia, the largest Gulf Arab economy and the world's largest oil exporter, will grow 2.1 percent in 2019 and 2.2 percent in 2020, the poll of 22 economists projected. Three months ago, the forecasts were for growth of 2.5 percent in 2019 and 3.0 percent in 2020.

The benchmark price for Brent crude oil LCOc1 averaged around $71.6 per barrel last year. So far this year, it has only averaged around $60 per barrel, and economists are predicting prices below $70 a barrel in 2019, based on lower demand growth and oversupply concerns.