Trade partnerships within the MENA region have been on the rise
for the past 15 years. For most of the countries in the MENA region, fuel
reserves and oil have been a main trading asset since the beginning of their
economic existence. With the rise of international integration and their
economies growing, MENA’s global economic participation has had a positive
impact both in their home countries and on the world. According to the World
bank in 2010, “All but 5 MENA countries are now members to the WTO. Thus, most
countries have transitioned to greater rules-based trading system with lower
tariff barriers; Progress is also underway to foster regional cooperation.
Tariffs have been reduced under the Pan-Arab Free Trade Area (PAFTA),
intra-regional tourism is growing, transport connectivity is improving and,
thanks to a number of ongoing regional projects, the prospect for regional
energy trade good”. While this change is for the better, their growth is still
considerably small compared to the effect larger and more prosperous countries
have on the global economy. This change is difficult since many of the
countries within MENA are not necessarily comparable to countries such as the
United States within the topic of global contribution. The world bank suggests
that in order to become more economically viable, countries within MENA need to
host more local, whole facilitation centers in their home countries. This will
aid with production and they will be able to keep more profits in the long run
if they are able to source more products from within. They will also be able to
have more products to trade and it can boost their trade relationships.
Of
course, a big factor that is holding off these changes is the refugee crises occurring
within many MENA countries. Most notably are Syria, Iraq, Libya and Yemen,
which are in civil war, and causing their citizens to flee on a daily basis.
The first step to a better economy for MENA would be to end the wars and
conflicts within their areas, but it is uncertain what will end this current
nightmare.
