Inflation ‘on the rise’ in Middle East, central Asia oil exporters – IMF

The International Monetary Fund has warned against rising inflation in the Middle East and central Asia, particularly in oil exporting nations.

‘Fueled by strong demand growth, large external inflows and generally accommodative monetary policies, average inflation in the region has picked up to 8-9 pct,’ the IMF said in its regional economic report released today.
In petroleum-exporting countries, it said, ‘the increase has been particularly sharp,’ up to almost 10 pct from 7 pct last year.

While the region is expected to grow faster than the global average for the eighth consecutive year–in the 6-7 pct range for 2008–at the same time the report said ‘unemployment remains a big concern.’

‘While the outlook remains positive,’ for the region the IMF said, ‘downside risks from the global economy have increased.’

Forbes