Middle East And North African Region Research Articles

The impact of COVID-19 stringency measures on emerging stock market stability: Does economic resilience matter?

PurposeThe current research aims to investigate the impact of coronavirus 2019 (COVID-19) evolution, government stringency measures and economic resilience on stock market volatility in the Middle East and North African (MENA) emerging markets. Other macroeconomic factors were also taken into account.Design/methodology/approachBased on financial data from 10 selected MENA countries, we tested an integrated framework that has not yet been explored in prior research. The exponential generalized autoregressive conditional heteroskedasticity (E-GARCH) was adopted to analyze data from March 2020 to February 2022.FindingsOur research illustrates the direct and indirect effects of the virus outbreak on stock market stability and reports that economic resilience could alleviate the volatility shock. This finding is robust across the various proxies of economic resilience used in this study. We also argue that the negative impact of the pandemic on equity market variation gets more pronounced in countries with higher level of stringency scores.Practical implicationsPolicymakers ought to strengthen their economic structures and reinforce the economic governance at the national level to gain existing and potential investors’ trust and ensure lower stock market volatilities in times of crisis. Our study also recommends some key economic factors to consider while establishing efficient policies to tackle unexpected shocks and prevent financial meltdowns.Originality/valueOur findings add to the evolving literature on the reaction of economic and financial markets to the sanitary crisis, particularly in developing countries where research is still scarce. This study is the first of its kind to investigate the stock market reaction to stringency measures in the understudied MENA region.

Waterborne Cryptosporidium species and Giardia duodenalis in resources of MENA: A systematic review and meta-analysis.

This review explores our understanding of Cryptosporidium species and Giardia duodenalis distribution in Middle East and North African (MENA) water resources. Results emphasize that Cryptosporidium species (sp.) and G. duodenalis (oo)cysts are present in distinct categories of water in ten MENA countries. Cryptosporidium sp. proportional prevalence in the MENA region was 24.5% (95% CI 16.3-33.8), while G. duodenalis prevalence was 37.7% (95% CI 21.9-55.1). Raw wastewater and surface water were the water categories most significantly impacted. Both parasites were reported in the various types of MENA drinking waters. The most frequent species/genotypes reported were C. hominis, C. parvum, and G. duodenalis assemblage A. Despite the high prevalence of (oo)cysts reported, we should consider the absence of waterborne outbreaks. This indicates significant underestimation and underreporting of both parasites in MENA. Stakeholders should apply water contamination legislation to eradicate Cryptosporidium sp. and G. duodenalis (oo)cysts from water resources/categories.

Defining indicators for disease burden, health outcomes, policies and barriers and facilitators to health services for migrant populations in the Middle East and North African region: a protocol for a suite of systematic reviews

IntroductionThe Middle East and North African (MENA) region is characterised by high and complex migration flows, yet little is known about the health of migrant populations, their levels of underimmunisation...

Homelessness and Gender Inequality in the Middle East and North Africa Region

While homelessness is a global phenomenon, research on homelessness skews heavily towards high-income nations such as those in North America, Europe, and Australia. The academic publishing sector also highly privileges articles written in English. Therefore, homelessness in the global south or non-English as a first language countries is less understood and less recognized. In this article, we explore homelessness as a phenomenon in the Middle East and North African (MENA) region. In particular, we use a gender-based analysis to understand the highly gendered nature of homelessness in this region, presenting an argument that while homelessness is gendered globally, in regions where gender inequality is greater, women and gender-diverse people will be more disproportionately impacted by homelessness. Therefore, obtaining Sustainable Development Goal 5 of ‘Gender Equality’ and efforts to prevent homelessness will go hand-in-hand within the MENA region.

The Role of Renewable Energy Consumption in Targeting Debt Sustainability in African and MENA Region Countries

The primary aim of this study was to explore the impact of renewable energy consumption on debt sustainability in African and Middle East and North African (MENA) countries. Other objectives were to be investigated including foreign direct investment net inflows’ effects on those countries’ public debt, besides the relationship between carbon dioxide emissions and their public debt. The Fixed Effects Regression Model for Panel data analysis was employed through the utilization of different variables data of 21 countries in Africa and MENA regions, covering the period from 1999 to 2021. The conducted regression analysis incorporated central government debt as a dependent variable, and carbon dioxide emissions, FDI net inflows, the government effectiveness index, credit to the private sector, and renewable energy consumption as explanatory variables. The results revealed the existence of direct significant relationship between renewable energy consumption and central government debt, suggesting that reducing public debt leads to lower utilization of renewable energy. This could imply that going for the objective of debt sustainability requires the prevention of the wide utilization of renewable and clean energy. However, this impact could be overcome or lessened or even mitigated if it is aligned with the presence of highly effective governments and stimulated by FDINI oriented towards climate change mitigation since Green foreign direct investment inflows promotes the sustainable development and debt sustainability specifically with the presence of inverse relationship between the latest variables and central government debt. One recommendation from this research is that attracting FDI that promotes sustainable development within the context of effective governments can reduce government debt and should be explored for attaining the main objective without harming the ecological system or causing environmental degradation.

Investigating the impact of GDP, energy mix, energy intensity, and the service sector on environmental pollution in MENA countries: An application of Driscoll-Kraay standard error approach

The goal of this study is to explore the stochastic impacts of population, GDP, renewable energy, fossil fuels, energy intensity, and the service sector on environmental pollution through regression analysis. To achieve this goal, this study employed the Driscoll-Kraay standard error approach for the “Middle East and North African (MENA)” countries. The study assured a balanced panel of data from 1997 to 2021 and applied the STIRPAT model to test which variables are responsible for environmental pollution in the MENA region. The study's findings show that factors such as population size, gross domestic product, the use of fossil fuels, and energy intensity all contribute to environmental pollution. On the other hand, using renewable energy and strengthening the service sector can reduce long-term environmental pollution. The study's findings have proposed various policy implications for MENA countries to reduce environmental pollution, including carbon and greenhouse gas (GHG) emission mitigation, considering sustainable development goals 7 and 13.

Investigating the EKC hypothesis with disaggregated energy use and multi-sector production.

The Middle East and North African (MENA) economies experienced substantial economic fluctuations due to variations in carbon emissions and energy use. For this purpose, the present study examines the factors influencing carbon emissions in MENA economies, particularly economic growth and energy use. To this end, this study disaggregates economic growth into three sectors (agriculture, industry, and services) and energy use into renewable and non-renewable, and examines their environmental impacts by including the roles of urbanization and trade openness in the environment Kuznets curve (EKC) framework. This study uses panel data from 16 MENA countries over the period 1990-2018 to estimate the short-run and long-run coefficients and the Granger causality between the variables. The empirical results using the Mean Augmented Group (AMG) and the Common Correlated Effects Mean Group (CCE-MG) revealed that (i) the signs of GDP per capita and its squared scores validate the EKC hypothesis only at the aggregate level; (ii) the coefficients of sectoral GDP show that the industry and services sectors have the highest contributions to carbon emissions in the MENA region; (iii) non-renewable energy increases emissions, whereas renewable energy lessens them. The outcomes of the Granger causality confirm (i) a bidirectional relationship between emissions and per capita GDP as well as sectoral GDP, between CO2 emissions and renewable energy, and between per capita GDP and renewable and non-renewable energy however; (ii) a unidirectional causal impact running from non-renewable energy to CO2 emissions is found in the short term. The study calls for effective policies to focus on curbing emissions in secondary and tertiary economic sectors by growing the part of renewable energy in the total energy mix.

Exploring the effect of the Russian–Ukrainian conflict on MENA firms: Does the monetary policy play a role?

AbstractThis paper explores the effect of the Russian–Ukrainian conflict on the firms operating in the Middle East and North African (MENA) countries, focusing on how different sectors of the economy have responded. The empirical methodology utilizes firm‐level data from MENA countries, employing fixed effect and instrumental variable estimations to control for the potential endogeneity of casualties in the war and firm dynamics. The results of this study reveal that (1) an increase of 1% in the hostility of the Russian–Ukrainian war corresponds to a 0.13% decrease in the market cap of MENA firms. (2) This effect is more pronounced among highly indebted firms, conducting business solely within the domestic market, and operating on a small scale. (3) The monetary policy is vital in mitigating the effect of the conflict on firms.This study has two main contributions. First, it empirically assesses how firms operating in the MENA region respond to geopolitical events, highlighting differences in responses between firms and sectors. Second, this paper serves as guidelines for governments to face the challenges raised by wars. In particular, the paper shows the relevance of sector‐specific policy responses based on the extent to which each sector is affected by geopolitical events.

“Trust but verify” financial inclusion in the MENA region

Using data from the World Value and Financial Access Surveys from 2010 to 2021 in 13 countries in the Middle East and North African (MENA) region, this study investigates the nonlinear impact of general trust (GT) and confidence in banks (CIB) on financial inclusion (FI). In addition, it investigates whether bank risk-taking reinforces the negative effect between trust and financial inclusion. We also estimate a generalized quantile regression, and its results indicate a nonlinear (U-shaped) relationship between GT and FI and a nonlinear (Inverted U-shaped) relationship between CIB and FI. In addition, bank risk-taking strengthens the negative relationship between GT and FI. This is one of the first studies to investigate the relationship between general trust and financial inclusion with a nonlinear regression. Because the MENA region differs from others in terms of culture and religion, our results vary from those in prior papers on non-MENA countries.

What role public debt plays to moderate the influence of natural resources on financial development? Appraising Resource-Curse Hypothesis in MENA Region

A sound financial structure is one of the imperative macroeconomic goals for developed and developing ones, particularly for resource-abundant countries, which are more vulnerable due to the unexpected shock of COVID-19 and experiencing the financial resource curse (FRC). The literature has extensively discussed the assimilation of natural resources (NR) into a blessing or curse; however, little is known concerning the FRC hypothesis through integrating public debts (PD). Therefore, the present research scrutinizes the FRC in the Middle East and North African (MENA) countries by considering the PD, NR, institutional quality (IQ), and financial development (FD) in an integrating framework from 2001 to 2020. The study employs a cross-section augmented distributed lag (CS-ARDL) estimator to address the concerns of cross-section dependency and slope heterogeneity. The long-run empirical findings elucidate that NR significantly reduces FD and affirms the FRC hypothesis, while IQ positive promotes the FD in the MENA region. Another pertinent factor, PD reduces FD significantly, and the moderating impact of PD through NR reveals the inverse association with FD. Additionally, consistent findings are investigated in the short run with a smaller coefficient magnitude, and the cointegrating term converges towards the steady state equilibrium with a 29.4% adjustment rate in any diverging situation. Similar empirical outcomes are echoed from the alternative panel techniques, and panel causality testing indicates the bi-directional causality among all model variables except IQ and FD. Overall results provide valuable policy implications to the MENA region that should empower the IQ levels in mitigating the adverse impacts of FRC.

Multidisciplinary consensus recommendations for management of hepatocellular carcinoma in Middle East and North Africa region.

Hepatocellular carcinoma (HCC) is a growing health concern projected to cross over a million cases worldwide by 2025. HCC presents a significant burden of disease in Middle East and North African (MENA) countries due to a high prevalence of risk factors such as hepatitis C and B infections and rising incidence of non-alcoholic steatohepatitis and non-alcoholic fatty liver disease. In August 2022, an advisory meeting consisting of experts from 5 MENA countries was convened in an attempt to provide consensus recommendations on HCC screening, early diagnosis, current treatment modalities and unmet medical needs in the region. Data were collected from a pre-meeting survey questionnaire and responses analysed and presented during the advisory meeting. This review summarizes the evidence discussed at the meeting and provides expert recommendations on the management of HCC. The 2022 update of Barcelona clinic liver cancer (BCLC) staging and treatment strategy and its implementation in the MENA region was extensively discussed. A key consensus of the expert panel was that multidisciplinary care is crucial to effective patient management that results in better clinical outcomes and overall survival of the patient. The panel recommended the use of predictive and early response biomarkers to guide clinicians in arriving at more effective therapeutic decisions. The experts also emphasized the role of robust screening/surveillance systems, population-based registries, effective referral pathways and standardization of guidelines to ensure the successful management of HCC in the region.

Determinants of working capital management for emerging markets firms: evidence from the MENA region

PurposeThis study examines the impact of firm-specific and macroeconomic factors on the working capital behavior of firms listed in the Middle East and North African (MENA) region.Design/methodology/approachThis study is based on a panel data analysis of 687 firms listed on 11 MENA markets, carried out using the Generalized Method of Moments (GMM) approach.FindingsThe results of this study reveal that profitable firms with high levels of operating cash flows adopt a conservative working capital management. Young firms with rapid growth rates, highly leveraged firms and firms with large investments in fixed assets have higher liquidity needs, which explains their tendency to pursue aggressive working capital strategies. Similarly, large firms exercise their bargaining power over their clients and suppliers to implement an aggressive approach of working capital management. Finally, firms do not have the luxury to decide how working capital should be managed when they are subject to outside macroeconomic forces that affect their stakeholders as well.Practical implicationsThe findings of this study can help managers adopt efficient practices and identify optimal working capital levels. Firms in the MENA region maintain excess reserves of cash, which causes under-investment and inefficient allocation of resources in the economy. Improving working capital management practices can allow firms to regain operational efficiency, enhance financial performance and support economic growth.Originality/valueTo the best of the authors' knowledge, this study investigates this topic in MENA emerging markets and contributes to enriching the existing corporate finance literature in emerging markets.

CEO’s Characteristics and CSR Disclosure: Evidence from Islamic Banks across MENA Region

The purpose of this paper was to explore the relationship between the characteristics of the chief executive officer (CEO) and corporate social responsibility (CSR) of banks operating in the Middle East and North African (MENA) countries. The study hypotheses was tested using a multiple linear regression model by examining data from a sample of 97 Islamic banks operating in the MENA region between 2015 and 2019. The results were robustly checked and the findings indicated that both CEO’s overconfidence, experience and education appear to have a significantly positive effect on the CSR disclosure. Furthermore, the results of multiple linear regressions showed that older CEO’s have a negative and significant impact on the level of CSR disclosure. This research bridges the gap between theory and practice in many aspects. Thus, although a substantial volume of research has examined sustainable advantage, one vital aspect of CSR has been largely unexplored. This study fills this void in the literature, namely the interaction between CEO’s characteristics and CSR disclosure. An explicit CSR disclosure may improve social well-being in emerging markets.

Probability of default and political instability in the MENA region

PurposeThis study aims to empirically investigate the impact of political instability on the banking stability of the dual banking system in the Middle East and North African (MENA) countries.Design/methodology/approachThe study measures banking stability with probability of default (PD) and Zscore by employing the generalised method of moment (GMM) between 2007 and 2021 on the dual banking system in the region. The authors further estimate short-long-run situations coupled with a robustness test using a generalised least square (GLS) model.FindingsThe authors' findings indicate that institutional factors of political stability, crisis period, high-crisis countries, law and order and macroeconomic indicators influence the two types of banking stability in the region. The authors found the consistency of the factors explaining stability in the region in both short-and long-run situations. Consequently, the study also reveals the adverse effects of crisis periods and high-crisis countries on banking stability.Practical implicationsThe results of this study explicitly identify the critical need for sustaining political stability and abiding by laws and order to achieve dual banking stability in the region. Therefore, policymakers may consider allowing the region's banks to operate beyond retail banking since diversification enhances banking stability.Originality/valueThe authors' study balances by employing dual stability measurement in predicting the impact of political instability, law and order and other indicators on the MENA region's two banking models. This study uncovers the effect of the global crisis period on banking stability and high-crisis countries in the region and verifies the models' robustness.

The Impact of Information and Communication Technologies on Competitiveness: Evidence from MENA Countries

Information and communication technologies (ICTs) have recently emerged as a snowballing phenomenon that orient competitiveness strategies. They are vital and critical aspect for countries to not only improve their global competitiveness, but they also accomplish long-term growth. Latest developments in the Middle East and North African (MENA) countries render the region to be an appealing case study. This study aims at investigating the impact of ICTs in supporting the competitiveness in a sample of (13) countries in the MENA region during the period from 2010 to 2021. To accomplish this purpose, the study employs an econometric model that utilizes the dynamic Generalized Method of Moments (GMM) estimator. Moreover, the results are confirmed by implementing two models. The first model measured ICTs by an indicator which is networked readiness index (NRI). The second model measured ICTs by individuals using the internet (IUI) and the competitiveness in both models was measured by global competitiveness index (GCI). The findings indicated that networked readiness index (NRI) and individuals using the internet (IUI) have a significant and positive impact on the competitiveness in MENA countries. The study recommended that countries in the MENA region should inevitably accelerate the procedures of developing ICTs and support the ICT infrastructure in order to increase their competitiveness.

Investigating environmental policy stringency in OECD countries: implications for the Arab world

PurposeAs the world began to witness an unprecedented rate of environmental destruction, economists and international institutions have been toiling away for decades, making every effort to dissect the dynamics of the relationship between the environment and the economy. Many claims have preached that there is a trade-off between environmental wellbeing and economic prosperity, where economic growth would be hindered by environmental protection. As we continue to neglect nature, will the world be capable of maintaining infinitely growing economies without falling into a deficit of natural resources? The foundation of all forms of economic growth springs from nature. Therefore, this study aims to explore the true impact of environmental protection policies on economic performance, and claims that well-designated environmental policies would only strengthen economies.Design/methodology/approachThis study aims to investigate the impact of environmental protection policies on gross domestic product (GDP) growth utilizing a selected sample of 18 OECD countries. Fixed effects panel regression was conducted for the sample from 1998 to 2015.FindingsFindings suggest that an increase in the environmental protection stringency is associated with an increase in GDP in the long-run. Whereas in the short run, more stringent environmental policies have been shown to have a questionable impact on GDP, brought to light by the mixed results portrayed in the short-run data.Research limitations/implicationsWhile it is true that this study has utilized data from the The Organisation for Economic Co-operation and Development (OECD), the findings could be applicable to countries of the MENA region. This is due to the fact that GDP levels of OECD countries and Middle East and North African (MENA) countries have been converging over the past few decades. The convergence suggests that both regions seem to be following similar trends since the year 1990, with an increasing similarity in trend over the years.Originality/valueThis paper empirically proves that the protection of nature is necessary for the sustenance of long-term economic growth. This study also provides an approximate time range of when the economic gains of environmental protection would be realized, specifically in the beginning of a green growth transition. This makes the study findings accurately relevant to Arab countries, where providing a time range is necessary to alleviate some the uncertainty of policymakers in the MENA region towards environmental policies.

Patient-centered care in the Middle East and North African region: a systematic literature review

BackgroundThe need for patient centered care (PCC) and its subsequent implementation has gained policy maker attention worldwide. Despite the evidence showing the benefits and the challenges associated with practicing PCC in western countries there has been no comprehensive review of the literature on PCC practice in the Middle East and North African (MENA) region, yet there is good reason to think that the practices of PCC in these regions would be different.ObjectivesThis paper summarizes the existing research on the practice of PCC in the MENA region and uses this analysis to consider the key elements of a PCC definition based on MENA cultural contexts.MethodsFive electronic databases were searched (EMBASE, Cochrane, Medline, CINAHL and Scopus) using the search terms: patient OR person OR client OR consumer AND centered OR centred AND care. The MENA countries included were Bahrain, Iran, Iraq, Jordan, Kuwait, Lebanon, Oman, Palestine, Israel, Qatar, Saudi Arabia, Syria, United Arab Emirates, Yemen, Algeria, Egypt, Libya, Morocco, Tunisia, Djibouti, Pakistan, Sudan, and Turkey. Identified papers were imported to Covidence where they were independently reviewed against the inclusion criteria by two authors. The following data were extracted for each paper: author, year, location (i.e., country), objectives, methodology, study population, and results as they related to patient centred care.ResultThe electronic search identified 3582 potentially relevant studies. Fifty articles met the inclusion criteria. Across all papers five themes were identified: 1) patient centered care principles; 2) patient and physician perceptions of PCC; 3) facilitators of PCC; 4) implementation and impact of PCC; and 5) barriers to PCC.ConclusionThe preliminary findings suggest that the concept of PCC is practiced and supported to a limited extent in the MENA region, and that the implementation of PCC might be impacted by the cultural contexts of the region. Our review therefore highlights the importance of establishing patient-centered care definitions that clearly incorporate cultural practices in the MENA region. The elements and impact of culture in the MENA region should be investigated in future research.

Frontline Management of Advanced Epithelial Ovarian Cancer: A Comprehensive Statement by the Africa Middle East Cancer Inter-group [AMCI

Abstract: Worldwide, ovarian cancer (OC) is one of the leading causes of cancer-related death among women. Despite the recent progress in the treatment of advanced OC, oncologists in many parts of the world still face several difficulties and constraints in their daily management of their patients. In addition to the shortage of resources and expertise, non-adherence to the up to date international guidelines has been identified as a major obstacle towards the improvement of treatment outcomes in the majority of developing countries, including the Middle East and North African (MENA) countries. A multidisciplinary gynecological oncology panel from the MENA region met virtually in December 2020 to discuss the challenges and hurdles faced by the community oncologists in the management of advanced OC. This manuscript reviews the key molecular and clinical studies that shaped the current international guidelines and suggests several modifications to make them more adaptable to the health status of developing countries of this region

A systematic literature review of mobility attitudes and mode choices: MENA and South Asian cities

Urban mobility behavior is influenced by complex interrelations of personal attitudes, neighborhood design, emerging digitalized shared mobility services, and urban governance. The transformation of urban mobility ecosystems in the Middle East and North African (MENA) and the South Asian (SA) regions lacks an in-depth comparative review to understand the determinants of mobility attitudes and mode choices. The objective of this paper is to systematically study the existing literature on cities in the MENA and SA regions to provide a comparative review of the analyses and the findings on urban mobility attitudes in light of prevailing societal conditions and urban-spatial forms. A systematic methodology was deployed to shortlist recently published journal papers from the years 2000 to 2022 for the MENA and SA regions. Application of the (shortlisting) methodology has identified 43 studies from the MENA region and 43 papers from the SA region to be most suitable for the review of comparative analysis of urban mobility behavior. The review found that travel choices in both MENA and the SA regions are impacted by the usual determinants such as demography, socio-economic characteristics, vehicle ownership, and the quality and maturity of (urban transport) spatial forms. The mobility behavior in these regions, is to some extent, can be said to be in alignment with the observed behavior across the developed western cities elsewhere in Europe and North America. The review identified that in both the MENA and the SA regions, mobility choices are also influenced by certain additional factors, such as cultural norms, adverse climatic conditions and socio-economic standings, etc. The literature indicates that ethnic and income disparities are deeply embedded in the socio-spatial arrangements of the cities in the MENA and SA regions. Future research can assess the relative influence of these factors and to determine correlations between mobility attitudes and urban forms to build better cities.

The asymmetrical linkage between oil price and banking stability in the MENA region

PurposeThis paper aims to empirically investigate the asymmetrical relationship between changes in oil price and the banking stability of the conventional and Islamic banks in the Middle East and North African (MENA) countries.Design/methodology/approachThis paper measures banking stability with Z-score and probability of default using the Generalized Method of Moment. This paper selects a sample of conventional and Islamic banks operating within the MENA oil-producing states between 2008 and 2016.FindingsThe result of this paper reveals that the banking stability of the two types of banks responds to positive and negative shocks in oil prices. Thus, the stability of conventional banks is slightly better than that of Islamic banks in the region. Consequently, this paper also reveals that bank capitalization improves with the banking stability of the two banking systems in the region.Practical implicationsThe findings of this paper will help the banks in the MENA oil-producing countries with strategies for improving banking stability during the oil price fluctuations and provide the policymakers with possible time for bank capital reform.Originality/valueThis paper explores the impact of the international oil price shocks on Islamic and conventional banks in one of the essential global oil-producing regions. As such, this paper extends the banking stability literature by accounting for the role of oil shock prices on banking distance and the probability of default. To the best of the authors’ knowledge, this is the first investigation of different transmission channels of oil price fluctuations in the region while considering the dual banking system in the hub of Islamic banks.