MENA | Lebanese government; Saudi GDP; UAE subsidies

After over a year of political impasse, Lebanon has finally formed a government, led by a twice-former prime minister Najib Mikati. The breakthrough gives a glimmer of hope that talks with the IMF can resume, paving the way for a financial rescue package needed to arrest further decline in the economy.

What you will learn:

• Saudi GDP rose 1.8% y/y in Q2 according to latest data revisions. The non-oil sector expanded by 8.4% in Q2, down from an earlier estimate of 10.1%, as the economy continued to recover pandemic losses.
• Despite some likely softening in activity in Q3, we see 2.9% growth in the non-oil sector this year, taking total
  GDP growth to 2.3%, before a pick-up to 5.2% in 2022.
• The UAE has earmarked $6.5bn for incentives and subsidies to boost the share of employment of Emirati nationals in the private sector to 10% by 2026.