Mena trade predicted to soar
Egypt has been singled out to experience the fastest growth in international trade volumes by 2025, according to a new report.
The HSBC trade connections report has tipped Egyptian trade volumes to soar by 185% by a quarter of the way through the century, though the bank acknowledges the country is moving from a low base.
The Arab Spring and the world’s perception of Egypt as a platform into the Middle East are the major reasons behind the claim.
Egypt currently accounts for just 0.3% of world trade and, even with the meteoric rise; by 2025 it would only make up 0.4%.
“But this nevertheless represents growth in value terms of 185% and demonstrates a clear direction of travel,” says the report.
Alongside China, the UAE is expected to be the largest trade destination for India and will contribute significantly to India’s predicted 156% rise in trade activity up to 2025.
High-value engineering and chemicals-based trade are expected to make up the bulk of transactions.
UAE trade is thought to top US$414bn by 2015, up from 2010’s US$182.8bn, or a rise of 125%.
But the news isn’t all entirely positive for the region.
Saudi Arabian trade is expected to grow at a slightly slower rate than the rest of the world, moving upwards by 72.3% in the next 15 years.
This compares to a world average rise of 73% during the same period.
The report found that globally, 84% of respondents anticipate either consistent or increased volumes of international trade over the next six months.
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