Malik: GCC Economies Can Deal With Fed Tightening

The transcript discusses the economic rebound in the Gulf, driven by oil wealth and favorable conditions. It highlights the flexibility of GCC central banks in managing liquidity and the impact of geopolitical risks on the oil market. The discussion also covers Dubai's economic growth, emphasizing tourism, aviation, and property sectors, while noting potential challenges.

What is the expected terminal rate from the Federal Reserve according to the transcript?

• 3.5%

• 2.5%

• 4.5%

• 1.5%

What is one of the factors contributing to the favorable economic backdrop in the Gulf region?

• Decreasing oil prices

• High inflation rates

• Opening of the economy

• Rising unemployment

What is one flexibility that GCC central banks have in response to rate hikes?

• Reducing government spending

• Adjusting the peg to the dollar

• Increasing oil production

• Not following the first rate hike

What is the current expectation for liquidity conditions in the GCC region?

• Remaining comfortable

• Tightening rapidly

• Becoming highly volatile

• Experiencing a severe shortage

What is a major factor contributing to the uncertainty in the oil market?

• Stable geopolitical conditions

• Geopolitical tensions between Russia and Ukraine

• Decreasing demand for oil

• Surplus of oil supply

What is a key sector contributing to Dubai's economic recovery?

• Tourism

• Manufacturing

• Mining

• Agriculture

What is a potential risk to Dubai's economic growth mentioned in the transcript?

• Decreasing tourism

• Low vaccination rates

• External economic shocks

• High property prices