Economics

The MENA Energy Recap is a quarterly review of key energy developments that took place in the region from July through September of 2025 and what they signal in the months ahead. The Recap views these developments through the lens of policy and strategy, energy security, and markets.

The current government in Lebanon is keen to encourage financial recovery and find a new path to economic growth. A thorough understanding of the causes behind the country’s recession and the factors constraining a recovery are necessary to shape policy priorities. These are also important as an input into the discussions of the 2026 budget and to the ongoing negotiations with the International Monetary Fund (IMF). Using the wrong framework for these decisions could yield low economic growth, which would be harmful for a quick and decisive economic recovery. Conversely, improved economic outcomes and broad buy-in, following public consultations, will ease the implementation of politically difficult reforms. Thus, policymakers must take great care to develop a narrative about how to achieve progress in the short and medium terms that is adjusted to local circumstances.

Restoring both domestic and international confidence in the Lebanese government will ultimately depend on taking tangible steps towards economic revival. This article presents key policy options to achieve this result, including rebuilding trust through improved governance and judicial reforms, investing in digital infrastructure, driving sustainable growth via regional integration and innovation, and balancing economic revival with sovereign debt restructuring.

Hundreds of young Moroccans are protesting across 11 cities since September 27 under the banner “GenZ 212.” The central trigger behind the demonstrations has been a deep popular frustration with Morocco’s persistent inability to deliver on its development plans and promises. This sort of broad disaffection will be challenging for the government to address quickly and credibly.

Turkey’s main opposition, the CHP, is facing its toughest test yet: mass arrests, sham court rulings, and the ouster of key leaders—including Istanbul’s mayor Ekrem İmamoğlu, Erdoğan’s chief rival. With trials looming that could replace CHP leadership with government loyalists, the party warns of a legal ‘coup.’ What does this crackdown mean for Turkey’s fragile economy, its 2028 elections, and the future of democracy itself?

The coming weeks may prove decisive in Europe’s long struggle to manage Iran’s nuclear ambitions. On Aug. 28, the United Kingdom, France, and Germany announced they will trigger the “snapback” sanctions mechanism. Whether Europe’s gamble succeeds will determine both the future of non-proliferation and the credibility of Europe as a strategic actor.

The long-awaited IMF staff report review of Egypt’s $8 billion loan agreement provides a thorough and unvarnished look at the current state of the economy. The report highlights potential opportunities for the country — but only if it first tackles overdue structural reforms.

“The first half of 2025 has been a whirlwind for global energy markets,” says MEI Senior Fellow Colby Connelly. The 12-day war between Israel and Iran this past June briefly sent oil prices into the $80 per barrel range, while growing uncertainty around trade policy under President Trump has greatly complicated Middle Eastern actors’ investment decisions. Connelly breaks down these developments and outlines what to watch in the months ahead.

The MENA Energy Recap is a quarterly review of key energy developments that took place in the region from April through June of 2025 and what they signal in the months ahead. The Recap views these developments through the lens of policy and strategy, energy security, and markets.

Israel’s full-blown war against Iran threatens to upend regional dynamics and Turkey’s careful balancing act. The conflict presents both immediate threats and long-term strategic risks for Turkey.

Near-term progress in a renewed nuclear agreement between the United States and Iran could add further downward pressure to a delicate oil market, potentially heralding more fiscal pain for Gulf oil producers and complicating US energy strategy.

One of the strategic thrusts of the opening months of Trump’s second terms has been aimed at deepening America’s economic engagement with the leading economies of the Gulf. Thus, the first leg of his trip to the region resulted in a template for deeper US-Saudi ties.

The MENA Energy Recap is a quarterly review of key energy developments that took place in the Middle East and North Africa region from January to March 2025 and what they signal for the months ahead. The Recap views these developments through the lenses of policy and strategy, energy security, and markets.

Countries in North Africa and around the world are increasingly prioritizing a strict definition of sovereignty and tending toward transactional diplomacy. Understanding the motivations behind North Africa’s “sovereignty-first” approach can help the United States and Europe build mutually beneficial and durable links with the region in this new reality.