Development Middle East Financial development in Middle East

Development Middle East

Financial development in Middle East • The theoretical argument for linking financial development to growth is that a welldeveloped financial system performs several critical functions to enhance the efficiency of intermediation by reducing information, transaction, and monitoring costs. A modern financial system promotes investment by identifying and funding good business.

What is happening? • The UN system works in a variety of ways to promote economic and social goals. • The mandates of the specialized agencies cover virtually all areas of economic and social endeavour. The agencies provide technical assistance and other forms of practical help to countries around the world. In cooperation with the UN, they help formulate policies, set standards and guidelines, foster support and mobilize funds. The World Bank, for example, provided more than $38. 2 billion in development loans in fiscal year 2008 to nearly 100 developing countries.

The Future • This paper seeks to examine the current situation of development in the Middle East and particularly the challenges ahead of the region in attaining sustainable development and human development in the near future. The elitist theory is adopted as the conceptual framework for the research, since in the absence of institutionalization, the attitudes and behavior of power-holders serve as valid guides for political change. Then the author addresses the place of the Middle East among the other developing regions of the world and studies the reasons why this region is exceptional due to its backwardness from the world dominant trends in the economic and political fields. The other parts of the paper deal with the political and economic challenges arising from the dominance of the rentier state in the region as well as problems resulting from women's insufficient participation in the region's development process.