North Africa Weathers the Global Economic Crisis
In challenging economic times at home, U.S. companies should consider going for export growth abroad. One of the most attractive growth markets in the world today is North Africa.
The Middle East and North Africa as a whole are projected to grow by 2.6% this year, faring better than most every other region in response to the global economic downturn. Oil-producing markets are growing at an impressive 2.3%. Neighboring non-oil-producing markets are showing even more robust 3.2% growth. The International Monetary Fund attributes the region’s resilience to prudent financial and economic management and to the continued high public spending of oil-producing countries. As oil-exporting countries sustain demand by drawing on monetary reserves, neighboring oil-importing countries benefit from economic spillovers, lower energy costs, and still-resilient tourism and remittances.
This month’s featured markets are Libya and Algeria, two North African oil-producing countries with which the United States is enjoying deepening commercial relationships.
- In Libya, U.S. merchandise exports have jumped from $39 million since the easing of U.S. sanctions in 2004 to $721 million in 2008. Read our feature and listen to our audio market brief to learn more.
- U.S. exports to Algeria topped $1.2 billion in 2008, with the United States ranked as Algeria’s largest bilateral trading partner in the world. Learn more in our feature, and check out the webinar.
- The Commerce Department’s Trade Mission to Libya and Algeria, November 4-8, 2009, provides a great opportunity for U.S. firms to enter these markets.
U.S. companies may also be interested in neighboring North African markets, such as Egypt and Morocco.
- The United States is Egypt’s largest bilateral trading partner and the United States’ fourth largest export market in the Middle East.
- Since the U.S.-Morocco Free Trade Agreement entered into force in 2006, U.S. exports have tripled to more than $1.5 billion in 2008.
For more information on the entire region, visit the Middle East and North Africa Business Information Center or contact your local Commercial Service office.