DUBAI, United Arab Emirates — Energy-rich Gulf Arab states could burn through all their savings in the next 15 years as worries about climate change and supply from new competitors dampen oil prices, the International Monetary Fund warned on Thursday, advising the nations to rein in their spending. The stark alarm from the IMF comes as the island nation of Bahrain faced defaulting on a loan in 2018 and received a $10 billion bailout from its neighbors. Its public debt is 93% of its gross domestic product. But even oil behemoth Saudi Arabia and reserve-heavy Kuwait face the same potential economic problems confronting the Gulf Cooperation Council, a group of six nations that also includes Oman, Qatar and the United Arab Emirates, the IMF warned. “If these expectations materialize, they would reshape the economic landscape of many oil-exporting countries, including those in the GCC.”

Source: International New York Times February 06, 2020 17:15 UTC