Editor in Chief: Moh. Reza Huwaida Friday, September 21st, 2018

IMF Official Warns of Youth Unemployment, Social Tensions in Arab World

IMF Official Warns of  Youth  Unemployment, Social Tensions in Arab World

DUBAI - Arab youth unemployment is the highest in the world, said International Monetary Fund (IMF) Managing Director Christine Lagarde here on Saturday, warning of dissatisfaction and a rise in social tensions.
Lagarde made the remarks at the third Arab Fiscal Forum, mentioning the Arab youth unemployment at an average of 25 percent. “This could easily lead to dissatisfaction, a rise in social tensions, and a collapse in social trust,” he said.
“Over 27 million hopeful young people will join the workplace over the next five years, anxious to be included,” she added. However, “so far their aspirations are unfulfilled, and their understandable frustration is compounded by perceived unfairness.”
The former French Minister of Finance quoted a survey which “found that more than 60 percent of people believe that connections matter far more than qualifications for getting a job,” pointing at the Arabic culture of “wasta,” which describes the supportive culture of tribal and family relations.
This system “reduces incentives to invest in skills and knowledge,” she said. “It can magnify the sense of dissatisfaction, distrust, and resentment -- and it is ultimately self-defeating.” (Xinhua)