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the challenge facing Oman's economy was "the regularisation of the labour market, which the government is working hard to achieve so that the market can handle the needs of each stage of development."

just 237,900 Omanis working in the sector compared to 1.87 million expats, according to government figures

“A youth bulge is coming into the labour force at a time when the ability of Gulf societies to continue in the traditional pattern of offering public-sector jobs is diminished,”

In 2019, the World Bank estimated Oman’s youth unemployment rate at 49 percent. The pandemic has almost surely worsened it

Muscat is seeking to improve education and diversify the country’s economy by promoting job growth in sectors like tourism, manufacturing and technology

Like Oman, Saudi Arabia faces an acute problem of creating jobs for young people. Half the population is under the age of 25 and nearly 60 percent of unemployed people are under the age of 30

Oman is a country of just five million, with expats accounting for more than 38 percent of the population. Filling the roughly 80 percent of jobs held by foreigners in the private sector is critical to the government’s economic transformation plans

Muscat has recently passed laws making it more costly to hire foreign workers while also implementing nationwide training programmes to address skills gaps with Omani nationals

A demographic that has been more willing to take jobs in the private sector, particularly in Saudi Arabia, is young women

New policies and programs are announced constantly, while the delivery capacity of the sluggish Saudi bureaucracy continues to lag. Below the upper echelons, the Saudi state remains the deeply fragmented, bloated, and slow-moving machine that I described in my 2010 book. The government seems to have no clear strategy for reforming this bureaucracy

While space for political opposition arguably has narrowed, women will soon be allowed to drive and the religious police force that once harassed them has been almost entirely neutered. By relaxing religious controls over the public sphere, the crown prince is seeking to attract more foreign investment and facilitate diversification into tourism and entertainment

Saudi Arabia has tackled fiscal reforms more vigorously than most local and international observers expected, introducing unprecedented tax and energy price measures, including the introduction of a 5 percent value added tax, new levies on foreign workers, and increases in electricity and transport fuel prices. The government is now experimenting with new non-oil sectors with an increased sense of urgency, including information technology and defense manufacturing.

As limits on government employment kick in, young Saudis will increasingly have no choice but to seek private jobs. But they will face tough competition on the private labor market where employers have become accustomed to recruiting low-wage workers from poorer Arab and Asian countries

public sector employment remains the key means of providing income to Saudi nationals. Cheap foreign labor dominates private sector employment, thereby keeping consumer inflation at bay and business owners happy. Citizens, however, are parked in the overstaffed public sector. Out of every three jobs held by Saudis, roughly two are in government. The average ratio around the world is one in five. Public sector wages account for almost half of total government spending, among the highest shares in the world

Local economic advisors fear that the majority of private petrochemicals firms — the most developed part of Saudi industry — would lose money if prices of natural gas, their main input, increase to American levels.

Saudi wage demands will have to drop further if private job creation is to substitute for the erstwhile government employment guarantee. For the time being, private job creation has stalled as the government has pursued moderate austerity since 2015 in response to deficits and falling oil prices

The government has also underestimated how dependent private businesses are on state spending. The share of state spending in the non-oil economy is extremely high compared to other economies. Historically, almost all private sector growth has resulted from increases in public spending

As long as oil prices remain below $70 per barrel, the goal of a balanced budget will cause pain for businesses and limit private job creation. This will pose a major political challenge at a time when an estimated 200,000 Saudis are entering the labor market every year. More than 60 percent of the population is under 30, which means that the citizen labor force will grow rapidly for at least the next two decades.

It would be far more prudent to gently prepare citizens and businesses for a difficult and protracted adjustment period and to focus on a smaller number of priorities

The key structural challenge to non-oil growth is the way the Saudi government currently shares its wealth, most notably through mass public employment — an extremely expensive policy that bloats the bureaucracy, distorts labor markets, and is increasingly inequitable in an era when government jobs can no longer be guaranteed to all citizens. A stagnating economic pie that might even shrink in the coming years must be shared more equitably.

A basic income would not only guarantee a basic livelihood for all citizens, but also serve as a grand political gesture that could justify difficult public sector reforms. A universal wealth-sharing scheme would make it easier to freeze government hiring and send a clear signal that, from now on, Saudis need to seek and acquire the skills for private employment and entrepreneurship. The government could supplement this scheme by charging fees to firms that employ foreigners while subsidizing wages for citizens to fully close the wage gap between the two.

Focusing on such fundamentals might be less exciting than building new cities in the desert or launching the world’s largest-ever IPO — but they are more important for the kingdom’s economic future. No country as dependent on petroleum as Saudi Arabia has ever effectively diversified away from oil

in western economies, low-cost migrant workers are largely unavailable. When the economy booms, wages rise, forcing managers to think judiciously about hiring. During a recession, employment protections for citizens mean that redundancies are complicated and sometimes impossible. Consequently, managers focus a lot more on maximizing worker productivity through investments and employee training; and on developing new technologies that are commercially valuable.

the Gulf countries rank below every region in the world in terms of R&D spending as a percentage of GDP, and the limited spending is almost exclusively funded by the government, and occurs in governmental organizations, such as oil giants Aramco and ADNOC.

the fundamental error made by proponents of restrictions on migrant workers. Rather than making the case I made above, they make the erroneous claim that if Saudi Arabia bans migrant workers, Saudi businesses will hire nationals in their stead. We know that this is false empirically because all of the Gulf countries have tried this and it has failed. The failure was also expected because national and migrant workers are imperfect substitutes. It is tempting to attribute the attractiveness of migrant workers merely to their willingness to work for a lower wage, or to domestic businesses “lacking patriotism”; but this belies the genuine superiority of migrant workers in many relevant domains, including work ethic, willingness to perform jobs that locals are averse to (waiting tables, collecting refuse, etc.), and their possession of skills that nationals often lack.

Saudis are too often educated in the areas that help one get a cushy public sector job, and not in those that serve the private sector needs. This is most starkly seen in the limited success of vocational training, especially when compared to advanced economies such as Germany or Switzerland.

for crude restrictions on the employment of migrant workers to create jobs for Saudi citizens, they must be accompanied by upgrades to the human capital of Saudis that attend to the needs of the private sector

while the new system makes hiring foreign workers “instant”, the results of these comprehensive reforms will be anything but “instant”, requiring many years to bear fruit

Public taxation is also increasing. A sin tax was implemented in June 2019 on products like sugary carbonated drinks and tobacco, and a serially delayed 5% value-added tax is expected in 2021. According to Salmi, electricity and water subsidies could soon be slashed and, in the long term, Omanis could see an income tax.

Above all, reforming the labor market — an unpopular move — would be the cornerstone of a post-Qaboos welfare state. About 43% of Omanis work for public entities. Abousleiman recommended economic diversification to foster private sector job creation and to further "relieve the expectations on the government to provide employment."

Following a field visit to Oman in 2019, the International Monetary Fund (IMF) suggested that the wages and benefits of the private sector need to align more closely with the public sector to make employment in the former more appealing.

Omanis who talked to Al-Monitor, as well as Mukhaini, believe any upcoming austerity measures "should not make the poor poorer and the rich richer," Mukhaini said.

According to rating firm S&P, the new ruler will face “a difficult trade-off” in the coming months to address high unemployment among youths, weak growth, and fiscal and funding pressures

Defense and security expenses account for over a quarter of Oman's annual budge

Oman — rated junk by the three major rating agencies — has several other options to fund its short-term ballooning deficit: Go further into debt; deplete its sovereign wealth fund; sell state assets; devalue its currency; and seek assistance from neighboring countries or international organizations.

Analysts believe Oman should build a model of governance tailored to the post-oil era. Along with a more stringent budget environment, the new leadership pledged to implement structural reforms to diversify the rentier economy and foster private sector-led growth.

To ensure political and social stability, Sultan Qaboos avoided controversial measures that could have triggered short-term political unrest

In 2011, at the height of the Arab uprisings, Sultan Qaboos promised to create 50,000 jobs and institute unemployment benefits in an attempt to defuse unprecedented nationwide protests.

the lack of economic reforms did not stop Omanis from loving the monarch, who built a modern state out of a medieval-like society he inherited in the early 1970s

Sultan Haitham bin Tariq "is already planting the seeds by cutting the royal expenditures tremendously,"

The relationship between state and society that Omanis have known for decades will likely never be the same

After the 2015 killings, the government once again bailed out floundering big hotel owners with money from the public budget by forgiving their debts, waiving their social security taxes, and covering their electricity bills. The justification many legislators gave at the time was that they needed to help hotel owners keep people employed at a time of crisis. Yet Karboul, the former tourism minister, says that the excuse doesn’t entirely wash. “A lot of people say it’s about jobs, but these bad hotels didn’t create jobs,” she says, noting that only a small fraction of the sector — some 20 percent — have the successful business model, high profits, and professional management needed to create value and jobs.

industry that continues to be dominated by large, well-connected, state-subsidized hotels and tour operators. And that, in turn, has tended to encourage an extremely narrow and fragile business model: mass package tourism. In some ways this was also a logical choice in light of the country’s chronically high unemployment and the workers’ relatively low levels of skills and education. But the reliance on quantity over quality brought problems of its own. Above all, as the political scientist Robert Poirier pointed out in a 1995 analysis of Tunisia’s tourism sector, it’s an approach that is sensitive to “political instability, both regional and Tunisia-specific.”

boutique hotels continued to thrive after the revolution, while hotel operators who relied on mass tourism began to have problems due to fears of political instability. “This shows that diversification of products can really help,”

Turkey has seen great success in recent years partly by capitalizing on unique, personalized tourism services available at all price ranges, including penny-pinching backpackers and students. Such flexibility could well pay off for Tunisia — especially at a time when competitors like Egypt are also hurting

structural challenges remain. One of the biggest, says Karboul, is access to credit, a problem that bedevils entrepreneurs in all sectors. That should serve as yet another reminder that the best way to revive the fortunes of Tunisia’s sagging tourism sector is by tackling the problems of the broader economy

he condemned the Sousse massacre and a terrorist attack in March, 2015, at Tunisia’s national museum, the Bardo, where three gunmen killed two dozen people. The victims were innocents, he said. Kamal still entertained a fantasy of joining a reformed police force. His knowledge of Islam was crude, and his allegiance to isis seemed confused and provisional—an expression of rage, not of ideology. But in Douar Hicher anger was often enough to send young people off to fight

“Maybe it’s the Tunisian nature—we like risk,” a former jihadi told me. A million Tunisians live and work in Europe. “A lot of drug dealers are Tunisian; many smugglers of goods between Turkey and Greece are Tunisian; a lot of human traffickers in Belgrade are Tunisian. Online hackers—be careful of the Tunisians, there’s a whole network of them.”

“The radical narrative tells you that whatever you’ve learned about Islam is wrong, you have to discard it—we have the new stuff. The old, traditional, moderate Islam doesn’t offer you the adventure of the isis narrative. It doesn’t offer you the temptation to enjoy, maybe, your inner savagery. isis offers a false heaven for sick minds.”

Democracy didn’t turn Tunisian youths into jihadis, but it gave them the freedom to act on their unhappiness. By raising and then frustrating expectations, the revolution created conditions for radicalization to thrive. New liberties clashed with the old habits of a police state—young Tunisians were suddenly permitted to join civic and political groups, but the cops harassed them for expressing dissent. Educated Tunisians are twice as likely to be unemployed as uneducated ones, because the economy creates so few professional jobs. A third of recent college graduates can’t find work. Frustration led young people to take to the streets in 2011; a similar desperate impulse is now driving other young people toward jihad.

the factors that drive young men and women to adopt Salafi jihadism are diverse and hard to parse: militants reach an overwhelmingly reductive idea by complex and twisted paths. A son of Riyadh grows up hearing Salafi preaching in a state-sanctioned mosque and goes to Syria with the financial aid of a Saudi businessman. A young Sunni in Falluja joins his neighbors in fighting American occupation and “Persian”—Shiite—domination. A Muslim teen-ager in a Paris banlieue finds an antidote to her sense of exclusion and spiritual emptiness in a jihadi online community. Part of the success of isis consists in its ability to attract a wide array of people and make them all look, sound, and think alike.

Souli wasn’t sure what should be done with returned jihadis, but, like nearly everyone I met, he spoke of the need for a program of rehabilitation for those who come back. No such program exists

In its eagerness to modernize, the Ben Ali regime encouraged widespread access to satellite television and the Internet. The sermons of Islamist firebrands from the Gulf, such as the Egyptian-born cleric Yusuf al-Qaradawi, entered the homes of Tunisians who felt smothered by official secularism. Oussama Romdhani, who was a senior official under Ben Ali—he was referred to as the “propaganda minister”—told me, “Radicals were able to use these tools of communication to recruit and disseminate the narrative, and they did it quite efficiently.”

“I never thought I would repeat the same demands as five years ago. The old regime has robbed our dreams.”

Why can’t the police do their job and stop the terrorists but let the smugglers go with a bribe?

Around 2000, the Tunisian Combat Group, an Al Qaeda affiliate, emerged in Afghanistan, dedicating itself to the overthrow of the Tunisian government. One of its founders, Tarek Maaroufi, provided false passports to two Tunisians who, allegedly on instructions from Osama bin Laden, travelled to northern Afghanistan posing as television journalists and assassinated Ahmed Shah Massoud, the Afghan mujahideen commander, on September 9, 2001. The Combat Group’s other leader, known as Abu Iyadh al-Tunisi, was an Al Qaeda commander; when the Americans overthrew the Taliban, in late 2001, he escaped from Tora Bora with bin Laden, only to be arrested in Turkey, in 2003, and extradited to Tunisia. (Sentenced to forty-three years in prison, he seized the chance to radicalize his fellow-prisoners.)

Walid was vague about his reasons for returning to Tunisia. He mentioned a traumatic incident in which he had seen scores of comrades mowed down by regime soldiers outside Aleppo. He also pointed to the creation of the Islamic State in Iraq and Syria, in April, 2013, which soon engaged in bitter infighting with the Nusra Front. Walid spoke of Abu Bakr al-Baghdadi, the caliph of the Islamic State, with the personal hatred that Trotskyists once expressed for Stalin. He accused isis of destroying the Syrian resistance and helping the Assad regime. He believed that isis was created by Western powers to undermine Al Qaeda and other true jihadi groups.

these aged men from the two Tunisias—Essebsi a haughty remnant of the Francophile élite, Ghannouchi the son of a devout farmer from the provinces—began a series of largely secret conversations, and set Tunisia on a new path. In January, 2014, Ennahdha voluntarily handed over the government to a regime of technocrats. Ghannouchi had put his party’s long-term interests ahead of immediate power. A peaceful compromise like this had never happened in the region. Both old men had to talk their followers back from the brink of confrontation, and some Ennahdha activists regarded Ghannouchi’s strategy as a betrayal.

To many Tunisians, Nidaa Tounes feels like the return of the old regime: some of the same politicians, the same business cronies, the same police practices. The Interior Ministry is a hideous seven-story concrete structure that squats in the middle of downtown Tunis, its roof bristling with antennas and satellite dishes, coils of barbed wire barring access from the street. The ministry employs eighty thousand people. There is much talk of reforming Tunisia’s security sector, with the help of Western money and training. (The U.S., seeing a glimmer of hope in a dark region, recently doubled its aid to Tunisia.) But the old habits of a police state persist—during my time in Tunis, I was watched at my hotel, and my interpreter was interrogated on the street.

The inhabitants of Kasserine, however neglected by the state, were passionate advocates for their own rights. They had played a central role in the overthrow of the dictatorship, staging some of the earliest protests after Bouazizi’s self-immolation. In every coffee shop, I was told, half the conversations were about politics. Although Kasserine is a recruiting area for jihadis, Tunisia’s wealthy areas are so remote that the town felt less alienated than Douar Hicher and Ben Gardane.

“You feel no interest from the post-revolutionary governments in us here. People feel that the coastal areas, with twenty per cent of the people, are still getting eighty per cent of the wealth. That brings a lot of psychological pressure, to feel that you’re left alone, that there’s no horizon, no hope.”

The old methods of surveillance are returning. In the center of Kasserine, I met an imam named Mahfoud Ben Deraa behind the counter of the hardware store he owns. He had just come back from afternoon prayers, but he was dressed like a man who sold paint. “I might get kicked out of the mosque, because last Friday’s sermon was something the government might not like,” the imam told me. He had preached that, since the government had closed mosques after terror attacks, “why, after an alcoholic killed two people, didn’t they close all the bars?” To some, this sounded like a call for Sharia, and after informers reported him to the police the governor’s office sent him a warning: “In the course of monitoring the religious activities and the religious institutions of the region, I hereby inform you that several violations have been reported.” The imam was ordered to open the mosque only during hours of prayer and to change the locks on the main doors to prevent unsupervised use. The warning seemed like overreach on the part of the state—the twitching of an old impulse from the Ben Ali years.

revolution opened up a space that Salafis rushed to fill. There were a lot more of them than anyone had realized—eventually, tens of thousands. In February, 2011, Tunisia’s interim government declared an amnesty and freed thousands of prisoners, including many jihadis. Among them was Abu Iyadh al-Tunisi, the co-founder of the Tunisian Combat Group. Within two months, he had started Ansar al-Sharia.

According to the Tunisian Interior Ministry, a hundred thousand Tunisians—one per cent of the population—were arrested in the first half of 2015. Jihadi groups intend their atrocities to provoke an overreaction, and very few governments can resist falling into the trap.

New democracies in Latin America and Eastern Europe and Asia have had to struggle with fragile institutions, corruption, and social inequity. Tunisia has all this, plus terrorism and a failed state next door.

Ahmed told himself, “If I pray and ask for divine intervention, maybe things will get better.” Praying did not lead him to the moderate democratic Islam of Ennahdha. His thoughts turned more and more extreme, and he became a Salafi. He quit smoking marijuana and grew his beard long and adopted the ankle-length robe called a qamis. He un-friended all his female friends on Facebook, stopped listening to music, and thought about jihad. On Internet forums, he met jihadis who had been in Iraq and gave him suggestions for reading. Ahmed downloaded a book with instructions for making bombs. In the period of lax security under Ennahdha, he fell in with a radical mosque in Tunis. He was corresponding with so many friends who’d gone to Syria that Facebook deactivated his account. Some of them became leaders in the Islamic State, and they wrote of making thirty-five thousand dollars a year and having a gorgeous European wife or two. Ahmed couldn’t get a girlfriend or buy a pack of cigarettes.

“Dude, don’t go!” Walid said when they met on the street. “It’s just a trap for young people to die.” To Walid, Ahmed was exactly the type of young person isis exploited—naïve, lost, looking for the shortest path to Heaven. Al Qaeda had comparatively higher standards: some of its recruits had to fill out lengthy application forms in which they were asked to name their favorite Islamic scholars. Walid could answer such questions, but they would stump Ahmed and most other Tunisian jihadis.

“We need to reform our country and learn how to make it civilized,” he said. “In Tunisia, when you finish your pack of cigarettes, you’ll throw it on the ground. What we need is an intellectual revolution, a revolution of minds, and that will take not one, not two, but three generations.”

The Interior Ministry, which still nominally controls all local government, came up with an interim fix: a special committee representing various local interests — activists, doctors, the unemployed. The committee picked one of their number, the teacher Abbassi, as vice mayor. He served in that capacity for four years until the mayor resigned; Abbassi was then picked to replace him

The 2014 constitution explicitly stipulates the devolution of power to provincial and local governments, but actually putting those reforms into place has proven a challenge

Pre-revolutionary Tunisia was rigidly centralized, concentrating virtually all power in the national capital. The central government appointed all regional and municipal officials: They were little more than placeholders. They had minimal control over their own finances, and depended on the national government to allocate funds to them whenever it saw fit to do so

“We’re a poor municipality that lives on aid,” says Abbassi, who can only really increase his budget, he notes, by attracting money from international development institutions and nongovernmental organizations. “Citizens don’t pay [taxes]. The citizens that talk about corruption and ‘my money’ — well, it’s not their money.” The city gets most of its budget from the Interior Ministry in Tunis, and financing is hardly generous. While income tax payments are automatically deducted from the pay of public employees in Tunisia, tax avoidance is rampant among the rest of the population — especially since around half of the economy, according to estimates, operates in the unofficial sector

Life expectancy in the province is only 70, a full seven years less than in Tunis. Unemployment is 26.2 percent, almost 9 percent higher than the national average. The infant mortality rate is 23.6 percent, nearly 6 percent greater than the national rate. The local paper factory churns out mercury and chlorine byproducts that are polluting land and water resources, contributing to widespread health issues like cancer and neurological diseases

Khadraoui and his fellow protesters want the government to solve the problem by giving out public jobs to all applicants with university degrees. The old regime used to hand out state jobs as a way of tamping down public dissatisfaction, and their post-revolutionary successors have continued the practice (if not expanding it). This has predictably resulted in bloated public-sector employment rolls and painfully inefficient public services. It is, perhaps, no coincidence that one rarely encounters Tunisians who expect their jobs to come from the private sector

expectations gap is deeply corrosive

The current administration is doing little to advance the city’s development — and officials and citizens have entirely divergent ideas of the reasons for it

The shares of public in total employment across core Arab countries in Maghreb and Mashreq mostly lie between 20 and 40 percent, far above those in richer Latin America, where they range from 4 to 15 percent (OECD 2014, 61), sub-Saharan Africa, where they range from 2 to 9 percent (Monga and Lin 2015, 138), or East Asia and Pacific, where they mostly lie below 5 percent (Packard and Van Nguyen 2014, 16).

A majority of citizens, however, remains excluded from state employment, which is often seen to be allocated in intransparent ways. As formal employment in the private sector remains miniscule, the default option for most remains the badly paid, precarious informal sector.

A large informal sector also exists in other developing countries. But different from most other developing economies, the “insider” group on the labor market mostly consists of public employees (figure 5). This setup makes for a relatively large and protected insider group, but also crowds out state resources for more inclusive and growth-oriented policies.

Insider-outsider dynamics are also at play in Arab business, the top tiers of which are typically state-dependent cronies, protected through layers of heavy regulation as well as discretionary subsidies and credit allocation – themselves often distorted legacies of earlier periods of statist development

On labor markets, informality typically lasts longer, labor turnover is lower, and exits from public employment are almost unheard of

deep formal and informal state intervention and protection result in low mobility between segments

The only universal benefit on which most Arab states spend large amounts are energy subsidies, which are regressive as they disproportionately benefit richer households.

While Arab states have gone to great lengths to provide, popular expectations of provision in the region have also been particularly high (figure 6) – arguably a legacy of populist policies that have promised universal public services and employment to the masses since the age of Nasser.

Given these high expectations, material exclusion and inequality and the highly visible “winner takes all” business cronyism in the 2000s has been grating for many ordinary citizens – even if average levels of inequality in the region remain on a middling level in global comparison

While the elites leading the revolutions cared deeply about questions of political freedom, it is clear that material issues played an important role in the mass mobilization that tipped the balance in cases like Egypt or Tunisia.

Since 2011, some energy subsidies have been cut in a piecemeal fashion, but only under enormous fiscal pressure and without building a comprehensive social safety system to compensate. In the absence of such systems, public resistance to subsidy reforms has been strong. No ruler has yet dared to substantially change public employment policies.

This anti-development equilibrium of low capacity and vested interests has led Arab states even further down the route of unequal and exclusive distribution after 2011. In Tunisia, the most powerful interest group is the national union UGTT, which represents mostly middle aged, middle class government employees – not the informal sector whose rage fuelled the revolution. The UGGT has contributed to elite-level political pacts that have prevented Tunisia from backsliding into autocracy. In the economic field, however, it has mostly focused on defending insider privileges, investing much of its energy in fighting successfully for fiscally unsustainable civil service salary raises. In the meantime, little has been done for improving the lot of informal workers. They themselves remain fixated on the public sector: protesters from marginalized communities have been asking for the provision of one government job per family, and unrest has been triggered by the removal of individuals from an official list promising government employment.

Even “fierce” states embroiled in civil wars have deepened their old-style distributional commitments: Post-Saddam patronage policies under rival prime ministers have resulted in a state that now reportedly employs 7 million individuals, about half the total adult population (More than 55 percent of the population of about 36 million is under 20). Including in ISIS-occupied areas, 8 million individuals rely on a government salary or pension. Iraq competes with much richer GCC countries for the highest share of government employees anywhere in the world

Tunisian and Egyptian attempts to prosecute old regime cronies have been half-hearted at best and many cronies remain well connected to the new ruling elites. In the absence of an independent business class, both governments have made attempts to lure temporarily marginalized old-school business tycoons back into their countries to invest.

Leaks reveal insiders’ growing uneasiness, which points to the elephant-in-the-room question: Will MBS’ grandiose venture bankrupt the kingdom?

Saudi private investors will also be encouraged to pitch in during a potential public listing of Neom in 2024. That raises questions about how consensual this private investment will be. Indeed, Saudi Arabia reportedly “bullied” several of the kingdom’s wealthiest families to become cornerstone investors out of “patriotic duty” in the IPO of Saudi energy firm Aramco in 2019.

a large chunk of Saudi money carefully set aside for decades to fund the transition to a post-oil era will pay for Neom's astronomical price tag. A bet on an unproven vision

“Infrastructure spending is like doing lines of cocaine; you have to do bigger and bigger and bigger lines just to feel high,”

Neom’s initial burst of economic activity, if unsustainable at a similar pace, would simply be "stealing" future economic benefits to create an illusion of growth right now

perhaps the motive is not sustainable growth at all, but creating what Pettis calls a "pyramid effect." This would be an attempt to copy monarchs of ancient Egypt who redistributed wealth to the population through jobs – paid laborers built Egyptian pyramids, not slaves. Although Saudi Arabia’s oil wealth is already redistributed to ordinary Saudis through public-sector jobs and subsidies, a large tranche is retained and stored in its sovereign wealth funds and U.S. Treasuries. In theory, flushing Saudi citizens with cash would stimulate the local non-oil economy. But in practice, the pyramid effect is likely to first and foremost cause economic leakages, as the kingdom imports most of what it consumes locally, including labor, despite the “Saudification” of the labor market being one of Vision 2030’s key priorities. Migrant workers account for about 77 percent of private sector jobs. At Neom, highly paid Western consultants are toiling to match MBS’ demands, and Asian low-income workers are building it, remitting Saudi money home.

Riyadh sweetened the project’s launch party with a flurry of social reforms, such as lifting the ban on women driving. (Saudi Arabia was the last country in the world to lift this kind of ban, and it didn’t do so as a principled stand on behalf of women’s rights.) The idea was not only creating a buzz among investors and the global public, but whipping up aspirational momentum among Saudis.

60 skyscrapers that were built in Riyadh’s financial center are still standing largely empty.

MBS, high on his visionary self-branding and his concentration of power, may have to pay the costs of bankruptcy – whether by admitting full responsibility or via a renewed deployment of decidedly imperious and despotic tactics to crush dissent. The latter path is, of course, what the late Shah of Iran chose, with notorious results.

General Bachir Tartag was recalled from retirement in 2012 to head the Directorate for Internal Security (DSI). Gen. Tartag, who is believed to be in his sixties, made a name for himself during the civil war against the Islamists as one of Algeria’s most notorious hardliners and a brutal military commander.

the economic and social discontent expressed by the desperate demise of Bouazizi and Yahyaoui has only intensified

The character and political role of the Tunisian and Egyptian armies is also a factor

the successful installation of a (highly problematic, to be sure) procedural democracy in Tunisia, in contrast to the establishment of an authoritarian praetorian regime far more vicious than that of Mubarak in Egypt, made it necessary to argue that class and political economy alone do not determine outcomes

In 2010 the national unemployment rate was under thirteen percent. By 2015 the figure rose to 15.3 percent. Unemployment rates in the center-west and southern regions of the country (including Kasserine and Sidi Bouzid) are typically nearly double the national average. In 2015 the OECD estimated national youth unemployment (ages fifteen to twenty-four) at nearly forty percent.

The government understands the problem, but has no solution. On 20 January the cabinet announced that 5,000 unemployed in Kasserine would be hired for new public sector jobs. Another 1,400 were to be hired through an existing employment program. However, on 22 January, Finance Minister Slim Chaker revoked the promise of 5,000 new jobs in Kasserine, claiming that the previous announcement was due to a “communication error.”

“There will be another revolution if the social and economic circumstances do not change,” said President Béji Caïd Essebsi on the fifth anniversary of Tarek Mohamed Bouazizi’s self-immolation. Nidaa Tounes, a big-tent coalition of secularists ranging from former communists to former Ben Ali supporters has split. Over two dozen of its deputies have left, and it is no longer the largest party in the parliament. The terrorist attacks have reduced tourism to a catastrophically low level. The economy is not expected to grow at all in 2016. None of its traditional elite political forces—secular or Islamist—imagine an economic program substantially different than the one Tunisia has pursued since the mid-1980s.

On 19 January, faced with a UGTT threat to call a general strike, the employers’ association (UTICA) agreed to increase wages for about 1.5 million private sector workers. But for the unemployed, the streets are their only recourse.

things are changing fast and people are fed up

A person who refuses to play the role of extra at the ministerial level — not knowing why they brought him to the ministry or for what reasons they would remove him — is a person who deserves to be praised in comparison with a person who accepts a ministerial role while knowing that many high-level posts in his ministry and its agencies have been transformed into end-of-service benefits, which some obtain after the end of their term of service, compulsory by law, without any consideration for standards of competence and training

the insistence on carrying out cabinet reshuffles without any serious attempt to review the overarching policies and decisions that have led the country into economic and social catastrophe — indeed, the current policies — will not yield anything positive

In theory, the new constitution gives the parties and blocs in parliament the highest word in forming the government; however, we see them waiting for whatever ingenious cabinet lineup the executive authority is so kind as to bestow upon them, just to rubber stamp it even before the lawmakers know all the names of the new ministers

Sadat promulgated Law Number 47 of 1978 in order to end Nasser's legacy and reduce military presence in the cabinet, and Mubarak used the same law to bring them back

Pensions are typically low, the equivalent of monthly salaries without the extra allowances they enjoy while in service. These salaries are only somewhere between $400 and $500. In February 2011, five days after the end of the uprisings and the dissolution of Mubarak's parliament, the SCAF used their vague authority to amend this retirement law and introduce a 15 percent raise in pensions. But this is still not enough to cover increasing cost of living expenses in Egypt. Thus, the leadership offers officers civilian jobs with considerable salaries to supplement their unsatisfying pensions.

The head of the Supreme Constitutional Court now was originally an army officer who previously served as a judge in military courts. This judge, Faruq Sultan, also currently serves as the head of the Supreme Presidential Elections Commission. Ironically, retired officers even dominate in government bodies dedicated to oversight: The head of the Organization of Administrative Monitoring is a retired general and its offices across the nation are staffed with army personnel.

In order to keep a civilian face for the state in Cairo, only a few officers are hired as ministers, such as the minister of provincial development and the minister of information, running state-owned media. Outside the cabinet, they prefer certain spots where influence and wealth are concentrated. In the north and the south, 18 out of the 27 province governors are retired army generals. This includes key locations, such as touristic provinces in Upper Egypt, all the Suez Canal provinces, two Sinai provinces, sometimes Alexandria, and major Delta areas. Additionally, they serve as governors' chiefs-of-staff, directors of small towns, and heads of both wealthy and poor highly populated districts in Cairo.

In order to keep the hierarchical structure of the Egyptian military, the institution dismisses a significant number of officers at the ranks of Colonel and Brigadier General in their early 40s. It promotes only a small number into the ranks of Major General, Lieutenant General, and Chief of Staff, who in turn usually retire in their early 50s. The relatively young age at which officers leave service provides a perfect excuse for the military to place them at civilian jobs, lest they use their professional training in activities harmful to national security

There are three major military bodies engaged in civilian production: the Ministry of Military Production, running eight factories; the Arab Organization for Industrialization, running 12 factories; and the National Service Products Organization, running 15 factories, companies, and farms. They produce a wide variety of goods, including luxury jeeps, infant incubators, butane gas cylinders, plastic tubes, canned food, meat, chicken, and more. They also provide services, like domestic cleaning and gas station management. 

Civilians working under retired army personnel show continuous discontent about mismanagement, corruption, and injustice.

Labor strikes are primarily harming the military economic interests rather than the national economy.

"The military produces the best managers," Wuhiba said

Loyalty raises them into higher ranks within the army and then prestigious civilian positions afterward. Whereas under Nasser military managers adopted the socialist ideology, today they embrace neither socialist nor neo-liberal politics -- they are neutral. Their leaders in camps train them as young officers to maintain political neutrality and ensure that they uphold only one ideology: Egyptian nationalism. The majority are just individuals seeking to maximize their personal benefits later in life.

an elected president will certainly fail to demilitarize, and nothing will change.

Star treatment is reserved for graduate students, although undergrads also face suspension for political activity, according to student-rights activists. Several hundred undergrads have been suspended for as many as four semesters, according to student activists and human-rights groups in Iran. Under Iran's higher-education law, students are dismissed from school if they miss four terms.

banned from education for life

The disciplinary committee suspended him for four semesters because of his political activity. He also was arrested and spent 21 days in solitary confinement, he says. "Suspension is the worst feeling in the world. You are just spending your time idly as your friends go to school and you have no idea what will happen to your future," said Mr. Qolizadeh in a phone interview from the city of Mashad. As the only son of a working-class family, he says, he felt a particular obligation to finish graduate school and get a solid job to help support his family and three sisters. He is currently unemployed.

Contending with Iran's youthful population is one of the Islamic Republic's biggest challenges. Some 60% of Iran's 75 million people are under the age of 30, making the country one of the world's youngest. That means most citizens were born after the 1979 revolution that defines modern Iran and thus have no personal memory of it.

About two years ago, as an undergrad, Mr. Sabet became involved in a socialist student group. In December 2007, security agents raided one of the group's meetings and arrested 50 members, including Mr. Sabet. He spent 47 days in prison, 23 of them in solitary confinement, he says. He was charged with threatening national security and released on bail, and allowed to go back to school after signing a form saying he would never take part in activism again, he says. Mr. Sabet suspects he was starred at least partly because of his switch to social studies from engineering, combined with his record of activism. Iran's leaders have expressed deep skepticism toward social-studies curricula: In September, Supreme Leader Ayatollah Ali Khamenei gave an unusual speech in which he said the social-studies programs at Iranian universities promote secularism and Western values.

the first time a government official told her there was no hope she would ever return to school in Iran or obtain a government job, "It felt like someone had hit me on the head. I couldn't really hear what he was saying anymore." "They basically told me that as far as they are concerned, I am a dead person," Ms. Karimi says.

These reforms are not targeting the root causes of restrictions on women, but are selected to portray certain types of reforms that can be promoted in international media

He doesn’t want any competition, any counter-opinions, any criticism. So he’s almost shut down everybody, and he’s moving ahead with his reform. When he arrested intellectuals last September, it was meant to silence everybody. The purge on corruption was planned to make everyone dependent on his mercy. If he succeeds, he will succeed alone. If not, maybe he will include the Saudi people in his reforms. I wish he could do that today, but right now he has all the power and the international community is not pressuring him on human rights.

selected reforms aimed at certain purposes, but not necessarily towards developing human capital or investing in people, or women, at large

He’s raising expectations to riskily high levels. If in two, three, five years nothing significant has really changed for the prospects of individual people looking to get ahead, they may begin to question whether Mohammad bin Salman is really the revolutionary he claims to be. We’ve seen a lot of his supporters here in Washington buying into that revolutionary, Arab Spring-like figure-of-change image, embracing his top-down approach without pausing to think about the extent to which there is a bottom-up counterpart

meeting with President Donald Trump on Tuesday was punctuated by a particularly uncomfortable exchange in which Trump went into detail about the $12.5 billion in new U.S. weapons the prince agreed to buy and then said to the prince, “that’s peanuts for you.” Ulrichsen suggested that the scene would not play well in Saudi Arabia: I think if I were watching yesterday’s press conference with Donald Trump, I would have been quite dismayed to have seen a U.S. president treat his Saudi counterpart as if he were just a source of opportunities for the U.S. Some of the president’s tenor and demeanor was quite remarkable. Khashoggi agreed that Trump’s performance was not helpful for the crown prince: President Trump is wrong when he says that money is “peanuts” to us. Saudi Arabia has a serious poverty problem—money is not “peanuts” to us. To spend billions of dollars on military equipment is a serious thing. Today the Saudi Shura Council is talking about 35 or 40 percent unemployment—the official figure is 12 percent. So as much as Donald Trump is concerned about providing jobs for Americans, Mohammad bin Salman should be concerned about providing jobs for Saudis.

human rights begin with the conditions under which we live. The revolution made life harder for us—us being the poor—so of course when they arrest these activists, I say it’s for the better, we can’t afford another revolution. We can hardly afford to eat each day

December, four months after the opening of the new canal, and, aside from those who had bought bonds and received the first payout, most people I heard began describing it as el-tira’a (a sewer). When I asked one woman, Sabah, a cook who juggles jobs in six homes each week, why her opinion of the canal had changed, she said: “They promised revenues and immediate returns, and now everyone says revenues are down. Where are the immediate returns? The project has failed.”

Sisi was no Nasser, but his nationalist credentials as a former army general lent him credibility. He also spoke the language of the street—his public speeches were matter-of-fact and colloquial

I kept tabs on the shrinking number of people who showed up to protest, and then on the decreasing number of protests. Only a handful of people still voiced their dissent, including Laila Soueif, the matriarch of a family of longtime activists, whose son Alaa Abdel Fattah is serving a five-year prison sentence on trumped-up charges; or the team behind the online paper Mada Masr, led by the journalist and editor Lina Attalah, who continued to publish despite scrutiny and censorship (the paper’s website was eventually blocked, along with 127 others). The risks of human rights work had become almost prohibitive, with arrests, disappearances, and travel bans all commonplace. I counted the number of activists, academics, and artists who had left the country, and friends who were emigrating. Regeni’s name often came up in conversations—his murder lingered in our minds

in April, the president declared that two Red Sea islands, Tiran and Sanafir, long perceived as Egypt’s, fell within the territorial waters of Saudi Arabia and would be transferred to the kingdom. Public attention shifted to this new declaration, which brought revolutionary and pro-government Egyptians together in opposition to it

muffled grumbles, but the answers to the others were invariably: “The government’s job is to keep us fed, and at least the country is safe again.”

More and more, on the streets of Cairo, in government offices, and in informal settlements on the outskirts of the city, I heard references to Syria: “We could have ended up like them.”

Passivity has been their particular mode of survival

Discontent surged in February over the shifting official accounts of what had happened to Giulio Regeni, an Italian graduate student who disappeared and was then found dead on a highway in Cairo, his body bearing marks of severe torture

A friend’s activist neighbor was dragged from his home in the night and disappeared for four days on allegations of being an “Islamist sympathizer” (he was not); a writer was imprisoned, on grounds of “offending public morals,” for sexually explicit scenes in a novel; gay men were being hunted by undercover police on the hookup app Grindr; a poet was jailed on charges of “blasphemy” and “contempt of religion” for calling the slaughter of sheep during a Muslim feast “the most horrible massacre committed by humans”; two women were threatened with jail for allegedly “kissing” in a car (they were not)

I, too, had slipped into some variation of the so-called inertia. A friend one evening described our often-dulled responses to news and events that once enraged us as a type of PTSD

As a result of severely dwindling currency reserves, the government was forced to implement a series of long-overdue austerity measures to secure a $12 billion loan from the IMF. The risks of implementing the loan program were described by the agency’s staff as “significant.” Morsi had considered these same measures but backed out after a public outcry. Sisi had little choice but to take the risk. First gas and fuel subsidies were suddenly lifted (causing price hikes of 50 percent), then the Egyptian pound was floated, plunging the currency from seven to twenty pounds against the dollar. Overnight, the price of milk, tomatoes, pasta, cigarettes, soap, water, sugar, oil, chicken, chocolate, bread, juice, toilet paper, matches, bananas, plumbing services, and household goods leapt

They want to make it impossible for us to be political

By August, I heard people everywhere talking about the price of school supplies. School bags seemed to be the measure of the state of things. What cost 90 pounds a year before cost 350 pounds now. Inflation was at its highest (33 percent) since 1986 (when it was 35.1 percent), and second-highest since 1958. When, over the months that followed, I asked my grocer or the man who delivered the bread or the garbage collectors how they were managing to keep afloat, the invariable answer was “baraka”—blessings from God.

“They say he is building a $10 million palace in the desert for himself when the rest of us can hardly eat, but what is the alternative? To be fair, he inherited a mess. At least he is a nationalist, one of us.”

“We would have descended into chaos had the Brotherhood stayed in power. The country would not have survived the remainder of Morsi’s term.”

There was a handful of people who knew what military rule would bring, who anticipated the crackdowns, the closing-in of the state. Some had forecast the outbursts of violence to come. But perhaps nobody quite anticipated that the deep state would be resurrected with such ferocity, and so unabashedly

When I asked a range of political figures about the surveillance, the answer I got was “paranoia”—to this day, no one fully understands the political and emotional causes that led to the revolution on January 25, 2011.

radicalism seems at once to undermine and to strengthen Sisi’s hold on power. The country feels more and more mired in such contradictions

“I admit,” a brass worker in Cairo’s old city told me one evening in November, “I’m not happy with how things have unfolded. This was never a revolution to begin with. It was all scripted from the start, by military intelligence, so what is one to do now except put your head down and try to make a living?”

The government is expected to play a "crucial" role in tourism development by injecting $6 billion over 25 years to trigger $43 billion worth of investments from the private sector.

the promises to allocate 223,000 direct tourism jobs to Omani nationals by 2040 does not align with Oman's undersized tourism education sector, which graduates only a few hundred students per year, mainly from the Oman Tourism College

although the number of tourists visiting Oman has doubled since 2008, the industry employs less than 17,000 Omanis.

The country’s ratio of debt to gross domestic product is rated junk by all three major agencies, as it has multiplied by 12 since 2014. Moreover, the Omani economy is ranked the worst performing among Gulf countries

“The concept of SMEs [small and medium enterprises] does not exist in the field of tourism anyway, the whole system is designed for large corporations,” said Christopher Chellapermal, a French entrepreneur. Chellapermal ran a scuba diving business in Oman for 15 years before being forced out of business in 2017.

“Corruption was also an issue since local authorities requested me to pay imaginary taxes," he said. "I am an ordinary man so I had to shut up and comply.”

For Chellapermal, Oman "makes the crazy wager" of luxury tourism by prioritizing premium visitors when the backpacker segment would be a better fit.

“Chinese and Indian tourists are very much interested in culture and heritage destinations," Hollister said. "Oman could focus on this segment to make it their niche, a differentiator.”

wealth of cultural and natural assets. The Ministry of Tourism promotes Oman as a hidden jewel at the tip of the Arabian Peninsula. 

regional tensions had very little impact on tourism

As Sultan Haitham bin Tariq Al Said takes power, analysts worry that Oman’s foreign policy of neutrality could be at stake. Will “any of Oman’s more assertive neighbors seek to sway Haitham to align more closely with their own approach,” Kristian Coates Ulrichsen wrote for Al-Monitor.

The prospect of tensions between Muscat and neighboring states does not please tourism actors, as Saudi Arabia and the United Arab Emirates are Oman’s key source regional markets for tourism. In 2018, Gulf citizens accounted for about half of international arrivals.

Saudi Arabia’s aggressive push to develop its leisure tourism industry and attract 100 million visits by 2030 collides with Oman’s ambitions

Unlike Qaboos, who was childless and without a male sibling, Haitham has close male relatives. These include two half-brothers, Assad and Shihab bin Tariq, both once viewed as potential successors to Qaboos. Assad’s eldest son, Taimur, has been touted as a leading figure in the next generation of royals. And Haitham himself has two sons: The eldest, Theyazin – who studied at Oxford, joined the Ministry of Foreign Affairs in 2013, and has served at the Omani Embassy in London since 2018 – has returned to Muscat and has been attending key diplomatic functions since his father’s assumption.

In other Gulf ruling families, competition among family members has fueled the expansion of royal control over government, as family demands are accommodated through government sinecures. Even if this competitive dynamic does not take hold in Oman, the royal presence may be felt in other ways. In recent years members of the Al Said family, including the new sultan and his siblings, have been increasing their involvement in business. How this is managed – or not – will affect the critical issue of Oman’s economic growth.

Qaboos incorporated many minorities into the ruling structures, within a strong narrative of interfaith and interethnic tolerance. Yet one clearly favored group emerged from within the leadership: Oman’s merchant families.

political reliance on merchants offered both advantages and risks. Bringing in this class offered a powerful constituency in support of the government and its extensive national development ambitions. But in times of economic downturn, it also left the government susceptible to accusations of conflicts of interests and self-dealing. This is indeed what played out in 2011 as protesters based in the industrial port of Sohar demanded reform of the government with complaints centered on corruption

He nearly doubled the private sector minimum wage and created 50,000 new government jobs, mostly in the security services. He also further developed Oman’s participatory institutions through the establishment of elected municipal councils and granting more powers to the elected Shura Council. A number of the most publicly criticized ministers were removed from office amid a broader campaign of corruption prosecutions that resulted in convictions of some government officials and businessmen over the next few years.

In 2019, the Omani deficit rose to $50 billion contributing to a steep rise in public debt from below 5% of gross domestic product to nearly 50% in just four years. This limits the new sultan’s ability to curry more favor through a repetition of government spending and populist solutions. There is a desperate need to create more jobs for young Omanis. But there is also the need to create conditions favorable to business to attract Omani capital back into the country

Oman has created a means of formal public input through elections for municipal councils and the lower house of Parliament, the Shura Council. While the role of the municipal councils is advisory, the Shura Council can propose and amend legislation drafted by the Council of Ministers and interpolate service ministers regarding violations of the law; this privilege does not extend to the ministers of defense and foreign affairs

these institutions have not demonstrated the ability to impose meaningful accountability

voting participation has been uneven and declining since the very high turnout of 76% in 2011

the status quo – especially regarding the economy – is not sustainable and will press the new leadership to make immediate changes

U.N. relief officials and aid organizations are bracing for what they fear could be a cataclysmic second phase of the pandemic: spreading in the close-quarters encampments of the world’s more than 25 million refugees and another 40 million internally displaced people.

More than 3 billion people lack access to hand-washing facilities, depriving them of one of the most effective first lines of defense against the spread of the coronavirus, according to UNICEF

the effort to ramp up an international aid response is being hampered by the quest to ensure the safety of international staff. Those concerns have been amplified by the announcement last week that David Beasley, the executive director of the Rome-based World Food Program, had been infected with the coronavirus. Some international relief agencies have recalled senior field officers, fearing they could be infected.

Konyndyk, who worked on the response to the Ebola epidemic in West Africa for the U.S. Agency for International Development, said that U.N. and relief agencies are having to balance ensuring the health of their own staff with delivering care to needy communities.

“You would have a hard time designing a more dangerous setting for the spread of this disease than an informal IDP settlement,” he said. “You have a crowded population, very poor sanitation … very poor disease surveillance, very poor health services. This could be extraordinarily dangerous … and I don’t think that’s getting enough global attention yet.”

In conflict-riven countries from Afghanistan to South Sudan to Yemen, dismal health care infrastructures are already overburdened after years of fighting

After five years of war, with millions of people on the brink of famine, Yemen’s population is more vulnerable to a coronavirus outbreak than those of most other countries. The conflict has left most of the country’s population effectively immunocompromised,

“For many population groups, living in overcrowded conditions, social distancing is a challenge or impossible,” according to the Assessment Capacities Project report. Many countries that host refugee camps, such as Afghanistan and Bangladesh, are likely to be overwhelmed by the health needs of their own citizens. Nations with weak health systems “may struggle to screen, test, and contain the epidemic for the host population let alone the refugees,”

In Gaza, the U.N. Relief and Works Agency (UNRWA), which provides primary care for about 70 percent of the territory’s more than 1.8 million people, is bracing for the likely arrival of the coronavirus in one of the most densely populated place in the world. The U.N. agency—which the Trump administration defunded last year and has sought to dismantle—has some 22 medical clinics in Gaza, putting it on the front lines of the defense of the coronavirus.

“I’m told that there are 60 ICU beds in the hospitals,” Matthias Schmale, the director of Gaza’s UNRWA operations, told Foreign Policy. “If there is a full-scale outbreak the hospital sector won’t cope.”

The leaders of major relief organizations are pressing donors to grant them greater flexibility to redirect funding from existing programs that are likely to be paralyzed by the pandemic and use that money for programs—including clean water and sanitation projects—that could help stem the crisis.

“As bad as it is now in the well-organized and affluent north, with health systems, good sanitation, and big infrastructure, imagine how it will be when it will hit crowded camps with refugees and displaced people,” said Egeland, who spoke by telephone from quarantine in Norway.

sweeping U.S. and U.N. economic sanctions imposed on governments in Iran, North Korea, and Venezuela are hampering relief efforts.

Egeland acknowledged that most U.N. sanctions regimes, including those for Iran and North Korea, include exemptions for the import of humanitarian goods. But the sanctions have scared financial institutions from providing vital financial services to relief agencies. “Not a single bank had the guts to transfer money, because they were all afraid to be sued by the U.S. government,”

The World Health Organization announced earlier this year that more than $675 million will be required through April—including $61 million for its own activities—to mount an international campaign against the virus. Though WHO’s Director-General Tedros Adhanom Ghebreyesus said recently that more money would be needed. On Feb. 17, UNICEF issued an urgent request for $42.3 million to support the coronavirus response. It will be used to reduce transmission of the virus by promoting distance learning for kids who can’t attend school and public information aimed at shooting down misinformation.

Guterres, meanwhile, expressed concern that the pandemic could claw back decades of efforts to raise international health standards and to scale back the most extreme levels of poverty, and undercut U.N. sustainable development goals, which are designed to improve the standard of living around the world by the year 2030.

“COVID-19 is killing people, as well as attacking the real economy at its core—trade, supply chains, businesses, jobs,” Guterres said. “Workers around the world could lose as much as $3.4 trillion.”

“We need to focus on people—the most vulnerable, low-wage workers, small and medium enterprises,” Guterres said. “That means wage support, insurance, social protection, preventing bankruptcies and job loss. That also means designing fiscal and monetary responses to ensure that the burden does not fall on those who can least afford it. The recovery must not come on the backs of the poorest—and we cannot create a legion of new poor. We need to get resources directly into the hands of people.”