February 2003GCC Economic Integration Dept. Economic Convergence Part II 1 United Arab Emirates

February 2003GCC Economic Integration Dept. Economic Convergence Part II 2 Bahrain

February 2003GCC Economic Integration Dept. Economic Convergence Part II 3 Saudi Arabia

February 2003GCC Economic Integration Dept. Economic Convergence Part II 4 Oman

February 2003GCC Economic Integration Dept. Economic Convergence Part II 5 Qatar

February 2003GCC Economic Integration Dept. Economic Convergence Part II 6 Kuwait

February 2003GCC Economic Integration Dept. Economic Convergence Part II 7 Path of All Deficit/GDP Ratios

February 2003GCC Economic Integration Dept. Economic Convergence Part II 8 Public Debt - Questions  Problems of definition: what should be included in the debt? - Central government’s borrowing only, or all borrowing made by public institutions, including government business enterprises.  What is more important: external debt, or the total debt liability of the government?  What constitutes debt? Borrowing from banks and other lending institutions only, or should it include all borrowing, including from government- run funds, such as pension funds and social insurance funds?

February 2003GCC Economic Integration Dept. Economic Convergence Part II 9 Domestic Public Debt

February 2003GCC Economic Integration Dept. Economic Convergence Part II 10 Path of domestic debt/gdp ratio

February 2003GCC Economic Integration Dept. Economic Convergence Part II 11 External Debt/GDP Ratio

February 2003GCC Economic Integration Dept. Economic Convergence Part II 12 Path of External Debt/GDP Ratio

February 2003GCC Economic Integration Dept. Economic Convergence Part II 13 END Economic Integration Department Gulf Cooperation Council (GCC) Economic Affairs Riyadh, Saudi Arabia Office X 1540, 1837 Fax