Mideast retail market predicted to grow 14% to 2013

The Middle East retail market is predicted to grow by 14 percent over the next four years, according to a new report by global market research company RNCOS.

The analysts added that Saudi Arabia and the UAE were likely to lead the growth in the region in its report called Middle East Retail Sector Forecast to 2013.

The report says that the Middle East retail industry had doubled in value to $400 billion by the end of 2008, compared to 2003.

"We anticipate that there will be a marginal effect of the 2008 financial crisis on the retail market in the Middle East, and it will see a growth of around 14 percent during 2009-2013," the report added.

"Strong economic fundamentals and well protected banking system will shield the region from the aftermath of the financial crisis."

Although the declining oil prices may be a cause for concern for most of the oil exporting countries, it will be short-lived as improving economic conditions and increasing fuel consumption will drive the oil prices upwards.

The report identifies Saudi Arabia and the UAE as the "most potential and dynamic retail market" across the region and predicts they will dominate the retail industry landscape in the coming years.

The report, which is an outcome of an extensive research and analysis on the retail sector of the Middle East, examined retail markets including the UAE, Saudi Arabia, Kuwait, and Oman besides Turkey, Egypt, Jordan, Israel, and Iran.

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