The International Monetary Fund (IMF) has projected that Iraq will record the highest economic growth rate among Arab countries in 2027, with growth expected to reach 19%, according to its regional economic forecasts.

The fund said the economic outlook across the Arab world is expected to undergo significant changes between 2026 and 2027. During 2026, several Arab oil-exporting countries faced considerable economic pressures amid disruptions to navigation through the Strait of Hormuz and reduced oil supplies, affecting the performance of several Gulf and other Arab economies.

Most Arab economies are expected to experience a recovery in 2027 as oil exports return to normal levels and security conditions across the region improve, the IMF forecast.

Iraq is projected to rank first among Arab countries, with an anticipated growth rate of 19%, placing it ahead of other regional economies in the fund’s estimates.