On September 29, 2026, during the 50th annual meeting of the Arab Central Banks and Monetary Institutions' Governors' Council in Abu Dhabi, Tunisian Central Bank Governor Fathi Zouhair Nouri emphasized the need to evolve Arab financial and monetary cooperation. He advocated for establishing collective mechanisms to shield regional economies from shocks, enhancing their preparedness and response to crises, and sharing risks.
According to Nouri, nearly five decades of Arab collective action have provided a crucial foundation for future development. However, he stressed that new tools are required to navigate an increasingly complex and interconnected world. The governor highlighted the growing complexity of shocks, including geopolitical, energy, food, financial, climate, and cyber threats, which no longer occur in isolation but rather cumulatively and intertwined.
Nouri noted significant disparities in financial capacities among Arab countries, with some possessing substantial surpluses, reserves, and assets, while others face pressing challenges to their resources and balances. He suggested that this disparity could be transformed into a collective source of strength by establishing pre-agreed protection mechanisms. To achieve this, Nouri proposed five actionable and measurable initiatives for consideration.
The proposed initiatives include conducting a joint Arab stress test to assess economies' resilience to disruptions in trade routes, energy and food price hikes, and difficulties in accessing international financing. Additionally, Nouri suggested establishing an Arab network of swap and repo lines to provide liquidity when needed, in coordination with the Arab Monetary Fund and based on predefined clear terms.
Nouri also recommended creating a joint Arab observatory for early warning systems to monitor risks related to energy, food, shipping, insurance, and capital flows. Furthermore, he proposed expanding the commercial use of the "Bena" Arab payment system through measurable objectives and developing a shared Arab framework for protecting payment systems and ensuring their continuity, including an annual regional exercise to test readiness against cyber and operational risks.
The governor emphasized that the success of these proposals relies on building safety margins during periods of stability and preparing intervention tools in advance. He underscored that crises do not allow for last-minute thinking, but rather test the preparedness established beforehand. Nouri also highlighted the evolving role of central banks in protecting economic and financial stability in a rapidly changing world.
In his concluding remarks, Nouri called for the 50th annual meeting to serve as a launching point for practical steps to enhance collective protection. He emphasized the interconnectedness of Arab economies, stating, "We are not in the same boat, but we share the same port." On the sidelines of the meeting, Nouri met with the Arab Monetary Fund's Managing Director and Chairman of the Board, Fahad Al-Turki, to discuss matters of mutual interest and explore avenues for strengthened cooperation.
Key points
- Tunisian Central Bank Governor Fathi Zouhair Nouri calls for a shift from Arab financial cooperation to collective protection against economic shocks.
- Nouri proposes five initiatives to enhance Arab financial cooperation and resilience to economic shocks.
- The proposed initiatives aim to establish collective mechanisms for protecting Arab economies from shocks and enhancing their preparedness and response to crises.
