The long spell of strong growth in the Middle East continues to be supported by high oil prices and robust domestic demand. Regional growth has been maintained at over 5 percent a year in the past five years. Diversification and privatization programmes are evident across the much of the region. Slower global growth，increased financial market volatility，or regional geopolitical risks could hurt growth，but the strength of oil prices provides upside potential. Inflation pressures in the region have risen considerably in recent years，owing to strong domestic demand，rising food prices，weakness of the U.S. Dollar，and higher rents in GCC countries.