Gulf energy subsidies worth US$160b a year: World Bank

Kuwait city

ARAB states in the Gulf, which pump a fifth of the world's crude oil, spend more than US$160 billion on energy subsidies annually, a top World Bank official said on Tuesday.

"Gulf states spend around 10 per cent of their gross domestic product every year on energy subsidies including fuel and electricity. That amounts to US$160 billion," said Shantayanan Devarajan, the bank's chief economist for Middle East and North Africa.