In an environment where soaring oil prices have led to the massive accumulation of surplus cash for the oil-producing Gulf Cooperation Council (GCC) countries, it might have appeared earlier in the year that the global credit crunch would simply pass them by.

The Dubai International Financial Centre (DIFC) last month released a report assessing the progress being made by GCC countries to achieve the convergence criteria for a GCC Monetary Union (GMU) that were endorsed by the Supreme Council of the GCC at its 27th session held in Riyadh in 2006. The report is the first in a series of reports to be released by the Centre focussing on issues affecting the region’s economy.