North Africa, Southwest
Asia, and Central Asia
contain a large share of the
world’s oil and natural gas
reserves. A study of the
region today will explain
how its natural resources
influence the global
economy and what
challenges the region
faces, including water
scarcity, political instability,
and destructive wars.
The Economy
North Africa, Southwest
Asia, and Central Asia’s
large oil and natural gas
reserves have brought
economic growth to some
of the region’s countries
and have affected its
relations with other
regions.
Economic Activities
Economic activities in North Africa,
Southwest Asia, and Central Asia are
influenced by oil, natural gas, and water.
• Only a small part of the region’s land is arable, yet a
large percentage of the population works in
agriculture.
Economic Activities (cont.)
• Agriculture and fishing:
– Cereal crops
– Citrus fruits
– Grapes
– Olives
– Dates
– Cotton
Economic Activities (cont.)
– Silkworms
– Potatoes
– Tea
– Sardines
– Mackerel
Total Land Area vs.
Arable Land (selected countries)
Economic Activities (cont.)
• Industry:
– Petroleum and oil products
– Natural gas
– Coal and copper mining
North Africa, Southwest Asia,
Central Asia: Economic Activity
Economic Activities (cont.)
• Service industries:
– Banking, real estate, and insurance industries
– Tourism
Transportation and Communications
Advancements in transportation and
communications are improving throughout
the region, but the physical environment
and government control have limited some
development.
• Road systems are unevenly distributed across the
region.
• The growth of the air travel industry has benefited the
region.
Transportation and Communications
(cont.)
• Water transportation is vital to the region:
– The Strait of Tiran
– The Strait of Hormuz
– The Suez Canal
Waterways and Oil Pipelines
Transportation and Communications
(cont.)
• Pipelines are an important transportation system.
• Communications:
– Television and radio broadcasting is
expanding, although government control still
limits programming in some areas.
– Wireless service and solar-powered
radiophones are bringing telephone service to
more people.
– Some areas have computer and Internet
access.
– Cell phones are common in major cities.
Transportation and Communications
(cont.)
• Two new silk roads:
– Telecommunications highway (cable that
follows the Silk Road)
– Transport Corridor Europe-Caucasus-Asia
(TRACECA) also follows the Silk Road.
Trade and Interdependence
Interdependence among the countries of
North Africa, Southwest Asia, and Central
Asia is growing, as is the region’s
interdependence with the rest of the world.
• Good transportation and communications networks
are increasing the interaction between countries in
this region.
Oil Reserves in North Africa,
Southwest Asia, and Central Asia, 2006
Trade and Interdependence (cont.)
• More developed countries are lending money to
less developed countries.
• The U.S.-Central Asia trade council has
strengthened relationships.
• Eight of the region’s oil-producing countries have
become a majority of OPEC.
World Oil Prices, 1980–2006
People and Their
Environment
Throughout the region,
new technologies and
destructive wars have
created many
environmental problems.
Managing Resources
Growing populations in North Africa,
Southwest Asia, and Central Asia severely
strain the already scarce water resources.
• Water resources:
– Rivers
– Oases
– Aquifers
Managing Resources (cont.)
• Desalination is an important process in order to
meet the need for freshwater.
• Libya’s Great Man-Made River is an ambitious
effort to supply freshwater.
The Importance of Freshwater in North Africa,
Southwest Asia, and Central Asia
Human Impact
New technologies and destructive wars have
increased environmental problems in North
Africa, Southwest Asia, and Central Asia.
• Positive impact of the Aswān High Dam:
– Controls the Nile’s floods
– Irrigates around 3 million acres of land
– Supplies some of Egypt’s electricity
– Created the world’s largest human-made lake,
Lake Nasser
Human Impact (cont.)
• Negative impacts of war effecting the
environment:
– Iraqi troops set fire to 700 oil wells.
– Iraqi troops dumped about 250 million gallons
of oil into the Persian Gulf.
– Recent oil slick damaged Lebanese coast and
Mediterranean Sea
Human Impact (cont.)
• Nuclear and chemical dangers:
– Kazakhstan was once home to Soviet nuclear
bases and heavy industry, and is still severely
affected by radiation and pollution.
– People in Kyrgyzstan also suffer from
pollution.
Radioactive and Chemical
Hazards in Central Asia
Black Gold!
•
The region of North Africa,
Southwest Asia, and Central
Asia contains more oil than
all other world regions
combined.
•
As more and more countries
become industrialized, the
demand for oil has increased,
making countries with large
oil reserves very wealthy.
•
Most of the oil-producing
countries in the region have
joined OPEC and help set the
supply and price of oil around
the world.