It would take more than four years for remittances to Middle East, North Africa, Afghanistan, and Pakistan oil importers to return to pre-Covid levels, Reuters reported while quoting IMF.

The Covid-19 crisis has brought to light the region's dependence on expatriate labour, particularly in the Gulf, where hundreds of thousands of workers left after losing their jobs.

“The toll on employment could be much more severe than after the global financial crisis,” the IMF said.

Inequality is likely to widen as informal jobs are hit harder and social safety nets remain weak, it said. Countries relying on remittances from the Gulf will also see a significant drop in inflows.