The oil exporters in the Middle East and North Africa (MENA) and the Caucasus and Central Asia (CCA) are facing an exceptionally challenging policy environment. Lower oil prices have reduced growth, opened up large budget and trade deficits, and increased financial stability risks. In the Caucasus and Central Asia, the adverse impact of lower oil prices has been compounded by slowdowns in Russia and China. All these challenges could undermine macroeconomic stability and further deepen social and political tensions. The seminar will discuss the specific channels through which lower oil prices have impacted the MENA and CCA regions, outline the policy responses adopted so far, and highlight the key challenges ahead.