Arab countries are currently faced with the highest youth cohort in their modern history. Arab youth are not only more numerous, but they are also more educated and marrying at a later age than before. One in each three young Arab persons is unemployed, and gender bias against young women's university enrolment and labour participation is pervasive. Against a backdrop of rising frustration among their youth, Arab policymakers need to act quickly. A revision of the social and economic contract towards more and better provision of public goods is central to addressing the challenges faced by the Arab youth.