DUBAI, (Pakistan Point News - 09th Dec, 2019) Mohammad bin Abdullah Al Gergawi, Minister of Cabinet Affairs and the Future, has said that the Arab world is on the verge of a new global economic reality.
In his opening address at the 12th Arab Strategy Forum, ASF 2019, Al Gergawi pointed out that there is a real and renewed hope that the Arab region will become a major contributor to the growth of the world economy in the coming decade.
Al Gergawi, who is the President of the ASF, kicked off the forum on Monday. Held under the theme, 'Forcasting the Next Decade 2020-2030', ASF 2019 has convened leading decision-makers, as well as economic and political experts to address transformations and social movements expected over the next decade.
"We live in a world of rapid developments, a world of permanent revolution in the production of information and chaos in the decision-making process, which has led to a rapid decline in our socio-political ecosystems as new economic alliances form and trade conflicts seem endless. It is a world of many paradoxes," Al Gergawi said.
He identified three major political and economic shifts in the coming decade. The first, he said, was a new global economic centre of power. "We are on the verge of a new global economic map, new ways of trade, huge trade blocs and trade wars of a new kind," he said.
On the back of this anticipated new economic era, Al Gergawi asked, "We must ask ourselves, where are we in all of this? What is the reality of intra-Arab trade? How can we be part of the new world? How can we affect the formation of the next economic map of the world?"
The second shift, he noted, will be in the battle for technology. "What will lead the future is technology, and whoever controls information flow and production in the future will control the economic, social and political power in the world for decades to come."
Al Gergawi sounded a clarion call to the Arab world in light of this new economic reality. "Have Arab nations and countries prepared for the new reality? Do countries know that their sovereignty, their future and their information will be mortgaged to technologically superior nations if they do not take the initiative and move quickly towards the future?"
Regarding the third transformation, Al Gergawi expressed optimism that Arab economies will be competitive on the global stage once again. He pointed out that the volume of inter-Arab trade does not exceed 10 percent today, half of which is in oil, meaning that intra non-oil trade reaches only five percent, while trade between European countries stands at around 60 percent.
The minister noted, "We have huge human potential in the Arab world. We have more than 100 million Arab youth who will enter the labour market in the next decade. We have the largest oil reserves, the most fertile agricultural lands and the world's largest rivers. We have history, monuments and landmarks. Hundreds of millions of people visit our countries, we have great minds and ideas, but as His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister and Ruler of Dubai, has said on more than one occasion, we have an administrative weakness. We do not improve the management of our resources to build the future."
"However," he added, "We are not pessimistic at all, rather the opposite. Our region still has increasing strategic importance. And it has huge potential. We have a great future if we take advantage of the upcoming opportunities, as the region will remain a conduit for global trade, and US$44 billion will be invested in building new ports."
