For centuries, Arab nations led the world in pursuing knowledge and scientific innovation. They were among the most economically advanced regions on Earth. Today, the Middle East is – based on the development over the past twenty years – again at the forefront of major changes. This will have a major impact, Eric Sarasin writes in his article for finews.first.
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The United Arab Emirates (UAE) and countries such as Qatar, Oman, and Saudi Arabia want to bring changes to the Middle East; a region where the realities are still marked by political instability (war in Israel) and conflict. At the same time, debt levels in many countries are alarming.
It is key to bring stability and social cohesion to the region. Youth unemployment in many countries is huge, and the integration of women into the workforce is of utmost importance. The economies in the region have not only a technical and economic challenge but first of all a profoundly political one.
The Middle East and especially the Arab world need to reunite politically and economically to secure peace in the region and work actively on a solution to the Israel/Palestine problem, and find a way of cohesion with Iran. There are so many growth opportunities in the Arab world to rebuild a sustainable economic standing in the world.
«Little did I know then that one day Dubai would be the economic center of the Middle East»
Allow me to take two countries as positive examples of development in the Middle East: Dubai and Saudi Arabia.
When I arrived for the first time in Dubai in 2000, I saw a long road going from Dubai to Abu Dhabi. There was one tower in the middle of Dubai, the Dubai World Trade Center. The vision of Dubai was outlined to me by the head of marketing of Dubai.
He showed me a model of what Dubai will look like one day. Based on the principle that Dubai has limited natural resources, and its oil and gas reserves will be depleted soon, they developed this vision. Little did I know then that one day Dubai will be the economic and financial center of the Middle East.
«Today Dubai is a leading financial center in the region»
The thinking was simple, they created a place within the United Arab Emirates, which was only founded in 1971 after Great Britain left them into independence, creating the UAE with six Emirates. Dubai should become the showcase of what is possible with vision, commitment, and hard work. It should become not only a tourist attraction but also a business place attracting people within the region and beyond. In a radius of about 2000 km their «customers» would be close to three billion people.
Today Dubai has about 10 million tourists per year, is a thriving economy, and is a leading financial center in the region.
Saudi Arabia (KSA) is a second example and has realized that they have the means and the power to develop their country into a powerhouse. Not only taking a leading role in the region but also in the world. They still have by far the most reserves of fossil fuels in the world but with their Vision 2030 want to expand beyond, and attract leading companies to invest in KSA, but also invest themselves in strategic important areas outside the country.
«I hope his vision becomes reality soon»
The KSA’s crown prince, Mohammed bin Salman, is a man of vision and intelligence and wants to play in addition to economics a leading role in securing peace in the Middle East, and trade with Israel. I hope his vision becomes reality soon.
The extended region spans 4,000 miles and four time zones from Morocco to the Islamic Republic of Iran. It includes some of the world’s wealthiest nations – Qatar, the United Arab Emirates, and Saudi Arabia – and some of the poorest – Somalia, Sudan, and Yemen. These countries share many characteristics, including history, language, and profound cultural ties. Therefore, led by the two examples shown above – UAE and KSA – significant change can be brought to the whole region for peace and prosperity which will benefit the whole world. The Western World should recognize that and act accordingly.
Eric G. Sarasin has a long career in international banking at J.P. Morgan, Pictet, Citibank, and Bank Sarasin (since 2012 Bank J. Safra Sarasin). For several years now, he has been running his own family office, White Sail Consulting, advising young entrepreneurs and family offices. He also invests in companies with a focus on digitalization and new technologies. He is active as a philanthropist and holds various board mandates, including at 1875 Finance, Swiss Venture Group, Singularity Group, and Alpen Capital in Dubai. He is also president of the Basel Cancer League and the Basel Animal Hospital Foundation.
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