The regional and global investments moved to the Arabian Gulf region, particularly to the UAE, the Kingdom of Saudi Arabia, and the State of Qatar, in addition to the Kingdom of Bahrain and the Sultanate of Oman recently, for operations from these countries. This is seen as an indicator of the confidence of these global companies in the economic stability of the countries of the region, despite the circumstances surrounding them.
The question is why? The key answer to this strategic question is the economic stability of these countries, or more precisely the state of economic certainty which refers to the confidence of individuals and companies in the economies of those countries and their future. It is reflected in a set of choices, the most important of which is the decision to invest and spend. Its implications are noticed in the economic policies, global development projects, and social stability.
The economic stability which these countries are experiencing is rarely seen on the global economic level. This is a situation which requires attention, study and analysis. We need to watch the stability, confidence, and economic certainty, as they are among the most important economic trends. Political and economic stability and the presence of strong governments that have the ability to deal with any situation, regardless of the extent of the challenges, are also worth noticing. It has contributed strongly to building global confidence in the economy of this region of the world.
Perhaps what supports this view is the recent weather depressions that the UAE has experienced. It has caused some confusion. What was noticed on the roads and Dubai International Airport is considered a normal thing. It happens in all countries of the world, due to natural phenomena. But we witnessed a fierce attack on the Emirate of Dubai in particular, after which Sheikh Mohammed bin Rashid Al Maktoum announced the construction of the largest airport in the world, with a budget of more than USD 100 billion. Once the construction, development and modernisation will be complete, it will be called Al Maktoum International Airport. It will become one of the largest airports in the world. It will dispel all fears, enhancing the economic position, and increasing the stability of the economic policy of the UAE, particularly of the Emirate of Dubai. It will be an indication of the strength of the Emirati economy.
The Middle East region is an important source of many natural resources such as oil, gas and minerals. It is also important due to its geographical location. There are many waterways in the region which are considered crucial for trade. But the area is still suffering from many regional conflicts, particularly the Arab-Israeli conflict, which has extended for many decades. This contributes to the formation and creation of a state of economic uncertainty regionally and globally, as the region supplies the world with more than half of its energy needs.
The flexible policy pursued by the countries of the region can reduce economic risks. It also presents a bright picture of the performance of the global investments in these countries. It makes the image of this region stronger in the eyes of the world as a regional headquarters of many global finances, businesses and technology firms. They view the Arab Gulf region as an oasis of economic certainty.
[by Dr.Mahmoud Frag in Elaph]
Compiled and translated by Faizul Haque