EY research says the largest event to be held in the Arab World is predicted to add the equivalent of 1.5% to UAE GDP
Expo 2020 Dubai will boost the UAE economy by AED122.6 billion ($33.4 billion) and support 905,200 job-years between 2013 and 2031, according to an independent report published by global consultancy EY.
During the peak six-month period of the World Expo, the largest event to be held in the Arab World is predicted to add the equivalent of 1.5 percent to UAE gross domestic product.
The scale of investment pouring in to construct and host an event of this ambition, as well as goods and services consumed by the millions expected to visit and the businesses that will occupy the Expo site in the legacy phase, will result in an economic dividend that will benefit businesses large and small across a range of sectors for years to come, according to the report.
From November 2013 – when Dubai won the bid to host the Expo – until its opening in October 2020, the economic impetus will be driven by the construction sector as work continues on building the site and supporting infrastructure such as roads, bridges and the Dubai Metro Route 2020 line, EY noted.
Najeeb Mohammed Al-Ali, executive director of the Dubai Expo 2020 Bureau, said: “This independent report demonstrates that Expo 2020 Dubai is a critical long-term investment in the future of the UAE, which will contribute more than 120 billion dirhams to the economy between 2013 and 2031.
“Not only will the event encourage millions around the world to visit the UAE in 2020, it will also stimulate travel and tourism and support economic diversification for years after the Expo, leaving a sustainable economic legacy that will help to ensure the UAE remains a leading destination for business, leisure and investment.”
The report added that small and medium enterprises, a core component of the UAE economy, will receive AED4.7 billion in investment during the pre-Expo phase, supporting 12,600 job-years.
Job-years is defined as full-time employment for one person for one year and describes the employment impact over the life or phase of a project.
During the peak six months of Expo 2020, visitor spending on tickets, merchandise, food and beverage, hotels, flights and local transport will propel economic activity.
Expo 2020 expects 25 million visits, with 70 per cent of visitors coming from outside the UAE, providing the hospitality industry with an unmissable opportunity to show the world what the UAE has to offer.
The EY report added that the positive thrust will continue in the decade after Expo closes its doors in April 2021, thanks largely to the transformation of the site into District 2020, an integrated urban development that will house the Dubai Exhibition Centre.
Matthew Benson, partner, Transaction Advisory Services, MENA, EY, said: “Expo 2020 is an exciting long-term investment for the UAE, and is expected to have a significant impact on the economy and how jobs are created directly and indirectly.
“As the host, Dubai aims to use the event to further enhance its international profile and reputation. The event will celebrate innovation, promote progress and foster cooperation, and entertain and educate global audiences.
Egypt is working on formulating a strategy for artificial intelligence (AI) which will include the establishment of the country’s first faculty of artificial intelligence and artificial intelligence academy in the coming academic year, in a bid to produce the scientific workforces needed to develop a sustainable knowledge-based economy.
The FAI will start student enrolment in the next academic year, 2019-20, as a centre of excellence for artificial intelligence research, education, teaching and training.
Besides establishing an artificial intelligence academy specialising in innovation and new thinking in artificial intelligence, several AI departments will also be set up at higher education institutions to develop capacity and boost innovations.
AI is the science of developing computer systems capable of carrying out human tasks.
According to a 2017 PricewaterhouseCoopers (PwC) report entitled The Potential Impact of AI in the Middle East, it is estimated that 7.7% of Egypt’s gross domestic product could come from the AI sector by 2030.
“We estimate that the Middle East is expected to accrue 2% of the total global benefits of AI in 2030. This is equivalent to US$320 billion,” the report stated.
“In the wake of the fourth industrial revolution, governments and businesses across the Middle East are beginning to realise the shift globally towards AI and advanced technologies.
“They are faced with a choice between being a part of the technological disruption, or being left behind. When we look at the economic impact for the region, being left behind is not an option.”
The biggest opportunity for AI in the Middle East and Africa region is in the financial sector where it is estimated that 25% of all AI investment in the region predicted for 2021, or US$28.3 million, will be spent on developing AI solutions. This is followed by the public services, including education among other sectors, according to the PwC report.
Samir Khalaf Abd-El-Aal, a science expert at the National Research Centre in Cairo, welcomed news of the FAI as a “pioneering initiative” that will have an impact on Egypt as well as North Africa.
“It is a good step forward for raising awareness of the potential of AI for sustainable development as well as contributing in facing regional challenges to fully harness the deployment of AI, including infrastructure, skills, knowledge gaps, research capacities and availability of local data,” Abd-El-Aal told University World News.
“The FAI is an important initiative in training students in AI, which will become one of the tools of future jobs, as well as building AI applications in Arabic, which can easily go to all Arabic-speaking countries including North African states.”
“The FAI could also act as a regional focal point for carrying out mapping for local artificial intelligence start-ups, research centres and civil society organisations as well as serving as an incubator for skills development and promoting AI entrepreneurship oriented towards solving North African problems,” Abd-El-Aal said.
Virtual science hub
The Egypt government also announced the launch of a virtual science hub at the Forum. The hub, affiliated to the Academy of Scientific Research and Technology at the Ministry of Higher Education and Scientific Research, aims to enable integration, management and planning of Egyptian technological resources, work on the international information network, and includes an integrated database for all Egyptian technological resources.
It also includes all scientific and technical resources as well as material assets and academic research contributions, which will make it possible to measure the degree of technological readiness of all Egyptian academic and research institutions. The general objective of the system is to provide the necessary information to support decision-makers in research projects and to facilitate the follow-up of research activities.
As per the World Bank in its latest announcement, “Growth has picked up across the region and is projected to strengthen over the next few years. And almost all MENA countries have moved to reduce or eliminate energy subsidies, identify new sources of non-oil revenues, and expand social safety nets to shield the poor from adverse effects of change.”
Meanwhile the World Economic Forum informs that the MENA region hosts the world’s elite today and tomorrow by the Dead Sea shore, to try and debate some of the region’s current issues. Jordan has already held the WEF’S gathering in the recent past; refer to MENA-Forum.
ByMirek Dusek, Deputy Head of the Centre for Geopolitical and Regional Affairs, Member of the Executive Committee, World Economic Forum
For thousands of years, the Dead Sea has attracted visitors from far and wide, drawn by legends of its power to heal and rejuvenate. On 6-7 April, 1,000 key leaders from government, business and civil society will gather on its shores for the World Economic Forum on the Middle East and North Africa (MENA). Over two days they will confront the issues facing more than 400 million people.
A region of two opposing systems
The Arab world is a region of two contrasting systems. One system features a dynamic private sector, digitally native youth and open economies. The other has a bloated public sector and closed, controlled economies.
Most people in the Middle East and North Africa (MENA) interact with both systems, facing a mixed reality. Wealth sits side-by-side with poverty; an exciting entrepreneurial culture struggles with leaden bureaucracy; and an insatiable appetite for the new is balanced with a reverence for tradition.
How these two systems interact – and whether the dynamic, forward-looking system can thrive while respecting the traditions of the Arab world – is among the most important issues the region is facing today.
Five key questions
The following five areas will determine whether the Arab world can successfully move towards the system of innovation and competitiveness.
1. Can the Arab world develop a new, sustainable economic and social framework?
The social contract in much of the Arab world has relied on state-provided employment. This is unsustainable. Nearly half the population is under 25, and a quarter of those are unemployed. Add the biggest gender gap in the world, and it’s clear a new framework is needed.
2. Can a mechanism for conflict resolution be developed?
Ongoing humanitarian disasters in Syria, Yemen and Iraq require immediate attention, as do the longer-term projects of rebuilding fully functioning states. The region has been home to long-standing tensions, and unless these are mitigated, a thriving, competitive region will be hard to realise.
3. Can an ecosystem of entrepreneurship and innovation be developed?
The stories of individual success in the region are too often ones of thriving despite the economic framework. An ecosystem that nurtures innovation and encourages firms to flourish and grow is needed.
4. Are countries prepared for the Fourth Industrial Revolution?
Changes in the way we work are happening more quickly than most societies are prepared for. There is a short window for establishing the right regulatory environment, and reskilling people to make sure they – and the larger economies – can capture the opportunities of technology.
5. Will addressing corruption and transparency be a priority?
Governance reform is a “must do” issue in the region and disillusionment caused by perceptions of corruption is particularly strong among young Arabs.
Global questions, Arab answers
While other regions have grappled with similar questions, the Arab world needs Arab solutions, that capitalize on the unique strengths of the area while accounting for its important sensibilities. There are good examples of this starting to happen.
The UAE is playing a leading role in integrating the region into the global economy. The new Emirates Centre for the Fourth Industrial Revolution, run by the Dubai Future Foundation in partnership with the World Economic Forum, is working to shape governance and capacity issues in the MENA, and it could shape data protocols across the world as a whole. Europe is enforcing strict data protections and regulations, while the United States is taking a more liberal approach. The Arab solution being developed may not just be a better fit for the region, but for elsewhere as well.
Saudi Arabia already has an influential voice as part of the G20, and it’s a voice that can grow. In 2020, it will host the Riyadh Summit, presenting an opportunity for greater impact on the regional and global agenda. A forward-looking programme that strengthens the MENA economies and the global economy as a whole will be an important step toward long-term success for the area.
Actions not words
There is a dire need for a new collaborative platform that brings governments together with businesses and other stakeholders in private-public cooperation. This is the aim of the World Economic Forum’s summit in Jordan. By convening members of the public and private sectors, and bringing new voices into the arena, such as the 100 Arab Start-ups, we hope to facilitate forward-leaning dialogue that understands and respects the values and culture of the region.
World trade will continue to face strong headwinds in 2019 and 2020 after growing more slowly than expected in 2018 due to rising trade tensions and increased economic uncertainty, said the World Trade Organisation (WTO).
WTO economists expect merchandise trade volume growth to fall to 2.6 per cent in 2019 — down from 3.0 per cent in 2018. Trade growth could then rebound to 3.0 per cent in 2020; however, this is dependent on an easing of trade tensions.
WTO director-general Roberto Azevêdo said: “With trade tensions running high, no one should be surprised by this outlook. Trade cannot play its full role in driving growth when we see such high levels of uncertainty.”
“It is increasingly urgent that we resolve tensions and focus on charting a positive path forward for global trade which responds to the real challenges in today’s economy – such as the technological revolution and the imperative of creating jobs and boosting development.
“WTO members are working to do this and are discussing ways to strengthen and safeguard the trading system. This is vital. If we forget the fundamental importance of the rules-based trading system we would risk weakening it, which would be an historic mistake with repercussions for jobs, growth and stability around the world,” he added.
Trade growth in 2018 was weighed down by several factors, including new tariffs and retaliatory measures affecting widely-traded goods, weaker global economic growth, volatility in financial markets and tighter monetary conditions in developed countries, among others. Consensus estimates have world GDP growth slowing from 2.9 per cent in 2018 to 2.6 per cent in both 2019 and 2020.
The preliminary estimate of 3.0 per cent for world trade growth in 2018 is below the WTO’s most recent forecast of 3.9 per cent issued last September. The shortfall is mostly explained by a worse-than-expected result in the fourth quarter, when world trade as measured by the average of exports and imports declined by 0.3 per cent. Until then, third quarter trade had been up 3.8 per cent, in line with WTO projections.
Trade expansion in the current year is most likely to fall within a range from 1.3 per cent to 4.0 per cent. It should be noted that trade growth could be below this range if trade tensions continue to build, or above it if they start to ease.
Nominal trade values also rose in 2018 due to a combination of volume and price changes. World merchandise exports totalled $19.48 trillion, up 10 per cent from the previous year. The rise was driven partly by higher oil prices, which increased by roughly 20 per cent between 2017 and 2018. – TradeArabia News Service
For purposes of mainly Invigorating Female Entrepreneurship in Egypt’s ecosystem, a “SHE CAN – 2019” organized by Entreprenelle, kickstarted by Rania Ayman in 2015 as an organization eventing conferences as a mean to empower and motivate women so as help them believe in their ability to change their destiny.
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SHE CAN 2019, a conference dedicated to MENA women entrepreneurs, hosted its third annual edition at the Greek campus, Downtown Cairo, Egypt, with the theme ‘Successful Failures’. Launched by Entreprenelle, an Egypt-based social enterprise which aims to economically empower women through awareness, education and access to resources, the conference held a wide range of panel discussions, talks and workshops on innovative thinking, creativity, technology, raising capital and invigorating female entrepreneurship in the ecosystem.
Gathering more than 5,000 participants and 50 partners, including UN Women, the Swedish Embassy, the National Council for Women, Nahdet Masr, Avon, Orange and Export Development Bank of Egypt, it also highlighted the endeavors of Entrepenelle alumni. It was also an opportunity for aspiring entrepreneurs to learn from sessions featuring tips on pitching business ideas, mentorship, as well as startup competitions. Female-founded startups were also able to showcase their products and services in an exhibition area.
Speaking about the conference focusing on the necessity to experience failure on one’s entrepreneurial path, Dorothy Shea, Deputy Ambassador of the US Embassy in Cairo, commented, “As far as I’m concerenced, the sky is the limit. Women should be able to achieve whatever their dreams are. What I was struck by was this idea of “successful failures,” we need to not fear failure, it’s not a destination, it is a stepping stone to success. Sometimes there can be a fear of failure, but as part of this entrepreneurship ecosystem, they are really trying to move that inhibition away. We learn from our failures and then we take our plans to the next level. I was really inspired by this theme.”
Founded in 2015, Entreprenelle has more than 10 entrepreneurship programs conducted in nine governorates, including Cairo, Alexandria, Mansoura, Minya, Assiut, Sohag and Aswan.
WASHINGTON D.C., United States of America, March 27, 2019 / APO Group/ —
The Centers of Excellence will align with the current needs of Egypt’s commercial, academic, and public sectors by solving local problems
Today, U.S. Agency for International Development (USAID) Administrator Mark Green announced a $90 million investment in three leading universities in Egypt, which will form partnerships with American universities to create Centers of Excellence in energy, water, and agriculture.
The three Centers of Excellence will establish linkages between Egyptian universities and leading counterparts in the United States, help forge relationships between Egyptian and American researchers and experts, and drive research and innovation in sectors that are key to Egypt’s future economic growth. The three partnerships will be the following:
The Massachusetts Institute of Technology will partner with Ain Shams University to establish a Center of Excellence in Energy;
Cornell University in New York will partner with Cairo University to create a Center of Excellence in Agriculture; and
The American University in Cairo will partner with Alexandria University to develop a Center of Excellence in Water.
Through the establishment of the Centers of Excellence, USAID and the Egyptian Ministry of Higher Education and Scientific Research, will increase the capacity of Egypt’s higher-education institutions and create linkages between research and the public and private sectors in the areas of agriculture, water, and energy. Each Center of Excellence will use applied research to drive innovation and competitiveness in the public and private sectors, strengthen Egyptian Government policy to stimulate economic growth, and contribute solutions to Egypt’s development challenges. The three Centers of Excellence are a part of the investment by the American people in Egypt’s human and economic development.
The Centers of Excellence will align with the current needs of Egypt’s commercial, academic, and public sectors by solving local problems, driving innovation, and leading to lower unemployment and improved performance in the private and public sector.
The main activities of the partnership will include the following:
Creating lasting partnerships between Egyptian public universities and U.S. universities;
Updating university curricula and teaching methods to align Egyptian university education with the needs of local industry; and
Establishing undergraduate-and graduate-level scholarships for students with high financial need; and
Implement exchange programs to foster cross-border learning.
Since 1978, the American people have invested $30 billion to further Egypt’s human and economic development based on our shared ideals and interests.
Distributed by APO Group on behalf of Africa Regional Media Hub.