Technology is radically changing how societies interact and adapt. As MENA countries seek new engines of growth amid lower oil prices and persistent conflicts in parts of the region, the technology revolution could help transform their economies. But technology is not a silver bullet. It brings opportunities for some while others may lose. This seminar examines how new technologies might affect the economic well-being of MENA citizens—and what policymakers can do to maximize the benefits.
Panelists discussed how to ignite economic growth and job creation in the region through encouraging technological change, entrepreneurship, changing educational systems and business models. They also noted a need to change the regulatory framework and a potential to mitigate corruption and nepotism in the region.
Key Points:
· Economic growth, jobs and education. Panelists discussed how technology can ignite growth in the region amid low oil prices and how to maximize the impact of technological change on jobs creation. Doudin cited evidence that the technology sector generates the biggest growth. Furusawa noted the potential to create jobs for women and youth and saw a need to assist skilled labor through education. Kamel saw a need to expand vocational education to address the skill gap. He also shared the pilot experience of an NGO, “Education First,” which took the lead on changing the school system in Egypt. Al‑Oraibi saw a need to encourage lifelong learning.
· Policy priorities and business models. Panelists discussed how to support technological innovation through changing narratives, policies, and business models. Al‑Bader argued that the focus should change from individuals to institutions and governments to maximize benefits and secure public interest. Al‑Oraibi stressed the need to mitigate adverse effects and build trust. Furusawa suggested that government strategy should focus on improving technology infrastructure and connectivity, and encourage R&D and funding mechanisms to attract venture capital. Kamel noted the need to use new business models and encourage innovation, discovery, problem solving, research, and entrepreneurship. Al‑Oraibi noted that seeing technology as an enabler rather than as a threat requires a change of mindset and building trust, as well as proper training and procedures. Doudin emphasized that to succeed in MENA, companies should have expertise and knowledge about local markets, understand opportunities and have the right product.
· Corruption and regulation. Al‑Bader noted that technology provides big data, accountability and transparency, and thus mitigates fraudulent behavior, corruption and nepotism, but suggested that an accountability matrix and clear business processes must be in place. Doudin stressed the need for a new regulatory framework for frontier technologies such as robotics and digital currency.
Quotes:
“To any country technology is a game changer...Technology runs faster than we’ve ever thought of.” Ahmed Al‑Bader
“Fifty-six percent of the population in MENA is gainfully employed…59 percent is using the internet…4 percent of MENA’s GDP comes from digital economy.” Mina Al‑Oraibi
“The best companies in the market of MENA are local companies that are born from the region and are serving the region as well.” Ola Doudin
“Today the fastest growing companies in the world…are tech companies. …That’s an indicator that the biggest growth in job creation and GDP is coming from the tech sector.” Ola Doudin
“Two-thirds of the population do not have a bank account and access to finance in SMEs is one of the lowest. On the other hand, mobile subscription accounts for 60 percent. I think there is a huge potential for fintech to improve financial access and support of SMEs.” Mitsuhiro Furusawa
“Look at Uber, it is the largest transportation company and they don’t have cars. Look at Alibaba…they don’t have inventory. Look at Facebook…they don’t have content... The whole business model has to change...What we teach has to change.” Sherif Kamel
Mina Al-Oraibi
Editor-in-chief
The National
Mina Al-Oraibi is editor-in-chief of Abu Dhabi’s The National newspaper. Mina was previously assistant editor-in-chief of the international daily pan-Arab newspaper, Asharq Al-Awsat and, before that, the paper’s Washington DC bureau chief. As senior fellow at the Institute for State Effectiveness she led the institute’s Middle East discourse program.
Mitsuhiro Furusawa
Deputy Managing Director
International Monetary Fund
Mitsuhiro Furusawa has been a Deputy Managing Director with the International Monetary Fund since 2015. Prior to joining the Fund, he was Special Advisor to Japanese Prime Minister Shinzo Abe and Special Advisor to the Minister of Finance. Mr. Furusawa formerly held several senior positions in the Ministry of Finance of Japan including as Vice Minister of Finance for International Affairs and Director-General of the Financial Bureau. He holds an LL.B. degree from the University of Tokyo and also graduated from the École Nationale d’Administration in Paris.
Ahmed Al-Bader
Founder and CEO
SihaTech.com
Ahmed Al-Bader is the founder and CEO of SihaTech.com, which leverages technology to connect GCC healthcare actors and which won the Best Arab Startup Championship in 2017. He introduced microfinancing for healthcare procedures to Saudi Arabia and has founded other online portals. Mr. Al-Bader was previously advisor to the Saudi Ministry of Commerce and Industry, Chief Strategy Officer of the Saudi Industrial Property Authority “MODON,” acting director for the National Industrial Strategy, and an advisor to the King Abdul Aziz Center for National Dialogue and to other private public and private institutions. Mr. Al-Bader holds a master’s degree from Oxford University.
Ola Doudin
Cofounder and CEO
BitOasis
Ola Doudin is cofounder and CEO of BitOasis, a digital currency consumer platform focused on Middle East’s emerging market. Previously, she worked in Technology Advisory at Ernst & Young, and on various tech entrepreneurship and support initiatives across MENA.
Sherif Kamel
Professor of Management
American University in Cairo
Sherif Kamel is professor of management of the American University in Cairo and founding dean of the school of business at the American University in Cairo, where he established the Center for Entrepreneurship and Innovation and the Venture Lab. He has long experience with the government and the civil society in Egypt in building and managing executive development institutions addressing information technology, management, entrepreneurship, and leadership. His research is broadly published in information systems and management journals and books. He is an Eisenhower Fellow and a founding member of the Internet Society of Egypt, and was a board member of the Egyptian American Enterprise Fund.
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