The Arab Gulf States and the Knowledge Economy: Challenges and Opportunities
As the GCC countries strive to compete in the 21st century, they face a number of challenges, including fluctuating oil and gas prices, economic diversification, and the need to build up human capital and create jobs for GCC nationals.
As the countries of the Gulf Cooperation Council (GCC) strive to compete in the 21st century, they face a number of challenges, including fluctuating oil and gas prices, economic diversification, and the need to build up human capital and create jobs for GCC nationals. To address these challenges, the Arab Gulf states are embarking on knowledge-based economic development.
To improve human capital, GCC states have made generous investments in financing education at all levels, telecommunication infrastructure and services, and Science, Technology, and Innovation (STI). There is room, however, to maximize benefits from these investments, and there are many opportunities for GCC states to benefit from knowledge-based economic development. A business-friendly environment, including transparent regulations, financing mechanisms, and venture capital, is required to create jobs for GCC nationals and to encourage young entrepreneurs and innovators to commercialize proven research output and innovative ideas.
U.S. authorizations for exporting advanced chips to the leading Gulf technology firms is sure to please regional authorities, who will push to broaden and accelerate technology collaboration with the United States.
Trade and investment links between the United States and Saudi Arabia appear to be growing and will get a further boost when the Saudi crown prince visits the White House on November 18.
When the Saudi crown prince meets President Trump in Washington, the main topics of discussion are likely to be commercial deals, a defense pact, a Saudi civilian nuclear program, and normalization with Israel.
