Mega-projects and Small Enterprises: Understanding Saudi Arabian Banks’ Role in Economic Development
Vision 2030 promises a transformation of Saudi Arabia’s economy, and the financial sector will be crucial to achieving this. The sector will facilitate private investment focusing on small and medium-sized enterprise (SME) financing, fund mega-projects, and be a driver for diversifying away from oil. As a result, banks’ role must go from being distributive and largely passive to developmental and active. This article will highlight how the role of the Saudi banking sector has been transformed in the last five years and how its composition is changing to cope.
Morocco's “first in North Africa” electric car production is a European manufacturing gain over China
In an automotive first for North Africa, German automaker Opel will soon begin producing electric cars in Morocco. Opel’s electric car manufacturing in Kénitra leapfrogs China’s plan to build electric cars in Egypt, giving Morocco’s automotive industry an important first-mover advantage. The move also represents a strategic gain for European automotive manufacturing over China. As a gateway to West Africa, Morocco provides Opel and its parent company Stellantis a nearby production base for the eventual cost-effective export of electric vehicles to rapidly expanding markets in Sub-Saharan Africa.
What’s driving the escalating tensions between Algeria and Morocco?
On Aug. 24 Algeria broke off its already minimal bilateral relations with Morocco, declaring this was due to the kingdom’s “hostile actions” and accusing it of involvement in the wildfires that struck the Kabylia region earlier that month. The heightened tension between the two countries brings into focus regional uncertainty and may spell the end of their limited collaboration in the energy sector.
We rarely miss an opportunity to criticize our Gulf Arab partners — sometimes rightly so — for not doing enough to safeguard collective interests. But one must acknowledge that on Afghanistan, and especially our just-completed exit from the country, most of our Gulf Arab partners absolutely shined. They deserve a ton of credit for the role they played in our large, challenging, and deadly evacuation — a role which was nothing short of indispensable.
There is a puzzle in the profits of Gulf Cooperation Council (GCC) firms, especially conglomerates. Even as the size of GCC economies has grown considerably in the last two decades, corporate profits have been flat. With a goal of economic diversification to expand private sector business and job opportunities for citizens, the imperative to create an environment for growth is acute for regional governments. Tarek Fadlallah, CEO of Nomura Asset Management Middle East and a member of the Program on Economics and Energy Advisory Council, lays out some of the challenges for Gulf economic diversification and improved corporate profitability.
Southern inclusivity is key to Yemen’s chances for lasting peace
A reinvigorated international approach to Yemen is possible. The current architecture for advancing a negotiated peace is being challenged by both international and local developments. The protracted nature of the conflict, the risk that it could worsen, and local political developments over the past two years necessitate a recalibration of the peace process, informed by realities on the ground, the urgent needs of the population, and the demand for security. Evolving coalition priorities, renewed U.S. engagement, and the appointment of a new U.N. special envoy may be an opportunity to advance conflict resolution. Achieving greater unity among southern actors will be key to the success of national-level talks and is urgently needed to prevent a further descent into violence, extremism, and humanitarian catastrophe.
Sectarianism and ideology: The cases of Iran and Saudi Arabia
Many analysts oversimplify the political conflict between Iran and Saudi Arabia as one driven by sectarianism or Shi’a-Sunni tensions that has shaped the two states’ outlook and actions in the Middle East. However, their political differences are actually much more complex and deeper rooted.
At the dawn of the Biden era of American foreign policy, a more mature, realistic Saudi foreign policy is emerging to match the shifting signals from Washington. In some measure, the Saudis are readopting elements that traditionally characterized their policy preferences before the meteoric rise of Crown Prince Mohammed bin Salman (MbS), the kingdom’s de facto ruler.
Consistency and change: Morocco under King Mohammed VI
In July, Morocco marked the 22nd year of King Mohammed VI’s rule and 10 years under the new constitution ushered in by a popular referendum in the aftermath of the 2011 protests. The past 22 years have transformed Morocco, the region, and the world in fundamental ways, yet the country’s politics have continually snapped back to a familiar equilibrium. During these past 22 years Morocco has gone through three distinct phases in managing these internal and external dynamics.
On Sept. 15, 2020, Emirati Foreign Minister Abdullah bin Zayed al-Nahyan, Bahraini Foreign Minister Abdullatif bin Rashid al-Zayani, then-Israeli Prime Minister Benjamin Netanyahu, and then-U.S. President Donald Trump met on the South Lawn of the White House to sign the Abraham Accords, normalizing relations between the two Gulf Arab states and Israel. Morocco followed suit several months later, signing a similar agreement with Israel on Dec. 22, and a week and a half after that, on Jan. 6, 2021, Sudan and Israel also agreed to normalize relations. A year on, these accords have had a significant, if not yet fully realized, impact on the Middle East, affecting everything from geopolitics and economics to tourism and people-to-people (P2P) ties, and they also reflect the changing dynamics in the region and beyond, particularly with the U.S. and China.
Amb. Dennis Ross and Karen Young join guest host Gerald Feierstein to discuss the progress of relations between Israel and the Arab world one year after the signing of the Abraham Accords, as well as the agreement’s economic impacts and what role the United States will play moving forward.
Testimony | "Briefing on Human Rights and Freedom of Expression in Morocco"
The following testimony was presented to the House Foreign Affairs Committee, Tom Lantos Human Rights Commission “Briefing on Human Rights and Freedom of Expression in Morocco” on August 12, 2021.
