RAK Business Magazine, Issue (19), 2023

‫مجلــة أعمــال رأس اخليمــة‬

ISSUED BY RAK DED, ISSUE NO. 19, JUNE - JULY 2023

Forecasting Global Economic Growth for 2023 - 2024”

KUWAIT

Wide horizons of cooperation with United Arab of Emirates

UAE

An attractive destination for global talents

Moza Belhazmi...

Soared to international fame with “The Happy Butterfly”

Beautiful memories that last a lifetime in Ras Al Khaimah

The Art of communication, Your paved path to success

Ahmed Issa Al-Naim’s Path to Wealth and Influence

RAK-DED Signs Agreement with Saba Intellectual Property

From Humble Beginnings to Forbes’ Elite

RAK Business issued by Ras AlKhaimah Department of Economic Development to support and develop the business environment and highlight best practices in Ras Al Khaimah.

SUPERVISION SH. Mohamed bin Kayed AlQasimi EDITOR IN CHIEF Dr. Abdulrahman Alshayeb Alnaqbi MANGAGING EDITOR Aisha Obaid Alayyan EDITORS Nebras Shafik AboZidan Mayyasa Sultan AlKendi

NEW GENERATION TEAM Khawla Ibrahim Abdulaziz Alelewi Zina Abboud Zainab Shieha Dareen Abu AlKheer Maher Safyeldin

VISION: Ras Al Khaimah to be the preferred destination for doing business.

MISSION: Organizing economic activities and augmenting efforts for business growth and sustainability in a competitive environment that achieves sustainable economic development in the Emirate.

STRATEGIC OBJECTIVES: • Promote diversified and sustainable economic growth • Contribute to the organization of the business sector according to the global standards.

• Developing the services provided to clients, strategic partners and the business community.

• Expanding and enhancing the institutional efficiency of institutional support services and excellence and boosting the culture of creativity and knowledge.

INSTITUTIONAL VALUES: • Positive Citizenship: Taking responsibility and meeting all customers’ needs and beyond- If possible.

• Institutional happiness: Continuously strive to win the happiness of our employees, customers, partners, and community.

• Creativity and Innovation: We want our employees to take initiative with every new, creative and innovative idea.

• Integrity and Transparency: We deal transparently with all stakeholders within an integrated institutional governance framework.

• Sharing Knowledge: One team with unified knowledge we all share.

Media consultancy

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ngmedia.ae@gmail.com The topics mentioned express the opinion of its author, and do not necessarily represent the opinion of the Department of Economic Development in Ras Al Khaimah. Despite efforts to investigate accuracy, the magazine does not accept responsibility for any errors in the information provided.

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FROM THE EDITOR

REPERCUSSIONS OF GLOBAL DEVELOPMENTS BETWEEN STABILITY AND CHANGE Global happenings are accelerated, generating a series of jostling between the major powers. Some of these events herald the birth of a multipolar world while others confirm the survival of unipolarity.

Dr. AbdulRahman Al-Naqbi

The rise of the Chinese economic model has prompted many fears to the unipolar system - the United States - in a rapidly changing scene. Playing on the edge of the abyss, therefor, may ignite major wars in a world heavily armed with nuclear, strategic and tactical weapons.

The past and present two years have witnessed a sequence of alliances between the international powers. Several countries drew up plans to enter arms races.

Such races were forbidden to some of them because of previous political events that led to world wars and human disasters, by which various countries were afflicted. However, the need to support allies and change the strategic doctrine of the blocs allowed these countries to change their attitude and enter the race that will fuel confrontation between the two models.

On the other hand, countries, led by China and its allies, have tried to build economic systems alternative to the current one that is dominated by the dollar.

They sought to build parallel financial electronic systems in which local currencies are dealt with in trade exchange.

The race for resources continued all over the world, especially in the promising Africa. Africans no longer listen much to the speeches given about freedom and democracy since they do not make minimal use of the continent resources.

Both systems have their own tools to face the challenges of each other. The economic sanctions were used against some materials, components and technical tools to intimidate people with using them in the Western world. This may lead information to be hacked, collected, and used. Provocations also continued trying to drain some of the allies as a preemptive act, as in the case of the Ukrainian-Russian war.

The repercussions of global changes remain dependent on the ability and steadfastness of each party and the extent to which it maintains its capabilities and the capabilities of its allies. These repercussions are also hinged on the level of confrontation imposed by the other party, as well as the extent of control over resources needed to ensure the ability to manage future directions within the said alliances.

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CONTENTS

Issue No. 19 JUNE, JULY 2023

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PANORAMA Ahmed Issa Al Nuaim Diversification in investment enhances opportunities and reduces risks 10 Ras Al Khaimah offers exceptional investment opportunities, particularly in the tourism sector, due to its unique geographical location.

Kuwait... Wide horizons of cooperation with UAE

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16 The volume of foreign trade between Kuwait and Ras Al Khaimah has significantly increased, with Kuwait ranking fourth as a trading partner for the Emirate.

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BUSINESS UAE remains an attractive destination for global talents

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20 Stable family life, sustainable living conditions, and lifestyle are among the main reasons for relocating to the UAE.

GLOBAL Economic Growth Prospects

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24 It is expected that the global economy will experience a sharp slowdown in growth, and in some economies.

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COLUMNS 15

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Moza Belhazmi... soared to international fame with “The Happy Butterfly”.

Ras Al Khaimah... A remarkable journey affirmed by numbers

OVER THE TOP

30 The doors are wide open, and anyone with a business idea is encouraged to approach the relevant authorities for support in youth projects.

The Sustainable Industrial Sector A major contributor to the local economy.

34 Ras Al Khaimah is committed to fostering a culture of sustainability in various economic sectors.

TOURISM 38 Ras Al Khaimah Tourism Development Authority has revealed 21 hotel projects that will add 6,533 hotel rooms to its capacity by 2025.

Beautiful memories that last a lifetime in Ras Al Khaimah 40 in support of Ras Al Khaimah’s efforts to solidify its position as a worldclass wedding destination, RAKTDA has unveiled a first-of-its-kind Wedding Certification Programme.

The direct and indirect effects of international economic sanctions.

22 Enhancing natural capital is a pressing priority in the Middle East.

33 How can the development of artificial intelligence be beneficial in our daily lives?

37 “Your paved path to success” The world of business and the art of communication.

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PANORAMA ECONOMIC

NEWS SPOTLIGHT PARTNERS

Ruler of Ras Al Khaimah issues Law to establish world’s first free zone dedicated to digital and virtual asset companies H.H. Sheikh Saud bin Saqr Al Qasimi, Supreme Council Member and Ruler of Ras Al Khaimah, has issued laws to establish the world’s first free zone dedicated to digital and virtual assets companies.

Established under Law No. 2 of 2023, the Ras Al Khaimah Digital Assets Oasis is an independent governmental authority affiliated with the newly created Department of the Future.

The new law grants RAK Digital Assets Oasis financial, administrative, and legislative independence, allowing it to function as a purpose-built, innovation-enabling free zone in the virtual assets sector.

The Digital Assets Oasis will be the world’s first free zone dedicated to digital and virtual asset companies, with a comprehensive, bespoke, innovation-enabling digital asset approach.

In addition to the establishment of RAK Digital Assets Oasis, His Highness Sheikh Saud also announced Law No.1 of 2023, which outlines the establishment of the Department of the Future.

The law aims to bolster economic growth and diversification in the Emirate of Ras Al Khaimah, promote its growing status as a hub for innovation, and enhance its competitiveness as an economic and global destination for business.

The new department will play a pivotal

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role in promoting innovation and driving the Emirate’s economic development in the digital age, positioning Ras Al Khaimah as a leader in innovation and entrepreneurship in the digital and virtual assets sector.

The new free zone will further cement Ras Al Khaimah’s reputation as a destination of choice for next-generation business ventures and the economy of the future.

Ras Al Khaimah’s unique combination of accessibility, agility, and liveability will foster responsible innovation and position the UAE at the forefront in driving the most

successful disruptive tech transformations of the coming decades.

To lead the initiative, Sheikh Saud bin Saqr Al Qasimi has appointed Sheikh Mohammed bin Humaid bin Abdullah Al Qasimi as Chairman and Dr. Sameer Al Ansari as CEO of RAK Digital Assets Oasis. Sheikh Mohammed is the Chairman of RAK International Corporate Centre (RAK ICC) and a Board Member and Managing Director of RAKEZ, while Dr. Sameer Al Ansari is the CEO of RAK ICC and a member of the Board of Directors of Marjan, Ras Al Khaimah’s flagship master developer

ECONOMIC PANORAMA

NEWS

RAK-DED Signs Agreement with Saba Intellectual Property The Ras Al Khaimah Department of Economic Development (RAKDED) has signed a memorandum of cooperation with Saba Intellectual Property, an international company specializing in intellectual property. The agreement aims to combat commercial fraud and counterfeiting of trademarks while protecting the rights of consumers and the economic interests of Ras Al Khaimah. Faisal Alyoon, Director of the Commercial Control and Protection Department, highlighted that the partnership aims to strengthen efforts against counterfeit goods through training programs, inspection campaigns, and preventive measures. The agreement also includes the establishment of a unified database for combating commercial fraud. Ramzi Tarazi, General Manager of Saba Intellectual Property, emphasized the importance of organizing awareness campaigns and educational programs to reduce the presence of counterfeit goods. This collaboration will benefit government and private sector institutions as well as the general community in their efforts to address the issue.

And Honors 84 Distinguished Employees Under the patronage of Sheikh Mohammed bin Kayed Al Qasimi, Chairman of Ras Al Khaimah Department of Economic Development (RAKDED), the ceremony “On the Covenant We Meet” was held to honor the distinguished personnel of RAKDED and recognize their efforts in 2022. A total of 84 employees were celebrated across various categories in the Internal Excellence Awards 2022. These categories encompassed outstanding performance in all four quarters, employee happiness, distinguished field inspectors, the e-suggestion system, the best department in submitting suggestions, community service, distinguished office-boys, and employees with long service tenure of 10 and 15 years. Additional categories included super distinguished employees within the Ras Al Khaimah government, best call-center employee, outstanding support services, and exceptional efforts in achieving consumer protection and enhancing RAKDED’s institutional reputation. The technical team assigned to RAKDED was also recognized. The ceremony showcased the department’s notable achievements and results from internal and external activities and initiatives. It also renewed the initiative “On the Covenant We Meet,” where team leaders and managers pledged to implement approved operational plans throughout the year. The event concluded with entertaining activities for the employees. RAKDED organizes such ceremonies twice a year to honor distinguished employees and review ongoing operational plans’ progress and outcomes.

RAKEZ to issue business licences in less than 5 minutes Ras Al Khaimah Economic Zone (RAKEZ) has introduced a new “Instant Business Licence” system, allowing entrepreneurs to get their business licences in less than five minutes.

The online process eliminates the need for paperwork and physical visits, making it a fast and convenient option for investors. By visiting the RAKEZ website, entrepreneurs can choose a business package and activities, make payment, and receive their licence to start their business operations immediately.

RAKEZ Group CEO, Ramy Jallad, stated that RAKEZ is the first economic zone in the UAE to offer this type of instant licence, and that their goal is to provide investors with simplified solutions for their business setup and beyond. The instant business licence is available for business packages starting from AED 5,499, with options for adding multiple activities and visas”.

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ECONOMIC PANORAMA

NEWS

RAK SME... Launches the “pilot project” initiative His Excellency Youssef Ismail, Chairman of the Supreme Committee of the Saud bin Saqr Foundation for the Development of Youth Enterprises, said that the initiative is represented in a poster bearing the phrase “pilot project”, which the Foundation grants to members’ projects that meet the criteria of creativity and innovation, in the services or products it provides, provided that This poster is installed on the facade of the project, to enhance the identity and image of its business, confirm its competitiveness in the market, and highlight it as a pioneering and innovative project worthy of the support of the community.

He pointed out that the institution will, in turn, conduct a field follow-up of all the projects of its associate members, and evaluate them through the services provided on the ground, and the extent of the success of the project in providing its services to the largest number of consumers. similar projects in the market. His Excellency stressed the importance of launching this initiative, and said that based on the rational government directives on the need to support small and medium-sized national youth projects, and work continuously to enable them and establish their sustainability, especially with the increase in competition in the small and medium-sized enterprises sector, it was necessary to support member projects and enhance their presence in the market. And draw the public’s attention to these pioneering national projects, hence the initiative to launch a “pilot project”, to contribute to delivering a specific message, which gives more impetus to the project, enhances customer loyalty to these projects, and contributes to strengthening and promoting the distinguished reputation as worthy pioneering national projects.

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AURAK joins elite league with AACSB accreditation, cements position as a leading business school in UAE The American University of Ras Al Khaimah (AURAK) in the UAE has achieved full accreditation for its business school from AACSB International, making it one of the leading business schools in the country. Only 6% of business degree programs globally hold this prestigious accreditation. AACSB is the largest business education alliance, accrediting institutions that demonstrate excellence in teaching, research, and community service. AURAK’s accreditation reflects their commitment to students, alumni, and the business community, setting a high standard for business education. With this achievement, AURAK aims to enhance its reputation and prepare graduates for success in the global business environment. The School of Business offers undergraduate and graduate programs, executive education, and partnerships for practical experience.

AURAK also holds accreditations from ABET, SACSCOC, and the QAA, further demonstrating its commitment to excellence. AACSB’s accreditation is recognized worldwide and ensures quality assurance in business education.

RAK-DED Seizes 214,000 Pieces of Counterfeit Clothing for 28 International Brands Ras Al Khaimah Department of Economic Development stated the seizure and confiscation of 214,000 pieces of counterfeit clothing during the first quarter of 2023, with an original value of AED 91,000,000.

These counterfeit goods were detected as an immediate response to a complaint received from a legal company authorized by some trademark owners in the emirate. The complaint stated that there is an abandoned warehouse in Ras Al Khaimah that contains counterfeit clothes bearing the logos of twenty-eight (28) international brands.

Faisal Alyoon - Director of the Department of Control and Commercial Protection explained that the commercial protection Section had received a complaint stating that a company from outside Ras Al Khaimah was practicing commercial fraud by storing counterfeit goods in abandoned warehouses inside the emirate. These goods are later transported to the different emirates of the country to be sold in the markets at prices lower than the actual value of the trademark. Following the complaint, coordination was made with the Criminal Investigation Department at Ras Al Khaimah Police to raid the site and confiscate all vehicles and counterfeit goods. The accused were also referred to the judiciary for the law to take its course.

Alyoon noted that it is dangerous to buy counterfeit products, as this may involve risks, including changing the product’s features and color and declining quality over time, causing harm to the health and safety of individuals.

And Seizes Counterfeit Goods Worth 5 million Dirhams during 2022 Within the framework of promoting a safe economic environment and protecting trademarks from infringement and counterfeiting, Ras Al Khaimah Department of Economic Development responded to 55 complaints about counterfeiting international trade-

marks during the year 2022. Accordingly, RAK-DED seized and confiscated 79,XMR value amounted to AED 89,468,499.

Clothes, shoes, and bags came at the top of the confiscated goods, which were seized in 47 commercial establishments. These were followed by Jewelry, perfumes, and food in 21 commercial establishments, and other miscellaneous items such as watches, oils, wallets, food flavorings, and accessories.

With regard to the settlement of complaints and disputes, the Commercial Protection Section contributed to settling 950 complaints from consumers at the end of 2022, with a rate of 98%. Guarantee complaints ranked first with 42%, followed by honesty and credibility complaints with 93%, and contract complaints with 19%.

The Section succeeded in handling the complaint in an amicable manner with a rate of 98% between the disputing parties. However; 2% of the complaints was not possible to dissolve, as they were duly transferred to the Courts Department.

Faisal Alyoon, Director of the Commercial Control and Protection Department, explained that the Commercial Protection Section monitors the markets, implements awareness campaigns and educational workshops, and follows up on complaints from merchants, consumers, and trademark owners. During the past year, 18 campaigns and workshops were implemented, including 2,932 students in various public and private schools in the emirate, as part of the (Welcome Back to School) campaign. All employees of the Commercial Control and Protection Department also benefited from attending several workshops on distinguishing between original and traditional products. 174 commercial establishments also benefited from the “BE Aware” initiative RAK BUSINESS

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Brigadier General Tariq Mohammed bin Saif Deputy Director General of Police Operations at Ahmed Issa Al-Naim the General Command of Ras Al Khaimah Police

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ECONOMIC PANORAMA

SPOTLIGHT

Ahmed Issa Al-Naim:

DIVERSIFICATION IN INVESTMENT ENHANCES OPPORTUNITIES AND REDUCES RISKS BY/ KHAWLA IBRAHIM

He is one of the most prominent Emirati businessmen, he went through work and study side by side, to achieve great success in the business world over time, to occupy the ninth place in the “Forbes” list of the richest Emirati businessmen, RAK Business Magazine met with Ahmed Issa Al-Naim, the owner and chairman of the board of directors Al-Naeem Group, to highlighted on his inspiring life, and the following dialogue was:

motivation to continue working hard and continuously evolve in the field of business.

I believe that willpower and dedication are the two essential keys to success. Through my experience, I look forward to inspiring others and encouraging them to pursue their dreams in the field of entrepreneurship.

How did your inclination towards real estate investment come about?

When I went to Kuwait to take my high school exam, I decided The roads were not paved at Emirati businessman’s to use that period by working that time. Tell us how your inspiring journey from selling a job that allowed me to earn journey into the business sandwiches to Forbes’ top a good amount of money. After world began?

10, balancing study and hard achieving excellent success The beginnings of my steps work, and succeeding in real in the high school exams, I into the business world were estate investment. decided to sell some old propernot easy. At that time, the roads were paved with challenges ties that I had purchased with and difficulties. My journey in entrepreneurship began my father and renovated them. Following that, I made in the first grade of elementary school, where I started the decision to move to the United Kingdom to pursue selling sandwiches and sweets to my fellow students. my studies at Brighton College, specializing in telecomOver time, in the second grade, I decided to set up a cafemunications and electrical engineering.

During my time in Britain, my perspective and direction teria at school, which showcased my serious commitshifted towards financial management. I started studment and strong desire to succeed.

I balanced between studying and hard work, and I worked ying the costs of living, housing, and transportation, nonstop to achieve my goals. The journey was remarkawhich led me to the idea of buying a car and an apartble, and I was able to make significant progress, reachment in London. This decision surprised many people. I managed to rent out the apartment, and after completing the ninth position on Forbes’ list of richest Emirati businessmen. This achievement gave me an additional ing my studies, the value of the properties significantly

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increased. I decided to sell the apartment and the car, and they reached a price of one million dirhams, which contributed to achieving my first million.

That period was crucial in building my financial awareness. Being in the financial and business capital of Europe, I witnessed firsthand the development of trade, business activities, and stock movements. All of these experiences and observations contributed to the development of my understanding of real estate investment and had a significant impact on my future direction and decisions in the investment world.

It is said that investing in real estate is one of the safest types of investments, but what about the necessity of diversifying into other fields?

Investing in real estate is indeed considered one of the safe and profitable investment types. However, it is also necessary to diversify into other fields. Based on my personal experience, I have found that diversifying investments enhances opportunities and reduces risks. Despite the success I achieved in real estate, I continued to expand my investment portfolio to include different sectors such as public companies, banks, lands, commercial properties, and more.

In conclusion, it can be said that investing in real estate is a secure investment with returns ranging from 6% to 10% in Ras Al Khaimah, while returns in the hotel sector can reach 20%. The hotel sector is considered one of the promising sectors in Ras Al Khaimah due to the significant growth in the tourism sector and the development of tourism and hotel facilities in the emirate. The UAE economy is considered one of the best global economies at present, thanks to the significant support provided by our wise leadership. The UAE’s economy is characterized by its non-dependence on oil, as well as its stable climate, freedom of capital, and excellent geographical location. Therefore, we can benefit from these advantages and wisely direct our investments in a variety of sectors to achieve success.

You own several shopping centers in the emirate. How do you work to enhance the presence

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Time management and setting priorities are the keys to success in life. Smart utilization of time enhances productivity and helps us achieve goals effectively. It also aids in striking a balance between work and personal life.”

of these centers amidst the increasing competition in this sector?

We have multiple shopping centers in the emirate, and as the owner and chairman of the board of directors for three commercial centers, namely Al Nuaim Mall, Al Nuaim City Center, and Ras Al Khaimah Commercial Center, we work hard as a management team to enhance the presence of these centers and attract more visitors and customers in the face of intense competition in this sector. What makes us committed to the following strategies: Continuous Renewal: We strive to regularly renew and improve the shopping centers, whether by adding new and diverse stores or by developing the infrastructure and interior designs of the centers. By employing these strategies, we work towards enhancing the presence of our shopping centers and excelling in the retail sector despite the fierce competition.

Providing a Distinct Shopping Experience: We focus on providing an exceptional

SPOTLIGHT

“I advise young people to take advantage of the government support for the SME business, as it provides feasibility studies and business incubators, in addition to allocating percentages of public sector sales and corporate to those projects”

shopping experience for customers by offering high-quality facilities, diverse offers and products, and additional services such as restaurants, cafes, and entertainment areas. We also prioritize the digital experience and provide online shopping services to meet the modern needs of customers.

Promotional Programs and Special Offers: We organize promotional campaigns and special offers to attract visitors and increase awareness of our shopping centers.

These offers may include price reductions, free gifts, activities, and entertainment events.

Collaboration with Famous Brands: We aim to attract leading brands and establish partnerships with them in our shopping centers. This enhances attractiveness and increases the diversity of products and services offered, attracting more customers.

Customer Experience Focus: We prioritize providing excellent customer service and responding to their needs and demands. We consider our interaction with customers as a long-term partnership, listening to their feedback and suggestions, and continuously working to improve their experience.

By implementing these strategies, we strive to stay competitive and continuously enhance the presence and appeal of our shopping centers in the emirate.

We return to Al Naeem Mall. What about the new image it came back with, and what does it offer to the people of Ras Al Khaimah?

Al Naeem Mall has returned with a new look while maintaining its position as a favorite family destination for the people of Ras Al Khaimah. The mall will

provide a comprehensive and distinctive shopping experience, as it has been improved and developed to meet the requirements of the era and fulfill customers’ expectations.

The shopping center will offer high-quality facilities and services, including restaurants, cafes, and entertainment areas, making it an ideal destination for families to enjoy their time together.

With the improvements made to Al Naeem Mall, the center is being enhanced and attracting new visitors. Thanks to the leading position that Ras Al Khaimah has reached, Al Naeem Mall represents a symbol of development and progress in the region. Its presence contributes to enhancing the lives of local residents and providing opportunities for enjoyment and entertainment for everyone.

Let’s move on to another direction: You have taken on several government jobs. How did you manage to balance between your own project and your employment?

After returning from my studies, I joined the armed forces as a radar officer at Abu Dhabi Airport, then I moved to work at Ras Al Khaimah Airport for a year. After that, I took on several important government jobs in the emirate, including the Ministry of Commerce, Industry and Agriculture, the Ras Al Khaimah Water and Electricity Authority, and the Ras Al Khaimah Gas Company. However, I did not give up on my own project, which I started expanding to include various sectors such as jointstock companies, banks, lands, real estate, commercial stores, and more. I managed to maintain a balance between government work and my own projects.

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SPOTLIGHT

To achieve a balance between government work and my own project, I carefully prioritized my tasks. I organized and coordinated my time effectively to ensure sufficient time allocation for all my work. I had a specific schedule that allowed me to balance both without conflicting.

Also, I adopted a smart and efficient work strategy. I identified important priorities and necessary tasks and worked on accomplishing them in order of priority. I am very organized and rely on good planning and time management techniques to ensure work organization and efficient time utilization.

What is the importance of diversifying sources of income and what advice do you have for young people in this field?

Diversifying sources of income is critical in today’s world. Diversification of income sources is one of the most important techniques for young people to achieve financial independence and a secure future. I’d want to emphasize that the government offers numerous possibilities for young people to pursue their goals, particularly those who want to start their own businesses. The government funds feasibility studies for these projects, as well as startups that give the essential assistance and help in their promotional activities. These projects are also supported by a part of public sector and business sales.

I advise young people to take advantage of this opportunity, gain the necessary experience, and develop their specialties and skills.

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The focus should be on sectors where they feel capable of succeeding and benefiting from the support of small and medium-sized enterprises, which receive significant support.

Is being an entrepreneur an inherited profession? How did you deal with your children in this regard?

Being an entrepreneur is not necessarily an inherited profession, but rather an activity that requires specific skills and abilities. Of course, children can have a clear influence from being raised in an entrepreneurial environment, but that does not mean they automatically inherit that profession.

It was very important for me to provide my children with the opportunity to discover their own interests and acquire the skills they wanted to develop. I made sure to guide them in exploring the business world and learning its fundamentals, but at the same time, I was flexible and open to their personal choices and dreams.

The most important thing is to encourage them to achieve success and develop an entrepreneurial spirit and their personal abilities regardless of the career path they choose.

In your opinion, what are the most important factors for continuity and sustainability of success?

The most important factors for the continuity and sustainability of success are: A strong and clear vision,continuous development, resilience and determination, building good relationships, adaptability and innovation, an commitment to quality and excellene

ECONOMIC PANORAMA

Department of Economic Development - Ras Al Khaimah

Direct and Indirect Impacts of International Economic Sanctions

This article was excerpted from a PHD thesis in Public International Law and Law of Economics and Public Finance - Faculty of Law - Benha University- by the researcher, Judge / Walid Abdel-Maqsoud Elrefai, Head of Appeal - High Court of Appeal, Alexandria - Egypt.

The Journal of Law and Economics - Benha University has published an article about it under the title “Illegal Economic Measures Imposed by Some Countries on Other Countries - International Legal Means to Confront Illegal Economic Measures.” ( https://mfqa.journals.ekb.eg/ ) The research thesis begins by Article 1 of the Charter of the United Nations 1945, which stipulated the goals of the United Nations, including the maintenance of international peace and security. To this end, the UN shall take effective joint measures to prevent and remove causes that threaten peace and to suppress acts of aggression and other breaches of the peace.

The UN may invoke peaceful means in accordance with the principles of justice and international law to resolve and settle international disputes that may lead to a breach of peace.

Article 2 of the Charter states that “All UN Members shall refrain in their international relations from the threat or use of force against the territorial integrity or political independence of any state.”

According to the provisions of the UN Charter, it is clear to us that the UN signs economic measures in accordance with Article 41 of Chapter VII, which stipulates that “The Security Council may decide what measures not involving the use of armed force are to be employed to give effect to its decisions, and it may call upon the Members of the United Nations to apply such measures. These may include complete or partial interruption of economic relations and of rail, sea, air, postal, telegraphic, radio, and other means of communication, and the severance of diplomatic relations.” Therefore, the economic measures imposed are considered legitimate by the force of international law, and the UN members must implement accordingly.

In addition to Article 41, the Security Council shall be committed to applying the provisions of Articles 39 and 40, which provide for procedures precede the measures. Article 39 states that the Security Council shall determine the existence of any threat to the peace, breach of the peace, or act of aggression and shall make recommendations, or decide what measures shall be taken in accordance with Articles 41 and 42, to maintain or restore international peace and security.

Commenting on the articles of the UN Charter 1945, we see that since World War II, armed conflicts between states have receded, and even the use of military force has been prohibited in accordance with the Charter. Countries resorted to economic measures as a means to limit entry into armed conflict, to call this the fourth-generation wars.

LEGAL CONSULTANT

The global statistics issued by the competent global international bodies and the competent internal authorities of countries confirmed that the victims of the damages of economic measures are more affected compared to the human and material losses in armed conflicts. That is due to the impact of economic measures, which is considered a full-fledged crime against humanity. The states or regional bodies, subjects of public international law, resort to such measures for political, economic, racial, religious and other reasons.

Some believe that the criminalization of economic measures is a form of insanity outside the scope of international reality.

Others believe that it brings to mind the possibility of a new world war because it brings back armed conflict as the only solution for states, given that most of the causes of conflicts are mainly economic.

The legality of economic measures must be examined, given that illegal economic measures are a full-fledged crime, not against the political authority of a country, but directly against the people of that country and indirectly against the peoples of countries that have common interests with that country.

The United Nations, and its cooperating organs, is the party that gives legitimacy to economic measures of all kinds.

Any country that resorts to imposing economic measures on another country without the cover of the UN resolutions revoke the legitimacy of those measures. Acknowledging these measures becomes a presumed mistake against the state that is the victim of these measures, which must be compensated in the event of damages.

Researchers in public international law have been diligently researching economic measures and their effects. That is to curb the impact of such measures and push countries using them to follow the Public International Law, and thus, ensuring their legitimacy and international coverage. At the same time, that gives the opportunity to the states that are victims of these illegal economic measures to respond and limit their effects in the future. As a result, justice will be ensured, and international peace and security maintained.

TO BE CONTINUED…

Judge/ Walid ElRefai RAK DED Legal Consultant

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KUWAIT

Wide Horizons of Cooperation and Coordination with United Arab Emirates

Musa Abdel Moneim Metwally Economic advisor

The importance of the state of Kuwait to the UAE economy is highlighted in being the ninth trading partner of the UAE in terms of the total volume of trade between them during the previous five years, and the Kuwaiti market ranks fifth in terms of its importance for UAE exports, and for UAE imports, Kuwait ranks 32nd.‫‏‬

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The UAE and Kuwait enjoy a friendly relationship within the framework of their membership in the Gulf Cooperation Council. areas of cooperation between the two countries are expanding, as many agreements and memorandums of understanding have been signed to strengthen the deep-rooted historical bilateral relationship between the UAE and the brotherly state of Kuwait at all levels, emphasizing the deep-rooted brotherly ties between the two countries and brotherly peoples.‫‏‬

Economic relations between the two countries In dedication to the strength of relations between the

ECONOMIC PANORAMA

PARTNERS

Iraq ranked the 172nd in the world, according to the Ease of Doing Business report issued by the World Bank in 2020.

At the level of Middle Eastern countries, Iraq ranks the 17th according to the general index of the Ease of Doing Business report. As for Construction Permits and Protecting small investors, Iraq comes in rank 13

two countries and the desire to launch them towards broad horizons of cooperation and coordination, the two countries signed a number of agreements to strengthen economic relations. Investments flowing from the UAE to Kuwait during the period from 20162020 amounted to about 837.8 million US dollars, while the value of Kuwaiti investments flowing to the UAE amounted to 1.745 billion US dollars.

Emirati investments in the state of Kuwait are concentrated in the sectors of cable industry, pharmaceutical industry, cosmetics, cement industry, wholesale and retail trade, oil and natural gas exploration,

62.6

AEDBillion The volume of foreign trade between UAE and and Iraq during the year 2021

9.9

AED Billion The volume of imports from Iraq to UAE during the year 2021

real estate activities, financial and banking sector, public relations and marketing advertising, tourism and travel, construction and construction. Kuwaiti investments in the UAE are concentrated in the sectors of financial activities, insurance activities, manufacturing industry, real estate activities, information and communications, wholesale and retail trade, repair of motor vehicles and motorcycles, mining and quarrying, construction and construction, accommodation and catering services activities, transportation and storage, professional, scientific and technical activities, administrative and support services activities.

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The development of trade relations between UAE and the State of Kuwait during the period 2018-2021.

The non-oil trade exchange between the two countries has regained its previous levels, reaching 38.47 billion dirhams in 2021, which is almost the same level achieved in 2019, after the decrease in the volume of trade exchanges during 2020, which amounted to about 30 billion dirhams, due to the repercussions of the corona pandemic.

The level of trade exchange has increased during the year 2021 due to the marked increase in UAE exports to Kuwait, which amounted to AED 12.6 million in 2021 compared to AED 7.3 billion in 2020, and also, the value of re-exported materials from the UAE to Kuwait increased to AED 20.9 billion in 2021 compared to AED 18.5 billion in 2020, and the value of UAE imports from Kuwait increased to AED 4.9 billion in 2021 compared to 4.2 billion dirhams in 2020.

The trade balance of non-oil goods achieved a surplus in favor of the UAE of about 28.6 billion dirhams compared to 21.6 billion dirhams in 2020, an increase of 32.7%, and compared to 23.8 billion dirhams in 2019, an increase of 6.7%.

A General indicators of the state of Kuwait

GDP growth rate (real)

Forecast 2021 1.3%

Non-oil (real) GDP growth rate

3.4%

3.5%

3.5%

Inflation rate (average consumer prices)

3.4%

4.4%

2.3%

Statement

Expected Expected 2022 2023 8.2% 2.6%

Inflation rate (consumer prices at the end of the period) Net general government lending/borrowing

4.1%

3.0

2.8%

6.6%

0.6%

2.9%

Gross government debt ratio (public)

8.8%

13.2%

13.6%

Current balance / GDP

16.1%

22.9%

19.6%

*Source: The Qatari report issued by the International Monetary Fund on the State of Kuwait on March 28, 2022.

28,690 23,836

22,342

21,626

21,432

20,333

20,925 18,464

12,658

The distribution of UAE’s exports to the State of Kuwait for the year 2021.

During 2021, UAE exports of pearls, precious stones and precious metals accounted for the largest part of total exports by 47.4% with a value of about 6 billion dirhams, followed by exports of metals and their manufactures worth 1.5 billion dirhams by 12.3%, then exports of metal products worth about one billion dirhams by 8.4%, exports of chemical industries and related products in the fourth place with a value of about 901 million dirhams by 7.1%, and fifth are exports of food products, beverages and tobacco by 7% of the total.

Re-Exported goods: As for the re-exported goods, the re-exported interests of machinery, electrical appliances, and others occupied the first rank with a value of about AED 8 billion, with a percentage of 38.2% of the total, followed by the re-exported goods of chemical products and related products with a value of about AED 3.8 billion, with a percentage of 18.2%, then the re-exported goods of textile materials and their manufactures with a value of about AED 2 billion, with a rate of about 10%, and the re-exported goods of pearls, metals, and precious stones in the fourth rank with a value of about AED 1.3 billion, with a percentage of 6.4 With regard to imports

20

10,465

9,927

7,523

7,359

2018 Re-Export

4,893

4,197

3,457

2019

2020

Exports

Imports

2121 Trade Balance

Distribution of Emirati Exports to the State of Kuwait 2021

7.4

UAE’s exports of pearls, gemstones, and precious metals during the year 2021.

8.2%

were re-exported, including machinery, electrical appliances, and others, ranked first

Pearls, Precious stones and precious metals

47%

Ordinary metals and their articles

21%

Metal Products

8%

Products of the chemical or related industries

7%

Food, berveragte and tobacco products

7%

Others

18%

ECONOMIC PANORAMA

Distribution of re-exported goods form UAE and the state of Kuwait 2021

Electical machine, devices and equipment,

PARTNERS

The economic relations between Ras Al Khaimah and Kuwait are diversified in the fields of economic cooperation and foreign direct investment. The volume of foreign trade has witnessed a significant increase.

Kuwait ranking fourth as a trading partner.

Ras Al Khaimah has achieved a trade surplus of 561.6 million dirhams

38.20%

sound recording and brodcasting devices Products of hte chemical or related industries 18.20% Textile materials and their articles

9.90%

Pears, precious stones and precious metals

6.40%

Various goods and products

4.00%

Others

23.30%

from the state of Kuwait, imports of metal products accounted for the largest proportion of total imports, amounting to about AED4 billion at 82.5% of the total, followed by imports of plastics and rubber and their manufactures worth about aed225 million at 4.6% of the total, then imports of metals and their manufactures worth aed158 million at 3.2%, and imports of chemical products and related products come in fourth place at aed126 million at 2.65% of the total

794

million dirhams The size of Kuwaiti foreign direct investment in the Emirate of Ras Al Khaimah

Distribution of re-exported goods from UAE to Kuwait 2021

573.6

million dirhams The total volume of trade between the State of Kuwait and the Emirate of Ras Al Khaimah for the year 2021.and others, ranked first

Metal products

82.50%

Plastics, rubber and their products

4.60%

Ordinary metals and their articles

3.20%

Chemical or relarted products

2.60%

Pears, gemstones and precious metals

2.40%

Others

4.70%

6.1

Million dirhams The total imports from Kuwait to Ras Al Khaimah for the year 2021

Economic relations with the emirate of Ras Al Khaimah The latest report issued by the Ras Al Khaimah Statistics Centre on “foreign direct investment” showed that the volume of Kuwaiti foreign direct investment in the emirate of Ras Al Khaimah had reached about 794 million dirhams, representing 6.8% of the total foreign direct investment in the emirate; thus Kuwait ranks fifth.‫‏‬ The increase in the volume of foreign trade between them shows the strength of trade relations between the emirate of Ras Al Khaimah and the state of Kuwait, as Kuwait is considered the fourth trading partner of the emirate during the previous five years, as the trade between them represents 6% of the total volume of foreign exchange of the emirate. In terms of the surplus of the trade balance, the state of Kuwait ranks third among the countries with which the emirate achieves a positive surplus.

The total trade volume between Kuwait and the emirate of Ras Al Khaimah in 2021 amounted to about 573.6 million dirhams, an increase of about 20% compared to 2020. Still, it has not yet reached the level achieved in 2019 of 992 million dirhams.

The total volume of exports (exports + re-exports) in 2021 amounted to about 567.7 million dirhams, concentrated in the exports of metal products worth 533.1 million dirhams, accounting for about 94% of the total export movement, followed by exports of chemical and related industries products worth about 10 million dirhams by 1.8% of the total, and thirdly exports of transport equipment worth 6.4 million dirhams by 1.1% of the total.‫‏‬ The total imports from Kuwait during 2021 amounted to about 6.1 million dirhams, which are concentrated in plastics and rubber products worth 5.8 million dirhams (95.3% of the total), followed by imports of chemical products and related industries worth about 113 thousand dirhams.

Accordingly, the trade balance with the state of Kuwait has achieved a surplus in favour of the emirate of Ras Al Khaimah by about 561.6 million dirhams, an increase of about 20% compared to 2020

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BUSINESS

TECHNOLOGY MAE IN RAK STUDIES

By Simon Mason

UAE REMAINS AN ATTRACTIVE DESTINATION FOR GLOBAL TALENTS 22

he UAE’s impressive economic growth and overall stability make it one of the world’s most important and attractive global hubs for businesses today. The country, per the government , witnessed a 7.6 per cent growth in 2022, while an international search firm noted in 2022 that the global commercial operations in the UAE grew in the last 36 months .

With Dubai Government targeting to double the size of its economy by 2031, it would not be a surprise to continue to witness an influx of international companies that want to capitalize on the growth potential of various local sectors, such as finance, tourism, healthcare, education, and commerce. These businesses will need world-class talents to be part of their corporate families and be their partners in their success.

As a result, expatriates are coming in droves. According to a recent report by HSBC , the UAE is the most sought-after destination for expatriates, with lifestyle, higher earnings, family stability, purchasing power, and sustainable living conditions being

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TECHNOLOGY

UAE is a Prime Destination for Global Businesses and Expatriates, Fueled by Impressive Economic Growth and Promising Future Prospects” among the top reasons for relocating to the country. Executives and CEOs are among those who are looking at making the UAE their second home.

Other considerations not mentioned in the report include world-class infrastructure, cultural diversity, a safe community, tax-free salaries, and a high standard of living.

This trend will only gain momentum as the country continues to invest in infrastructure and technology, among other things, to maintain a conducive environment for both businesses and individuals to thrive.

The nation will continue to be an exciting and vibrant place to live, owing to its diverse cultural landscape, stable economy, and investment in key sectors. Undoubtedly, it is poised for growth and development driven by the government’s ambitious plans and the wise leadership’s vision in the next 50 years and beyond.

In the UAE, most families and individuals who have relocated choose to settle in the country permanently. New hires are the majority in terms of relocations to the UAE, with companies operating in the country looking outside their geographic area when recruiting top talents.

Such a development has propelled the growth of the relocations industry as well, and we at Writer Relocations are at the forefront of helping businesses, including Fortune 500 companies, to efficiently relocate employees to find new homes, new communities, and new experiences.

As the UAE continues to invest in its future, its status as a global destination of choice for expatriates and as an international hub for businesses will only further grow and strengthen

Cristina Butcaru

Nataliya Yordanova

Holiday home interior design services market set to grow by $28.34 bn Nasma Luxury Stays, a leading holiday home management company, announces the thriving market for holiday home interior design services.

The market is expected to expand by $28.34 billion from 2022 to 2026, with a CAGR of 4.53%. This growth is driven by the increasing number of people renting out “Driving Growth: Holiday Home their homes and the growing demand for Interior Design Services Thriving as improved living standards.

Demand Surges for Enhanced Living Cristina Butcaru, General Manager of Experiences.”

Nasma Luxury Stays, notes the rising popularity of holiday home interior design, which is set to continue in the future. An attractive interior not only satisfies owners but also aids in marketing the property.

Nasma Luxury Stays focuses on providing aesthetically pleasing and efficient solutions, enhancing user experiences by optimizing available space.

Nataliya Yordanova, Operations & Design Manager at Nasma Luxury Stays, explains their comprehensive interior design services. Their specialists evaluate properties, listen to clients’ needs, and propose options to optimize space utilization. Services include property survey, space planning, design concept, budget-conscious pricing, purchases, deliveries, installation, onsite supervision, and set-up by experts.

Yordanova emphasizes the importance of interior design in attracting guests to holiday homes. Well-designed interiors make properties stand out and generate traffic.

Even minor adjustments like fresh paint or new upholstery enhance curb appeal.

Studies suggest that excellent interior design enhances aesthetics and functionality, increasing property value. Investing in interior design can boost traffic, buyer appeal, and serve as a tool for securing a good price when selling.

Nasma Luxury Stays believes the demand for holiday home interior design services will continue to grow. They are committed to providing exceptional services, transforming holiday homes into luxurious and comfortable spaces. Their knowledgeable experts ensure a remarkable experience for clients and guests.

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23

ENHANCING NATURAL CAPITAL AND NATURE CONSERVATION

T

he report, titled ‘Nurturing Natural Capital: The Middle East Imperative’ released by the World Government Summit, in partnership with the global management consulting firm Oliver Wyman, focuses on enhancing reporting by private sector and financial institutions in the Middle East by including information about the ways in which they both impact and depend upon nature and natural capital.

24

The report also points to the Taskforce on Nature-related Financial Disclosures (TNFD) as a framework that could help companies in the region assess, report, and act upon nature-related risks and opportunities. The report indicates that with almost half of the Middle East’s GDP either highly or moderately dependent on the environment, the consequences of environmental and natural degradation are severe, particularly for those key industries that rely on nature, such as agriculture, fisheries, tourism, and seawater desalination.

Mohamed Al Sharhan: Cooperation of governments and private sector is vital to save nature Mohamed Yousef Al Sharhan, Managing Director of the World Government Summit Organization, stressed the importance of strengthening partnerships and cooperation between governments and the private sector, including working to achieve sustainable development goals and targets, and enhancing shared responsibility to find quick solutions for nature-re-

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lated challenges and climate change.

He added that the World Government Summit is a global knowledge exchange platform to study challenges and explore solutions. It convenes leaders from governments and the private sector in different fields and contributes to creating a better future for the next generation and achieving sustainability in the long term.

Johnny Ayoub: Great benefits of enhancing efforts toward nature conservation Johnny Ayoub, Partner at Oliver Wyman, and the firm’s regional lead on Climate and Sustainability, is a co-author of the report. He said that “There is a lot for the Middle East to lose if it does not address nature-related risk urgently — and a lot for it to gain if it does, increasing sustainable financing opportunities, and thus attracting the capital required for the pipeline of ambitious transformation projects across the region.”

He added, “The private sector in the Middle East, if

DEVELOPMENT

guided by the principles put forward by the TNFD framework, can – and surely will – become a formidable force in the fight for nature.”

Protecting natural capital in the Middle East Faced with a number of environmental challenges specific to the region, including scarce water resources and desertification, governments in the Middle East have developed a range of environmental policies, regulations and tools aimed at protecting their natural and environmental capital. These include the UAE’s efforts to protect and restore its mangroves, doubling the number of mangroves in the country in the past 30 years (at a time during which 22% of mangroves were lost in the rest of the world). The Kingdom of Saudi Arabia, meanwhile, has been driving efforts to protect and restore coral reefs in the Red Sea. In contrast, the contribution from the Middle East’s private sector in addressing nature-related loss has been minimal, according to the new report. It goes on to argue, however, that with the right frameworks and enablers in place, the private sector’s support can be significant — as demonstrated by its efforts in addressing the challenges of climate change.

The Taskforce on Nature-related Financial Disclosures, set up in 2021, is developing just such a risk management and disclosure framework, one that guides institutions to report and act on evolving nature-related risks. At the heart of the framework is the ‘LEAP’ process, which encourages companies to Locate their interfaces with nature, Evaluate their dependencies and impacts, Assess their risks and opportunities, and Prepare to address nature-related risks and opportunities. The fourth and final beta version of the framework was released in March 2023.

The report also discusses the key learnings that emerged when FirstRand Group in South Africa implemented the framework. These included the necessity of a visible show of support from executive leadership teams; informing the approach to nature with the experience and insights gleaned from addressing climate risks; developing a comprehensive nature-related assessment; and considering additional tools beyond disclosure.

For more information and to read the full report, please visit: https://www.worldgovernmentsummit.org/observer/reports/2023/ detail/nurturing-natural-capital

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WORLD ECONOMIC OUTLOOK 2023-2024 Between the contraction of

2020 and 2023 and the growth of 2022

PRESENTED BY DR. TALIB HASSAN HAYALI ECONOMIC EXPERT, RAK CENTER FOR STATISTICS & STUDIES

The latest report of the International Monetary Fund on global economic outlook stated that the growth rate would slow in 2023 to 1.7%, lowering its forecast by 1.3% from what was expected in June 2022. This will negatively affect all economies, especially emerging economies and developing countries, that face high inflation and interest rates and low investments, not to mention the effects of the Russian-Ukrainian war, the escalation of US-Chinese tensions, and the outbreak of the Corona virus. All these factors may push the global economy towards recession. The year 2023, therefore, remains one of the most challenging, volatile, and uncertain years compared to 2009 and 2020.

The World Bank expected the growth rate to slow to 0.5% in 2023 from 2.5% in 2022 in the developed economies. The growth rate of the United States will decrease to 0.5% this year (2023), by 1.9% from the forecast in June last year, the weakest performance outside of official recessions since 1970. As for the euro

26

zone’s growth rate, it is projected to be 0.5%, down from 1.9% after forecasts revised. As for China, the rate is expected to reach 4.3% in 2023, which is 0.9 % lower than the previous forecast.

In general, this matter will remain a source of concern not only for emerging, developing, and developed economies, but also for the 37 small and poor countries, that are in dire need to focus on diversifying their economies and improving their living conditions. These countries suffered from a more severe recession due to the COVID-19 pandemic and the very weak recovery rates. In 2020, their gross product declined by more than 11%, seven times the decline of other emerging and developing economies. They have also suffered the losses of disasters and crises, which were estimated by international reports at 5% of its annual gross domestic product. These countries, therefore, urgently need support and assistance to restore their ability to bear the burdens of debt.

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STATISTICS STUDIES

and the eurozone have taken the same trend for 2022 and forecasts for 2023-2024. As well as the difference in percentages from the June 2022 estimates, with the exception of the estimates for 2022 for the advanced economies and the United States, which have a negative trend. For more details about totals, see Table (1).

2. The IMF also estimated that the economies of emerging market countries and developing countries will grow by 3.4% in 2022, 3.4% in 2023, and 4.1% in 2024. The same applies to the growth rate of China and the East Asia and Pacific regions, which are expected to have a growth rate of 2.7% and 3.2% in that year, close to the growth rate of advanced economies and the eurozone. However, the growth rate of the two Asian groups and China clearly exceeds the expectations of the advanced economies groups, the eurozone, and the United States in 2023 and 2024, and at a rate that has more than tripled. Note that China’s growth for the three years 2022-2024 was greatly affected by the Coronavirus pandemic, although its economy witnessed the highest growth rate in the world in 2020, the pandemic year. Regarding the differences in percentages from the estimates of June 2022, the results indicate that there is a greater difference in the group of the East Asia, Pacific and China regions compared to the groups of advanced economies and the eurozone, while in the expectations of 2023 the difference is large between them, unlike the year 2024, which was more convergent in terms of expectations. For more details see Table (1).

A) Global Economic Growth Forecasts for January 2023: The data in table (1) about growth rates for 2020-2021, the IMF forecasts for world economic growth outlook for 2022, and growth estimates for 2023-2024 from 2021 show that there is a discrepancy in the aforementioned growth rates on the one hand, and between them and developed and developing economies on the other hand. This discrepancy can be summed up in the following observations: 1. The International Monetary Fund estimated that the global real product would grow in 2022 by 2.9%, a decrease of (3.0%) compared to 2021 and a difference of 0.0 from the estimates of June 2022. The IMF also projected a growth rate of 1.7% in 2023 and 2.7% in 2024, with a difference of (1.3%) and (0.3%), respectively, compared to the estimates of June 2022. Estimates for the advanced economies, the United States,

2.7% International Monetary Fund estimates for global real GDP growth for the year 2024

‫ــــــــــــــــــ‬

4.1% Growth of emerging market and developing economies for the year 2024

‫ــــــــــــــــــ‬

3. The economies of the Middle East and North Africa region, which includes most of the oil-producing countries in the world, achieved a modest growth rate of 3.7% in 2021 as a result of lower oil prices. As for the estimates for 2022, they were high and increased by two points over the previous year. The forecasts for 2023 and 2024 were close with the growth rates of emerging market and developing countries in the first year and lower than the second year by (2.5) points. As for their differences in the percentages of the estimates for June 2022, they were 0.4% higher than those for 2022 and decreased from the expectations for the years 2023 and 2024 by rates of (0.1%) and (0.5), respectively. See Table (1).

4. Most of the world’s economies, at the level of continental aggregates or as countries, witnessed a decline in estimated growth rates in 2022, reaching nearly half or more, compared to 2021. At a time when

RAK BUSINESS

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27

growth declined (3) points worldwide, it declined by (2.8) points in the developed countries, (4) points in the United States, and (2) points in the Eurozone. In Europe and Central Asia, it is more like a state of regression than a decline, reaching (6.5) points in 2022 compared to 2021, then 0.2 in 2022. In emerging and developing market countries, the East Asia, and Pacific region It was (3.3) and (4), respectively. Forecasts of 2023 indicate a slowdown in global real GDP growth and the growth of developed countries, the United States and the eurozone, reaching 1.7% in the world, 0.0% in the eurozone, and 0.5% in developed countries and the United States. Unlike the groups of emerging and developing countries, China, East Asia and Japan, which maintained the first and declined by 1.6 and 1.2 in the others compared to the 2022 estimates. It is worth noting that growth estimates for 2023 at the level of aggregates of developed countries and those of similar levels reflect a state more like stagnation than growth. Unlike China, the two groups of emerging and developing market countries, and the East Asia and Pacific region, which all tend to grow. See Table (1).

5. As for the IMF forecasts for 2024, they indicate an increase in growth by nearly one point or more compared to 2023 in the world, advanced economies, the United States and the eurozone, at a rate of 2.7%, 1.6%, 1.6% and 1.6%, respectively. While the expected growth rates continued to rise in the group of emerging market countries, developing countries, China and East Asia and the Pacific, at a rate of 4.1%, 5% and 4.9%, respectively. It is worth noting that the Middle East and North Africa group showed a decline in its rating averages by (2.2) points and (4.1) points in 2023 and 2024, compared to 2022. See Table (1).

The global economy is going through several circumstances due to high inflation, interest rates, low investments, and the continued faltering of supply chains. This will negatively affect emerg-

28

Table 1-1: Estimates of global economic growth in 2022 and forecasts for 2023-2024 According to World Economic Growth Outlook Report - January 10, 2023,(%)

Forecasts

2020-2021 Data growth estimates for 2022

Global Economic Growth differences from Growth Outlook June 2022 forecast 2023-2024

Details

2020

2021

World real GDP (1)

-3.2

5,9

2,9

1.7

2.7

0.0

1.3-

0.3-

-4.3

5.3

2.5

0.5

1.6

0.1-

1.7-

0.3-

-2.8

5.9

1.9

0.5

1.6

0.6-

1.9-

0.4-

6.1-

5.3

3.3

0.0

1.6

0.8

1.9-

0.3-

-1.5

6.7

3.4

3.4

4.1

0.0

0.8-

0.3-

2.2

8.1

2.7

4.3

5.0

-1.6

-0.9

-0.1

1.2

7,2

3.2

4.3

4.9

-1.2-

-0.9

-0.2

-6.2

6.8

3.6

1.3

2.4

1.1

-0.6

0.0

-3.6

3.7

5.7

3.5

1.6

0.4

-0.1

-0.5

-2.0

4.3

3.4

3.6

3.9

0.3

-0.2

-0.1

-2.8

6.1

3.1

2.2

3.2

0.0

-1.2

-0.3

Advanced economies The United States Euro-zone Emerging market countries and developing countries China East Asia and Pacific (EAP).

Latin America and the Caribbean (LAC) Middle East and North Africa Sub-Saharan Africa (SSA) global growth (2)

E 2022 F 2023 F 2024 2022 E 2023 F 2024 F

*Source: World Bank Fund- World Economic Outlook: January 2023. Washington, January 10, 2023.

Note: E = estimates, F = forecasts. The World Bank’s forecasts are continually updated on the basis of new information.

ing economies and developing countries, especially in their confrontation with these reasons, in addition to the effects of the Russian-Ukrainian war, the escalation of US-Chinese tensions, or the outbreak of the Coronavirus. All these factors may push the global economy towards recession. The year 2023, therefore, remains one of the most challenging, volatile, and uncertain years compared to any previous period. Consequently, the following question arises: Is the global economy capable of achieving the growth rates projected by the IMF in the said two years? Or will it end up when quarterly adjustments are made to the IMF forecasts, with the continuation of the reasons we mentioned and the new conditions regarding inflation and COVID-19 in China, and the continued faltering of supply chains that began in 2020?

B) Forecasts for Growth of Trade in Goods and Services January 2023: The International Monetary Fund report -January 2023 expected

BUSINESS

a clear decline in the growth rate of the volume of international trade in goods and services, excluding factors of production, to (1.8%) in 2023, a decrease of (55%) from 2022 estimates. As for trade growth for the years 2023-2024, there are important factors that affected the performance and decline of global trade. This can be summarized as follows: 1. Estimates of global trade growth, excluding factors of production, showed a decline in 2022 by (6.6%) compared to 2021.

The 2023 forecast also showed a further decline, reaching (1.8%), with a difference of (2.2) points from the previous year.

The reason behind this is the increase in economic uncertainty and confusion about the possibility of the global economy entering the tunnel of recession due to high inflation, high interest rates, and supply chain gaps that were highlighted by the shocks of the previous two years.

Reducing such gaps will only lead to an exacerbation of inflationary pressures, a slowdown in economic growth and global trade, and a decline in living standards.

Likewise, the Russian-Ukrainian war, and the possibility of a second outbreak of COVID-19 pandemic, and the emergencies and crises, such as the development of the Sino-American dispute over Taiwan or the development of the current war in Eastern Europe, may also contribute to accelerating the world’s entry into the economic and trade stagnation. As for the expectations of trade growth in 2024, it was estimated to increase by 1.6 points over 2023, a growth rate of 3.4%, if things remain as they are. See table (3).

2. Regarding the energy price index, it increased by 56.3 % in 2022 compared to 2021, but it decreased by 21.2% in 2023, from 2022 estimates, and by 12.2% in 2024 from the previous year. See table (3).

3. As for oil prices, shown in the same table, they increased from $70.4 per barrel in 2021 to $100.0 per barrel in 2022, by 42%.

However, it is expected to drop to $88 this

STATISTICS STUDIES

Table 1-2: Estimates of Global Economic Growth in 2022 and its forecasts for 2023-2024 By regional aggregates

Forecasts

Real GDP Growth Rate According to 2022 estimates and the World Economic Outlook - January 2023

* Differences from June 2022 forecast

Growth rate

2020

2021

2022E

2023F

2024F

2022E

2023F

2024F

The world

-3.2

5.9

2.9

1.7

2.7

0.0

1.3-

0.3-

-4.3

5.3

2.5

0.5

1.6

0.1-

1.7-

0.3-

-1.5

6.7

3.4

3.4

4.1

0.0

0.8-

0.3-

1.2

7.2

3.2

4.3

4.9

1.2-

-0.9

-0.2

-1.7

6.7

0.2

0.1

2.8

3.2

-1.4

-0.5

-6.2

6.8

3.6

1.3

2.4

1.1

-0.6

0.0

-3.6

3.7

5.7

3.5

2.7

0.4

-0.1

-0.5

-4.5

7.9

6.1

5.5

5.8

-0.7

-0.3

-0.7

-2.0

4.3

3.4

3.6

3.9

-0.3

-0.2

-0.1

-5.0

3.9

5.9

4.1

2.3

0

0

2.3

-4.1

3.2

8.3

3.7

2.3

1.3

-0.1

-0.7

Developed countries Emerging market countries and developing countries East Asia and Pacific (EAP) Europe and Central Asia Latin America and the Caribbean (LAC) Middle East and North Africa South Asia Sub-Saharan Africa UAE Saudi Arabia

Source: World Bank Fund- World Economic Outlook: January 2023. Washington, January 10, 2023. * Calculated based on the World Economic Outlook forecast of January 2023 and its difference with the forecast of June 2022.

$80

IMF report’s projections for oil prices for the year 2024.

‫ــــــــــــــــــ‬

4.1% Estimated inflation rate decline for the year 2024 according to the International Monetary Fund

‫ــــــــــــــــــ‬

year, then to $80 per barrel in 2023 and 2024, with a decrease of (12%) and (9%), respectively.

4. The commodity price index, excluding energy, reflected in the same table, was estimated to rise from 112.0 points in 2021 to 123.7 points in 2022, according to the fund’s report, an increase of 11.7%.

This index is expected to decline to 113.7 in 2023, a difference of 10 points from 2022, and then to 113.0 points in 2024, a difference of 0.7 points from this year.

5. As for the relative differences in the forecasts of 2023 and 2024 from the estimates of June 2022, according to the IMF report issued at the beginning of this year, the forecasts for global trade in goods and services, excluding factors of production, decreased by (2.7) points and (0.4) points, respectively. It also increased in the energy price index by 4.4 points and 7.2 points, respectively.

However, it decreased again in the oil-barrel price by (4.0) points from 2023 and zero or no change from the expectations of 2024. As for the commodity price index, excluding energy, it also remained RAK BUSINESS

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negative by (7.6) points for the year 2023, before changing its direction and becoming positive in 2024 by (2.9) points 6. In addition to the above, the global inflation rate rose to 8.8% in 2022 compared to 4.7% in 2021, an increase of 87%, marking the highest rate in several decades, according to the IMF Director. It is expected to decline to 6.5% and 4.1% in 2023 and 2024, respectively, as a result of the monetary and fiscal policies adopted by developed countries, most of which witnessed inflation rates that exceeded 10%, to restore price stability and relieve pressures resulting from the high cost of living. The high inflation and uncertainty in the global economy for more than three years have contributed to a severe slowdown in growth rates and tension in the financial conditions of most of the world’s economies.

C) Growth Forecasts for GCC Countries 2023-2024: The latest IMF forecasts on the World Economic Outlook, published on January 10, 2023, show that the growth rates of the GCC countries stated in Table (4) reflect the following facts: 1. The real GDP of the GCC countries increased by 6.1% in 2022, according to the IMF estimates, compared to 2.7% in 2021, a 3.4 %. Increase. Thanks to the high growth rates achieved by the economies of Saudi Arabia, Kuwait and the United Arab Emirates, which amounted to 8.4%, 8.5% and 5.9%, respectively. The fund expected the Gulf economy to grow at 3.3% in 2023, then to 2.3% in 2024, a decrease of 2.8 % and 3.8 % from the estimates of 2022. Forecasts for this year and next year indicate a clear decline in the growth rates of the Gulf economies, compared to the estimates of 2022, affected by the same international conditions and developments mentioned.

2. The IMF estimated the inflation rate in the GCC countries at 6.9% in 2022, compared to 2.1% in 2021, with an increase

30

Table 2- International Monetary Fund forecasts for the growth of international trade of goods and services Excluding production factors 2022-2024 (%) 2020-2021 data and WEO 2023 estimates for 2022

Forecasts

WEO - January 2023 for the years 2023 - 2024

Percentage differences from June 2022 projections*

Details

2020

2021

E 2022

F 2023

F 2024

2022 E

F 2023

E 2024

global output

-3.2

5,9

2.9

1.7

2.7

0.0

-1.3

-0.3

World trade of goods and services

–8,2

10.6

4.0

1.8

3.4

0.0

-2.7

-0.4

Commodity prices (in US dollars) Energy Index**

Price

52.7

95.4

151.7

130.5

118.3

7.1

4.4

7.2

Oil price/barrel***

42.3

8.1

2.7

4.3

5.0

1.6-

0.9-

0.1-

Commodity Price Index Excluding Energy****

84.4

112.0

123.7

113.7

113.0

-8.4

-7.6

2,9

global inflation

5,1

70.4

100.0

88.0

80.0

0.0

-4.0

0.0

*Source: World Bank Fund- World Economic Outlook January 2023- Growth of International Trade in Goods and Services: Except for Factors of Production. Washington, January 10, 2023. * Calculated based on the World Economic Outlook forecast of January 2023 and its difference with the forecast of June 2022. **Energy price index in nominal US dollars (2010=100) and includes coal (Australia), crude oil (Brent) and natural gas (Europe, Japan and the United States), *** Oil price refers to the benchmark for Brent crude oil. **** Commodities index other than energy in US dollar nominal value (2010=100) and represents the weighted average of the prices of 39 commodities (7 minerals, 5 fertilizers, and 27 agricultural commodities).

For more details see the website: https://www.worldbank.org/commodities.

6.1 % The percentage increase in real GDP for the Gulf Cooperation Council (GCC) countries in 2022

‫ــــــــــــــــــ‬

6.9% The inflation rate in the GCC countries for the year 2022 compared to 2.1% in 2021

‫ــــــــــــــــــ‬

of 4.8 %. The Fund expected its decline to 3.7% and 2.4% in 2023 and 2024, after implementing important economic reforms.

These reforms included an increase in interest rates by most of the GCC countries since the local currency is pegged to the US dollar. That is in light of the US Federal Central Bank increasing the aforementioned rate several times after mid-2022 and early February 2023 to address inflation and force it to decline to its rates in 2021 or the years before. The monetary policies of the GCC countries also continued to work to restore price stability while directing their public fiscal policies towards easing the pressures resulting from the high cost of living and making them more consistent with monetary policy. The GCC countries have also implemented structural reforms aimed at raising the efficiency of economic performance, improving productivity, and increasing import outlets to limit supply shortages and affecting price increases and inflation.

3. As for crude oil prices in the GCC countries, which are the same as Brent prices prevailing in global markets and are subject to

BUSINESS the effects of supply and demand, their average remained at $42.3 per barrel during the pandemic year 2020, down from $61.4 per barrel in 2019, a decrease of 31%. However, it rose significantly in 2021, reaching $70.4 per barrel, or 15%, as a result of the improvement in the performance of the global economy due to the easing of international restrictions imposed by the COVID-19 pandemic. It jumped later to $100.0 per barrel in 2022, an increase of 42%, after most global economies returned to normal, achieving growth rates close to the rates reached in 2019. The IMF report, however, expects that these prices will witness a clear decrease in the years 2023 and 2024, to reach $88 and $80 per barrel, with decrease rates of (12%) and (9%), respectively. Nevertheless, these estimates remain subject to changes and circumstances.

4. As for the United Arab Emirates, its economy is characterized by diversity and coherence in performance due to the political and security stability at the level of the Middle East and North Africa countries in general and the Arab countries in particular. That helped the UAE to create an attractive investment environment, especially during and after the pandemic.

The UAE was able, thanks to qualitative efforts, to overcome the state of stagnation at the beginning of the pandemic and to achieve a growth rate of 4% in 2021.

This report estimated that the UAE will achieve a growth rate of 6% for 2022, after achieving a high growth rate of 8.4% and 8.5% in the first and second quarters. It also expected the growth rate to decline to 4% and 2.3% in 2023 and 2024, respectively, with a difference of 2% and 3.7% from its growth in 2022. This is due to the circumstances and changes that the global economy is going through, which have affected and will affect the real output growth rates of most countries, including the UAE. However, they remain high rates that exceed the growth rate of the GCC countries by 0.8% this year and equal to them next year

STATISTICS STUDIES

Table 3: Growth Estimates for the UAE and the GCC Countries 2022 and Projections of the World Economic Outlook January 2023-2024

Real GDP growth of the GCC countries The United Arab Emirates Saudi Arabia Kuwait Qatar Oman Bahrain Inflation in the GCC countries oil prices*

2020-2021 data and growth estimates for 2022

WEO - January 2023 for the years 2023 - 2024

Quarterly growth for 2022

2020 2021

2022 E

2023F

2024F

Q122

Q222

Q322 E

-4.8

2.7

6.1

3.3

2.3

-

-

-

5.0-

3.9

5.9

4.1

2.3

8.4

8.5

-

-4.1

3.2

8.3

3.7

2.3

9.9

12.2

8.8

-8.9

1.3

8.5

2.5

2.5

-

-

-

-3.6

1.5

4.0

3.4

2.9

2.3

6.3

-

3.4-

3.1

4.5

3.9

2.4

-

-

-

4.9-

2.2

3.8

3.2

3.2

5.4

6.9

-

1.7

2.1

6.9

3.7

2.4

-

-

-

42.3

70.4

100.0

88.0

80.0

-

-

-

*Source: World Bank Fund- World Economic Outlook: January 2023. Washington, January 10, 2023.

Price of oil refers to the benchmark Brent Crude Oil.

CONCLUSION In general, all estimates and forecasts presented by the World Economic Outlook report for the month of January 2023 remain subject to change if the reasons identified changed. Expectations indicate that the global economy may experience a sharp slowdown in growth and may reach a state of recession in some economies. That is because of inflation rates, high energy prices in developed countries and other reasons that lead central banks to continuously raise interest rates. However, emerging markets and developing economies, despite the lack of foreign investment due to high interest and energy rates, still enjoy an advantage in terms of their economic and trade growth rate projections, at least in 2023, compared to advanced economies and eurozone countries.

This calls for closer cooperation between countries and stopping wars, geopolitical tensions, trade sanctions and uncertainty, especially between the United States and its international partners, if a more secure and stable world is desired.

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OVER THE TOP

Obaid Ahmed Obaid Al Tunaiji

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ENTREPRENEURS DEVELOPMENT SELF-GROWTH

BUSINESS

ENTREPRENEURS

Moza Belhazmi

SHE FLEW WITH HER “HAPPY BUTTERFLY” TO THE WORLD Interviewed by/Khawla Ibrahim

ed by her passion, wonderful artistic drawings were created from an early age. The same passion inspires her now to design distinctive masterpieces of jewelry that increase the beauty and charm of those who wear them.

Is there anyone knows better than a woman of what befits a woman and increases her beauty?!!

She was in love with nature, from which she draws inspiration to marvellous designs. Her brand, which bears her name, became a symbol of captivating femininity by its elegance and unaffectedness.

Moza Belhazmi started her project professionally in 2017 after showing her designs to a businesswoman specialized in jewellery. The latter admired Moza’s designs and advised her to turn the talent into an integrated project. She, therefore, established her own jewelry business under the name “Moza Jewellery”.

“My passion drove me toward establishing my own project. My main goal was to transform the positive energy that captures me in nature into tangible beauty icons of jewellery. In the first place, I was guided by emotion. I started my business without studying the capital and the economic feasibility. Then I applied for a business license from the Department of Economic Development in Dubai, and I received many courses and advanced programs in marketing and design.

Thus, my project, “Moza Jewellery”, was officially born. I, then, opened special accounts on social networking sites to market and introduce my products. Social media is the fastest way to display designs and products and reach customers of different tastes. With time, I became more experienced in how to manage the project. I developed a money management plan, and realized the importance of saving, as I finance my own project from my salary,” Moza Belhazmi said to RAK Business Magazine.

“My first design to post on social media was the “Happy Butterfly”. Thanks to God, it witnessed a great turnout. Thirty (30) pieces were sold within two months only. I was thrilled and motivated to think of new designs. Successively, I launched four unique designs, including: the pearl, the eye of the tiger, and the sunflower. These designs won the admiration of customers inside and outside the UAE, and sales began to increase gradually. Then I launched the website for my business brand. The project now includes four employees to professionally manage our online accounts, to constantly communicate with customers, respond to their inquiries around the clock, and meet their requests,” Moza continued.

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BUSINESS

ENTREPRENEURS

“Of course, as it is known, the market for raw materials used in jewelry industry is not accessible to everyone, as it is the case for any other project’s raw materials. So, I explored this market and learned about the types available, which fit my imagination of special designs. I also used 18 karat gold and developed my designs by introducing rare gemstones and diamonds. To preserve rights, I registered my trademark. This registration will remain in effect for ten years and can be renewed in accordance with the provisions of Article 19 of the Trademarks Law. I also registered the Trademark as a supplier in Dubai Ports”, Moza spoke about the details of her designs.

She continued, “I was keen to participate in the local and international exhibitions, thanks to our beloved country for facilitating our participation. I exhibited in Kuwait, Japan, China, London, Italy, and Vietnam.

This enhanced my knowledge and experience in the world of jewellery design and helped my designs to reach international markets.

Moreover, I got to know closely the different tastes that characterize each country. For example, the Chinese prefer jewellery made of precious stones, and this is why the “Eye of the Tiger” design witnessed great sales in the China Exhibition, because this stone gives women strength. Today, thanks to God, I have permanent clients who constantly contact me from Australia, London, Kuwait, and Italy to purchase my designs.”

As for the challenges she faced, Moza said: “Because of the specificity of the project, the biggest challenge was the attempt of some people to spread a negative energy through their constant saying that entering the jewellery trade is very dangerous, complicated, and hard to enter, especially if there is no experience. However, my passion led me to continue moving forward with my project.

I did not pay attention to what they say, so I achieved what I aspired to at the lowest cost. bypassing all obstacles that were an opportunity for me to insist on achieving my goal and embodying my passion for the art of drawing and positive design. I overcame all

34

The doors are wide open for the youth to start their own business , and here is my advice to anyone who has a business idea: Take the initiative to implement it and seek support from the relevant entities for youth projects the obstacles that were an opportunity for me to insist on achieving my goal and transferring my passion into positive drawings and designs.”

Based on her success today, Moza is looking forward to achieving broader future plans and ambitions, as she said: “The dream is not fulfilled by what I have achieved today, but rather I will strive to have a global reach on a larger scale and in a manner that is consistent with the tastes of peoples worldwide. “Moza Jewellery”, then, will be an Emirati brand that competes with the most important international brands. Enhancing my knowledge about the world of jewelry design, I will work to establish stores for my brand in the most important commercial centers in the UAE, benefiting from the privileges granted by the UAE to Emirati entrepreneurs and the UAE supportive business environment that is open to all nationalities and peoples. This gives the opportunity for my designs to diversify, meet everybody’s taste, and be widespread.”

“Today, thanks to the wise government directives, the doors are wide open for young people to start their own projects. Here is my advice to everyone who has a project idea. You should start implementing your idea and ask the support from the concerned authorities. Let everyone put in their minds to move forward in achieving their goals with certainty, conviction, confidence and positivity. Nothing is impossible if they believe in the inevitability of success. Best of luck to all,” Moza advised

BUSINESS

HOW CAN THE EVOLUTION OF AI BE ADVANTAGEOUS TO OUR DAILY LIVES? There’s no doubt that 2023 will be the year that advances in AI will reshape manufacturing, retail, finance, marketing, media and many other well established industries. However, innovation driven by the advances in technology and specific applications to a wide range of industries, has become an irreversible trend, most often with favourable outcomes. It’s my belief that we should be open-minded about generative AI too, because what’s coming in the months and years ahead, could potentially bring progress to society as a whole. This is gaining traction in most parts of the world including the UAE and Middle East, Europe and Americas.

Generative AI becomes creative…

What is fascinating about generative AI, is that instead of analysing existing data, it creates new and original content from machine learning algorithms trained on previous work. Developers have already used it to generate images or text, to program code, paint and illustrate and even create video and sound. Of course, it’s not yet perfect, and it often delivers mixed results. Over the next few years though, generative AI will develop human-like content creation capabilities to facilitate digital content creationThat means, potentially, an entire infrastructure and ecosystem based on generative AI will emerge to facilitate access to models and services for people without technological expertise. This also gives everyone the capacity to ramp up their efficiency and productivity with the technology supplementing their existing skills and knowledge. … and it has a sixth sense, too Just as humans have developed multiple senses to explore, enjoy and survive the world, AI has become capable of learning from different sources to in order to evolve, too. Multi-modal pre-trained models combine different types of data, including images, text, speech and digital data, to understand the world. In doing so, they enter the field of AI. Unlike their single-modular predecessors, these AI models will devour many different types of data and process them simultaneously to bring new found

AN OPINION

speed and accuracy to many applications. This could have positive implications delivers for organisations when it comes to processing and understanding data, information sharing, enhancing internal operations, and even simplifying and optimising the customer experience.

Today’s AI is A1 for boosting productivity Today, more and more companies are migrating to the cloud. However, the cloud is becoming a patchwork of integrated services that are now increasingly difficult to disentangle. It can be difficult to navigate, and even cloud experts can only absorb and retain so much information at a time. Because recruiting competent IT staff has become more challenging, there’s a shortage of cloud talent, so you can understand why a growing number of cloud service providers are using AI technology to reduce complexity and to manage cloud deployments more effectively AI is gaining momentum To make AI processing more efficient, there is a new computer architecture called ‘processing-in-memory.’ Traditional computer system architecture uses separate processors and memory units to perform data processing tasks. This requires a constant backand-forth of data between the processor and the main memory. In-memory processing overcomes the data transfer by taking the processing directly to where the data is stored, resulting in reduced power consumption and increased system performance

Daniel Jiang General Manager of Middle East, Turkey and Africa at Alibaba Cloud Intelligence. c ‫ــــــــــــــــــــــــــــــــــــــــــــــــــــــــ‬

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Saud bin Saqr Al Qasimi

SUSTAINABLE INDUSTRIAL SECTOR KEY DRIVER OF LOCAL ECONOMY 36

H.H. Sheikh Saud bin Saqr Al Qasimi, Supreme Council Member and Ruler of Ras Al Khaimah, said that the sustainable industrial sector is a key driver of the national economy and the growing investments in this sector are in line with the emirate’s vision to create an attractive business environment.

Ras Al Khaimah has adopted a clear long-term strategy based on establishing a balanced multi-resource economy, he added, noting that the emirate’s economic flexibility has enabled it to adopt sustainable plans that will enhance its competitiveness.

BUSINESS

MADE IN RAK

Ras Al Khaimah Emirate is committed to solidifying a culture of sustainability across various economic sectors by supporting and encouraging the transition to a more flexible and sustainable business management model

He made this statement while visiting the U-PAK facility of the Kuwait Packaging Materials Manufacturing Company, which specialises in producing high-quality and custom food packaging, located in the Ras Al Khaimah Economic Zone (RAKEZ) in Al Hamra.

During his visit, Sheikh Saud, accompanied by Sheikh Ahmed bin Saud bin Saqr Al Qasimi, Chairman of the Public Services Department in Ras Al Khaimah, witnessed the expansion of the facility’s new production line for high-quality solutions based on sustainability and solar power.

Sheikh Saud highlighted the emirate’s keenness to promote the culture of sustainability in all economic sectors by supporting and encouraging the transition to a more sustainable and flexible business model.

He then explored the facility’s manufacturing sections and the latest technologies used to expand the company’s products, which are in line with the best excellence and sustainability standards, through the use of environmentally-friendly packaging solutions.

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BUSINESS

BISHAY CAROLINE STANBURY

Joins Cocoona Clinic as Brand Ambassador Cocoona Clinic is proud to announce that Caroline Stanbury, the wellknown British entrepreneur, and TV personality, has joined the clinic as its new brand ambassador. As a highly respected fashion and beauty influencer, Stanbury’s partnership with Cocoona Clinic will help raise awareness of the clinic’s services and commitment to promoting beauty, health, and wellness.

The new face of Cocoona - Caroline is known for her impeccable style, razor-sharp wit, and unapologetic attitude. Stanbury is best known for appearing as an original main cast member on Bravo’s reality television series Ladies of London and The Real Housewives of Dubai.

With a passion for empowering women and promoting self-care, Stanbury is a perfect match for Cocoona Clinic’s values and mission. As the clinic’s brand ambassador, she will leverage her extensive social media following and industry connections to promote Cocoona Clinic’s services, including cosmetic surgery, dermatology, and wellness treatments.

Panos Loupasis Market Managing Director at Wyndham Hotels & Resorts Wyndham Hotels & Resorts, the world’s largest hotel franchising company with approximately 9,100 hotels spanning more than 95 countries, has announced the promotion of Panos Loupasis to the role of Market Managing Director for Türkiye, the Middle East and Africa. In his newly expanded role, Panos Loupasis will be at the helm of driving brand operations, business development, as well as owner relations and commercial leadership across the region.

Panos Loupasis, Market Managing Director Türkiye, Middle East and Africa at Wyndham Hotels & Resorts, said: “As destinations that provide a truly unique travel and hospitality experience, Türkiye, the Middle East and Africa markets offer incredible potential for growth with ambitious goals over the coming years”.

38

NEW HIRIGN

Bishay to head business growth at Farnek Leading UAE-based smart and green facilities management (FM) company Farnek has appointed Tamer Bishay as its new head of business development.

Reporting directly to CEO, Markus Oberlin.

His day-to-day responsibilities include developing, directing and motivating Farnek’s sales team, as well as building and maintaining key client relationships, generating increased revenue and driving profitability, across all of Farnek’s businesses including HITEK and Hitches & Glitches.

Here Bishay excelled increasing market share and expanding its services across all seven emirates, over the following four years. For the past five years, he was head of business development and marketing for Concordia and managed to extend their services, covering over 220,000 square feet of residential community space throughout Dubai.

BUSINESS

Part (1)

The World of Business and Communication

YOUR PAVED ROAD TO SUCCESS Communication is crucial in business; as it allows the transmission of clear messages regarding strategy, customer service and brand identity of organizations and entities. In order to develop a solid brand, the organization or entity must communicate continuously, professionally and privately, with its target audiences. This, and internal communication helps organizations and entities to establish relationships with the stakeholders, and to enhance cooperation and synergy.

oday, poor communication is one of the most common causes of poor project management resulting into failed efforts in business. If we do not know what to say or how to communicate and with which stakeholders, our projects may fail before they even have the chance to begin. Poor communication affects business in several ways:

Delays and additional expenses If we don’t communicate clearly, projects will be affected, which can lead to delays in timelines or increased costs.

Missed opportunities and failure to reach targets When we do not know what the customer needs from us, we may miss out on our business valuable opportunities for new projects, and our projects may fail before they even begin. This is a common challenge that we face in the business world of today as individuals, institutions, organizations and economic entities.

In this article, and in its first, second and third parts in the Ras Al Khaimah Business Magazine, we decided to address with our dear readers this very important topic, which constitutes one of the biggest and most common challenges facing businesses.

The importance of communication in business The term communication refers to the process of exchanging information between individuals inside and outside the organization. Those concerned communicate with each other

DEVELOPMENT

regularly in order to achieve the objectives of the organization or institution through effective communication in order to enhance work procedures, prepare plans and projects and implement them.

Effective communication can have a positive impact on all parts of the operations of the organization, and those involved usually have to perform multiple and interrelated tasks, the most important of which are: Assisting the organization in setting clear plans, goals and expectations.

• Facilitating a smooth transition from one project to another.

• Enhancing the quality of customer service.

• Simplifying the activities and operations of the organization.

• Developing new and innovative concepts: When stakeholders are given an opportunity to express their opinions and ideas, the organization becomes more capable of dealing with problems and challenges.

Effective communication in business In-person conversation Many concerns and doubts can be immediately dissipated in a personal face-to-face conversation with stakeholders, which may not be possible via email or online chat to address a problem or issue. It is best to follow up with a post-conversation note stating “As discussed…” to ensure that the issue has been properly raised and that there is no confusion or misunderstanding.

When it comes to discussing or reaching an agreement, this method is one of the most successful means and methods available. Moreover, direct communication and face-to-face personal conversation helps to develop the relationship and increase trust.

TO BE CONTINUED...

Imad Eddine Oubiri Sr. Advisor - Director of Community and Industry Engagement American University of Ras Al Khaimah ‫ــــــــــــــــــــــــــــــــــــــــــــــــــــــــ‬

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TOURISM

RAS AL KHAIMAH AN IDEAL DESTINATION FOR TOURISM AND ADVENTURES 40

UPDATE DEVELOPMENT MARKETS

Ras Al Khaimah Tourism Development Authority (RAKTDA) announces 21 new hotel projects that will add 6,533 hotel rooms to its capacity by 2025.

“We currently have 50 hotel facilities between beach and mountain resorts, and city hotels, in addition to 8,000 hotel rooms managed by the most prestigious international hotel brands,” said Raki Phillips, CEO of the authority.

He added, “Within the framework of Ras Al Khaimah’s vision to attract three million visitors by 2030, the emirate is constantly strengthening its hospitality offerings by implementing 21 new projects to meet the demand for accommodation options, adding to its capacity of 6,533 rooms by 2025, which constitutes a growth of 80% compared to the current capacity.

TOURISM

UPDATE

He explained that the upcoming hotel establishments during 2023 include: “Anantara Mina Al Arab”, which includes 174 rooms, suites and villas over the water, and “Sofitel Al Hamra” with 300 hotel rooms, while other projects that are scheduled to be established during the next two years include: “Nobu and Marriott, and 300 additional rooms under the Millennium brand.

Despite geopolitical and economic challenges, Ras Al Khaimah has become one of the fastest destinations to bounceback. In addition to its record visitor numbers, key 2022 achievements include: • Ras Al Khaimah welcomed over 1.13M visitors in 2022.

Results exceed 2019 pre-pandemic levels, with highest ever number of annual arrivals to the Nature Emirate and a 15.6% increase on 2021 • Launched Balanced Tourism – its roadmap to • becoming the regional leader in sustainable tourism by 2025 • Announced the largest foreign direct tourism investment project in partnership with Wynn Resorts, Marjan and RAK Hospitality Holding • Intercontinental Hotels Group (IHG), Mövenpick and Radisson brands entered the destination for the first time, marking a 17% annual growth in hotel supply to over 8,000 keys • 5,867 keys scheduled to be added over the next few years, a 70% increase on current inventory – among the highest growth rates in the UAE • 40% increase in international visitors driven by 90+ roadshows, trade fairs, workshops and media events across 24 markets • Recognition in Time magazine as one of the World’s Greatest Places of 2022 and CNN Travel’s best destinations to visit in 2023 • Opened new attractions, including Jais Sledder, which has seen more than 100,000 visitors since its February opening, and the longest developed hiking trails in the Emirate • Achieved a visitor satisfaction score (NPS) of over 80% – far above the industry average of 51 • Hosted over 50 events including the prestigious Global Citizen Forum, 15th edition of the Ras Al Khaimah Half Marathon, Arab Aviation Summit, DP World Tour and secured the 2023 Minifootball (WMF) World Cup for the first time in the UAE • Two Guinness World Record titles at the New Year’s Eve fireworks and drone display • Authority named one of the Top 10 Great Places to Work in the Middle East 2022

RAK BOOSTS AIR CONNECTIVITY WITH GERMANY Ras Al Khaimah Tourism Development Authority (RAKTDA) and the FTI GROUP one of Europe’s leading outbound tour operators, have struck a new agreement that paves the way for the launch of twice-weekly flights from Munich to Ras Al Khaimah International Airport in the fourth quarter of this year.

QATAR AIRWAYS FLIGHTS TO RAS AL KHAIMAH INTERNATIONAL AIRPORT Ras Al Khaimah Tourism Development Authority (RAKTDA) and the FTI GROUP one of Europe’s leading outbound tour operators, have struck a new agreement that paves the way for the launch of twiceweekly flights from Munich to Ras Al Khaimah International Airport in the fourth quarter of this year.

Starting from 1 November 2023, Qatar Airways will operate daily flights to Ras Al Khaimah International Airport, signifying a major boost to Ras Al Khaimah Tourism Development Authority’s (RAKTDA) strategy to enhance global connectivity to the Emirate.

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Beautiful memories that last a lifetime in Ras Al Khaimah 42

Ras Al Khaimah’s stunning natural backdrop and diverse topography spanning dreamlike desertscapes, majestic mountain ranges, and 64km of pristine white sandy beaches provide an array of distinctive settings for spectacular wedding celebrations. These are complemented by extraordinary hospitality, stunning event venues, and world-class entertainment experiences.

An extensive world-class hotel portfolio, offering over 8,000 rooms and suites from global brands such as IHG, Movenpick, Hilton, Accor, Radisson, Rixos, Rotana, Ritz-Carlton, and several others. An exciting array of leisure, adventure, and cultural experiences promises to further elevate any wedding itinerary, from sky tours and watersports, to desert drives and historical excursions, and even ziplining and camping.

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RAKTDA ANNOUNCES NEW WEDDING CERTIFICATION PROGRAMME FOR EVENT PLANNER Ras Al Khaimah Tourism Development Authority (RAKTDA) has launched the Wedding Certification Programme, aimed at streamlining and facilitating wedding planning in the Emirate. The program was introduced at the prestigious Exotic Wedding Planning Conference (EWPC), which brought together wedding planners from around the world. It offers a comprehensive e-learning platform for both local and international wedding planners, providing resources and guidance for organizing civil ceremonies.

Certified planners will benefit from simplified licensing processes, event coordination support, and assistance from certified hotels. They will also gain in-depth knowledge of the UAE’s civil marriage procedures, expedited permits, and access to a network of valuable resources for navigating local regulations. This innovative initiative reinforces Ras Al Khaimah’s status as a premier wedding destination and offers unmatched convenience and assistance to wedding planners. Additionally, four hotels have been recommended to aid planners in their selection process.

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Waldorf Astoria Ras Al Khaimah Resort

At The Ritz-Carlton Ras Al Khaimah

Get ready to celebrate your perfect wedding day at Waldorf Astoria Ras Al Khaimah Resort. This resort is known for its sophisticated style and luxurious elegance, offering couples a unique preparation for an unforgettable wedding. Whether you desire an elegant hall or a stunning garden, you will find the perfect venue that suits your dreams.

With exceptional Arabian hospitality, you will have multiple options, from intimate beach ceremonies to lavish celebrations in the wedding hall, all under the supervision of a professional team that pays attention to every detail of your special day.

A luxury seekers in the midst of the desert can indulge in the offerings of this Arabian-inspired oasis. The resort features a luxurious wedding hall and desert outdoor areas that provide couples with a unique environment for an unforgettable wedding celebration. Additionally, the wedding is organized within a romantic natural setting surrounded by nature and wildlife, with a dedicated team taking care of every detail.

After the wedding ceremony, the newlyweds can enjoy their honeymoon, which includes specially crafted dining experiences for the couple, as well as exploring the wildlife in the Al Wadi Nature Reserve.

3 Dramatic Dunes Plan your dream wedding at Radisson Resort Ras Al Khaimah - Marjan Island and enjoy romantic memories with your loved ones. A professional team will collaborate to prepare every detail to ensure that your wedding is fitting for this special occasion.

The wedding package at Radisson Hotel includes amenities such as a complimentary wedding cake, free stay for one night for the newlyweds in one of the resort’s distinctive rooms, venue rental, and valet parking service

4 History and Heritage The winter season also brings with it the perfect opportunity to explore some of Ras Al Khaimah’s remarkable heritage. From hill forts, deserted villages, and ancient archaeological sites to the region’s only traditional pearl farm, Suwaidi Pearls, and tours around local date farms, immerse yourself into the remarkable story of the Emirate and the three tribes of mountain, sea, and desert that formed it.

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LG UNVEILS ITS ADVANCED 2023 LINE-UP OF AIR CONDITIONERS IN THE UA LG Electronics (LG) announced the launch of its latest air conditioner line-up for 2023 in the UAE as part of the Life is Cool with DUALCOOL campaign. The new air conditioners are designed to cater to the hot and humid weather conditions prevalent in the UAE and surrounding region. With temperatures in the region soaring to uncomfortable levels, having a reliable and efficient air conditioning system is essential for ensuring a comfortable living and working environment.

The latest in sustainable power solutions on display by Al Masaood Power Division at Seatrade Maritime Logistics Middle East 2023 Al Masaood Power Division, the regional leaders and experts in power generation and marine solutions, showcased the latest in sustainable power solution technology at Seatrade Maritime Logistics Middle East 2023, currently being held at the Dubai World Trade Centre. As the maritime industry moves towards sustainable shipping, the company leveraged the trade forum to display its sustainable and eco-friendly power solutions, which use low carbon/zero carbon fuels and innovative emission reduction mechanisms.

Al Masaood Power Division’s participation in Seatrade Maritime Logistics Middle East 2023 is testament to its commitment to sustainable and eco-friendly power solutions.

Pacific Prime Wins Allianz’s Top Individual Producer Award Global insurance broker and employee benefits specialist, Pacific Prime, has been honored with Allianz’s Top Individual Producer Award for the third consecutive year in 2022. The award recognizes Pacific Prime’s exceptional performance and commitment to providing high-quality insurance solutions to clients worldwide. Allianz visited Pacific Prime’s office in Dubai on May 8th, 2023, to present the award, commending the broker’s unrivaled knowledge, expertise, and professionalism in delivering tailored health insurance solutions to individual clients. This accolade reinforces Pacific Prime’s leadership position in the health insurance industry, showcasing their dedication to outstanding service and their ongoing commitment to supporting clients in accessing optimal car

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TOURISM

SAP Fioneer, Naqd Group through Royal Strategic Partners and MBME Group collaborate Royal Strategic Partners (RSP), representing Naqd Group, SAP Fioneer GMBH and MBME Group have signed a Memorandum of Understanding (MOU) to establish a joint venture to create a Hub promoting digital innovation and technological advancement in the rapidly emerging digital economy across the MENA region and Indian sub-continent. A new “Centre of Excellence” based in Abu Dhabi is the first element of the Hub focusing on the Banking, Investment, Insurance and related financial services industries.

The MOU was signed by Matthias Tomann, Chairman of SAP Fioneer, Dr. Hamad Al Ali,

MARKETS

CEO of RSP, and Ali Mohamed AlBadi, Chairman of MBME Group, at a ceremony held at RSP’s headquarters in Abu Dhabi. Senior representatives from all three companies also attended the event.

The creation of this collaborative platform will bring together professionals and experts from the financial and technology sectors to foster innovation and knowledge exchange.

The initiative will be dedicated to the development of cutting-edge solutions and best practice empowering financial institutions to effectively serve their customers in the digital era.

As one of the leading solutions providers and accelerators in the fintech sector, MBME Group is dedicated to innovation and growth within the financial ecosystem. Through this collaboration with SAP Fioneer RSP and the Naqd Group, MBME will expand its knowledge and capabilities, enhance investment and foster technological advancements.

NESPRESSO ANNOUNCES THE LAUNCH OF THE FIRST NANO BOUTIQUE IN THE UAE

Invictus Investment in its Q1 2023 financial reporting declares highest-ever quarterly sales

Sobha Realty, a prominent real estate developer in the UAE, has introduced the AED 2.8 billion ‘Sobha Reserve’ project in Dubailand. Spanning over 3.47 million square feet, this luxury villa community sets new standards for modern architecture and urban design. With over 300 four- and five-bedroom villas, each featuring a private pool and garden, Sobha Reserve offers lavish living spaces ranging from 4900 square feet. Sobha Realty is renowned for its meticulous attention to detail and commitment to delivering exceptional lifestyles through innovative and high-quality projects. Their portfolio includes palaces, mosques, campuses, and luxurious communities, exemplifying their commitment to customer satisfaction.

Invictus Investment Company Plc (ADX: INVICTUS) reported its Q1 2023 financial results, achieving record-breaking quarterly sales. With revenue of AED2.3 billion, up 31% YoY, and earnings in Africa and the Middle East reaching AED1.7 billion and AED489 million respectively, the company demonstrated strong performance driven by trade growth and strategic investments.

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