How investment in Expo 2020 will pay off for UAE economy, burnish Dubai brand

The so-called expo effect has been a constant feature of economic commentary about Dubai and the UAE, in what has been labeled the discipline of Exponomics. (Supplied)
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Updated 01 October 2021
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How investment in Expo 2020 will pay off for UAE economy, burnish Dubai brand

  • In return for the billions of dirhams spent on the event, UAE policymakers expect a long-term economic “legacy”
  • After the pandemic-driven slowdown in global travel, trade and tourism, staging the expo at all is an achievement

DUBAI: The UAE will take global center stage for the next six months — the duration of Expo 2020 Dubai, the extravaganza of business, technology, connectivity, and sheer showbiz that will finally get underway at a lavish opening ceremony on Thursday.

There is no doubt the expo will raise the profile of Dubai and the UAE while it is on, but in order to justify the billions of dollars that have been spent on it by the government and private sector, the policymakers expect there will be a long-term economic “legacy.”

The organizers have long recognized this and have been seeking to highlight the expected permanent shift in economic conditions ever since the UAE won the right to stage the event in 2013.

The so-called expo effect has been a constant feature of economic commentary about Dubai and the UAE, in what has been labeled the discipline of Exponomics.

The message from the organizers is that expo means, “investing in a resilient, long-term future for the UAE economy. Expo’s capital expenditure will spur wider economic impact in key sectors including construction (such as facilities and infrastructure development, and international participant pavilions), transport, storage, and communications, as well as travel, tourism, hospitality, and business services.”

Extra investment by Dubai authorities in transport, utilities, and other infrastructure will enhance economic growth in the long term, while small businesses and sustainable enterprises will also get a boost from the event.

 

 

n particular, the exhibitions and conferences industry — already a major money-spinner for Dubai — will move to the next level with the creation of the Dubai Exhibition Center and District 2020 for holding big international forums.

Expo will accelerate the UAE’s efforts to diversify its economy, support the growth of a knowledge economy and smart connectivity, as well as provide a stimulus for cultural and creative life, officials said.

Putting some hard economic and financial figures on those strategic economic policy goals has been made more difficult by the COVID-19 pandemic. In 2019, global consulting firm EY produced an assessment of the economic impact of the expo.




For Dubai, which thrives on global connectivity and travel, there was a big incentive to open up the economy as soon as possible after the COVID-19 pandemic. (Supplied)

“Expo 2020 Dubai and its legacy are expected to contribute 122.6 billion Emirati dirhams ($33.4 billion) of gross value added to the UAE’s economy from 2013 to 2031,” EY said, specifying a 1.5 percent boost to annual gross domestic product during the six months of the event, and tens of thousands of new long-term jobs created.

Critically, EY expected the event to attract 25 million visits from 190 countries, of whom 70 percent would come from outside the UAE.

Matthew Benson, EY partner, said: “Expo 2020 is an exciting long-term investment for the UAE, and is expected to have a significant impact on the economy and how jobs are created directly and indirectly.”

It is not known whether EY has updated its forecasts to take account of the most severe economic recession in decades in 2020, but independent economists are taking a rather more cautious view of the long-term economic legacy.

“The 25 million expo visits may be a tad too optimistic during an ongoing pandemic,” Nasser Saidi, a regional economics expert and Lebanon’s former economy and industry minister, told Arab News.

But he recognizes the achievement of staging the event at all after such an unprecedented slowdown in travel, trade, and tourism during 2020.

“Little did anyone envisage the scenario within which the expo would eventually take place,” he said. “Expo 2020 will be the first global mega-event to be held permitting physical entry of visitors, after the Tokyo Olympics went ahead without spectators.




People walk towards the Sustainability Pavilion, a week ahead of its public opening, at the Dubai Expo 2020 in Dubai on January 16, 2021. (AFP/File Photo)

“A successfully run event will boost Dubai’s and the UAE’s image as a global frontrunner in safely hosting large-scale events during the pandemic era. The expo will act as a stepping-stone for potential investors to buy into Brand Dubai and move businesses and families into the country.”

For Dubai, which thrives on global connectivity and travel, there was a big incentive to open up the economy as soon as possible, with the first tentative steps toward reopening taking place last summer and accelerating as the UAE’s COVID-19 vaccination campaign gathered pace.

The UAE has now given the vaccine to a greater percentage of its population than any other country in the world and has been rewarded by new optimism in the strength of its economic recovery.

The International Monetary Fund said recently that the UAE economy would grow by 3.1 percent this year, a dramatic turnaround from the 6 percent plunge in 2020. The expo will be a big contributor to that.

James Swanston, Middle East economist at London-based consultancy Capital Economics, pointed out that Expo 2020 would be a “welcome boost” to Dubai’s economy, especially in the vital tourism-related sectors.

He said: “Around a third of GDP is made up of sectors like hospitality and wholesale and retail trade, and the latest figures show that GDP contracted 10.7 percent year-on-year in the first half of 2020. More timely data points to a slow recovery. Tourist arrivals were just a quarter of their pre-pandemic level in the first half of 2021.

“Dubai has pinned its hopes on the expo to boost its attractiveness as a destination for tourists and expatriate workers. On top of targeting 25 million visits to the expo itself, the authorities have set lofty ambitions of 23 to 25 million tourist arrivals to Dubai by 2025, which would make it the most visited city in the world – for context, 16.7 million tourists visited Dubai in 2019.” 

Swanston noted that officials also hoped that one in 20 visitors to the expo would decide to reside in Dubai permanently, which would imply a near-term population increase of roughly 10 percent for the UAE as a whole.

Such considerations are especially relevant for UAE real estate, which is in the early stages of recovery from a sluggish property market that began in 2014 and still remains below that level.

Whether these targets will be met at Expo 2020 still remains to be seen. Staging such a huge event is a costly and demanding exercise, although no detailed up-to-date figures on the actual cost are available from the organizers.




Staging such a huge event is a costly and demanding exercise, although no detailed up-to-date figures on the actual cost are available from the organizers. (Supplied)

“Hosting such mega-events is usually found to be a strain on country or city budgets,” Saidi said.

“The economic case for hosting such events is based on the increase in economic activity, the rise in tourists and spending, building the intangible Dubai brand, as well as other qualitative and social impacts, like strengthening trade and business with global counterparts.

“Plus the feel-good factor, which is more important during a pandemic when trying to return to normal.”

That sentiment seems to be the consensus among “Exponomics” experts: The UAE is to be congratulated for staging the first mega-event of the post-pandemic era, with actual people, and will only enhance its reputation over the coming six months.

“The direct financial impact on the Dubai economy may be subdued by the pandemic,” Tarek Fadlallah, chief executive officer of Nomura Asset Management in the Middle East, told Arab News. “But it will leave a lasting impression on its reputation and economic development.”

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Twitter: @FrankKaneDubai


Qatar and Turkiye dispatch two power ships to generate electricity for Syria

Updated 3 sec ago
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Qatar and Turkiye dispatch two power ships to generate electricity for Syria

  • The vessels, which have power plants installed, are expected to increase the amount of electricity generated in the country by about 50 percent
  • Syria’s energy infrastructure was badly damaged during the decade-long civil war, with most areas receiving power for only two or three hours a day

LONDON: Qatar and Turkiye sent two power-generating ships to Syria on Tuesday to help address the energy crisis in the country caused by insufficient electricity supplies.

Khaled Abu Di, the director of Syria’s Public Establishment for Transmission and Distribution of Electricity, said the floating power plants are capable of generating a total of 800 megawatts a day, which would increase the amount of electricity generated in the country by about 50 percent, state news agency SANA reported.

Syria’s energy infrastructure was badly damaged during more than a decade of civil war in the country that culminated in the fall of the ruling Assad regime in December. The deterioration resulted in severe power shortages, with many areas receiving electricity for only two or three hours a day.

Abu Di said efforts are underway to secure transmission lines to deliver the electricity generated by the ships. He added that his team is also working to repair dozens of damaged conversion plants and connection lines to get the national grid up and running again.


How Israeli law permitting child detention imperils the rights of Palestinian minors

Updated 5 min 46 sec ago
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How Israeli law permitting child detention imperils the rights of Palestinian minors

  • Under legislation passed in November by the Knesset, Israeli authorities are permitted to imprison Palestinians under the age of 14
  • Rights monitors say Israel has detained some 460 children since the Oct. 7, 2023, Hamas-led attack triggered the Gaza war

DUBAI: Frightened, alone, and often injured during arrest, Palestinian children routinely find themselves vulnerable to abuses and deprived of basic rights after they are taken into Israeli custody, according to human rights monitors.

Under legislation passed in November by the Knesset, Israeli authorities are now permitted to detain Palestinians under the age of 14 — a measure that rights groups claim is motivated by revenge rather than security needs.

The bill, proposed by a member of Prime Minister Benjamin Netanyahu’s Likud party and approved by 53-33 votes, allows judges to sentence minors between the ages of 12 and 14 to prison terms if convicted of terrorist murder, manslaughter, or attempted murder.

Palestinians clash with Israeli security forces during a raid at the Balata camp for Palestinian refugees, east of Nablus in the occupied West Bank on November 23, 2023. (AFP)

According to the law, which was passed as a temporary measure lasting for five years, convicted minors can be held in closed facilities until they turn 14, after which they can be transferred to regular prisons.

An identical law, which was passed in 2016 following a series of attacks carried out by teenagers and other minors, expired in 2020.

According to the Palestinian Commission for Detainees and Ex-Detainees Affairs, Israel imprisoned more than 460 children between the months of October 2023 and January 2024.

INNUMBERS

460

Children imprisoned by Israel between October 2023 and January 2024, according to the Palestinian Commission for Detainees and Ex-Detainees Affairs.

16

Israeli courts have long defined the term ‘Palestinian child’ as a person under the age of 16, rather than the internationally recognized age of 18.

The Israeli parliament also passed a law in November that allows for the deportation of the family members of those convicted of attacks on Israeli citizens.

Furthermore, it allows for the deportation of the family members of those who had advance knowledge and either failed to report the matter to the police or “expressed support or identification with an act of terrorism.”

Under legislation passed in November by the Knesset, Israeli authorities are now permitted to imprison Palestinians under the age of 14. (AFP file/Getty Images)

Relatives of those who published “praise, sympathy or encouragement for an act of terrorism or a terrorist organization” can also be deported.

“This is a historic and important day for all citizens of Israel,” Itamar Ben Gvir, Israel’s national security minister, said in a statement welcoming the bill, which he said “sends a clear message the State of Israel will not allow the families of the terrorists to continue enjoying life as if nothing had happened.

“From today onwards, every father, mother, child, brother, sister or spouse who identifies with and supports their family member who harmed the citizens of Israel will be deported.”

The abuse of Palestinian children in military detention was a child protection crisis before Oct. 7, and it has only become worse, says Jason Lee, Save the Children.

Both Israel’s Justice Ministry and the Attorney General’s Office raised concerns about the legislation, which stipulates that those being expelled would be sent to Gaza or other destinations for 7-15 years for citizens or 10-20 years for legal residents.

Some opposition members of the Knesset suggested at the time that the legislation is targeted specifically at Palestinian citizens of Israel, saying the law is unlikely to apply to Jewish Israelis convicted of terrorism offenses.

Israeli and Palestinian human rights organizations have branded both new laws unconstitutional.

Israeli policemen detain a Palestinian boy in the east Jerusalem Arab neighborhood of Issawiya on May 15, 2012, during protests to mark Nakba day. (AFP)

Hadeel Abu Salih, an attorney working for Adalah, the Legal Center for Arab Minority Rights in Israel, sent a letter to the Israeli parliament claiming the legislation was motivated by revenge and retribution.

Abu Salih also said the legislation contradicts the principles of Israel’s Youth Law, which stresses rehabilitation over punitive measures for minors.

The Legal Center released a statement saying that “through these laws, Israel further entrenches its two-tiered legal system, with one set of laws for Jewish Israelis under criminal law and another, with inferior rights, for Palestinians under the pretext of counterterrorism.

An Israeli soldier controls a Palestinian boy during clashes between Israeli security forces and Palestinian protesters following a march against Palestinian land confiscation to expand the nearby Jewish Hallamish settlement on August 28, 2015 in the West Bank village of Nabi Saleh near Ramallah. (AFP)

“By embedding apartheid-like policies into the law, the Knesset further institutionalized systematic oppression, in contravention of both international law and basic human and constitutional rights.”

Since the Oct. 7, 2023, Hamas-led attack on southern Israel that triggered the Gaza war, Israeli forces have significantly increased the rate of arrests of Palestinian children, both in Gaza and the West Bank.

Between October and November 2023 alone, 254 minors were reportedly arrested by Israeli forces. Some of these detainees have since been released.

Israeli security forces scuffle with a Palestinian boy outside Damascus Gate in Jerusalem's old city during a demonstration on December 26, 2015. (AFP)

The bulk of the arrest operations appear to take place in towns, camps, and other areas with points of contact with Israeli checkpoints. Although the precise charges leveled against these minors are unknown, the most common offense is throwing stones.

In some cases, rights monitors say children under the age of 10 are taken in order to pressure their relatives to surrender themselves to Israeli authorities.

Palestinian children released from Israeli detention often describe traumatic experiences, recounting harsh measures enforced by guards and the prison administration, including allegations of physical and psychological torture during interrogation.

Nael al-Atrash, eleven-years-old, is blind folded and hand cuffed by Israeli soldiers who raided the neighborhood of Jabal al-Takruri in the West Bank town of Hebron 08 March 2006. (AFP)

Testimonies shared with Save the Children include severe beatings in the presence of their relatives, being shot at, having their legs restrained, and being blindfolded during transfers between detention centers.

Several claim that food and water were also withheld for long periods of time as a form of punishment. Some have even alleged sexual abuse. Monitors say minors are routinely denied their right to legal aid and at times the presence of a family member during their interrogations.

As a result of these abuses, minors are allegedly coerced into signing false confessions and into signing documents without understanding their content. Children are also rarely granted bail before standing trial.

The Palestinian Commission for Detainees and Ex-Detainees Affairs and the Palestinian Prisoners Society have expressed concern about the ongoing detention of children and the alleged abuses.

Both say the behavior of Israeli prison administrations and conditions inside overcrowded facilities have become worse since the Oct. 7, 2023, attack.

Monitors say the detention centers holding minors do not meet the minimum humanitarian standards. A large number of detained children are reportedly sharing cells and are deprived of an education, medical assistance, and personal items such as books and clothing.

Israeli courts have long defined the term “Palestinian child” as a person under the age of 16, rather than the internationally recognized age of 18 as defined by the Convention on the Rights of the Child.

Israeli authorities have previously denied the maltreatment of detainees.

Responding to separate claims by the UN in March last year about the alleged mistreatment of adults captured in Gaza, the Israel Defense Forces told the BBC: “The mistreatment of detainees during their time in detention or whilst under interrogation violates IDF values and contravenes IDF and is therefore absolutely prohibited.”

Francesca Albanese, the UN special rapporteur for Palestine, accused the international community of failing to address the detention of Palestinian children, saying minors in Israeli custody are “tormented often beyond the breaking point.”

On World Children’s Day, marked by the UN on Nov. 20, the Palestinian Commission for Detainees and Ex-Detainees Affairs released a statement saying that around 270 Palestinian children were being held in Israeli jails.

“The occupation continues to detain no less than 270 children, who are mainly held in Ofer and Megiddo prisons, in addition to camps established by the occupation army after the Gaza war,” the commission said.

“Systematic crimes are being committed by the prison administration against the jailed children, in addition to beatings, torture, and daily abuses.”

According to Palestinian rights monitors, more than 11,700 people from the West Bank have been detained since October 2023. This does not include those from the Gaza Strip, where the number of arrests is thought to be far higher.

Similarly, the Ministry of Foreign Affairs of the Palestinian Authority urged the international community on World Children’s Day to pressure Israel to honor its commitments to global treaties, especially the Convention on the Rights of the Child.

It stressed the need to ensure Palestinian children are not excluded from international charters that call for special protections for children against violence and detention.

The ministry also condemned the law undertaken by the Knesset to detain children under the age of 14 years, calling it a dangerous escalation that further undermines Palestinian children’s rights.

Despite international and local human rights organizations calling for the abolition of the Knesset’s child detention laws, the Israeli government insists the law will remain in place for the next five years.

 


Germany pushing for EU to relax sanctions on Syria, sources say

Updated 25 min 19 sec ago
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Germany pushing for EU to relax sanctions on Syria, sources say

  • This requires an unanimous EU decision
  • Germany’s foreign ministry declined to comment

BERLIN: Germany is leading European Union discussions on easing sanctions imposed on the Syrian government of toppled President Bashar Assad and aiding the country’s population, foreign ministry sources said on Tuesday.
“We are actively discussing ways to provide sanctions relief to the Syrian people in certain sectors,” one of the sources said. This requires an unanimous EU decision.
Germany’s foreign ministry declined to comment.
A lightning rebel offensive overthrew Assad on Dec. 8 and Islamist rebels Hayat Tahrir Al-Sham (HTS), which led the advance, set up a caretaker government.
The US on Monday issued a six-month sanctions exemption for transactions with some government bodies to ease the flow of humanitarian assistance, address Syria’s power shortages and allow personal remittances.
The EU, United States, Britain and other governments imposed tough sanctions on Syria after Assad’s crackdown on pro-democracy protests in 2011 spiraled into civil war.
HTS has renounced its ties with Al Qaeda but is still designated a terrorist entity by the United Nations and US
German officials first circulated thoughts on easing sanctions on Syria in documents sent to Brussels before Christmas.
The FT first reported on Tuesday that the documents outline how the EU could gradually ease restrictions on Damascus in return for progress on social issues, including safeguarding minority and women’s rights and upholding commitments to ensuring non-proliferation of weapons.
The FT, citing an unnamed source familiar with the EU discussions, added that, like Washington, the bloc could make any easing of sanctions temporary to ensure that it could be reversed if necessary.
German Foreign Minister Annalena Baerbock on Friday traveled to Syria for a one-day trip with her French counterpart on behalf of the EU and met with HTS leader Ahmed Al-Sharaa.
Baerbock said during her visit that all Syrian groups including women and Kurds must be involved in the country’s transition if Damascus wants European support.


Algeria slams French ‘interference’ over jailing of writer

Updated 07 January 2025
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Algeria slams French ‘interference’ over jailing of writer

  • The Algerian foreign ministry said Macron “unduly and falsely” presented Sansal’s detention “as a matter of freedom of expression, which it isn’t in the eyes of the law of a sovereign and independent state”

ALGIERS: Algeria accused France on Tuesday of “unacceptable and blatant interference” after President Emmanuel Macron said Algiers was “dishonoring itself” by keeping French-Algerian writer Boualem Sansal behind bars on national security charges.
Sansal, a literary figure who has been critical of the Algerian authorities, was arrested at Algiers airport in November and has been kept in custody despite calls from Paris for his release.
In its response, the Algerian foreign ministry said Macron’s comments “can only be rejected and condemned for they are blatant and unacceptable interference in an internal Algerian affair.”
Sansal’s arrest came amid growing tensions between France and Algeria over a range of issues.
“Algeria, which we love so much and with which we share so many children and so many stories, is dishonoring itself by preventing a seriously ill man from receiving treatment,” Macron said in a speech on Monday.
He described the 75-year-old, who acquired French citizenship last year, as a “freedom fighter.”
The Algerian foreign ministry said Macron “unduly and falsely” presented Sansal’s detention “as a matter of freedom of expression, which it isn’t in the eyes of the law of a sovereign and independent state.”
“It essentially stems from challenging the territorial integrity of the country, an offense punishable by Algerian law,” it added.
According to Paris newspaper Le Monde, Sansal’s arrest was linked to statements to a far-right French media outlet in which he repeated Morocco’s claim that its territory was truncated in favor of Algeria under French colonial rule.
In a speech in late December, Algerian President Abdelmadjid Tebboune called him an “imposter” sent by France to make such claims.
Sansal is known for his strong stances against both authoritarianism and Islamism, as well as being a forthright campaigner on freedom of expression issues.
In 2015, he won the Grand Prix du Roman of the French Academy for his book “2084: The End of the World,” a dystopian novel set in an Islamist totalitarian world in the aftermath of a nuclear holocaust.
Algeria had already withdrawn its ambassador over the summer after the French government supported a Moroccan offer of autonomy for the disputed Western Sahara in place of the self-determination referendum stipulated by a 1991 UN Security Council resolution.
 

 


Orthodox Christians mark a somber Christmas in Gaza

Updated 07 January 2025
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Orthodox Christians mark a somber Christmas in Gaza

  • In the courtyard of the church, which was partially destroyed in an Israeli airstrike in October 2023, the destruction that has devastated much of Gaza is clear in the surrounding bombed-out buildings

GAZA CITY: Orthodox Christians marked a somber Christmas on Tuesday in the war-torn Gaza Strip, with worshippers saying there would be no gifts for children and no joy during this year’s holiday.
In the richly decorated Church of Saint Porphyrius in the heart of Gaza City, as fighting raged across the Palestinian territory, around a dozen members of the Orthodox Christian community gathered for the annual morning service.
Sitting in the wooden pews, older men and women joined Archbishop Alexios of Tiberias in lighting candles and praying for friends and family and for an end to the now 15-month-old war.
Around 1,100 Christians from various denominations remain in Gaza amid the fighting, sparked by militant Palestinian group Hamas’s Oct. 7, 2023, attack on Israel.
“Holidays are limited to prayers only, with no gifts for children, no joy or any signs of joy for children on this holiday,” Ramez Al-Suri told AFP.
“We hope and ask all countries to help bring a ceasefire in the Gaza Strip.”
“We have been at war for 15 months and we in the Christian community always ask for peace and all our prayers are for love and peace for all and for the war to end as soon as possible,”
he said.
In the courtyard of the church, which was partially destroyed in an Israeli airstrike in October 2023, the destruction that has devastated much of Gaza is
clear in the surrounding bombed-out buildings.
Standing outside the church, Fuad Ayyad said “we wake up every minute to bombing, massacres, genocide or the martyrdom of a citizen.”
In the 2023 strike that hit the church, 18 Palestinian Christians were killed, according to the Health Ministry in the Hamas-run territory.
“Today we welcome the holiday with joy, but a diminished joy as Christians,” Ayyad said, adding, “sadness remains present and dominant within the Western and Eastern churches and within the Palestinian community whether Muslim or Christian.”
On Dec. 25, when the Catholic and other churches celebrated Christmas, Pope Francis called in his annual address for “arms to be silenced” around the world and appealed for peace in the Middle East, Ukraine and Sudan.
He also denounced the “extremely grave” humanitarian situation in Gaza.
The Hamas attack of October 7, 2023, resulted in the deaths of 1,208 people, mostly civilians, according to an AFP tally of official Israeli data.
Since then, Israel’s military offensive has killed 45,885 people in Gaza, a majority of them civilians, according to figures from the Hamas-run territory’s health ministry that the United Nations considers reliable.