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Comment Khalaf
Al Habtoor comments on the imminent collapse of an extremely low profile Council
for Economic Unity Now why this particular item captured my attention was that being a citizen of the United Arab Emirates, with business interests throughout the region, I have always had a deep interest in the development of Arab economic unity as a way in which to strengthen our region, adding worth to our businesses while giving us a voice in the global trading system. But until now I had never heard of the Council of Arab Economic Unity. Who is this body and what does it do? Why is it likely to collapse? Further investigation revealed that the CAEU was set up in 1957 by a resolution of the Arab Economic Council, which itself is part of the League of Arab States, more commonly known as the Arab League. The League itself was formed in 1945 to promote closer ties among member Arab States, co-ordinate their policies and promote their common interests. It was out of this desire to improve regional economic cooperation that the CAEU was established. But the first meeting of the council was not held until 1964. The members of the Council are; Egypt, Iraq, Jordan, United Arab Emirates, Kuwait, Libya, Mauritania, Sudan, Syria, Yemen, the PLO and Somalia. The Council's focus is regional, devoted to achieving economic integration through the framework of economic and social development. "The Loss of the AEUC would only be good news as it would at least reduce the number of these ineffectual talking shops by one" Failure But since its foundation, forty-seven years ago, the Arab Economic Unity Council has been a failure. Defeated by barriers set-up by its members that have prevented it from achieving its aim of establishing a common Arab economic policy that unifies member states. This failure has turned it into another Arab talking shop that dresses it laudable objectives in a rich mantle of flowery words and phrases with absolutely no power to effect change or implement policy. Many have put this failure, like so many others in the area of Arab unity and co-operation, to the narrow minded and conservative attitudes that prevail in the region, where narrow self interest hinders the easy flow of Arab capital and trade. Each country maintains tough measures to protect its own markets - worried about competition from its neighbours. This fear of competition is hampering the vital need for economic integration to benefit all. Throughout the 1990's the AEUC came to a virtual standstill. This inertia reflected deep divisions with the Arab League its-self as a result of the Gulf war. The aftermath of which saw Kuwait withdraw its support from the Council leaving the United Arab Emirates as the only Gulf State member. But in 1999 the UAE pulled out too. These withdrawals represented the loss of two of the major financial contributors to the AEUC. This, plus the fact that between 1990 and 2000 the Council's members failed to meet any of their financial commitments to the AEUC. This caused the current crisis. But somehow the Council continues to function despite a report in April 1999 that the people running the Council's secretariat had not been paid for the previous thirty-five months. So it seems as with so many of the councils, committees, organisations and leagues that flourish in our region, it is only another disorganised forum for grandiose rhetoric with little substance. It is hardly surprising, therefore that we are hearing reports of its demise as even its members will not support it. Yet despite these disappointments Arab people still like the concept of a Common Arab Market in which they could all prosper. To me, the loss of the AEUC would only be good news as it would at least reduce the number of these ineffectual talking shops by one, which place such a burden of the development of Arab unity and economic cooperation. Let us hope that the Egyptian President's recent bold initiative to convene an economic conference in Cairo in November to prepare for the formation of an Arab Common Market will lay the foundations for an era of co-operation and not develop into another ineffectual talking shop. We need to dismantle all the many bodies that have been so weak and ineffectual for so long. And put in place an Arab institution that can actually do what is required not only in the economic field, but in others such as technology, power, distribution and allocation of resources. One of its major objectives should be the provision of potable water right across the region to combat the predicted water shortages in the coming years. Now that I know what lies behind that small news report on the demise of the Council of Arab Economic Unity I hope that other non-essential, wasteful and obscure institutions that have been set up in the last fifty years will also disappear to be replaced by a few effective and meaningful bodies that will truly represent our interests, enhance trade, and further prosperity for our people. So farewell non-productive Council of Arab Economic Unity. Let us approach Arab economic unity in a new and different way. |