世界发展银行-Promoting-a-New-Economy-for-the-Middle-East-and-North-Africa_100页_2mb

Summary of Promoting a New Economy for the Middle East and North Africa

Core Content

This document presents a comprehensive overview of the challenges and opportunities for developing a new digital economy in the Middle East and North Africa (MENA) region. It is a compilation of essays based on a 2018 regional workshop hosted by the World Bank Group, the Government of Algeria, and the Arab Monetary Fund. The focus is on youth, technology, and finance as key drivers of economic transformation in the region.

Main Viewpoints

1. Digital Economy as a Growth Driver

• The digital economy offers significant potential for economic growth and job creation in MENA.
• Young people in the region have access to smartphones and the internet, but are underutilizing these tools for entrepreneurial activities.
• Success stories such as Careem (ride-hailing) and Souq.com (e-commerce) show the potential, but the number of such ventures remains low.

2. Entrepreneurship and Venture Capital

• Venture capital investment in MENA is growing, driven by youth population and improving regulatory conditions.
• The United Arab Emirates (UAE) attracted 70% of venture capital investments in 2017, highlighting its role as a hub for tech startups.
• There is a need for a pan-regional strategy to support startups, as investments are concentrated in a few key markets.

3. Role of Education and Innovation

• Education is a critical enabler of technological innovation and entrepreneurship.
• The current education system in MENA is not aligned with the needs of the digital economy; it emphasizes traditional subjects and fails to equip students with the necessary STEM (science, technology, engineering, mathematics) skills.
• There is a skills gap leading to high youth unemployment, with many university graduates being more likely to be unemployed than those with basic education.
• The concept of a "learning society" is introduced, where shared knowledge and innovation drive economic development.

4. Regulatory and Financial Barriers

• Regulatory frameworks in many MENA countries are not conducive to innovation and competition, which hinders the growth of digital startups.
• Financial infrastructure is underdeveloped, particularly in non-GCC countries, limiting access to digital services and payment systems.
• Peer-to-peer payment systems like Kenya’s M-PESA are essential for the growth of digital platforms and should be replicated in the region.

5. Digital Agriculture and Technological Solutions

• The agricultural sector in MENA has untapped potential, and digital technologies can improve productivity and sustainability.
• Innovations such as Hello Tractor, Plantix, and eLEAF demonstrate how technology can help smallholder farmers with mechanization, disease detection, and resource optimization.
• Cibo uses simulation and data analytics to optimize agricultural practices and reduce environmental impact.

Key Information

• Demographics: MENA has the world's youngest population, with over 66% under 35 years old.
• Youth Unemployment: One of the highest in the world, exacerbated by a mismatch between education and job market needs.
• Careem: A successful ride-hailing startup that has expanded to 14 MENA countries, Pakistan, and Turkey, creating over 975,000 jobs globally.
• Venture Capital Growth: Investments in MENA grew significantly from 2010 onwards, with a 65% increase in 2017.
• Digital Infrastructure: Broadband access and reliable internet are essential for developing a digital economy.
• Policy Recommendations:
  • Reform education to focus on STEM and innovation.
  • Develop light but effective regulation to foster entrepreneurship.
  • Improve financial systems and payment technologies to support digital platforms.
  • Promote public-private partnerships to build digital infrastructure and services.

Conclusion

The document emphasizes that the MENA region has the potential to become a leader in the digital economy, but it faces significant challenges related to education, regulation, and finance. The key to unlocking this potential lies in creating an environment that supports entrepreneurship, innovation, and youth employment. By addressing these issues, the region can leverage its young population to drive economic growth and development in the coming decades.

Authors and Contributors

• Rabah Arezki, Ferid Belhaj, and Parmesh Shah (Editors)
• Contributors include Mudassir Sheikh, Issa Aghabi, Mohamed Abdel Jelil, Kamran Elahian, Lesly Goh, Salvatore Nigro, Sean Blagsvedt, Lemma W. Senbet, R. S. Sharma, Federica Maiorano, Martin Peitz, Xavier Reille, François de Soyres, Mussaad M. Al-Razouki, Van Jones, Sarah McGraw, Simone Strey, Maurits Voegt, and Mechteld Andriessen.

Acknowledgements

• Doris Chung, Nathalie Lenoble, and Isabelle Chaal Dabi provided administrative support.
• James L. Rowe Jr. edited the manuscript.
• The Word Express, Inc. designed the cover and published the report.

Final Remarks

The document concludes with a call to action for policymakers and stakeholders to seize the digital economy opportunity and leverage youth as a fundamental asset. It stresses the importance of collaboration, investment, and policy reform to build a sustainable and inclusive new economy in the region.