A sharp rise in trade between Russia and Arab nations during the COVID-19 pandemic has resulted in a significant strengthening of Moscow’s economic relations with the Middle East and North Africa (MENA) region, according to speakers at the Forum of the Russian-Arab Business Council on Tuesday at Expo 2020 Dubai.
Russia remains a strategic trading partner to 16 Arab countries in the areas of food security, automotive manufacturing, renewable energy, logistics and sectors pertaining to the onset of the fifth industrial revolution, the sessions heard.
Dr Khaled Hanafy, Secretary General of the Union of Arab Chambers and Former Minister of Supply and Inner Trade in Egypt said: “Over the past two years, in the wake of the COVID pandemic, the volume of trade with Russia has increased by 80 per cent, despite the bottlenecks we are witnessing in the supply chain. We look to increase our volume of trade by even more significant numbers by expanding our existing import-export platform to enable products to go all over the world.”
The first day’s panel sessions considered the steps needed to intensify cooperation in trade and investment during the pandemic as well as challenges that need to be resolved.
The discussions looked at how the financial sector and investment institutions are key drivers of a sustainable economy in Russia and Arab countries. Speakers addressed the impact of free economic zones on tax incentives for manufacturers, the challenges entrepreneurs face with insurance, as well as the advantages of government and bank guarantees. Investment opportunities in the Russian Federation and Arab nations were also presented.
The pace of digitalisation in Arab countries was highlighted during another panel, which focused on information systems and the digital economy. Since the COVID-19 pandemic has accelerated the development of the digital economy, Russia has implemented technologies in business processes to attract more investment.
The session closed with a round table discussion on medicine and pharmaceutics, outlining how the pandemic has become a catalyst for the powerful development of this sector, resulting in new high-tech medical care. The investment potential of Russian and Arab markets was discussed along with the development of bilateral ties in the area of medical tourism.
The second day of the Forum of the Russian-Arab Business Council on 26 January starts at 1000 GST and will focus on the role of woman entrepreneurs in the modern world
