In 2011, the West’s view of the Arab world was grounded in optimism and exhilaration. John Moore / Getty Images
In 2011, the West’s view of the Arab world was grounded in optimism and exhilaration. John Moore / Getty Images

Stop viewing the region through a narrow lens



If, in 2011, the West’s view of the Arab world was grounded in optimism and exhilaration, it’s an entirely different story in 2016. Five years ago, there was still the sense that something was afoot, that the region could change into something better. There was the promise of a region based more on respect for fundamental rights, better governance and freedom – rather than one where these elements were constantly sacrificed to nepotism, autocracy and the cynical exploitation of concerns around security.

Five years on, the situation looks very different.

Now it is far more about security than ever before. It used to be that different Arab leaders would privately and publicly argue that they were better than the alternative of Islamism and that would be enough to get any concerns around fundamental rights of the table for discussion. Today, the equation is the same but different: many simply argue that the alternative to their rule is chaos. And, of course, no one wants chaos – and so the cycle continues.

But the region is not simply a place where one makes short-term exchanges between security concerns and everything else. It is a catastrophic mistake to look at the region in those terms alone.

The region is in a state of flux and the outside world needs to be more, not less, engaged with it, as it goes through an incredibly critical part of its modern history.

Certain aspects of the current era in the Arab world relate to simply going through the after shocks of traumatic events. The effects of colonialism and post-colonialist states ought not to be underestimated – and the trauma of that still defines much of what we see today.

There is good news in that it is being worked through. The bad news is that the damage that may yet come to pass is still likely to be rather significant. The world needs to be aware of that – but not simply build resilience at home, which is what many, particularly in the West, seem concerned with.

Rather, we need to be also keenly aware of the importance of helping resilience in the countries undergoing tumultuous periods in this region. Their success will be the success of many far beyond the region, particularly in Europe – but their failures will also have many dire repercussions as well, far beyond their borders.

But other things are happening and it is easy to lose sight of them as we focus almost exclusively on security.

Many countries have the problem of increasingly high birth rates, which can be harnessed, but only if sufficient opportunities are provided for young people coming into their own.

Yet, in other parts of the Arab world, particularly in the Gulf, questions around indigenous reliance are only beginning to be asked. The demographic question is very real within the region – and in very different ways.

There is also another, slowly shifting reality – and that is energy.

For so long the region, particularly the Gulf, has been the major source of fuel for many countries around the world, particularly in the West – but there are signs, if still in their infancy, of leaders in the Gulf recognising that will not always be the case.

At some point, the oil will run out and at some point probably long before that, the West and others may rely on other, cheaper sources of energy. On the one hand, there are many Arab countries that are in dire need of resources, and on the other, there are those that know they have to move past certain types of economies dependent on oil.

There is a temptation to view the region through a very narrow lens: one that makes the entire region about ISIL or security concerns.

But the region has never been like that – it has always had a complex, complicated reality. It is not that so many in the West were wrong to hope for a more sustainable, prosperous and free future for the people of the region – it’s that they escaped the need to come to a well thought out vision for assisting the region to get there.

Five years on, arguably, far too few have realised that original error, and persist in perpetuating it. The people of this region warrant better governance, and far more respect of fundamental rights, but they also need rulers inside the region, and friends from outside of it, to recognise the key, critical structural issues that are going to define this next generation of Arabs. And, as yet, that doesn’t seem entirely forthcoming. But a vision, nevertheless, is needed – and preferably before some kind of unexpected eruption on the ground in the region takes place. Alas, political establishments are seldom good at thinking that far ahead – but thinking far ahead is no longer an optional luxury. It’s a necessity.

Dr HA Hellyer is an associate fellow at the Royal United Services Institute in London and a non-resident senior fellow at the Rafik Hariri Center for the Middle East at the Atlantic Council in Washington, DC

On Twitter: @hahellyer

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3.30pm: Maiden (PA) Dh40,000 (D) 2,000m; Winner: Al Ajayib, Antonio Fresu, Eric Lemartinel

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4.30pm: Handicap (TB) Dh40,000 (D) 1,700m; Winner: Falcon Claws, Szczepan Mazur, Doug Watson

5pm: Sheikh Dr Sultan bin Khalifa Al Nahyan Cup – Prestige Handicap (PA) Dh100,000 (D) 1,700m; Winner: Al Mufham SB, Al Moatasem Al Balushi, Badar Al Hajri

5.30pm: Sharjah Marathon – Handicap (PA) Dh70,000 (D) 2,700m; Winner: Asraa Min Al Talqa, Al Moatasem Al Balushi, Helal Al Alawi

COMPANY PROFILE
Name: ARDH Collective
Based: Dubai
Founders: Alhaan Ahmed, Alyina Ahmed and Maximo Tettamanzi
Sector: Sustainability
Total funding: Self funded
Number of employees: 4

Jeff Buckley: From Hallelujah To The Last Goodbye
By Dave Lory with Jim Irvin

How Tesla’s price correction has hit fund managers

Investing in disruptive technology can be a bumpy ride, as investors in Tesla were reminded on Friday, when its stock dropped 7.5 per cent in early trading to $575.

It recovered slightly but still ended the week 15 per cent lower and is down a third from its all-time high of $883 on January 26. The electric car maker’s market cap fell from $834 billion to about $567bn in that time, a drop of an astonishing $267bn, and a blow for those who bought Tesla stock late.

The collapse also hit fund managers that have gone big on Tesla, notably the UK-based Scottish Mortgage Investment Trust and Cathie Wood’s ARK Innovation ETF.

Tesla is the top holding in both funds, making up a hefty 10 per cent of total assets under management. Both funds have fallen by a quarter in the past month.

Matt Weller, global head of market research at GAIN Capital, recently warned that Tesla founder Elon Musk had “flown a bit too close to the sun”, after getting carried away by investing $1.5bn of the company’s money in Bitcoin.

He also predicted Tesla’s sales could struggle as traditional auto manufacturers ramp up electric car production, destroying its first mover advantage.

AJ Bell’s Russ Mould warns that many investors buy tech stocks when earnings forecasts are rising, almost regardless of valuation. “When it works, it really works. But when it goes wrong, elevated valuations leave little or no downside protection.”

A Tesla correction was probably baked in after last year’s astonishing share price surge, and many investors will see this as an opportunity to load up at a reduced price.

Dramatic swings are to be expected when investing in disruptive technology, as Ms Wood at ARK makes clear.

Every week, she sends subscribers a commentary listing “stocks in our strategies that have appreciated or dropped more than 15 per cent in a day” during the week.

Her latest commentary, issued on Friday, showed seven stocks displaying extreme volatility, led by ExOne, a leader in binder jetting 3D printing technology. It jumped 24 per cent, boosted by news that fellow 3D printing specialist Stratasys had beaten fourth-quarter revenues and earnings expectations, seen as good news for the sector.

By contrast, computational drug and material discovery company Schrödinger fell 27 per cent after quarterly and full-year results showed its core software sales and drug development pipeline slowing.

Despite that setback, Ms Wood remains positive, arguing that its “medicinal chemistry platform offers a powerful and unique view into chemical space”.

In her weekly video view, she remains bullish, stating that: “We are on the right side of change, and disruptive innovation is going to deliver exponential growth trajectories for many of our companies, in fact, most of them.”

Ms Wood remains committed to Tesla as she expects global electric car sales to compound at an average annual rate of 82 per cent for the next five years.

She said these are so “enormous that some people find them unbelievable”, and argues that this scepticism, especially among institutional investors, “festers” and creates a great opportunity for ARK.

Only you can decide whether you are a believer or a festering sceptic. If it’s the former, then buckle up.

COMPANY PROFILE
Name: HyperSpace
 
Started: 2020
 
Founders: Alexander Heller, Rama Allen and Desi Gonzalez
 
Based: Dubai, UAE
 
Sector: Entertainment 
 
Number of staff: 210 
 
Investment raised: $75 million from investors including Galaxy Interactive, Riyadh Season, Sega Ventures and Apis Venture Partners
A little about CVRL

Founded in 1985 by Sheikh Mohammed bin Rashid, Vice President and Ruler of Dubai, the Central Veterinary Research Laboratory (CVRL) is a government diagnostic centre that provides testing and research facilities to the UAE and neighbouring countries.

One of its main goals is to provide permanent treatment solutions for veterinary related diseases. 

The taxidermy centre was established 12 years ago and is headed by Dr Ulrich Wernery. 

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Engine: 77.4kW all-wheel-drive dual motor
Power: 320bhp
Torque: 605Nm
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Company%20Profile
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COMPANY%20PROFILE
%3Cp%3ECompany%20name%3A%20CarbonSifr%3Cbr%3EStarted%3A%202022%3Cbr%3EBased%3A%20Dubai%3Cbr%3EFounders%3A%20Onur%20Elgun%2C%20Mustafa%20Bosca%20and%20Muhammed%20Yildirim%3Cbr%3ESector%3A%20Climate%20tech%3Cbr%3EInvestment%20stage%3A%20%241%20million%20raised%20in%20seed%20funding%3Cbr%3E%3C%2Fp%3E%0A
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Name: Lynn Davison

Profession: History teacher at Al Yasmina Academy, Abu Dhabi

Children: She has one son, Casey, 28

Hometown: Pontefract, West Yorkshire in the UK

Favourite book: The Alchemist by Paulo Coelho

Favourite Author: CJ Sansom

Favourite holiday destination: Bali

Favourite food: A Sunday roast

COMPANY%20PROFILE
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Company%20profile
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Tips for job-seekers
  • Do not submit your application through the Easy Apply button on LinkedIn. Employers receive between 600 and 800 replies for each job advert on the platform. If you are the right fit for a job, connect to a relevant person in the company on LinkedIn and send them a direct message.
  • Make sure you are an exact fit for the job advertised. If you are an HR manager with five years’ experience in retail and the job requires a similar candidate with five years’ experience in consumer, you should apply. But if you have no experience in HR, do not apply for the job.

David Mackenzie, founder of recruitment agency Mackenzie Jones Middle East