Interview with
H.E. Sheikha Lubna Al Qasimi

You recently suggested that UAE investors are more inclined than ever to “look East” to Asia for investment opportunities. Is this likely to have long-term implications for the United States?

What we are seeing is fierce competition to attract foreign investment all over the world, especially in Asia. So if the investment environment is more conducive and welcoming “to the East,” it is natural that we will see money moving in that direction – particularly in the strong emerging markets.

What steps is the UAE taking to create an educated and skilled work force to serve the growing economy?

We have strong universities here in UAE – some national and some international – and they have been approved by educational accreditation boards in the United States. There are several development programs for UAE nationals to take during their career paths. There is also a great program for leadership development that our Prime Minister launched in cooperation with the Kennedy School of Government in Boston.

How do you envision the UAE in 10 years?

The UAE – strategically sitting between the East and West – will continue to maintain a global competitive position in trade and investment. We host more than 155 nationalities, and these talented people from all over the world contribute significantly to the growth of our economy. As is often said about the United States, the United Arab Emirates is a land of opportunity, and people come here to realize their dreams. The UAE’s high quality of life – our lifestyle of living – is our best-kept secret!

UAE Minister of Economy

What factors have been most important in bringing about the UAE’s economic success?

Very early on, the leadership in the UAE decided that as a national policy, diversification away from oil would be a priority. Today, our non-oil sector represents over 60 percent of our GDP.

What parts of the economy are you especially interested in expanding?

The services sector currently represents almost 50 percent of the GDP. We are interested in expanding this as we head toward our vision of the knowledge economy.

Why should U.S. investors consider opportunities in the UAE, and what do you consider to be some of the best opportunities for foreign direct investment?

We have particularly good economic growth in tourism, real estate, financial services, and manufacturing industries, and there are many by-products of these sectors that are of interest to investors.

What additional economic reforms and/or incentives are being planned to encourage more investment in the UAE?

The UAE Government is focused on creating an environment that is investor friendly, limited in its bureaucracy, and fast in the processing of licenses and other requirements. We believe that by entering the UAE market, you have significant access to the rest of the region. We also care about the workforce and are striving to create a high quality of life for them so that we attract and retain knowledge workers.

Last year, the UAE was America’s number one export market in the Middle East. Can the UAE retain that position, and what do you see as the best sectors for U.S. exporters?

As long as we maintain an environment that is investor friendly, and as long as we adhere to transparent rules and regulations, I am confident that we will be in good standing with our trading partners. At the end of the day, this is not about winning first place, but about maintaining a sustainable position of reliability and confidence for our trading partners. In addition to our own market, of course, the UAE serves as one of the largest re-export hubs in the world; we have market access to almost two billion consumers around us.

Some have suggested that Free Trade Agreement (FTA) discussions between the U.S. and UAE have ground to a halt over relations with Iran. Is this true?

Not at all. Trade Promotion Authority, which gives the President of the United States a mandate to negotiate FTAs, expires this summer. We hope to resume our FTA talks once the U.S. political climate allows for that. In the meantime, we are working on strengthening our bilateral economic relationship by securing other treaties that we have worked out through our FTA negotiations.

The U.S. Government has expressed some concern about export controls and the UAE. Can you tell us where this issue stands?

This is an important issue for us and, to that end, the UAE Cabinet has recently approved a rigorous export control law that was also passed through our Federal National Council. The U.S. and the UAE are strong allies with common interests and goals, and it is important that we work closely together to address such challenges.

In 2006, the U.S. Congress pressured DP World to back away from six ports that the Dubai-based firm would have managed in the United States. From the UAE’s perspective, what have been the key lessons of that episode?

We believe that there is insufficient information in the American public about the UAE and, in particular, the deep and wide-ranging relationship between the UAE and the United States. We understand that there is a greater responsibility on our end to spread awareness about our country and to ensure that we interact with more Americans.