contents
    Summer 2002,
vol. 44, No. 1/2
 
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Mr. Abdlatif al-Hamad.
  Mr. Abdlatif al-Hamad's Speech:Job Opportunities, Career Prospects and Social Responsibilities    
  -     I am honored to be with you on your Commencement Day when students reap the fruits of years of hard work. Your parents should be proud of your achievements after years of patience and anguish, and your professors have every right to feel rewarded for their painstaking efforts.
      The American University of Beirut is one of the best Universities in the Arab World. AUB alumni are serving in important positions, in governments, business and are leading professionals in the whole area. Your quality of education here will open for you many opportunities and career prospects.
      Yet, you probably feel anxious about the situation in the region to which you will always belong, no matter where you might choose to live and work. The job market for Arab university graduates, I am sure, is of great concern to you. This year the number of university graduates will probably exceed 550,000.      The major challenge to Arab countries will be how to respond to their expectations, by creating enough remunerative jobs. Naturally, you are primarily concerned with your own situation and are justified in giving priority to your own career. Nevertheless, you will be operating within an environment and in a context, that will affect your choices and opportunities. You are all aware that the situation in the Arab world is characterized by tensions, threats and uncertainties. The prospects of the region will inevitably affect your personal outlook.
      Wisdom requires that you know what the facts are and how you should interact with them. With this in mind let us examine together a number of key factors that will influence the future of the region. Arabs are looking at the future with anxiety and concern. Several forces are putting great strain on governments, business, and society at large. Foremost among these forces is the fierce competition resulting from the unleashing of free markets around the world, the rapid expansion of information and communication technologies, and the progress of global economic integration.
      The Arab region is not alone in facing these demanding challenges. All regions are challenged to the same extent. But in our case there are a number of constraints. Political tensions, paucity of resources, rapid population growth and rising expectations constitute major handicaps that may defeat the best intentions for strong actions and audacious reforms.
      The Arab countries at large have been outperformed by most countries in other regions in the last two decades. For example in 1950 Egypt and South Korea had the same per capita income. Today the average earning in Egypt is 20% of that of South Korea. Another example is that of Morocco that was at par with Malaysia in terms of per capita GDP four decades ago.Today Malaysia's GDP rate is three times that of Morocco. Arab share in world trade and financial flows is exceedingly small. The size of an economy is less relevant than the degree of integration into world economy that provides larger markets and access to advanced technology. More importantly, Arab contribution to science and technology, which are the prime engine of growth in a globalized world, remains meager.
      The economic crisis in the Arab World over the last decade had been aggravated by a number of external and domestic factors. Population in the Arab World increased at a rate close to 3% over 40 years and declined to about 2.5% only in the last few years. At current growth, Arab countries need to create over 25 million new jobs during the next decade, in addition to providing 15 million jobs that have to be found for those who are presently unemployed. Massive investment and major changes in economic policies are required to accelerate growth, in order to create these 40 million jobs and to satisfy pressing social demands.
      Another challenge for the region is the urgent need to alleviate poverty and to ensure equity. By standard criteria, poverty substantially decreased in the Arab countries during the last four decades. The performance of the Arab region in poverty alleviation is even considered to be among the best in the developing world, despite modest economic growth during the nineties. This is probably the outcome of the strong sense of community that characterizes the Arab world.
      Yet, much remains to be done. Your generation is strongly aspiring for justice and equity. It demands more freedom, equitable distribution of income, better social services and participation in the decision-making process. Your generation should not be satisfied by its relatively better fate as compared to the other citizens of the third world. It should not accept that potable water does not reach a large number of people, particularly in rural areas; that millions of children are deprived of education and adequate health services, and that the female population in the Arab world does not get its fair share from these services and other benefits. You have every right to consider such disparities and inequities as intolerable, and unacceptable, notwithstanding, all indicators of progress over the last few decades.
      Another major challenge facing Arab countries is the extent of the role played by governments, the private sector, as well as the institutions of the civil society. Development experience in all regions has shown that the private sector plays a major role in improving economic efficiency, attracting international capital, and enhancing economic growth and technological progress. The Arab region's capability to promote private initiative and to attract foreign capital has been so far very modest. In the last few years the region generated less than 3% of global privatization receipts. A real challenge to the countries of the region is in reversing this trend. Fortunately, there is now a great awareness and a strong determination to follow policies that will help in addressing this situation.
      Most Arab countries are currently implementing reforms and liberalizing their economic, legal, political and social systems. Much still needs to be done. It is up to the new elite, to people like yourselves, with new ideas, a sense of purpose, entrepreneurship, and a strong commitment to progress, to help promote private initiative and restore its positive role to the Arab region.
      Your task will be more daunting, given the political tension in the region. The conflicts in our area, are indeed a real threat to economic and social progress. Peace and security are essential conditions for growth and prosperity in this part of the world. But we still need far-reaching reforms to achieve an acceptable degree of democracy, accountability and transparency in our economic and political systems.
      The lack of these qualities in our public life is seriously hampering the 		development process. A reduced flow of information inhibits innovation and precludes adaptation. A restricted level of participation in setting priorities and making decisions increases the risk of errors and misallocations. Concentration of power in the hands of a minority leads to corruption and underutilization of talents. All these shortcomings hinder progress and slow down economic growth in the Arab world.
      Today, privatization and liberalization are on the agenda everywhere in the Arab world. But more concrete action is needed. The pace is slow, procedures are cumbersome, and governments maintain their tight control on what they consider to be strategic activities such as communications, air transport, mining and banking. For example in Egypt 70% of commercial bank assets are held by the four largest government-owned banks.
      There is a genuine desire for radical reforms demanded by all elements in Arab society. We need to work more seriously together to implement comprehensive reforms and bring about real changes. But more importantly, the Arab countries lag behind many other countries in scientific research and development. For example Belgium, with a population that represents less than 4% of Arab countries, produces 50% more technical and scientific publications than all Arab countries put together. Instead of trying to rectify this situation we continue to think with nostalgia about glorious days when Arabs were the pioneers in science, and human thought that contributed greatly to world civilization.
      Today in the 21st century science seems to have less appeal in Arab societies than in the Middle Ages. Open societies that encouraged freedom of thought and tolerance have been replaced by forces of ignorance, dogma and irrationality in our region.
      The well educated elite, to which you belong, has the primary responsibility to change this alarming state of affairs in the Arab world. You are the vanguard of society; you are responsible to bring about radical changes in attitude, behavior and perception of the outside world. You have an important role to play. Be free in your thinking and never submit to dogmas or restrictions. Never forget Galileo's saying "I do not feel obliged to believe that the same God who endowed us with sense, reason, and intellect has intended us to forgo their use".
      The present weakness, vulnerability and dependence of Arab countries may dim your youthful enthusiasm. But even if all that you see is a sluggish economy, external dangers, and political tension, you should not feel overwhelmed or frightened. Lebanon, which has been at the heart of the Middle Eastern conflict during the last few decades, is a model of courage, determination, and successful resistance to occupation and aggression. We all should be proud of such an example of bravery and resolve. This University has also been exemplary in surmounting extreme difficulties, and meeting serious challenges to continue its effective contribution to education and scientific thought in our region. You are the leaders of the Arab world of tomorrow. You should not wait until Arab reconciliation is achieved, and the economic systems are reformed. Wisdom requires that you start right away, planning for the future. I strongly believe that the best way to serve your country is to serve yourself, to concentrate on your projects, and to promote your career. Ambition, determination, dedication and focus in the pursuit of your personal objectives will ultimately help your countries advance and develop. The young generation that you represent can have a refreshing view and must enthusiastically support radical reforms. Your education at a prestigious institution such as AUB should ensure your ability to influence events in the future. You should be determined to serve your countries effectively and with total dedication. But in order to achieve your objectives you need to do the following: First, hard work, dedication and focus on your objectives. There has never been progress and prosperity without hard work. This is as true at the individual level as it is at the level of nations. Thomas Edison said "Genius is one percent inspiration, and ninety-nine percent perspiration." Obviously, without that one per cent, all the perspiration in the world would produce nothing but sweat. In addition, success requires dedication, and focus. It equally entails an everlasting quest for knowledge and progress. Your generation is lucky to be living through the information revolution. New-age technologies can help eliminate economic and social disparities. Information technologies represent now the most powerful engine of growth the world has ever known. They have changed the way people live, and work. The world has become a truly global village in which knowledge, information and market access are open for all. Let us seize this opportunity to catch up and compensate for the time wasted in this region over the last five centuries. Second, innovation, risk-taking and entrepreneurship are very important attributes. The new information age requires constant change and imaginative innovations. These are the very essence of progress. Innovation is a never-ending process. Improvements can always be made, provided imagination is freed from all constraints, and information is allowed to flow without restraint. The environment in which you will operate will certainly play an important role, but your own personal attitude will be the key determinant of your success. Third, open-mindedness, willingness to change and team-work are vital requirements for success. Today networking has become a basic form of organization, of communication, and of management. Distance, language and cultural differences have ceased to be obstacles to communication and exchange. Networking has created new and great opportunities for all peoples in all countries. Millions of young Arabs are at ease in communicating with their peers all over the world, sharing ideas and hopes. Thousands of young scientists are networking with other scientists throughout the world. Businesses are "e-dealing" with other businesses and opening new markets. This is the road to future progress. Finally, let me conclude by saying that, you, AUB graduates, are admired by many young people in the Arab world. I hope you will rise up to their admiration, and succeed in promoting your personal ambitions, while remaining in harmony with your society. You are a generation who is facing challenging moments in our long history. But you have the opportunity to broaden your society's perspective, to restore hope through personal achievements, and to reconcile the Arabs with their historical glories.

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