Private Sector Led Economy Innovation knowledge-based partnerships UN75Talk webinar

The United Nations in the State of Kuwait organized a UN75Talk webinar in collaboration with the Supreme Council for Planning and development, around “The Private Sector led Economy: Innovation knowledge-based partnerships”. The webinar aims at engaging private sector leaders to spearhead the transformation of the sector through the principles of Sustainable Development as they join efforts with the United Nations in the response to this unprecedented global crisis, through 1) Establishing a local consultative network of private and public partners 2) Engaging with key partners in series of dialogues to support the private sector needs 3) Leverage the benefits of the Global Compact network to create a local movement compatible with UN global goals, and 4) Encourage the private sector to engage in partnerships for innovation in sustainability. This comes as a follow on discussion to our first private sector dialogue held last July 2020 targeting universal sustainable principles, and the importance of increasing engagement of the private sector in supporting the UN Sustainable Development Goals, help build back a better Kuwait and sustained communities in support of Kuwait Vision 2035.

Kuwait’s efforts in shifting the economy from public sector-led, and resource – dominated economy to private sector knowledge – based innovation led economy has been visible in recent years. Through the implementation of the strategies set in the National Development Plan, Kuwait aims to transform the country into a financial, trading, cultural and institutional centre in the region towards the new Kuwait vision 2035. Moreover, Kuwait has the necessary tools to implement their new vision given its robust financial reserves, its strategic location, in addition to its entrepreneurial initiatives and culture. However, the impact of the pandemic of COVID-19 and the resulting economic crisis calls for a more strategic and dynamic partnerships, which is needed more than ever.

In his opening remarks, the Representative of the UN Secretary-General and Resident Coordinator Dr. Tarek Elsheikh stated: “The investment environment in the GCC region decreased in 2020 due to the exceptional situation resulting from the economic impact of the "Covid-19" pandemic, especially the effect on global trade movement and foreign direct investment flows. The new Kuwait strategy 2035 aims to transform the country from a resource-based economy to an innovation-based knowledge economy to a cultural, financial, commercial and institutional centre for the region, which is the roadmap towards smart Kuwait, but there is still a long way ahead to reach that goal and be less dependent oil revenues.”

The General Secretary of the Supreme Council for Planning and Development Dr Khaled Mahdi emphasized: “The efforts of the State of Kuwait in recent years to transform the economy from an public sector-led economy that depends entirely on oil to an economy based on knowledge and innovation, by implementing the policies contained in the development plan for the State of Kuwait”.

Ms. Abeer Tahlak - Director of Mohammed Bin Rashed Center of Government Innovation and Director of Opportunities (MBRCGI), UAE highlighted that:” The UAE successful experience lies it’s believe in opportunities and in promoting partnership between the government and private sectors. A forward-looking policy and commitment and preparations for the future is amongst the most important pillars. This secured an international positioning for UAE as a leader in innovation, the country’s aspirations for the future aren’t traditional and needs unconventional systems to make it a reality… the future holds many challenges that requires constant change”

H.E Sheikh Dr. Abdullah Sabah Humoud Al-Sabah, Deputy Director General for Investments Operations at Kuwait Direct Investment Promotion Authority stated: “KDIPA continues to support the State of Kuwait’s direct investment vision of being an added value and innovation-based investment hub. KDIPA’s mission is to actively contributing to enhance Kuwait’s economic diversification by fostering sustainability towards a knowledge based economy”.

Dr. Tarek Elsheikh added: “Kuwait has great potential to be an important destination for attracting investment in the region. Kuwait has the capacity and the tools to achieve the new Kuwait vision 2035. From this standpoint, the United Nations seeks to open a ground for forming partnerships based on innovation and invention to create sustainable opportunities for a future capable of self-sufficiency and self-awareness that includes all Sectors. At the present time and in light of dealing with the current Covid-19 pandemic, this period is one of the most difficult periods the world is going through, and it can be considered an obstacle standing in the way of development. This crisis has taught us all the importance of resilience as well as future opportunities to build back better”.

Dr. Bassam Alfeeli, Director of Corporate and Innovation Department at Kuwait Foundation for the Advancement of Sciences, explained: “KFAS pays great attention to the Kuwaiti private sector based on the institution’s strategy, which in one of its most important axes is concerned with developing human resources and research in private sector companies, to help identify difficulties and draw inspiration from. Solutions to meet the challenges of the Kuwaiti economy. KFAS provides training programs on building the capacity of innovative workers in the private sector, as well as creating strategic partnerships with major international institutions in order to promote business development and research, to achieve a sustainable knowledge-based economy”.

Mr. Ismail Radwan of World Bank said: “In the 21st century, innovation and knowledge will be the most important factors driving economic growth for high income countries.  Kuwait has a tremendous potential to reorient its economy and society towards this new paradigm built on improved education and strong coordination between academia and the public and private sectors”.

Mr. Abdulmajeed Alshatti, Economic Advisor, Vice Chairman of the Scientific Center, commented: “Knowledge is an economy that depends on the production of knowledge. Can we produce knowledge and convert it into monetize? Do we have the required ecosystem: Strategy, technology, Laws and regulatory authorities, Economy? What is the size of knowledge capital? We know the size of our oil reserves. Can we measure the knowledge capital? Is what we spend on research and development sufficient to transform into a knowledge economy? Why do not we benefit from the experiences of other countries, such as Finland?  How did it transform from a country dependent on forests and wood to a country that exports technology? “He further added: ”The age structure of citizens, in which those under the age of 25 represent more than half, represents a great challenge to the economy, but also represents a great opportunity to transform into a knowledge economy. We must convert this mighty energy of negative energy into positive energy. I believe that the covid-19 pandemic, despite its cruelty, has presented us with a valuable opportunity to transform into the knowledge and digital economy.  The pandemic has accelerated digital transformation, created new job opportunities, and uncovered talents".

The United Nations Global Compact (GC) was introduced to participants. GC is a voluntary initiative where more than 10,000 companies and entrepreneurs have committed to align their strategies and operations with ten universal principles addressing human rights, labour, anti-corruption and environment taking actions to achieve their goals. For the last 20 years, the Global Compact has mobilized a global movement of sustainable companies and private sector stakeholders in 156 countries, united for a better world with an emphasis on collaboration and innovation (https://www.unglobalcompact.org/).

The webinar was in partnership with the KFAS, Kuwait Direct Investment Promotion Authority, Kuwait University, Mohammed Bin Rashed Center of Government Innovation, the World Bank and Global Compact. It was well attended by partners from the private sector and other sectors including academia, research institutions and the international community.