Interviews with His Highness - 03 June, 2006
Asharq Al Awsat interviews Sheikh Mohammed
Q: Approximately 100 days have passed since your government was formed. What is your opinion of what the Cabinet has accomplished so far?
A: I am very satisfied with what has been achieved. We have a comprehensive vision, specific targets and a clear sense of direction, and all regulations and procedures are heading in the right direction.
Q: For many years, people have known that you have a vision for Dubai, and there are signs that this is being implemented successfully. What is your vision for the federation?
A: My vision for the federation is that of every official and national - to further development so that the UAE ranks among the developed countries and UAE citizens are able to enjoy dignity, well-being and happiness.
This was the vision of the UAE's founders and it was reaffirmed by President His Highness Sheikh Khalifa bin Zayed Al Nahyan when he proposed his plan for the nation last December.
It is very important to set clear objectives, to be able to choose from among alternatives in the process of planning for the future and to create appropriate plans, programmes and projects as efficiently and effectively as possible.
Q: In terms of achieving this vision, what are your priorities?
A: All aspects of national work are equally important yet - whether in the UAE or outside - the government must lead development.
The government can be described as the vehicle or bulldozer that paves the way for the country's development and pushes plans forward.
The government places a lot of emphasis on enhancing government performance, which requires administrative re-organisation, legislative reform and the development of human resources.
Q: What steps have been taken so far to enhance government performance?
A: The first step was to create a ministerial portfolio to improve government performance, and the Ministry will finalise the plan for development soon.
A lot of red tape has been eliminated by dissolving ministerial committees that were no longer needed.
Ministers have been given wide-ranging financial and administrative powers so that they can lead their ministries.
The establishment of the ministerial council for services is an important step in enhancing the efficiency and speedy implementation of service-related projects.
Q: Some people who are observing the UAE's experience with federation believe that the role that federal institutions play in economic and social development and construction is shrinking while local government departments' responsibilities are growing. How will your government integrate local and federal roles? And are your recent visits to several emirates meant to restore the importance of the federal role?
A: This is inaccurate. People forget that the UAE is a country that is made up of many states. In federations, jurisdictions are distributed between the federal and the local agencies within an integrated framework.
I know that some people have been talking about competition in the UAE and competition does exist, but in terms of certain projects and initiatives and within the framework of the federation. I believe this is beneficial because competition is a prerequisite for progress.
Unless someone works in a competitive environment, he will not create, innovate or make any progress. In the UAE, we look forward to competing on an international level and so we see local and regional competition as preparation.
Q: The level of development varies from emirate to emirate - you must have noticed this during your recent field visits.
A: It is normal for differing levels of development to exist and the discrepancies in the UAE are very small. Differences exist in single-state countries, so what do you expect in a country composed of multiple states?
For example, in the US, which is not a developing country, California and New York are more developed than Nebraska, Dakota and Arkansas. California's economy is one of the ten largest in the world.
No country can achieve the same level of development in all areas but countries still need balanced development and this is what we have in the UAE.
The infrastructure throughout the UAE is well developed and there are educational, social and health services and job opportunities.
Development-related projects and construction
are taking place throughout the emirates and anything that happens in Abu Dhabi or Dubai ultimately benefits all emirates.
Your question might be based on what you have read in some newspapers. With all due appreciation for the media, the press exaggerates issues and some newspapers portray an inaccurate picture of the rural areas. Yes, there is a deficiency of some services, but this shouldn't be blown out of proportion.
Contrary to the claims of the press, during my visits, I observed that UAE citizens have access to the services they need in order to live happy, secure lives.
Q: Last December, President His Highness Sheikh Khalifa bin Zayed Al Nahyan launched an initiative to improve the UAE's parliamentary experience and to enhance participation in political life. What steps will your government take and what is the timeframe?
A: We set up the first Ministry for Federal National Council Affairs, which proves the government's interest in the FNC and its role.
Sheikh Khalifa's proposal with regards to the parliament has the blessing of the Federal Supreme Council... The plan will be implemented soon.
Q: Some people are afraid your increasing federal responsibilities may lessen your role in Dubai's boom. How would this affect Dubai's development?
A: Rest assured that this will not happen. We are well aware of our goals and objectives and we know where we're going. We have plans and programmes that will be implemented within specified timeframes and we have ways to measure our performance.
A major part of my vision involves creating teams and readying leaders. In Dubai, I depend on a team that I guide, follow up with, encourage and from whom I expect results.
At the federal level, the Cabinet is the team and the ministers direct the work and set up teams within their ministries and each ministry has a plan of work, a schedule, fixed targets and standards to measure productivity and performance levels.
In the past, I have pointed out that one of the biggest problems in the Arab world is weak administration, which is the result of backwardness. Among the reasons for this weakness: leaders are preoccupied with minor details, factions are rampant and people won't take responsibility for making decisions. The leader's mission is to lead his group forward, not just to manage things as they are.
Leadership means moving forward, changing, making improvements, correcting errors, giving rewards and taking responsibility.
Q: The demographic imbalance has always been a political concern. How will you handle this problem? Are you considering unconventional solutions to this problem? If so, what might these solutions be?
A: There are many factors behind this imbalance. These factors have accumulated over the past 35 years, so there is no quick solution. There are two solutions to this problem which should work in tandem: To encourage UAE nationals to join the labour force which will happen over a period of years, (approximately 400,000 UAE citizens will join the workforce in the next 10 years), and to restructure the UAE's economy.
The Emirates' economy has to make the transition from a traditional economy reliant on a large number of unskilled labourers to an economy with advanced technology and skilled workers.
Q: There's heated discussion about the problems with education in the UAE. You have set up a council for education in Dubai and one in Abu Dhabi. Does this mean there'll be a shift in the way education is managed in the UAE?
A: Yes, we face a real problem here. This sector is not as developed as the country's other sectors, although 36 per cent of the federal government's budget is allocated to education and this is the biggest budget of all the ministries. The average spending per public school student is as high as that in developed countries. The UAE has one of the highest teacher-to-student ratios with 12 students per every teacher or administrative staff member.
The problem lies in how education is administered and we are working to resolve this.
As for the education councils, they support education in the country as they complement the Ministry of Education's efforts.
The Ministry of Education and the education councils will devise a new formula for administering education.
Q: So, what is this formula?
A: It will be revealed soon. It will make schools attractive to students and curricula will improve students' knowledge and encourage them to seek information, to analyse and to think.
It'll make teaching a respected profession again and restore teachers to the social status they deserve.
The time for spoon-feeding, memorisation and intimidation passed a long time ago.
A school's primary responsibility is to teach students how to learn, how to acquire knowledge, how to think and how to make choices. Schools should also teach students that education is an ongoing process.
More inventions have been patented in the last 20 years than ever before. It's not easy to improve education but we're determined to succeed, and we'll set a great example.
Q: What is the government's plan regarding the laws that will be amended?
A: Every law that needs amending will be amended. Trade-related laws will be amended to comply with the UAE's membership of the World Trade Organisation within a framework and timeframe that serves the interests of the UAE people.
As for the laws related to legal procedures and lawsuits, they should cover all new local and international issues.
Q: Will the UAE pay a political price for signing a free trade agreement with the US, especially with negotiations still underway?
A: The UAE will not pay a political price for any trade agreement signed with the US or any other country.
Q: To what extent does the issue of Iran's nuclear programme affect the GCC's relations with Iran? And do you think this issue will influence the chance of finding a peaceful solution to the dispute over the three UAE islands of Greater and Lesser Tunbs and Abu Musa?
A: Our stand on the Iranian nuclear issue is based on our well-known position with regards to clearing the Middle East of weapons of mass destruction. We call for this and other regional issues to be resolved peacefully using negotiation and within the framework of international legitimacy. As for the issue of the islands, the UAE is committed to finding a peaceful solution.
Q: But the GCC has voiced its concern over Iran's nuclear plans?
A: This is a legitimate concern given that the Iranian installations on the eastern shore of the Gulf are close to the Arab states on the Western shore. That means any radioactive leak, God forbid, would adversely affect the region. The Chernobyl disaster is still fresh in our minds and its effects are still visible.
Q: Where do you see the AGCC going, especially in light of the improvement in the transfer of capital and investments between GCC countries?
A: I am optimistic about the future of GCC cooperation. The increasing participation of the private sector enhances this cooperation. The growing number of investment transfers and joint ventures among the GCC member states is a fruit of the GCC harvest.
We want to speed up this cooperation and to see a GCC common market and more private sector joint ventures. We also want to extend this cooperation and to see a common Arab market and more Arab private sector joint ventures.
Q: Iraq is still suffering, as is the whole Arab world, especially the GCC countries. What do you predict for Iraq, and how will this affect the region's countries?
A: The current situation in Iraq is very dangerous and anything could happen. We are betting on our Iraqi brothers and the wise leaders to prevent Iraq from sliding into endless turmoil. Unless the Iraqis help themselves, no foreign aid will help.
Iraq is a multi-ethnic religiously diverse country and all members of Iraqi society have to agree on one vision for Iraq's future and on one programme to rebuild and unify the country.
I am optimistic - I believe in the Iraqis' wisdom, and I hope that the formation of Iraq's government will be the first step to rectifying the situation for Iraq and the region.
Q: The Palestinian government faces international pressure and sanctions since Hamas' victory in the elections. How will you handle this group, and is America pressuring you not to help the Palestinian government?
A: In the UAE, our attitude is clear. We support our Palestinian brothers regardless of who leads them.
The UAE has a presence in Gaza strip and the West Bank in the form of the Red Crescent Society and large projects such as Sheikh Zayed City and Sheikh Khalifa City and in Jenin, Jerusalem and other cities.
We respect the choice of the Palestinian people and we deal with their legitimate representatives, whoever they may be.
Q: The last Arab summit didn't meet expectations or take the situations in Iraq, Palestine, Lebanon and Darfur into consideration. Frankly, people no longer have any faith in these summits. How much longer will we have such summits?
A: Naturally, I'm optimistic. It is our destiny as Arabs to work together and to face challenges together. We have all that we need and opportunities exist, and even putting aside all the things that Arab countries have in common, geography alone dictates that Arab countries should cooperate.
The world takes all these commonalities into consideration when it deals with us. We can see this in the heart of international policies and plans regardless of whether these common factors are effective. We have to work with these commonalities and direct them into positive constructive directions.
I wish there were two Arab summits per year. One would be limited to development and economic issues. Political affairs and current issues are important and they demand reactions, pan-Arab policies and ways to implement these policies. In my opinion, pan-Arab cooperation in terms of the economy and development is even more important. Those who are developing successfully and who have economic power are, of course, politically powerful, while those who are developmentally and economically weak are marginalised in terms of both culture and politics. In 10 years, the population of the Arab world will have reached 400 million and the Arab world has to provide 100 million jobs. How do we handle such a great challenge?
The Arab countries must handle development by considering it a great battle that we have to undertake and win.
Q: But development needs stability and potentialities?
A: Apart from Iraq and Palestine and, to a lesser degree, Lebanon and the Sudan, most Arab countries enjoy a certain amount of stability and security, and anyone who has concerns about stability should look at the real reasons for these worries and address them.
As for potentialities, I say that they exist. The most important component of development is human resources. Around the world, there are several countries that have achieved miracles in terms of development despite insufficient human resources - some don't even have natural resources. Anyone who thinks that potentialities are limited to money and natural resources won't be able to achieve the smallest degree of development.
Q: But the Arab region is targeted by international powers that interfere in Arab affairs and that launch readymade reforms and that sometimes use military force or intimidation. This has a negative impact on our stability and development.
A: When was the Arab region ever not targeted by international powers? The Arab region has always been home to celestial religions and the greatest civilisations; it is very important for its geographic position, natural resources, rich heritage and other unique attributes.
This situation is another reason we should work harder with persistence and awareness in order to develop and progress. Man is tested not in times of leisure and ease, but in times of adversity and challenge.
Q: With the high rise in oil prices and the revenues accumulated over the years, could some of this revenue be directed to other Arab countries?
A: The issue isn't large amounts of revenue but having a climate conducive to investment in the Arab countries. Certainly, Arab investors would prefer to invest in Arab countries, but is the investment climate conducive to this?
Some Arab countries have made improvements in this regard, but it's still happening very slowly. In my opinion, the amount of Arab investment in Arab countries is related to improvements in the investment climate - by which I mean stability, laws, legislation, procedures, transparency and skilled workers.
As long as the general investment climate improves, the flow of investment will increase.
Q: In the past two years, Dubai has undertaken more investment initiatives in both the Arab region and overseas. What is the rationale behind this and do you have any guarantee that the investments will be safe considering the political or legislative issues?
A: The international economy is increasingly integrated and the UAE's economy is considered one of the most responsive to changes in the international economy in the Arab and Gulf region.
We think it is natural that investment flows from the UAE to other countries and vice versa.
As for your question about guarantees, guarantees can be found in the investments themselves. You would never invest in an unsafe environment. If you are referring to the Dubai Ports World deal that was opposed by the US Congress, I think that's a separate case with special considerations. The solution we arrived at will protect the rights of both sides - Dubai's rights in the P&O deal and the US' rights.
Q: Some people have described Dubai's astonishingly rapid growth as a bubble. How do you respond to such claims and how do you avoid any negative after-effects of the fast paced development in Dubai?
A: If we had listened to talk about the 'bubble', I am sure that we wouldn't have accomplished anything. We have heard the word 'bubble' for decades with every major project that we have undertaken. When the word 'bubble' becomes meaningless, you come across descriptions such as 'White Elephant', which has been used to describe major projects such as DUBAL, Jebel Ali Port, Dubai World Trade Centre, the islands of The Palm projects and Burj Al Arab.
By the way, the term 'bubble' is spreading throughout this region and is now used to describe all successful projects. When you ask those who speak of the bubble what they mean, they can't give you a straight answer.