Tuesday 9 August 2022

Gulf boasts top business climates among emerging markets

DUBAI, January 19, 2016

Gulf states, led by the UAE, offer the best business conditions found in the world’s emerging markets, according to the 2016 Agility Emerging Markets Logistics Index.
The index, in its seventh year, ranked 45 leading emerging markets countries based on their size, business conditions, infrastructure and other factors that make them attractive to logistics providers, freight forwarders, shipping lines, air cargo carriers and distributors, said a statement.
It also includes a survey of more than 1,100 global logistics and supply chain executives, it said.
UAE, home to the powerhouse economies of Dubai and Abu Dhabi, ranked ahead of much larger economies, finishing second overall behind only China among the countries in the 2016 Index. 
China’s economy is 25 times larger than UAE; India’s is five times the size of the UAE economy; Brazil’s is six times larger.
Among the countries in the Index, UAE, Qatar and Oman are the most business friendly, based on a combination of market access, risk, regulation, foreign investment, urbanisation and wealth distribution. 
Other Gulf states also ranked near the top in business conditions - Saudi Arabia (5); Kuwait (9) and Bahrain (11).
UAE led all 45 countries in 'connectedness,' meaning it has the best combination of infrastructure, transport connections, and customs and border administration. After UAE, Malaysia, China and Chile rank highest in connectedness.  
Elias Monem, chief executive officer - Middle East and Africa, Agility Global Integrated Logistics, said: "The UAE is a model for emerging and developed economies alike.
“In areas critical to logistics providers and their customers, it has been exceptionally farsighted. Its infrastructure and regulatory framework are not merely best-in-class among emerging markets, they are among finest found in any country, no matter how advanced.”
The survey findings showed that logistics industry executives are braced for more uncertainty and volatility in emerging markets in 2016. 
About 61 per cent said they are unclear on the direction of the world economy or expect more turbulence. Their top concerns: China’s economic health, oil prices and the direction of the US economy.
Essa Al-Saleh, president and CEO, said: “It was a volatile year for emerging markets, and you see that in the Index. Eight of the top 10 emerging markets shifted places.
“Despite the turbulence, the fundamentals driving growth remain consistent – a rising middle class with spending power, progress in poverty reduction, growing populations. That’s why we are still positive on the outlook for emerging markets and see them driving global growth.”
Transport Intelligence (Ti), a leading analysis and research firm for the logistics industry, compiled the index.
John Manners-Bell, chief executive - Ti, said: “The world’s economy is still riven by instability, and emerging markets such as China and Brazil have not been immune. 
"However others, such as Mexico, are in a far stronger position and will benefit from the economic growth experienced in the US and Europe. More than ever, investors in emerging markets need to be discerning and the results of our Index are critical to providing clarity in a confusing and complex world.” - TradeArabia News Service

Tags: UAE | Gulf | Agility | business | market | emerging | states |

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