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Abu Dhabi Seeks Investment
to Boost Technology Transfer

The officials disclosed their aim, part of a development plan called Abu Dhabi’s Vision for 2030, at the second annual Abu Dhabi Investment Forum. As part of their sales pitch, the director-general of the emirate’s Council for Economic Development told the forum that Abu Dhabi’s annual inflation rate has eased to less than 4 per cent.

“Abu Dhabi seeks to maximise its slice of FDI (foreign direct investment) despite ample financial resources. The trend towards attracting foreign investments is not driven by the need for capital, despite the increasing importance of this factor, but has to do with technology transfer,” said Nasser Ahmed Alsowaidi, Chairman of the Abu Dhabi Department of Economic Development.

“The flow of foreign investments to any country results in benefits that go beyond the mere attraction of capital and modern technology. Through foreign investments, we will also be benefiting from the advanced managerial, operational and technical expertise of foreign companies, besides their experience in the utilisation of national resources,” Alswaidi said in a keynote speech at the forum.

Britain, an important target for Abu Dhabi’s appeal, is already the UAE’s biggest international investor. The UAE is Britain’s 14^th largest export market — larger than China or India, according to the UK Foreign and 
Commonwealth Office.

“The UK is a world leader in the field of technology transfer. Our innovative scientists and businesses working in areas such as low carbon, energy, nanotechnology and ICT collaborate have the expertise to help Abu Dhabi in the years ahead,” British Minister for Trade, Investment and Small Business Lord Davies of Abersoch told 
the forum.

Waleed Al Mokarrab Al Muhairi, director general of Abu Dhabi’s Council for Economic Development, noted that the emirate’s inflation rate has cooled to low single digits.

“We’ve seen the inflation rate really dip. We are talking about sub-4 per cent, give or take, in Abu Dhabi today,” Al Muhairi told the forum.

He added that the UAE government has no plans to rejoin the project for Gulf monetary union. The United Arab Emirates pulled out of plans for a regional monetary union in May, in protest at a decision to base the joint central bank in the Saudi 
capital, Riyadh.

Four of the Gulf Cooperation Council’s six member states still aim to adopt a common currency. Oman opted out three years ago.

Giyas Gokkent, chief economist of the National Bank of Abu Dhabi, said that while Abu Dhabi is economically reliant on oil — which accounts for 80 per cent of government revenues — the emirate’s huge cash reserves give it the financial muscle to continue with its diversification strategy.

Abu Dhabi’s non-oil activity appears more robust than in other parts the country, he said.

“In the case of Abu Dhabi it is fair to say we still have positive onward growth.” — business@khaleejtimes.com