Franco-GCC forum urges closer trade, other links

Meeting for wide-reaching discussions on trade and investment relations between France and the Gulf Cooperation Council (GCC), participants in a forum held in Paris yesterday urged closer ties in many areas, although it was recognized that there have been some noteworthy improvements in the recent past.

Scores of representatives of the French and GCC business communities gathered for the 3rd FranceGulf Countries Economic Forum to discuss, in particular, ways to boost mutual investment and trade links, a meeting that was held under the aegis of the Franco-Arab Chamber of Commerce.

Opening the event, the Chamber’s Secretary-General Dr Saleh Al-Tayar told participants that he was optimistic about the future and that he was sure the meeting would enhance contacts and foster closer cooperation on both sides. “The road is open,” he said. “There are no limits.” Chamber of Commerce President Vincent Reina also stressed the importance of the GCC for France and he underlined the Gulf region is “essential on a geostrategic plane.”

The Gulf region and its stability, from a political view point, “conditions a large part of the equilibrium in the world and in our societies,” Reina said. He pointed out that it was not just the fact that 40 percent of world oil reserves were located in the GCC, but the post-oil era will be of huge importance to countries like France because of the economic policies now being implemented in the Gulf.

This is an opportunity for French enterprise and investors who should capitalize on the emerging conditions to work with Gulf countries he added, and he underlined the attractiveness for investment there. “The Gulf countries are today among the most advanced in the world in matters of financial regulation,” he said, noting some differences between the pace of change in some countries but stressing “a lot of progress has already been accomplished.”

Diversification

Speaking specifically on Kuwait, the Chamber President said ongoing economic diversification plans indicated that projects were now envisaged to move out of a solely oil-based economy and France was active in several sectors. In line with the 20152019 development plan, he identified these sectors as “energy, water treatment, health, transport, infrastructure and security-defense.

Reina also noted the Kuwaiti role in favor of the environment and said “sustainable development” would be getting particular attention as “Kuwait actively participated in the UN Conference on Climate Change” which got an important global agreement at the Paris Conference in December 2015.

Speaking on behalf of the Gulf Countries, GCC Deputy Secretary-General for Political Affairs and Negotiations, Dr Abdulaziz Al-Auwaisheg said “France has been a very important partner in 2014” for trade but volumes have dropped off by about 6 percent in 2015 because of the drop in oil prices. He also stressed “very modest” investment levels between the partners and he said “we have to concentrate on this.”

Auwaisheg also underlined the need for cooperation in several other areas, among them on political issues like Syria and Yemen, where there are very close views. He praised the high level of security cooperation which he said was “very close,” including in the fight against terrorism and efforts to combat the propaganda discourse of terrorist groups.

But he urged more security for maritime traffic which he said was vulnerable to attack. “We need to tighten up this security, especially on maritime routes,” he cautioned. The GCC official also encouraged more should be done on education cooperation and communications and media to better highlight the positive sides of the Gulf region.