The 4th World Islamic Economic Forum Conference Report

State of I 28 April – 1 May 2008 5 Special Message by Tun Musa Hitam Chairman, WIEF Foundation

6 Special Message by Tan Sri Ahmad Fuzi Abdul Razak Secretary-General, WIEF Foundation

7 Special Message by Syed Abu Bakar Almohdzar Managing Director, WIEF Foundation

9 Introduction by Fazil Irwan Som Director, Editorial and Business Development, WIEF Foundation

12 WIEF Businesswomen Forum: “Capacity Building & Synergistic Linkages – The Way to Success”

22 2nd WIEF Young Leaders Forum

30 Development & Finance in the Islamic World: Between Islamic Development Agencies, Kuwait & International Financial Institutions

32 Meeting Programme of the Commercial & Islamic Chambers Chairmen & Businessmen with Members of the Kuwait Chamber of Commerce & Industry

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42 Leadership Panel: Islamic Countries in a Competitive World

46 Parallel Session: Small and Medium Enterprises

49 Parallel Session: Telecommunications, Transport & Logistics

52 Parallel Session: Infrastructure & Real Estate

54 Parallel Session: Tourism & Travel 58 Plenary Session: The Muslim World as a Burgeoning Market

64 Plenary Session: The Future of Energy in a Changing World

67 Plenary Session: Economic Partnership between the Gulf Cooperation Council Countries (GCC) & the Muslim World

71 Plenary Session: The Role of Investment in Poverty Reduction

76 Parallel Session: Education and Development in the Islamic World

79 Parallel Session: Private Sector Role in Development

84 Concluding Session

87 Concluding Speech by the Patron of WIEF Foundation: The Hon. Dato’ Seri Abdullah bin Haji Ahmad Badawi, Prime Minister of

91 About The Organiser and Supporting Organisations

96 Programme of the 4th WIEF

116 Photo Gallery

112 Declaration of the 4th WIEF

114 Acknowledgement 4 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM t gives me great pleasure to present to you the Report of the 4th World Islamic Economic Forum that was held on 28th April – 1st May 2008 in Kuwait. I wish to take this opportunity to record my sincere gratitude to the IEmir of Kuwait, His Highness Sheikh Sabah Al Ahmad Al-Jaber Al-Sabah, the Prime Minister of Kuwait, His Highness Sheikh Nasser Al-Mohammed Al- Sabah, the government and people of Kuwait for their generous hospitality in hosting the Forum.

I am pleased with the success of the Forum in bringing together prominent Heads of State and Government as well as notable captains of industry, young entrepreneurs and businesswomen from various parts of the world including the Middle East, Southeast Asia, the African continent, and the Commonwealth of Independent States (CIS) to discuss various topics, with a view to strengthening business collaboration DPRQJVW WKH 0XVOLP EXVLQHVV FRPPXQLW\ %HLQJ WKH ¿UVW )RUXP WR EH KHOG LQ WKH 0LGGOH (DVW , ZDV SDUWLFXODUO\JODGWRQRWHWKHVLJQL¿FDQWEXVLQHVVLQWHUHVWVFRQYHUJLQJEHWZHHQWKHVHGLYHUVHFRQWLQHQWV with the presence of a highly liquid pool of sovereign funds coming from the Gulf countries. The 4th WIEF in Kuwait could in many ways be described as a watershed in introducing Gulf capital right in front of the doorsteps of emerging businesses around the Muslim world.

This Report of the 4th WIEF is an encapsulation of the pertinent discussions held during all the Sessions of the Forum including the Young Leaders Forum and the Businesswomen Forum.

It is my sincere hope that this Report would provide a useful insight of the Forum and a handy source of reference for not only those who attended the Forum but also those interested in following the discussions held at our previous Forums.

I wish to thank the participants of the 4th WIEF in Kuwait and look forward to welcoming you once again to our 5th WIEF in Jakarta in February 2009.

Tun Musa Hitam Chairman WIEF Foundation

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I5 am honoured to assume the post of Secretary-General of the World Islamic Economic Forum (WIEF) at the end of the 4th WIEF in Kuwait. The WIEF is now entering a new phase of its development since the convening of the I1st WIEF in in 2005. With the establishment of a permanent Secretariat and the recruitment of additional staff within a new organizational structure, the WIEF is now poised to widening its reach in pursuit of its objectives. Members and participants of the Forum can now

ORRNIRUZDUGWRDEHWWHUFRRUGLQDWHGDQGPRUHHI¿FLHQWRUJDQL]DWLRQRIERWKRXUDQQXDODQGUHJLRQDOHYHQWV in the years ahead.

The publication of WIEF related materials, as manifested by this Report of the 4th WIEF, would be an important aspect of the work of the Secretariat. It is our sincere hope that WIEF publications would be a useful source of information and reference to all those keen in doing business in the Muslim World.

The Secretariat is fully aware of the existence of various national, regional and international Forums dedicated to pursuing similar objectives. It is observed that members and participants of the WIEF are also involved or associated with programmes organized by such Forums. It would be our strategy to preserve the distinctive character and global stature of the WIEF. Unhealthy competition and wasteful duplication of resources would be avoided through a more effective coordination of programs and activities with the relevant Forums.

Having witnessed a highly successful 4th WIEF in Kuwait, efforts are now being devoted to detailed preparations for the holding of the 5th WIEF in Jakarta in February 2008. Various sessions of special interest to all participants of the Forum are being planned and we look forward to your continued active support and cooperation.

Tan Sri Ahmad Fuzi Hj. Abdul Razak Secretary General WIEF Foundation

6 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM am pleased to report that the newly established permanent Secretariat of WIEF in Kuala Lumpur is now ready to serve members and participants of the Forum. Various organizational and functional aspects of the Secretariat Iare now being put in place to meet this objective.

The publication of this Report of the 4th WIEF would no doubt promote greater awareness and interest of the Forum amongst members of the business community. Appropriate research activities would also be undertaken to enable the Foundation to enrich its corpus of publications.

We recognise that adequate funding is crucial to the success of our Forums and to enabling us to carry out our programmes and activities including those undertaken under the framework of the Young Leaders Forum, the Women Business Network and the WIEF Education Trust. Towards this end, greater efforts would be made at increasing the membership of the WIEF as well as the sponsorship and support of WIEF’s wide ranging projects.

We are keen to ensure that membership of the Forum would bring various privileges that we hope to incrementally improve over the years. I wish to take this opportunity to urge business corporations, individual businessmen and relevant institutions to become members of the WIEF thus enhancing mutually

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Syed Abu Bakar Almohdzar Managing Director WIEF Foundation

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I7 8 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM his post-conference report book is a compilation of proceedings taken from the various plenary and parallel sessions of the 4th World Islamic Economic Forum that took place in Kuwait on the 28th April to 1st May 2008. The proceedings are a summary of key points that resulted Tfrom the rich dialogue between the panelists of these sessions as well as from participants during the Q&A session.

Unlike the previous year, this book mainly consists of notes taken from our team of rapporteurs who were tasked to cull useful and pertinent information from the sessions based on a set of guidelines. This includes points that has direct relevance to the topic at hand, and most importantly, to highlight those information that contains not only current knowledge or status update of the industry in question, but also action-oriented

SRLQWV,QRWKHUZRUGVLIWKHUHDUHDQ\SRLQWVSURSRVHGE\WKHSDQHORUE\WKHSDUWLFLSDQWVIURPWKHÀRRU that provides some kind of practical idea or a feasible plan to a problem discussed, these will constitute the main chunk of notes for that session. The format of the notes, as you may notice, will obscure for the most part, the proposer of the points mooted. The reason for this exercise is simply because there are numerous

LGHDVDQGRSLQLRQVÀRDWLQJDURXQGWKHVHVVLRQVDQGLWZLOOEHDQHGLWRULDOPHVVWRLQFOXGHWKHQDPHVRIDOO these individuals. However, if the idea is part of a presentation given by a panelist that is substantiated with facts and action plans, the names of these proposers might be included in the pages.

Fazil Irwan Som Director, Editorial and Business Development WIEF Foundation

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I9 Rana Kamshad, Executive Director of Injaz .XZDLWDWWKH¿UVWSOHQDU\VHVVLRQRIWKH:,() Young Leaders Forum.

10 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM

WIEF BUSINESSWOMEN FORUM “CAPACITY BUILDING & SYNERGISTIC LINKAGES – THE WAY TO SUCCESS”

small income. However, 90% of these women are illiterate and there are no efforts to help them to overcome this problem, hence the reason for the big gap that exists between the men and women in business. Thus, the Arab women do face a lot RI GLI¿FXOWLHV DQG SUREOHPV LQ EXVLQHVV DQG LW LV KRSHG WKDW at this Forum, we are able to share ideas and experiences and to look at tangible actions and recommendations on what women must do now to build capacity and linkages amongst them in order to move forward to success in the near future.

Participants listening intently during the WIEF Businesswomen Forum on 28th April 2008 DATO’ DR NORRAESAH MOHAMAD, Chairman, WIEF Businesswomen Network, mentioned that the objectives .E DR. SHEIKHA HISSAH SAAD ABDULLAH of this Forum were to bring together businesswomen and AL-SALIM AL-SABAH, Chairman, Organizing entrepreneurs from various sectors to interact, exchange HCommittee, Kuwait, said that this Forum would ideas, identify best practices and eventually to establish deliberate on the role of women in the economy, what women effective synergies and create useful networking support. must do to move forward, and how women can work together ,WLVKRSHGWKDWDWWKLV)RUXPFKDOOHQJHVZRXOGEHLGHQWL¿HG in the area of business and sharing of experiences amongst us. Half of the world’s population lives on USD$2 per day and a third of the poor are women. A third of the world’s population who are illiterate are also women and 17.1% of the women are unemployed as compared to men that represent 10.6%. Further records also say that an average of 35.3% of young women aged between 15 to 24 years old are unemployed. The Arab women’s share in business participation is the least in the world and this trend will continue if no efforts are being done to address this situation.

In 2003, Arab women’s participation in the economy was 49% where 28% of them are employed and they helped to raise the standard of living of their families. An analysis was made on 13 Arab countries on women’s participation in business and found out that 36.1% in , 56% in , 25% in and 43% in of the women are involved in business. Since 80% of them are married and have families, they need the extra money to help the economy of their families. They are involved in businesses such as tailoring at home, handmade products, food products and so on, but 80% of them earn very

12 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM and synergies established to create network and support , and Malaysia. The next plan now is to for women. She also mentioned a short history of WBN set up a Training Centre for Women Entrepreneurs with the (Women Business Forum, an initiative of the WIEF cooperation from IDB and negotiations are currently taking Foundation), born in 2005 at its 1st Forum in Kuala Lumpur. place with several universities and training organizations 7KH ¿UVW LQLWLDWLYH WR GLVFXVV LVVXHV DQG FKDOOHQJHV IDFHG to enter into an agreement to conduct entrepreneurial by businesswomen from the OIC member countries was development programmes for women as training is an important held during the 2nd WIEF Forum in Islamabad, Pakistan element for women to remain competitive in business. in 2006. The 1st WBN was held in Kuala Lumpur in May 2007 as a prelude to the 3rd WIEF Forum where about She recommended that women must take advantage of 400 delegates coming from 13 countries attended it. She the rebranding image perception, as the world is moving mentioned that from the business matching programme set towards a more women-friendly economic environment. up, transactions worth RM14 Million (USD$3.5 Million) were Women must start with women supporting women and that concluded. we should introduce a new benchmark and key performance index. Women continue to receive only a fraction of the As part of some of the initiatives that had been taken, three billions of dollars of traditional credit facilities and VC funds MOUs were signed in Islamabad to develop nurses training and funding remains a compelling issue. It is hoped that programmes between enterprises in relevant sectors in delegates and speakers could look at new initiatives to democratize capital and to narrow the serious capital gaps.

MRS AZZA FAHMY, &KDLUPDQ2ZQHU $)- *URXS RI &RPSDQLHV (J\SW, related her journey of creativity as a businesswoman and an artist. She had worked with the Government for 8 years before starting her business from a one-woman-show to a structured international organization having branches in , Dubai, , Cairo and Alexandria. She shared her interest and passion for designs UHÀHFWLQJ KHU LQQHU SHUVRQDOLW\ 6KH VWDUWHG ZLWK WKH WKHPH of nature, which then moved on to culture where she incorporates poems in her designs of the jewelleries that she makes. Her company had worked for 5 years on small projects before they moved on to bigger plans and now her Company employs about 200 staff. For the last 3 years they have received much publicity in the media like in The Economist, Financial Times, Forbes and some magazines in Europe and . Azza Fahmy is currently writing a

Dr. Sheikha Hissah Saad Abdullah Al-Salim Al-Sabah giving a speech ook and she intends to set up a training centre to teach and infront of a full crowd of participants of the WIEF Businesswomen train students at high-level education and graduate studies. Forum

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I13 WIEF BUSINESSWOMEN FORUM “CAPACITY BUILDING & SYNERGISTIC LINKAGES – THE WAY TO SUCCESS”

SESSION 1 CHALLENGES FACED BY WOMEN ENTREPRENEURS

DATO’ DR NORRAESAH MOHAMAD, Chairman, WIEF Businesswomen Network, moderated the session and introduced the speakers.

MRS SAHAR AL-SALLAB, Vice Chairman and Managing 'LUHFWRU&RPPHUFLDO,QWHUQDWLRQDO%DQN(J\SW, stressed that women must be technically able and be trained to manage well to work with men. Leadership is growing very fast in this Taking time off for the cameras after the plenary session part of the world and women can now work better and be team members and players to enable them to lead businesses better. If women take work seriously and deliver effectively, suggested that women must change the stereotyping in entrepreneurship will be easy. society of their image, for example breaking the stereotype that women have to work hard to get to the top. She also said MRS MAHA AL-GHOUNAIM, 9LFH&KLHI([HFXWLYH*OREDO that women need soft skills to go forward and be successful in Investment, Kuwait, said that there are still not many women the business world. in the areas of investment and banking sectors and let alone holding leading positions. So, what does it take for women PROF ELISABETH ENGELLAU, Programme Director of to hold jobs in the banking and investment (both public ,QVHDG*OREDO/HDGHUVKLS $GMXQFW&OLQLFDO3URIHVVRURI and private) sectors? The opinion is that women cannot be Management, , said that her Business School focuses entrusted with cash or money. She said that in the past she more on the private sector and although the world is changing rarely saw women attending business meetings with founders it is taking place at a slow pace. In the public sector, women of the family business. However, now there seem to be some are becoming more prominent, although it is much slower in changes across the GCC (Gulf Cooperation Council) region the private sector. So, what is holding the women back? This is and it is a new beginning. However, this does not mean it because women very rarely make a move from the functional is necessarily getting easier for women. Today with global management to a line management. And she also pinpointed LQYHVWPHQW LW LV JHWWLQJ PRUH GLI¿FXOW DQG PRUH FRPSHWLWLYH that it is important for women to be a part of a formal network. Women must learn to “multi task” and juggle many roles and At the same time women are not good at self-promoting. need to manage these roles at the same time. Women must They need to address and deal with stereotyping issues and learn to strike a balance and only then can they succeed. preconceptions of women’s roles and their abilities. At the same time, women have greater commitment to personal or MRS ELHAM HASSAN, 7KH &RXQWU\ 6HQLRU 3DUWQHU IRU family responsibilities. Also, women have the biological clock 3ULFHZDWHUKRXVH&RRSHUV %DKUDLQ, suggested that a to worry about which the men do not have to. “women economy” be created as all designs in the business ZRUOGDUHGHVLJQHGWR¿WPHQDQGKDVQRJHQGHUVHQVLWLYLW\ MS ROKIA ARAHMAN, &KDLUPDQ:RPHQ¶V(QWUHSUHQHXUV so women need to work in their own vocabulary. She also $VVRFLDWLRQ RI %DQJODGHVK  &KDLUSHUVRQ $UOLQNV

14 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM WORKSHOP 1: NEW ESSENCE OF BUSINESS

MODERATOR 0UV %HJXP 6DOPD $KPHG )RXQGHU addition it gives rise to illegal trade and misuse of ideas, 3UHVLGHQWDQG&(2:RPHQ¶V&KDPEHURI&RPPHUFH merchandise and products. It also gives rise to knowledge DQG ,QGXVWU\ 3DNLVWDQ introduced the session and that is not necessarily ethical. Technology ignorance can panelists. be surmounted with governments giving top most priority to education and research and development. (QJ 0DQU $O+DVKDVK, 0HPEHU 2I +LJK /HYHO 3DQHO Of Advisers Of Gaid-United Nations, Kuwait, said that 0V 3DUYLQ $OL 2%( &(2 DQG )RXQGHU )$7,0$ the United Nations is working on global alliance in ICT Women’s Network, UK said that ICT complements the development to develop and improve lifestyles depending mobility that we have come to expect and it has increased on the needs of the various regions. Among the issues in productivity and allows for the exploitation of new ideas. using ICT for development include: Customers expect systems to be in place, which is essential for the safeguarding of companies’ reputation 1. Barriers: – Issue of accessibility dependent upon and gives the company competitive edge. availability of hardware and infrastructure and income per capita IT is less expensive, less complex and offers mobile 2. Business: – Need to look for current and future solutions solutions. 84 percent of the 18-24 age group in UK are including legal issues, which encompass copyright looking at work life balance, which is exactly what is offered laws, which affect innovative entrepreneurs. E\,77KHUHLVLQFUHDVHGHI¿FLHQF\ÀH[LELOLW\DQGUHOLDELOLW\ 3. Governments: – Regulatory framework necessary and is also environmentally friendly. The questions that regardless of the size of the businesses. Copyright need to be answered in using ICT : protection is a major issue and no laws currently afford complete protection. 1. Do customers have Internet access? 2. Do they have the knowledge? 0UV $EHGD $OPDKGL 0DQDJLQJ 'LUHFWRU 81,&216 3. Do they have the speed to address needs of &RQVXOWDQF\ /WG (FRQRPLF &RQVXOWDQF\ /WG customers? emphasized that technology has increased levels of 4. What is the method of payment preferred by the accessibility to international markets. However, this is customers? also dependent on user skills. There has been increase in internet users in the last 5 years and ICT has given another Opportunities and Challenges in using ICT: aspect of trade compared to the traditional marketing tools and has seen an evolution amongst women entrepreneurs. 1. Adapting to new demands Internet is accessible, friendly, and secure and has 2. Business-to-Business – Quality of services offered. presented new opportunities to reach markets, ultimately 3. Innovative Strategies building the economics of a country. 4. Delays and possibility of being excluded from major business deals due to usage of older marketing tools. 7KUHDWV KDYH DOVR VXUIDFHG DV WKHUH DUH LQVXI¿FLHQW 5. Fear – Fear is the biggest obstacle in moving forward. Arabic software/literature to fully optimize the Internet. In

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I15 WIEF BUSINESSWOMEN FORUM “CAPACITY BUILDING & SYNERGISTIC LINKAGES – THE WAY TO SUCCESS”

WORKSHOP 2: NURTURING LINKAGES AND CREATING SYNERGIES

MODERATOR: 0UV 2OLYH =DLWXQ .LJRQJR, President, She recommends that the Forum come up with a list of 8JDQGD1DWLRQDO&KDPEHUVRI&RPPHUFHDQG,QGXVWU\. businesswomen who had attended the Forum for the She said that in this workshop, the speakers would discuss purposes of business matching. Participants need to come WKHWRSLFRIKRZWRVWD\DÀRDWKRZWRPDNHZRPHQPRUH up with tangible results at the end of the Forum. She also visible and how to maintain and participate in business and suggests establishing an industrial hub (in Egypt, they compete globally? are coming up with an industrial hub with the Chinese) and Africa has a lot of potential. She also suggests to 0V +DQDD $O+LODOL, 'LUHFWRU *HQHUDO ,QWHUQDWLRQDO do franchise business as this kind of business is already &DELQHW RI 0LQLVWHUV 6RFLDO )XQG IRU 'HYHORSPHQW “branded” and established in the market. (J\SW, stressed the necessity of empowering women LQHFRQRP\6KHVDLGWKDWLWLVGLI¿FXOWWROLQNDQGFUHDWH Mrs Livia Samaestri, 3UHVLGHQW RI ,QWHUQDWLRQDO synergies when women are deprived with no access to %XVLQHVV 3URIHVVLRQDO:RPHQ8QLRQ, said that there bank facilities. She gave an overview how the SFD (Social is no development tool that is more effective than the Fund Development) has helped 750,000 graduates from empowerment of women. Despite the multiple commitments universities in employment, which represents a part of that have been underwritten, including the Cairo conference the 2.3 million jobs that SFD has helped to create so far. in 1994, the Beijing conference in 1995 and the summit SFD provides SME & MC (micro credit) entrepreneurs of the Millennium in 2000, inequality between men and with attractive loans that give lower interest rates than the women remains in many countries where human rights normal bank loans and their target groups of SMEs are are concerned. As the World Bank has stated, inequality house headed females, active poor families, entrepreneurs, EHWZHHQ VH[HV DQQXOV WKH HI¿FDF\ RI GHYHORSPHQW university graduates and small farmers. SFD has received policies and as a result of this, millions of women are unable VPDOO GHIDXOW UDWHV RI EHQH¿FLDULHV WKDW LV OHVV WKDQ  to improve the quality of their lives and of their families. from MC loans and between 3-5% for SMEs and mostly the SMEs are women business owners. The company The goals of the millennium campaign that must be helps women to develop capabilities and enhance skills realized by 2015 which are of extreme interest for women to establish SMEs, and to adopt the approach of private are to ensure that all boys and girls complete primary business of females like sharing success stories with the school, to promote gender equality and empower women as well as to conduct workshops and forums. women, to reduce by three quarters the ratio of women The company also helps to establish business women dying in childbirth, and to develop a global partnership communication network to exchange experience and to for development. She suggested that the poor and rich promote exports. So far, SFD has transferred their technical countries alike are involved in this global deal and all knowledge to countries like Yemen, , , Saudi citizens should lobby their governments to press them Arabia and also Kuwait. to work towards achieving these goals. The spread of globalization and new information technologies are

16 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM facilitates the provision of developmental services to its SME clients through a close network of institutions. 6RPH RI %'%¶V ¿QDQFLQJ VHUYLFHV DUH LQ WKH DUHDV RI SURMHFW ¿QDQFH ZKLFK DUH QRW RQO\ LQ WKH DUHD RI manufacturing, but also in the industry and service sector, small trading, tourism, healthcare, education, DUFKLWHFWXUH DQG HQJLQHHULQJ  HTXLW\ ¿QDQFLQJ ,VODPLF ¿QDQFHHGXFDWLRQORDQDJULFXOWXUH¿QDQFHDQG¿VKHULHV As a development bank, it is not their business to destroy business, and they are there to assist business owners Delegates networking before the session LQ¿QDQFLQJ revolutionary in changing business and professions as 0UV 'RXMD *KDUEL, 3UHVLGHQW  )RXQGHU )RUJH GH OD well as private lives. She suggested that it is important for Louve, Tunisia, stressed and emphasized that women the future of our society and in the interest of world peace must be empowered to expose them to technical know- to continue to reinforce global dialogue. She suggests how in order to move forward and be successful. that we face these problems at global level, but more importantly is how do we deal with them effectively at the In the Questions and Answers session, it was raised local level, like the saying “think globally, act locally”. that the problem lies in disorganized SMEs without WHFKQRORJLFDO NQRZKRZ 0LFUR ¿QDQFLQJ IRU WKH SRRU 0UV)DGKHOD$O.KDQ, IURP3URMHFW)LQDQFH'HSDUWPHQW is more important. An awareness programme must be DQG5HPHGLDO'HSDUWPHQWRIWKH%DKUDLQ'HYHORSPHQW carried out to the women on MCs and how this kind of Bank, Bahrain, presented on Bahrain Development Bank ¿QDQFLQJFRXOGKHOSWRUDLVHWKHLUHFRQRP\$SHUPDQHQW (BDB) that was set up in March 1992 which is instrumental exhibition should be held in promoting and selling of in creating employment opportunities for Bahrainis. The products in the Arab countries. At the moment there are objectives of BDB are to help contribute towards the already 14 Arab countries that have joined in the union for socio- of Bahrain, to encourage SMEs in promoting and selling products and services and the growth of private sector and to broaden the it is hoped that this union will become a hub to import and HQWUHSUHQHXULDO EDVH WR H[WHQG ¿QDQFLDO DQG WHFKQLFDO export products and services. assistance to SMEs, among others. Earlier they were asked to concentrate on manufacturing sector more VR WKDQ WKH RWKHU VHFWRUV EXW ODWHU %'% ¿QDQFHG WKH other sectors of the economy as well. The rules and UHTXLUHPHQWV IRU ¿QDQFLQJ DUH QRZ D ELW UHOD[HG %'%

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I17 WIEF BUSINESSWOMEN FORUM “CAPACITY BUILDING & SYNERGISTIC LINKAGES – THE WAY TO SUCCESS”

Participants waiting anxiously for the session

Limited, started her business 27 years ago and had no stereotypes of women by men. Secondly, she suggested that problems to borrow money and to put the business under her perhaps it is a good idea to include and involve the men in all name. In , women have no problems to borrow of our Forums so that the men will know and understand what money and they can keep their business, and to take care we want and are talking about. She suggested that a third of of their kids, families and to pay their loans. Their lifestyles the participants in the next Forum be men. are better as kids go to better schools, their husbands and in-laws and families appreciate them. In 2006, the Women in SESSION 2 Small Enterprise Association was set up and their focus is to IGNITING THE SPIRIT OF ENTREPRENEURSHIP organize training programmes for the women and to extend VRPH¿QDQFLDOVXSSRUWWRDVVLVWWKHPLQWKHLUEXVLQHVV$WWKH MS BARIA ALAMUDDIN, Editor of Media Services moment, this Association has about 5 million women members 6\QGLFDWH )RUHLJQ (GLWRU RI $O +D\DW 8., moderated and many are doing very well. With the micro credit facilities the session. She said that in this session, the panelists they make available to women, now many businesswomen would be discussing their peak successes and engaging look forward to having bigger businesses. in dialogue allowing them to share how entrepreneurs succeeded respectively. Ms Baria started by asking some In the Questions and Answers session, Dato’ Norraesah said questions to the panelists. that there are two challenges for women; the internal challenge – the values of oneself – and the external challenges – changing

18 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM 4XHVWLRQ 

SUGGESTIONS AND RECOMMENDATIONS FROM THE SPEAKERS AS WELL AS PARTICIPANTS FROM THE FLOOR:

1. To come up with a mailing list of participants who 7. Suggests to emulate in the re-use and had attended the Forum with complete details re-cycling of wastes programmes to get alternative and distributed around for business matching and energy and at the same time to help address some networking purposes. of the pressing issues in the environment. 2. To establish an industrial hub between Arab countries 8. To promote a holistic approach of entrepreneurship and Africa. programme to help women to network better between 3. To develop franchise business as it is one of the the Arab countries and Africa most successful global business strategies to use for 9. To empower women in SMEs – no discrimination expansion of the company and market. between boys and girls and men and women and 4. To promote widely MCs to women so that they to formulate policies that will be able to attract are made more aware of this facility to assist them to women to do more business. raise their standards of living and lifestyle. 10. To have more women political representation so that 5. To have a permanent exhibition displaying products the voices are louder and they can lobby with the and services and hopefully to make this a hub for JRYHUQPHQWRQLVVXHVUHODWLQJWRZRPHQLQVSHFL¿F exporting and importing activities. in the area of business. 6. To introduce the subjects of Entrepreneurship in schools so as to instill the interest and passion in Mrs Olive Zaitun Kigongo ended the workshop by business amongst the younger generation. Also announcing that in June 2008 the Chamber of Commerce must instill the love for entrepreneurship in the up- is organizing a conference in Kampala and she bringing of kids to aspire to become businessmen and extends her invites to all the participants to attend and businesswomen and not to depend on working and to see where they can help each other. earn income.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I19 WIEF BUSINESSWOMEN FORUM “CAPACITY BUILDING & SYNERGISTIC LINKAGES – THE WAY TO SUCCESS”

MRS MADAWY AL-HASSOUN, PHPEHU RI WKH %RDUG RI -HGGDK &KDPEHU RI &RPPHUFH  ,QGXVWU\ 6DXGL $UDELD, said that she has been working very hard for 31-32 years and had a vision to achieve success. She tried to balance home and work, being a mother, wife, and grandmother as well as working towards her goals. She had a good mentor (her father) who taught her to manage her time well. She started her family business, ie stores, from scratch and shouldered all responsibilities. She would like to change the perception of Arab women by traveling around the world and telling what Muslim women have now achieved. Dato Dr. Norraesah Mohamad, Chairman of the WIEF Businesswomen Network, presenting her speech at the podium MRS FADZILAH AHMAD DIN, 'LUHFWRU RI (QWHUSULVH 'HYHORSPHQW DQG (QWUHSUHQHXUVKLS 'LYLVLRQ 6PDOO  MRS FAWZIA MUBARAK said that she started working on 0HGLXP ,QGXVWULHV 'HYHORSPHQW &RUSRUDWLRQ 0DOD\VLD, said that women in Malaysia work for economic reasons. Her her own 25 years ago when she started her own business. company develops small and medium businesses in Malaysia. Her special interest in real estate was developed since young What makes her tick is to be part of her company and help to and she studied real estate management in the university. develop and build small and medium businesses grow by way She is being entrusted by her father to carry out the work in of offering training programmes, among others. their company. She feels that women must safeguard their dignity by making their own money rather than taking it from their fathers or husbands. They should be proud of their own MS NAJAH HASSAN AL-AALI, PHPEHURIWKHERDUG+DM success but of course, if they can get more money from their +DVVDQ$O$DOL*URXS.LQJGRPRI%DKUDLQ, said that she fathers or husbands, then why not? ZRUNV YHU\ KDUG WR ¿QG KHU RZQ LGHQWLW\ DQG VHOIIXO¿OOPHQW She is thankful that she has her father to support her all the way. MRS RAJA EASA AL-GURG said that business is being dominated by men and they always put women in the “second category”. Women still face a lot of discrimination and need to MRS RAJA EASA AL-GURG, &KDLUSHUVRQ&RXQFLORI8$( prove that they are good businesswomen. %XVLQHVVZRPHQ  0DQDJLQJ 'LUHFWRU (DVD 6DOHK $O *XUJ*URXS8$(, said that she is a mother and wife and she MRS FADZILAH AHMAD DIN, said that in Malaysia, it doesn’t VWULYHVWRIXO¿OOKHUKXJHUHVSRQVLELOLWLHV matter if you are a woman or a man for as long as you are able you have equitable rights and the salaries are the same 4XHVWLRQ  :RXOG \RX DOO FRQVLGHU \RXU VXFFHVV DV among men and women. There are even more women than \RXU IDWKHU¶V VXFFHVV RU \RXU RZQ" 'LG \RX HVWDEOLVK men in universities. However, there still exists some degree of VRPHWKLQJ IRU \RXUVHOI XQGHU \RXU RZQ QDPH RU \RXU IDWKHU¶V" SUHMXGLFHLQWKHSOD\LQJ¿HOG

20 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM Listening with rapt attention at the “Igniting the Spirit of Entrepreneurship” Two delegates from the Middle East having a light chat after the session session

0UV 1DMDK +DVVDQ $O$DOL, said that women at the 0UV )DG]LODK $KPDG 'LQ said that she looks into workplace should not be isolated, instead they should be innovation programmes to bring up the levels of SMEs. working together with the men. She starts her day at 7am and ends at about 7pm or later and has a full day. She tries to balance work and social 4XHVWLRQ:K\QRWKDYHPHQ¶VSDUWLFLSDWLRQLQRXUQH[W obligations well. In the Questions & Answers Session, FRQIHUHQFH" speakers stressed that having a mentor is essential for women to achieve success, and the need for women to help All the speakers agreed and said that both need to work each other rise in the areas of business. closer together and complement each other. Women cannot isolate themselves from the men and their participation is equally needed.

4XHVWLRQ:KDWLV\RXUGDLO\VFKHGXOH"$UH\RXDEOHWR PDQDJH \RXU WLPH HIIHFWLYHO\ DQG KDYH D JRRG EDODQFH EHWZHHQ\RXUFDUHHUDQGVRFLDOOLIH"

0UV )DZ]LD 0XEDUDN said that she wakes up very early in the morning and organizes meetings with her secretary before checking her emails and plans her work for the day. Mrs Raja Easa Al-Gurg said that she works very hard but plays the domestic role at home.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I21 2ND WIEF YOUNG LEADERS FORUM

.E. JAMAL AHMAD AL-SHIHAB, Kuwaiti Minister relationships with customers and teams are necessary. RI 6RFLDO $IIDLUV DQG /DERXU .XZDLW gave the This involves sharing the company’s vision with the entire HOpening Address, stating that young businessmen organisation. On-the-job skills training must also be provided QHHGWREHEHWWHULQWHJUDWHGLQWRWKHHFRQRPLFDQG¿QDQFLDO on a consistent basis. Ensuring teamwork and cooperation is life of the Muslim world by being highly competitive. This is a helpful to maintain healthy organisational relationships. God-given mandate that should be fully lived up to. Mentorship promotes youth development by providing advice In his Opening Remarks, DATO’ NAZIR RAZAK, Chairman of DQG¿QDQFLQJ+HHPSKDVLVHGWKDWLQRUGHUWREHFXVWRPHU the WIEF Young Leaders Network (WYN) gave a progress focused and demand-driven, entrepreneurs must have a good report on WYN Programmes. Namely, the three existing and understanding of their customers. Innovative solutions should operational programmes are the Groom-A-Leader programme be actively sought, with the right methodologies, tools and consisting of the scholarship and internship programmes, and services to accompany these. Entrepreneurs must be patient the “Let’s Plug-In Education” programme. LQ ZDLWLQJ IRU WKHLU EXVLQHVV VXFFHVVHV EHLQJ ÀH[LEOH DQG adaptable to customers’ needs. He encouraged entrepreneurs COFFEE TALK SESSION that although it seems an uphill battle, this is the challenge FACILITATING YOUTH DEVELOPMENT: THE ROLE OF and with the right elements of dedication, this would be LOCAL INITIATIVES achievable.

Moderator SALEH AL-ATEEQI0F.LQVH\ &RPSDQ\,QF ,QWHUQDWLRQDO introduced the panellists.

DATO’ NAZIR RAZAK, Chairman of the WIEF Young Leaders Network said that while Malaysia has had its DI¿UPDWLYH DFWLRQ 1HZ (FRQRPLF 3ROLF\ 1(3  WR KHOS the Bumiputera community, crutches should not be there forever. Education, he said, is one of the most important tools in developing a society. Lifelong learning, internships and scholarships are good initiatives to help young leaders receive entrepreneurial training of excellent standards. Easy DFFHVVIRU¿QDQFLQJLVQHFHVVDU\WRDOORZVPDOODQGPHGLXP HQWHUSULVHVWRREWDLQ¿QDQFLQJWKDWLVFRQGXFLYHIRUEXVLQHVV Traditional banking models must change, such that banks become equity partners for society.

MIKHAIL ISLAM, Executive Director, Chittagong 6NLOOV 'HYHORSPHQW &HQWUH &6'& focused on social HQWUHSUHQHXUVKLS VD\LQJ WKDW WKHUH PXVW ¿UVW EH DQ LGHD that exists and the desire to engage the idea. Strong trusting

22 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM SIR IQBAL SACRANIE ,QWHUQDWLRQDO $GYLVRU\ 3DQHO PHPEHU :,() )RXQGDWLRQ highlighted that the ICT world (information, communication and technology) has transformed and revolutionised social consciousness, especially relevant to the young community. Despite this promulgation of knowledge, there are still a host of global crises; war, terrorism, poverty, hunger, economic crisis.

Some initiatives in the UK have started to address these, such as training and education programmes involving young Mikhail Islam, Executive Director of the Chittagong Skills Development Centre (CSDC) giving his presentation during the people, NGOs and others already engaging with local session on “Facilitating Youth Development: The Role of Local communities. Mentorship schemes are positive steps in the Initiatives” right direction. Leadership programmes should ensure a close working relationship with professionals in industry. In the Question and Answer session, it was emphasised that self-driven approaches are preferred over schemes that create an unnatural push for entrepreneurs and preferential ¿QDQFLQJVFKHPHV6HYHUDODFWLRQSRLQWVHPHUJLQJIURPWKLV session were: ‡ The need to include more young women into the Young Leaders Network, creating greater opportunities for them; ‡ Introduce an international database bringing together global best practice for sharing within the Network; ‡ Enhance industry-academia collaboration (the “Education for Employment” scheme is one such example to learn from)

PLENARY SESSION ENCOURAGING MENTORSHIP PROGRAMMES: DEVELOPING YOUNG LEADERS

Panelists of the WIEF Young Leaders Forum’s session on Encouraging Mentorship Programmes: Developing Young Moderator DATO’ NAZIR RAZAK, Chairman, WIEF Young Leaders (L – R) Khalid Al Zanki, representative of Young Arab Leaders Network introduced the panellists of the plenary Leaders Kuwait, Rana Kamshad, Executive Director of Injaz Kuwait, Dato Nazir Razak, Group CEO of CIMB and Chairman session. of WIEF Young Leaders Network, Mahmoud Atalla, Co-Chair of Prince of Wales’ Mosaic Mentoring Programme, Hesham A. Tashkandi, General Manager of the Centennial Fund and Anas J. HESHAM A. TASHKANDI *HQHUDO 0DQDJHU 7KH Meerza, Assistant Vice President of the Investment Technology &HQWHQQLDO)XQGshared about the Centennial Fund, which Entrepreneurship Centre. is a charity based on the principle of lending money to

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I23 2ND WIEF YOUNG LEADERS FORUM

disadvantaged youth. Although initially it was unsure whether has expanded rapidly into the region, attracting many young or not this model would work in the Arab world (after having leaders. Some of its programmes include a secondment adopted a Western model), four years later it has proven itself. programme, where professionals from the Arab world are Based on experience, however, only 30% of success comes brought to the to receive employment training from funding and the remaining 70% of entrepreneurship through job shadowing of senior managers. Likewise, success comes through mentorship. The relationship between American professionals are brought to the Middle East mentor and mentee has been extremely strong in the past, and to observe how business is conducted there. One other this produces excellent results. Once people are convinced programme is to get internship programmes within companies to make a difference, they merely need to learn how to do in Europe. Third, Young Arab Leaders also participates in it. Mentorship is therefore the key in creating successful conferences in Asia, bringing successful leaders together. entrepreneurs. If approached right, results will speak for One objective is to utilise different networks to become more themselves. successful in the long run.

MAHMOUD ATALLA &R&KDLU RI +5+ 3ULQFH RI :DOHV¶ RANA KAMSHAD, Injaz, Kuwait highlighted her ³0RVDLF´ 0HQWRULQJ   +HDG RI +6%& 3ULYDWH (TXLW\ organisation as one of the fastest growing in the world (UK) said that many successful Muslim professionals want that promotes young people succeeding in the local and to give back what they have received to the community. The JOREDO HFRQRP\ IRFXVLQJ VSHFL¿FDOO\ RQ HFRQRPLFV DQG idea is hence to bring back as many advantaged mentees as entrepreneurial development. Started in Kuwait, Injaz is an possible. However, the Mosaic practice is to move beyond organisation that resulted from the collaboration between mentorship into creating linkages and networks amongst the private sector and major businesses to inculcate those having been mentored. This creates a better long- entrepreneurial development amongst the youth. Its efforts WHUPLQYHVWPHQWLQWRWKHUHODWLRQVKLSWKDWLVEHQH¿FLDOWRERWK are to develop the education system, and create networks stakeholders. with major universities all around the world. The programme was piloted with ten schools in 2006, but the numbers of ANAS J MEERZA, Assistant Vice President-Investment, interested students were underestimated. Today, there are 1DWLRQDO 7HFKQRORJ\ (QWHUSULVHV &RPSDQ\ elaborated plans for students to come from and more projects upon his company’s investment into international technologies. are underway. 6RPHVSHFL¿FDUHDVZLWKLQWKHLUWHFKQRORJ\HQWUHSUHQHXUVKLS programme are: a training and development academy; a EXVLQHVVLQFXEDWRUWKDWVLPXODWHVDFWXDORI¿FHVWKDWSURYLGHV full infrastructure and equipment for potential entrepreneurs, allowing young individuals the opportunity to conduct business without the concern of initial start-up costs. This is currently a requirement within the Gulf nations.

Dato Nazir Razak, Group CEO of CIMB and Chairman of the WIEF KHALID AL ZANKI

24 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM In the Question and Answer session, it was established that the role of mentors was to act as a sounding board, providing guidance and emotional support as well as identifying mentees’ strengths and weaknesses. Amongst potential action points were that greater attention should be given to students at university level. WIEF should also encourage greater cross-border investment, cooperating closely with multilateral institutions. There was a proposal for the Forum to include discussion of media and political Some of the panelists of the third session on “Money Matters: discourse, which shape so strongly international impressions Financing SME Businesses” (L – R): Hassan Mohammad Al- Qunai, General Manager of KSPDC Kuwait, Dr. Fathi Osman, of Islam. Joint ventures should also be encouraged with Professor in Public Authority for Applied Education and Training members of the non-Muslim world. Kuwait and , CEO of Tune Money Malaysia.

STRATEGIC TALK SESSION MONEY MATTERS: FINANCING SME BUSINESSES

Moderator JASEM AL-AMMAR,QGXVWULDO%DQNRI.XZDLW started the session with some opening comments, stating that the door is now open for trading projects to take place.

TENGKU ZAFRUL AZIZ&(2RI7XQH0RQH\ explained his Participants listening intently during the session on “Money EXVLQHVVPRGHORIVHOOLQJ¿QDQFLDOVHUYLFHVRQOLQH+HRXWOLQHG Matters: Financing SME Businesses” his ideas of what entrepreneurship should be about, namely to create companies and organisations capable of reinventing promote youth involvement in the private sector. Established themselves. Entrepreneurship funds should be ensured to in 1997, the KSPDC’s main objectives are to promote youth not have undue restrictions, lest they cannot be channelled engaging in open-market employment. This promotes the spirit to the people they actually target. Such funds distributed by of positive competition, which is integral to any successful ¿QDQFLDOLQVWLWXWLRQVVKRXOGWKHUHIRUHKDYHVLPSOHUFULWHULDRI venture. It also develops a level of creativity with the ultimate TXDOL¿FDWLRQ)DLOXUHVVKRXOGEHFRQVLGHUHGDVNH\VWHSSLQJ objective of harnessing human capital, which is a pillar of the stones to success. Seed funding should make it easy for development process. new entrepreneurs to access funds, as well as giving the RSSRUWXQLW\WRUHDFKWKHQH[WOHYHO&RUSRUDWH¿JXUHVZKRKDYH Youth were encouraged further to start up small businesses, “made it” should share their secrets and corporate strategies and 80% of the capital would be contributed by the company, in mentoring younger entrepreneurs. A nation of entrepreneurs which is a fairly sizeable amount. The partnership guarantees UHTXLUHV¿QDQFLQJJXLGDQFHDQGQXUWXULQJWRVXFFHHG that the individual is not tied with the company through LQWHUHVWVIHHVRUJXDUDQWHHV3UR¿WXSWRRIWKHSURMHFW HASSAN MOHAMMAD AL-QUNAI, *HQHUDO 0DQDJHU value would be retained, providing an encouraging tool for of KSPDC Kuwait, highlighted his company’s desire to young entrepreneurs.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I25 2ND WIEF YOUNG LEADERS FORUM

In the Question and Answer session, the possibility for entities to provide training, technical assistance and support for pro bono was raised. Public-Private Partnerships should exchange experience and establish ideas.

In his Closing Address, MR MANSOOR AL-MANSOOR, $VVLVWDQW WR 8QGHUVHFUHWDU\ RI 0LQLVWU\ IRU 6RFLDO 'HYHORSPHQW.XZDLWDI¿UPHGWKHQHHGDQGLPSRUWDQFHRI such global level meetings, to orient the youth to work within the private sector and initiate business projects. It was his $SDUWLFLSDQWDVNLQJDTXHVWLRQIURPWKHÀRRUGXULQJRQHRIWKH hope that the future of muslim youth would receive greater sessions at the WIEF Young Leaders Forum attention, as these will eventually enrich future generations of the Muslim world. DR FATHI OSMAN 3URIHVVRU 3XEOLF $XWKRULW\ IRU $SSOLHG (GXFDWLRQ DQG 7UDLQLQJ .XZDLW presented a DATO’ NAZIR RAZAK, Chairman, WIEF Young Leaders paper on SMEs in Kuwait, which is an attempt to diagnose Network gave his Closing Remarks, expressing his views WKHDFWXDOVWDWXVTXRDQGIRUHVHHIXWXUHSURVSHFWV7KH¿UVW that the 2nd WIEF Young Leaders Forum was an enlightening objective was to identify what is meant by an SME, since session, with invaluable sharing of ideas and experiences. WKHUHLVDP\ULDGRIVWDQGDUGVWRGH¿QHLWWKHFDSLWDOQXPEHU Some of the more interesting alternative strategies could be of employees, revenues generated by sales. According to implemented through existing ventures. Dr Osman, an SME is a company made up of less than 50 employees, with volume of capital not more than 0.5 KD. The WIEF Young Leaders Network would focus on cross- border activities to help young leaders that exist in various 7KH 60(V FRQWULEXWH VLJQL¿FDQWO\ LQ WKH HFRQRPLF countries. Going forward, young leaders will need greater development of any country, playing a pivotal role in momentum from what it currently possesses. He highlighted overcoming unemployment especially in Islamic countries. the continuation of the three existing programmes, and Young people should be given the opportunity to start their ¿QDOO\DQQRXQFHGWKHIRUPDWLRQRIDFURVVERUGHUPHQWRUVKLS own SMEs. He also stated that SMEs reinforce national programme, based on the needs arising from all sessions’ economies by reducing imports and increasing exports, discussions. There is an urgent need for mentors for young forming an essential feature of the GDP, and creating Muslims around the world, especially in the process of building employment. Public institutions need to support SMEs, up potential and aspiring leaders for the future. accompanied by a regulating legislation. Institutions, both local and international, must play their roles respectively in providing support for SMEs.

26 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM '(9(/230(17 ),1$1&(,17+(,6/$0,&:25/' BETWEEN ISLAMIC DEVELOPMENT AGENCIES, KUWAITI & INTERNATIONAL FINANCIAL INSTITUTIONS

n his Opening Speech, MR ABDUL MAJEED AL SHATTI, He noted that 40 percent of Islamic investment companies Chairman, Kuwait Banks Association shared that MRLQHGWKH.XZDLWLPDUNHWLQWKHSDVW¿YH\HDUVDGGLQJWKDW Ithe volume of assets in Islamic banks currently exceeds they dealt with different economic sectors and contributed to USD500 billion and are expected to reach USD one trillion by developing the market and activating it. He said that Islamic 2012. investment companies reduced the economic costs on consumers and increased competition among companies, The total GDP of members of the OIC was USD 7.8 trillion in encouraging them to improve their products to attract clients. 2006, accounting for 12% of the world’s total GDP. The Islamic world was rich with resources but what was needed was the MR HANI SALEM SONBOL 'HSXW\ *HQHUDO 0DQDJHU  optimum exploitation of human resources and infrastructure, as &(2 ,QWHUQDWLRQDO ,VODPLF 7UDGH )LQDQFH &RUSRUDWLRQ well opening up markets, passing legislations that encouraged (ITFC) delivered his paper on “Intra Trade Financing Facilities investment, supporting trade exchange and creating a safe LQ 2,& 0HPEHU &RXQWULHV´ 7UDGH ¿QDQFLQJ LV RQH RI FRUH environment for investment. businesses of the IDB group; it is important not just as income generating tool but from the perspective of development as In the past decade, the world had increasingly turned toward trade can bring about economic growth of OIC countries. Islamic banking, and there was a rising interest in this sector E\ UHQRZQHG ¿QDQFLDO LQVWLWXWLRQV LQ WKH 8. DQG WKH 86 Estimates show that a 5% increase in overall trade volume Many conventional banks in Arab and Muslim countries were of OIC member countries would enhance economic growth opening branches that operated according to the Islamic by 0.3% and contribution of trade to growth performance syariah. There is a need to allow conventional banks to employ would increase by 4.3%. However, intra-trade between OIC Islamic banking tools and products in their branches until such countries is low. In 2006, OIC countries produced US$1.2 a time that they could make a complete transformation, noting trillion worth of exports and US$1.0 trillion worth of imports. that this was in the interest of clients and served to diversify The total exports for the world in 2005 was US$12.0 trillion. products and raise competitiveness. OIC has 22% of world’s population but produced less than 10% of total world exports. MR ADNAN AL-MUSALLAM&KDLUPDQ 0',QYHVWPHQW 'DU &RPSDQ\ .XZDLW spoke on Islamic Finance and Development Challenges.

MR AYMAN ABDULLAH BOODAI, Vice President, Union RI ,QYHVWPHQW &RPSDQLHV .XZDLW spoke on the topic of “The Experience of Transforming Traditional Investment Companies into Islamic Investment Companies”, stating that the challenges faced by Islamic banking corporations included WKHQHHGWRGHYHORSLQYHVWPHQWWRROVDQG¿QGLQJGHYHORSPHQW projects that provided investment opportunities and job Tan Sri Fuzi Abdul Razak, Secretary General of the WIEF opportunities for citizens to serve the society and contribute in Foundation being interviewed by a local journalist at the Arab Organizations Headquarters Building, Kuwait GHDOLQJZLWKLQÀDWLRQKHVDLG

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I27 '(9(/230(17 ),1$1&(,17+(,6/$0,&:25/' BETWEEN ISLAMIC DEVELOPMENT AGENCIES, KUWAITI & INTERNATIONAL FINANCIAL INSTITUTIONS

In 2000, OIC intra trade in the form of exports made up 11.4% The Bank’s Ordinary Capital Resources (OCR) and co- of total exports, and this has just increased by 2% to 13.6% ¿QDQFLQJDQGV\QGLFDWLRQKDYHIXQGHGWKH,'%WUDGH¿QDQFLQJ or US$ 135 billion in 2005. In terms of distribution, trade in activities. With the inception of the International Islamic Trade OIC is concentrated in a few countries. The top 5 countries )LQDQFH&RUSRUDWLRQ ,7)& WKHWUDGH¿QDQFLQJZLOOEHIXQGHG in trade among OIC countries produce 60% of export trade through the capital resources of the Corporation and through and account only 25% of total population of OIC member a US$1 billion fund, by which IFTC acts a Mudarib (manager) countries. 3 of this top 5, accounts for less than 4 percent of on behalf of IDB. total population but produced 40% of the total exports. 7KH ,'% JURXS WUDGH ¿QDQFLQJ DQG SURPRWLRQ DFWLYLWLHV DUH Given the importance of trade to economy and role of trade supplemented by the Islamic Corporation for the Insurance of in facilitating closer levels of cooperation between member Investments and export Credit (ICIEC), its subsidiary which countries, in 2005 OIC Summit in Mekkah set a target of provides insurance for investments and export credit in OIC 20% intra trade by year 2015. Some challenges to intra countries. trade include the following:

1. $FFHVVWRFDSLWDODQG¿QDQFLQJ 2. Lack of support for SME 3. 8QIDYRUDEOH¿QDQFLQJWHUPV 4. Barriers to free trade 5. Lack of institutional capacity to support trade 6. Logistics

IDB is actively promoting trade and since inception has DSSURYHGWUDGH¿QDQFHRSHUDWLRQVZRUWKDERXW86ELOOLRQ Trade operations in 2007 alone totaled US$2.7 billion, of these WRWDOFRQVLVWHGRI¿QDQFLQJLQWUDWUDGHDFWLYLW\EHWZHHQ OIC countries. Besides established markets in the Middle East, North Africa and Asia regions initiatives on trade include the African region which saw an increase by 10 times from US$19 million in 2002 to US$191 million in 2006 and a majority of this increase was seen in the Sub-Saharan African countries.

$VLJQL¿FDQWLQLWLDWLYHWRSURPRWHLQWUDWUDGHLVWKHHVWDEOLVKPHQW of the Islamic Trade Finance Corporation (ITFC) in January 2008, with authorized capital of US$3 billion and subscribed capital of US$750 million, meant to take over the trade ¿QDQFLQJEXVLQHVVRIWKH,'%

28 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM The IDB and in particular the ITFC continues to promote trade should also look at enhancement of trade links beyond and to work toward achieving the 20% target of intra trade. regional borders to take advantage of the growth in China 7RGDWHWUDGH¿QDQFLQJDFWLYLWLHVIRUPRIWRWDODSSURYHG and the two powerhouse that have sizeable Muslim operations of the IDB group since its inception, and about 75% population. KDVEHHQXVHGWR¿QDQFHLQWUDWUDGHWUDQVDFWLRQVRIPHPEHU countries. DR ABDEL-RAHMAN TAHA *HQHUDO 0DQDJHU 7KH ,VODPLF&RUSRUDWLRQIRUWKH,QVXUDQFHRI,QYHVWPHQWDQG Some initiatives to increase intra trade include exporter/ ([SRUW&UHGLW ,&,(& spoke on “The Role of Credit Political importer linkage creation, creation and strengthening of Risk Insurance in Promoting Trade and Investment”. correspondent banking relationship, reorientation of member FRXQWULHV¶ULVNDSSHWLWHVDPRQJOHQGHUVVWUXFWXUHG¿QDQFLQJ ICIEC, a member of the IDB Group, was created in 1994 with and innovative mechanism (Bilateral Payment Arrangements). D PDQGDWH WR SURPRWH WUDGH DQG LQYHVWPHQW ÀRZV EHWZHHQ While intra trade between OIC countries is important, OIC OIC members. It is the only multilateral insurance company in the world that provides syariah compliant export credit insurance, Political Risk Insurance (PRI) and reinsurance services. Member countries are shareholders and this helps ICIEC to mitigate country risk in member countries and facilitate recovery.

The mission of ICIEC is to provide basically two types of LQVXUDQFH ¿UVW WKH H[SRUW FUHGLW LQVXUDQFH WKDW LV PHDQW WR encourage exports from member countries to the rest of the world and second, the investment insurance to encourage ÀRZRIFDSLWDODQGLQYHVWPHQWVIURPDQ\FRXQWU\WRPHPEHU country.

7KHVHUYLFHVWKDW,&,(&SURYLGHVDUH 1. Export credit insurance covers to insure non-payment risks 2. Political risk insurance (PRI) covers to insure country risks 3. Technical assistance services to provide advisory on investment and business climate

PRI is a mechanism by which foreign investors neutralize, Tun Musa Hitam, Chairman of the WIEF Foundation (center) discussing with Tan Sri Fuzi Abdul Razak, Secretary General of mitigate or remedy losses arising from political actions/ the WIEF Foundation (right) witnessed by Atia Zaman from the LQDFWLRQVRIKRVWFRXQWULHV35,LVEHQH¿FLDOWRERWKLQYHVWRUV Muslim Council of Britain UK (left). and host countries and could be seen as an important

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I29 '(9(/230(17 ),1$1&(,17+(,6/$0,&:25/' BETWEEN ISLAMIC DEVELOPMENT AGENCIES, KUWAITI & INTERNATIONAL FINANCIAL INSTITUTIONS

Tun Musa Hitam, Chairman of the WIEF Foundation accompanying Sheikh Dr. Salem El-Jabber Al-Ahmad Al-Sabah, Counsel of the Prime Minister of Kuwait after the session on “Development and Finance in the Islamic World” tool to increase trade in today’s highly uncertain business 0DOD\VLDZKRVDLG³7KHJOREDO,VODPLF¿QDQFHLQGXVWU\KDV environment. ICIEC has strategic partnerships with leaders evolved from a faith-based to a business driven industry for of credit and political risk insurance industry. It has strong all communities…the underlying strength inherent in Islamic JURZWK SURVSHFWV DQG GLYHUVL¿HG SRUWIROLR ZLWK H[SRVXUH ¿QDQFH« LV LQEULQJLQJWRJHWKHUGLIIHUHQWSDUWVRIWKHZRUOG concentrated on short-term businesses. The speaker then with surplus funds in search of investment opportunities to shared with the audience a few case studies of the ICIEC WKRVH ZLWK ¿QDQFLQJ UHTXLUHPHQWV ZKLFK LV D WUHPHQGRXV projects including facilitating a long term supplier credit opportunity for businesses to grow rapidly” in , a Terminal Project and a GE project in Pakistan that involve PRI. *OREDOO\,VODPLF¿QDQFHLVHVWLPDWHGDW86ELOOLRQDVVHWV and records an impressive 30% annual growth in 2007. On the “Overview of Islamic Finance”, Mr Mohamad Faiz Azmi, Booming oil prices has led to huge potential investable capital Partner and Global Islamic Leader, PricewaterhouseCoopers amongst GCC states estimated at US$4.1 trillion, equivalent quoted Dr Zeti Akhtar Aziz, Governor of Bank Negara to 30% of US GDP. The industry has grown from niche to

30 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM high street with rising market awareness from mainstream global approach and treatment SOD\HUV/HDGLQJPDUNHWVIRU,VODPLF¿QDQFHLQFOXGH%DKUDLQ 4. Lack of scale – room for large regional or global players Kuwait, Malaysia, and UAE with the world’s through mergers and acquisition Islamic banks’ assets concentrated in these countries: 20% 5. Accounting – adopting some AAOIFI concepts into IFRS in Saudi Arabia, Malaysia 19%, UAE 18%, Kuwait 14%, and 6. Talent – Shallow depth of knowledge and inexperienced Bahrain 9%. talent inhibiting growth and innovation

The proportion of Islamic banking to conventional assets During the Question & Answer Session, debates centred has reached 30% in GCC and is projected to rise to 40% in on differences in practices and decisions due to different WKHQH[WWKUHH\HDUVLQ0DOD\VLDWKH¿JXUHLVZLWKWDUJHW interpretation of syariah and the challenges of how this could of 20% in 2010 and in Saudi Arabia 30% of banks’ assets be translated into best practices and global standards or DUH FODVVL¿HG DV V\DULDK FRPSOLDQW ZLWK  RI DOO UHWDLO harmonization and whether harmonization is itself necessary. banking transactions are now done through Islamic banking It was also raised as to whether Islamic Economics should institutions. Globally, there are now over 300 IFIs operating provide the theoretical framework to practices in Islamic in 75 countries. Total assets are estimated at US$524 billion banking and guide towards the “higher values” of Islamic with 55% in Islamic banks and 44% in Islamic banking EDQNLQJDVRSSRVHGWRMXVWEHLQJSUR¿WGULYHQ windows. Answers mainly centred around the need to be positive and Leading Islamic banks in the world include Al Rajhi, Kuwait WRVXSSRUW,VODPLFEDQNLQJDQG¿QDQFHDVDZKROHLQYLHZRI Finance House and Dubai Islamic Bank. A noted exponential it being a relatively new industry and that it is still evolving, growth of sukuk issuances, from just US$0.3 billion (2000) but concerns and pressures do provide inputs towards to US$47 billion (2007). The speaker highlighted takaful improvement and development of the whole industry to be in with currently low penetration rates having huge untapped line with the principles of Islam. Consequently, Islamic banking market. Insurance/takaful penetration rates of Muslim FDQ HYROYH WR EH QRW MXVW DQRWKHU NLQG RI SUR¿WDEOH EDQNLQJ countries range from 1% to 3% except for Malaysia (5%). EXWRQHZLWKDGLVWLQFWLYHIHDWXUHZLWKFOHDUEHQH¿WVWRRIIHUWR Compared to size of Muslim population of 1.5 billion, there is humankind. a huge untapped takaful market. Expansion of takaful market in non-Muslim countries with sizeable Muslim population creates a potential switch from the demand of conventional insurance to Takaful products.

,VVXHVDQGFKDOOHQJHVLQ,VODPLF¿QDQFHLQFOXGH 1. Syariah compliant or syariah based – need for innovative products rather than the conversion of traditional products to become syariah compliant. 2. Islamic liquidity assets – availability for shorter term assets to address liquidity issues 3. Regulatory and tax framework – lack of consistency in

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I31 MEETING PROGRAMME OF THE COMMERCIAL & ISLAMIC CHAMBERS CHAIRMEN & BUSINESSMEN WITH MEMBERS OF THE KUWAIT CHAMBER OF COMMERCE & INDUSTRY

OPENING SESSION 2. Two mechanisms ‡ 6RFLDO UHVSRQVLELOLW\ ± WDNLQJ RI EXVLQHVV SHRSOH DQG fter the recitation from the Holy Quran, MR ALI M society ALGHANIM, Chairman, KCCI gave his opening ‡ ,QVWLWXWLRQ±]DNDWDQGLQWHU]DNDWDXWKRULWLHV Aspeech, stating that half of the Islamic countries are ‡ $ FRPSUHKHQVLYH HFRQRPLF SODQ ZDV SURSRVHG ZLWK underdeveloped with less than 5% world GDP. The Islamic examples like the Egypt Zakat authorities and or countries contributed only 6% of the world inter-trade and Chambers of Commerce 13.5% of total foreign exchange. They are facing a lot of  ,QWHUQDWLRQDO ,VODPLF DXWKRULW\ RI$LNDI ± &KDPEHU RI challenges and complications such as being left alone, political &RPPHUFHLVKHOSLQJWKHVXUYLYDORIDLNDI instability, suppression, and economic instability. Chambers of  3URMHFW *UDQG %DQN ± IHDVLELOLW\ VWXG\ KDV EHHQ Commerce should work and cooperate with each other with FRPSOHWHG the people and government. They should form international ‡ ,VODPLF %DQN ZLWK VRXUFH RI IXQG 86' PLOOLRQ IURP cartels and seek development and cooperation in member Western countries, with a target to use USD200 million in countries for equality and justice. This was worsened due Islamic countries to the September 11 attack that has had negative impact on  &RQIHUHQFHV DV D ODQGPDUN E\ HVWDEOLVKLQJ $UDELF all Muslims. The Muslim business community should rectify (FRQRPLF&RQIHUHQFHVDQG6XPPLWLQ-DQXDU\ this. He called for a dialogue with Islamic countries for inter- ‡ 7RVWDUWHFRQRPLFGHYHORSPHQWDQGUHYLYLQJLQWKLVZRUOG country trade and Islamic Economic Systems oriented with ‡ :RUNLQJDQGDELGHE\WKH,VODPLFYDOXHVQRWWRSUDFWLFH one mechanism, collaborating to seek peace and justice. bribery

SHEIKH SALEH BIN ABDULLAH KAMEL, Chairman, MR ADNAN AL-QASSAR, &KDLUPDQ *HQHUDO 8QLRQ RI ,VODPLF &KDPEHU RI &RPPHUFH  ,QGXVWU\, thanked the &KDPEHUVRI&RPPHUFH,QGXVWU\DQG$JULFXOWXUH, stressed KCCI for conducting this meeting and diagnosing Islamic the need to enhance partnership and collaboration among the challenges and opportunities. There should be a road map to business leaders and to form an Arabic Common Market – diagnose all the economic challenges. During the International Islamic Market. This issue received great attention from the Conferences in Jeddah, a 10-year plan was drafted to achieve Arab leaders in Riyadh in 2007 for more Arab collaboration. a business community plan. The Summit in Dhaka received 7KHDUHDVZLWKRSSRUWXQLWLHVDUHLQ¿QDQFHQDWXUDOUHVRXUFHV great attention from government leaders for the Islamic and development. The Islamic and the Arabic economy should countries and Chambers of Commerce to cooperate with each EHJURZLQJDWWKHZRUOGVWDQGDUG7KHHVWDEOLVKPHQWRI¿QDQFH other. Some of the achievements are: and investment centres should be competitive in coping with increased challenges. The current inter-trade is about 11%,  (VWDEOLVKHGIRUHVWFRPSDQ\ trade 8% with 20% of world population. There are tremendous ‡ 6XGDQ6HQHJDO%HQLQDQGIRUHVWFRPSDQLHVRSSRUWXQLWLHV opportunities within the agriculture sector. For example, the for investment LQÀDWLRQUDWHLVKLJKDQGWKLVFDXVHVDQLQFUHDVHLQWKHSULFH ‡ 6WHSVWRVWDUWLQYHVWPHQWDQGLQLWLDWLYHV of food product. With the appropriate technology, enhanced ‡ 3URMHFWV ZLWK PRGHUQ WHFKQRORJ\ WR UHSODFH WUDGLWLRQDO collaboration, improved economic relationship, updating and projects upgrading, lifting of restrictions, consolidation of the private ‡ )XQGLQJIURP,'% sector’s role, and union of chambers and commerce, global

32 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM (L– R) Tuan Haji Abdul Rahim Mohd Noh, Director, UEM Builders Berhad Malaysia, Dato’ Rosli Sharif, Senior Director, UEM Group Berhad Malaysia, Dato’ Hussein Haniff, Malaysian Ambassador to and Dato’ Ashaary Sani, Malaysian Ambassador to Kuwait. crises would be dealt with appropriately. integration with the world, and examples of countries with high levels of integration are Malaysia, Pakistan, Egypt DR AHMAD MOHAMED ALI, 3UHVLGHQW ,VODPLF and . Countries with low levels of integration will 'HYHORSPHQW %DQN stated the importance of inter-trade unfortunately fail to meet challenges of increase in food prices, ¿QDQFLQJDQGWREHLQWKH,VODPLF,QWHUQDWLRQDO'HYHORSPHQW especially those unable to produce their own food. Inter-trade Club. The 3 important questions that should be raised are as ¿QDQFLQJLVFUXFLDOIRULQFOXVLRQLQWRWKH,VODPLF,QWHUQDWLRQDO follows: Development Club. Collaboration between Islamic countries, however, is relatively slow. The challenges in inter-trade are: 1. :KDW LV WKH SULFH RI FHUWL¿FDWLRQ WR EH LQFOXGHG LQ WKH Islamic International Development Club? 1. Ability to cope with knowledge and technology through 2. What developments are taking place within the Islamic LQWHUWUDGHWRROVOLNH,VODPLF¿QDQFLQJWRROV International Development Club? 2. Providing resources, mechanism, and incentives in order 3. :KDWFDQWKHIRUXPFRQWULEXWHLQ¿QDQFLQJLQWHUWUDGHWR to attract more investment in agriculture. the required level in facing challenges? 3. $FWLYDWLQJ SURJUDPPHV WR ¿QDQFH WHFKQRORJ\ DQG In the 21st century, there are a lot of changes in commercial assistance

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I33 MEETING PROGRAMME OF THE COMMERCIAL & ISLAMIC CHAMBERS CHAIRMEN & BUSINESSMEN WITH MEMBERS OF THE KUWAIT CHAMBER OF COMMERCE & INDUSTRY

4. Improve political tension by empowerment and MR KHALID ALUBOUDI, CHAIRMAN, ,VODPLF&RUSRUDWLRQ improvement in terms of development IRUWKH'HYHORSPHQWRIWKH3ULYDWH6HFWRU, talked about the 5. Utilize oil bubble in food security project role of private sector. Different levels of income of the Islamic member countries shouldn’t be excluding factors. Instead, SESSION 1 ¿QDQFLQJVKRXOGEHSURYLGHGIRUWKHGHYHORSPHQWRISURMHFWV by using feasibility studies and development mechanisms. MR KHALID ABDALLA AL-SAQR, 2ND VICE CHAIRMAN, Productivity would then be enhanced in the project. The KCCI, who moderated the session, gave some opening most important point is collaboration in member countries remarks and introduced the speakers. in providing technical support, acting as an umbrella to all members and the opportunity to invest abroad.

DR WALEED AL-WAHEED, CEO, ,QWHUQDWLRQDO,VODPLF MR MOHAMMAD SHUWARI 'LUHFWRU RI 2SHUDWLRQV 7UDGH )LQDQFH &RUSRUDWLRQ, focused on statistics of 'HSDUWPHQW ,QWHU$UDE ,QYHVWPHQW *XDUDQWHH &RU trade, aspects of International Islamic Development Club SRUDWLRQ, gave a brief summary of the corporation, established and the targets of development of trade of about 20% in in 1974 to provide multi-trade agreement, activating, 2015. He praised the IDB for its solid foundation in its accelerating activities and enhancing foreign Arab trade. Two DELOLW\ WR DWWUDFW ¿QDQFLHUV 7KH GHYHORSPHQW RI WUDGH mechanisms used: ¿QDQFLQJ LV DERXW 86 ELOOLRQ DQG RWKHUV SURMHFW ‡ Investment guarantee ¿QDQFLQJVSHFLDODVVLVWDQFH DERXW86ELOOLRQ ‡ Export guarantee

He proposed four strategies, which are: Two insurance policies required by institution to cover political and national risk. The risks are:  'HYHORSLQJDQGLQWHJUDWLQJWRHQKDQFHWUDGH ‡ &RQ¿VFDWLRQ ‡ )LQDQFHWUDGH ‡ ,QDELOLW\ RI LQYHVWPHQW WR WUDQVIHU SUR¿W LQ FRXQWU\ WKDW ‡ 2SHQZLQGRZSROLF\ control foreign exchange ‡ ¿QDQFLQJFKDQQHOV ‡ Revolution and political chaos ‡ *XDUDQWHHWUDQVDFWLRQV ‡ Non trade risk – supplier default, importer goes bankrupt  3DUWQHUVKLSLQSURPRWLQJWUDGH etc ‡ /HDGHUVRI.XZDLWDQG,'%WREHSDUWQHUV ‡ Financing and insurance trade ‡ 'HYHORSSDUWQHUVKLSLQ,VODPLFFRXQWULHV

‡ ,QWHUQDWLRQDOLQVWLWXWLRQV SESSION 2  )DFLOLWDWLQJ WUDGH DQG RYHUFRPLQJ REVWDFOHV

VXFK DV WUDQVSRUWDWLRQ DJUHHPHQW QHZ PDULQH The objective of the second session was to give the audience OLQHLQ0RURFFROLPLWHGUDLOZD\UHGXFHWDULIIDQG the current economic scenario of Kuwait, elaborating upon infrastructure existing and future projects in Kuwait. Each speaker gave briefs  2SHQXSSDUWLFLSDWLRQLQHIIHFWLYHGHYHORSPHQWRI on their organizations and future projects for the country’s trade from other countries development especially in the areas of natural resources and infrastructure.

34 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM MR SALAH F. AL.MARZOUQ, +RQRUDU\ 7UHDVXUHU KCCI. The Kuwaiti Economy: Facts and Figures shared the MR SAAD AL-MIHAIBI 'LUHFWRU 6WUXFWXUDO 3ODQ following: 'HYHORSPHQW.XZDLW0XQLFLSDOLW\ shared on existing ‡ Political and economic environment – democratic political projects of Kuwait Municipality: system, independent judicial system etc ‡ privatization of government project: housing and ‡ 0DMRUHFRQRPLFLQGLFDWRUVXQHPSOR\PHQWLQÀDWLRQ facilities 7.5%. export $62 billion of which oil $59 billion ‡ Activating environment ‡ Fitch ratings AA (stable), Standard & Poor’s A+ (stable) , ‡ Improving facilities Moody’s A2 (Positive) ‡ Relationship with private sectors

MR MISHAAN AL-UTAIBI $VVLVWDQW 8QGHUVHFUHWDU\ /LVWRIRQJRLQJSURMHFWV IRU 3ODQQLQJ  7UDLQLQJ 0LQLVWU\ RI (OHFWULFLW\  :DWHU 1. Kuwait Sea Front stated that about 28% of future projects focus on electricity 2. Kuwait Sea Front – Marina Mall and water about 6%, the reason of increase due to growth 3. Coast Sea Front in population and extension of housing. The opportunity to 4. Abdul Hamid Street invest in these areas is great due to the similarities in climate 5. Golf Course and the increase in demand for electricity and water, and the 6. Recreations Centre increase in price of crude oil and gas. Every year ½ billion 7. Waste Damp EDUUHOV RI FUXGH RLO DUH QHHGHG WR SURGXFH HQHUJ\ ,Q ¿YH years to come, depletion in crude oil may take place, making )XWXUHSURMHFWV alternative energy (nuclear, solar and wind) necessary. 1. Housing extension – population increase Investment into solar energy in small scale with Japanese 2. Structural Plan – 2023 equal opportunity – GCC companies has just begun. In order to have high capacity of country in south – Iraq and water supply for the future, Gulf countries need to look for 3. New Investment – high technology and integrated alternative technologies to supply water. network 4. Railway network – connect the north and south MR AHMAD HABEEB 'HSXW\ 'HOHJDWH 0HPEHU 5. Best public transport plan needed 3HWURFKHPLFDO ,QGXVWULHV &RPSDQ\ 'LUHFWRU 6WUXFWXUDO 6. Development of Fobian Island – housing complex 3ODQ 'HYHORSPHQW .XZDLW 0XQLFLSDOLW\, shared that etc the issue of food crisis can be partially solved through petrochemical solutions – fertilizers, packaging, transport (supply chain of the food industries). His company started MRS RIMA AL-AWADI, 6HQLRU 2SHUDWLRQV 3ODQQLQJ in 1963 with chemical fertilizer and 20% BP participation in (QJLQHHU.XZDLW2LO&RPSDQ\ deliberated that the era of Gulf countries. They produce ammonia, sulfur, and sulfuric easy oil was over. The challenges faced are non-conventional acid. In 1973, they bought over the share of foreign investment, drilling, water management, competition for resources, skilled and 1985 established a fourth line of production with 1.1 and experienced manpower, rigs and technology. The focus thousand tones. area was on the Key Upstream Projects and Instrument Plans with two major projects on surface facilities.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I35 Tun Musa Hitam, Chairman of WIEF Foundation on live interview with Aljazeera.

36 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM

OFFICIAL OPENING CEREMONY BAYAN PALACE, KUWAIT 29 APRIL 2008

The line-up of world leaders at the 4th WIEF in Kuwait (L – R) Faisal Mohammad Al-Hajji Bukhadour, Deputy Prime Minister of Kuwait, Sheikh Nasser Mohammad Al-Ahmad Al-Sabah, Prime Minister of Kuwait, Sheikh Nawaf Al-Ahmad Al-Jaber Al-Ahmad, Crown Prince of Kuwait, Hamid Karzai, President of Afghanistan, King Abdullah II ibn Al Hussein of , Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah, Emir of Kuwait, Abdoulaye Wade, President of Senegal, Dr. Haris Silajdzic, President of , Tun Musa Hitam, Chairman of WIEF Foundation, Sheikh Khalifa bin Salman Al Khalifa, Prime Minister of Bahrain and Guillame Kigbafori Soro, Prime Minister of Cote D’Ivoire.

fter recitation from the Holy Quran, H.E. FAISAL countries, and between Kuwait and the rest of the world. AL-HAJJI, Deputy Prime Minister of Kuwait Islamic nations should build a safe and secure haven for Aand Chairman of Kuwait National Organizing its people and forge partnership with positive development. Committee for WIEF,gave his Welcoming Remarks, welcoming There should be enhanced integration among the Islamic all delegates to the Kingdom of Kuwait. He stated that WIEF nation in order for nations to cope with challenges today, is promoting cooperation of all Islamic countries in the areas such as food, development, lack of world design technology of human and capital assets. The Kuwait National Organizing DQG UHVHDUFK LQYHVWPHQW WUDGH DQG EXGJHW GH¿FLW 7KH Committee adopted the slogan “Islamic Countries: Partners solutions to improve the quality of life is to gather all potential in the Global Development” in order to reach out with open countries to cooperate, create environments conducive to hearts and minds to all religions. WIEF plays an effective role in LQYHVWPHQW HOLPLQDWH FXVWRP REVWDFOHV LPSURYH HI¿FLHQF\ all Islamic countries. Finally, he thanked the organizing in transport, telecommunication and so forth. To achieve committee and wished the delegates a fruitful forum. competitive development, education plays an important role. Thus an education reform is needed in our curriculum. In THE H.H. SHEIKH SABAH AL AHMAD AL-JABER AL this regard, Islamic values are important in our educational SABAH, The Emir of the State of Kuwait, in his Opening corpus particularly in inculcating positive development with Keynote Address, stated that he was honored to have all the immutable traits such as loyalty and honesty. The teaching of delegates in Kuwait and to inaugurate the 4th WIEF. He also the Holy Quran therefore is vital in the pursuit of excellence thanked H.E. Hamid Karzai, President of the Islamic Republic and improvement. of Afghanistan to be able to join the forum. He stated that WIEF desires to promote cooperation between OIC and other

38 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM Some Islamic countries are facing the food crisis and as a ‡ Enabling member states to boost prosperity within the result the state of Kuwait has taken the initiative to set up a group and compete more effectively. Fund of Decent Living, or “Good Living Fund” to provide food for country in need and to provide opportunities in agriculture. The efforts of the OIC to spearhead economic cooperation USD 100 million have been allocated for the fund and it is and development have resulted in the increase in trade and hoped that more countries would contribute to the fund. Kuwait most of the economies have an increase in GDP above the also supports the action plan for less developed country and global average. However its potential is still far too large, desires close cooperation. The fund collected for Solidarity where the combined member states’ GDP is only one fourth of Islamic countries in Makah, reached US$300 million to be of Europe, even below the GDP of France. OIC share of used as an aid. Lastly, the Emir wished that the forum would world trade still a single digit, development incomplete, and successfully achieve all objectives set out. challenges multiply. The Islamic countries have all the assets to change this reality by combining resources and geo-economic THE H.M. KING ABDULLAH II of the Hashemite Kingdom of position to make the muslim world a key component in every Jordan in his Special Address, stated this notable gathering is major economic issue of our time – from creating a green WKH¿UVW:,()WREHKHOGLQWKH0LGGOH(DVW+HPHQWLRQHGWKDW global economy to energy sustainability, and more. The this was not an ordinary meeting, bringing together leaders Muslim world have the assets to change this reality with the from across the spectrum of Muslim society. The following SRSXODWLRQEHLQJDOPRVWRQH¿IWKRIKXPDQLW\WKH\RXQJDV problems are being addressed here: DVLJQL¿FDQWIRUFHIRUSURGXFWLYLW\DQGPDUNHWJURZWKEHLQJ ‡ For the countries to achieve their economic targets the world’s landmass and having a long economic history of – development, growth, and opportunity are needed enterprise and learning. Now is the time to work together, especially for the youth. marshal these assets and for every country to engage. The ‡ Countries together can create an economic community, Muslim world needs strong, comprehensive alliances that VXVWDLQLQJ SHRSOH DJDLQVW JOREDO ¿QDQFLDO DQG HQHUJ\ can draw on the resources and expertise of government, shocks and other challenges. business, education, the media and other key sectors. In these ‡ Muslim everywhere in the world have access to the other areas, success will create opportunity for the growing economic promise of the 21st century. populations and demonstrate to young people what can be ‡ Islamic community can achieve its rightful place in the global economy – not only sharing prosperity, but being able to write economic rules, giving voice to Islam’s values of co-existence, justice and better life for all.

7KLV)RUXPSURYLGHVLPPHQVHEHQH¿WWRWKH8PPDKLQ various aspects: ‡ Creating a sustainable economic alliance in our era ‡ Establishing platforms for the economic success across the world, ‡ Creating regional and trans-national communities and A section of the crowd at the opening ceremony at the Royal Bayan Palace, Kuwait. forging partnership

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I39 OFFICIAL OPENING CEREMONY BAYAN PALACE, KUWAIT 29 APRIL 2008

achieved through knowledge, initiative, and co-existence. Finally, he hoped the Forum would actively discuss many such issues affecting Islamic countries. The action starts with one person, making one phone call, one keyboard click, one meeting, one handshake – one by one, by Muslims across the world in making partnership and potential a reality.

H.E. ABDOULAYE WADE, President of the Republic of Senegal expressed the close relationship between Kuwait and Senegal, and emphasized his vision as President of the Organisation of Islamic Conference (OIC) for the Muslim world. Presently, Africa is facing dire problems, in the face of rising oil prices and price of raw materials. In order to achieve greater economic growth, it is becoming increasingly necessary to merge plans proposed by , and plans produced by the Middle East. Different sectors need to be promoted in order to enhance activity of trade. First and foremost is the promotion of infrastructure – new airports, ports – and this is doing relatively well. Secondly, promotion of agriculture and raw materials. Although Africa has an absence of resources, there have been initiatives launched to promote the agriculture sector, working to promote development in that area. A strong focus has been given to education, focusing H.E. HAMID KARZAI, President of Islamic Republic of particularly on ICT technologies. Afghanistan expressed his thanks to the Emir of Kuwait. He stated that this forum would be an ideal platform for guidance The President outlined that in his vision of 21st Century on future improvement, for the Ummah, to share on the globalization, eradication of poverty would be primary. Poverty UHDOLWLHV RI RSSRUWXQLWLHV DQG GLI¿FXOWLHV 0RVW RI WKH ZRUOG¶V should not be analysed strictly in terms of revenues, but also minerals and resources are in the Muslim world. In the past, on the accessibility to food, health, water and sanitation – this the development of art, science and literature lay primarily in is the sort of poverty that needs to be fought. Emphasizing the Muslim world. He emphasized the importance of trade, the future of energy, Senegal for example has recently investment and enterprise. GLVFRYHUHGRLODQGKRSHVWRXVHLWVUHYHQXHVIRUWKHEHQH¿W of society through wise investment measures. Funds from There are 1.4 billion people living in the Muslim world, and 515 the Arab region should also contribute to assistance in Africa, million people forming the young workforce. However, it also and existing investments are in the industries of energy, has the world’s worst problems, worst literacy rates, infant environment, and ICT. PRUWDOLW\UDWHVIRRGVKRUWDJHVFRQÀLFWVDQGDKRVWRIRWKHU issues. It is therefore important to concentrate long neglected DWWHQWLRQRQ\RXWKDQGVFLHQWL¿FHGXFDWLRQ+HKDGWKUHHNH\

40 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM H.E. DR. HARIS SILAJDZIC, President of Bosnia and Herzegovina DI¿UPHG WKDW ZH DUH OLYLQJ LQ D JOREDOLVHG world today, and emphasized the need for tolerance, mutual respect and friendship within such globalization. Bosnia and Herzegovina is a model for people who live in diversity, and unfortunately war was perpetuated for those who could not live with diversity. Nevertheless, models like these should be preserved, and today’s world needs such models of tolerance and diversity. The economy of Bosnia and Herzegovina is growing with the reliance on resources such DVZDWHUDQGHQHUJ\,WLVKRSHGWKDWWKLVZRXOGEHQH¿WWKH country in the long run, and that greater levels of investment ZRXOG ÀRZ LQWR %RVQLD DQG +HU]HJRYLQD 7KH FRXQWU\ KDV currently signed a major contract with the European Union, with the objective of living together in peace.

THE HONORABLE TUN MUSA HITAM, Chairman of the WIEF reiterated that the 4th WIEF was a result of solid work

Some of the participants from various parts of the Middle East EHWZHHQWKHRI¿FLDOV,QWHUQDWLRQDO$GYLVRU\3DQHOVHFUHWDULDW having a light moment after the opening ceremony at the Royal and the Kuwaiti Government. The objective of WIEF is to Bayan Palace facilitate business amongst the Muslim world, promoting and HQFRXUDJLQJ SUR¿WV WKDW ZRXOG HYHQWXDOO\ ÀRZ GRZQ WR WKH suggestions to move towards this direction. First, the Muslim much neglected peoples. The WIEF is a gathering of business ZRUOGPXVWFRQFHQWUDWHRQHGXFDWLRQDQGLQSDUWLFXODUVFLHQWL¿F Ummah and non-Muslim business Ummah to do business education. Secondly, half of the Muslim workforce is not together. He stressed that business cannot succeed without being employed presently, and there is a need to encourage WKUHHH[WUHPHO\LPSRUWDQW¿HOGVZKLFKDUHWKH\RXWKZRPHQ women’s participation in the workplace. Thirdly, Muslims are and these two backed up by the importance of education. their own enemies, where some use the name of religion to stop education efforts. Extremists in Afghanistan and Pakistan Based on this shared belief, the WIEF is project-oriented have for example prevented women from going to schools and DQGKDVODXQFKHGVHYHUDOSURMHFWVRQWKHDERYHWKUHH¿HOGV REWDLQLQJHGXFDWLRQ+HQFHWKHUHLVDQXUJHQWQHHGWR¿JKW namely the youth scholarship and internship programmes, and extremism. Third, the Muslim world has not put their energies on education, thanks to the participation and encouragement together although there is massive market and the availability of the Islamic Development Bank (IDB). The WIEF has great of connectivity from Africa, the Middle East, Central Asia, the potential, especially in light of the world’s current perception of Gulf, and East Asia. Energies must be concentrated into these Islam. This is a prime opportunity to use and enhance existing four key factors, where together will become the most powerful EXVLQHVVSODWIRUPVPDNLQJXVHRISUR¿WVIRUWKHZHOOEHLQJRI of the global force. people as a whole.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I41 LEADERSHIP PANEL: ISLAMIC COUNTRIES IN A COMPETITIVE WORLD

and widen the scope of cooperation between Islamic countries to raise the standards of the Ummah and activate its role on all levels within the new world order.

It was fortunate that the Islamic Ummah enjoyed huge, diverse and renewable resources making cooperation and economic partnership between its states a natural outcome to enhance its potentials and raise the levels of growth and prosperity of its people, as well as boosting competitive capabilities globally. Relying on acquired advantages through research,

Dr. Ahmed Mohamed Ali, President of the Islamic Development development and innovation by producing new commodities Bank (IDB) delivering his speech during the WIEF Leadership or constantly improving and developing production methods to Panel session ensure easy access to global markets and interact with them could increase competitiveness. .H. SHEIKH NASSER AL MOHAMMED AL AHMAD AL SABAH, Prime Minister of Kuwait said that However, the Islamic world today faced numerous challenges, Htoday’s age was one of vast economic, political above all the low growth levels, low levels of investment in and military entities and it was therefore imperative that joint both human and material aspects, the spread of poverty and action was sought to widen the scope of cooperation between unemployment, fragile and inferior quality infrastructure, low Islamic countries and to raise their role at all levels within the OHYHOV RI HGXFDWLRQ DQG VFLHQWL¿F UHVHDUFK WKH EUDLQ GUDLQ new world order. phenomenon and the failure of most of the countries to catch up with the momentum of economically and technologically The world witnessed when the last century drew to a close developed countries. and is still witnessing fundamental developments which have occurred in the global economy and have begun to reformulate He then highlighted the unsatisfactory situation on human international economic relations, the most prominent of which development in the Islamic world. While human capital is the globalization of International Trade Regulations, where represents the source of power of nations, and despite the there is increased mutual dependence between countries and IDFWWKDWWKH,VODPLFZRUOGFRQVWLWXWHVPRUHWKDQD¿IWKRIWKH their economic systems and the resources available to each world population, it has high levels of illiteracy, where in some country. parts, such as the Arab world, it has reached more than a third of the population. He added that a controlled economy model had waned in favor of a free market economy in a way that led to reinforcing the United Nations statistics show that only six Islamic countries role of the private sector and increasing the role of technology have ranked high on the Human Development Index, while 22 in driving the economy, resulting in what was known as others ranked average and 23 Islamic countries remained low e-commerce (electronic commerce). He stressed that we live on the Human Development Index. in an age of vast entities whether they be economic, political or military, therefore it is imperative that we seek joint action now In addition, he said most global reports indicated wide spread

42 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM corruption across the Islamic world, which consequently had His Highness was hopeful that the WIEF would become a devastating effects on the general interests of peoples and strong institution that would promote communication and joint governments and delayed economic and political reform. cooperation between countries of the Islamic world to enhance Corruption practices are hindrances that prevent Islamic PXWXDOLQWHUHVWV+HZDVFRQ¿GHQWWKDWWKHSDUWLFLSDWLRQDQG FRXQWULHVIURPEHLQJHI¿FLHQWDQGFRPSHWLWLYH contributions of national leaders and captains of industry would have a big impact after the conclusion of the 4th WIEF. Thus, he stressed that combating corruption and establishing better grounds for transparency, accountability and righteous H.E. GUILLAUME KIGBAFORI SORO, Prime Minister leadership must take high priority in our societies. It is crucial of Cote d’lvoire expressed his admiration for the WIEF that the Islamic world confronts these challenges and search preparations, describing them as excellent. for ways to tackle them. New economic policies should assist LQ WKH HI¿FLHQW  XWLOL]DWLRQ RI UHVRXUFHV HQKDQFLQJ WKH UROH He said the event was a great opportunity to hold a dialogue of the private sector, limiting state control, providing a legal among Islamic countries at a time when these countries face environment to protect all types of intellectual properties, raising extraordinary challenges. Islamic countries should be mature WKHVWDQGDUGVRIHGXFDWLRQDQGVFLHQWL¿FUHVHDUFKHQFRXUDJLQJ and able to resolve the problems of the ummah in the spirit of creativity and innovation, and creating a democratic climate cooperation and solidarity. He emphasized that Islam called that contributes toward attracting investments and capital to for cooperating and supporting others, adding that trade Islamic countries. exchange could contribute to combating poverty. There should be cooperation between rich and poor countries, between He stressed that in order to transform the Ummah, Islamic North and South and between “equal” countries. countries cannot act alone. Working towards a common Islamic market has become an urgent necessity in today’s +HWKDQNHGDOOWKHFRXQWULHVWKDW¿QDQFLDOO\VXSSRUWHG&RWH world and he argued that the greatest challenge facing us d’Ivoire to reach peace, stressing that the peace process LV RUJDQL]LQJ RXUVHOYHV GH¿QLQJ RXU SULRULWLHV DQG DFWLQJ should be supported and that it would be unfortunate if it sincerely by cooperating to confront those challenges. VWRSSHGEHFDXVHRIODFNRI¿QDQFLDOUHVRXUFHV+HVDLGWKH crisis in his country has resulted in the loss of many lives and infrastructure and that people suffered from the shortage of food and high living costs. He called for coordinating efforts towards advancement and providing better conditions for the Islamic societies.

H.H. SHEIKH KHALIFA BIN SALMAN AL KHALIFA, Prime Minister, Kingdom of Bahrain said that economic The line-up of the Heads of Government and key Ministers during development is a form of humanitarian acts and is very much the WIEF Leadership Panel session (L – R) Souot Mynbayev, Minister of Energy and Mineral Resources , Sheikh Khalifa bin Salman in line with Islamic values. He expressed his joy at participating Al Khalifa, Prime Minister of Bahrain, Sheikh Nasser Mohammad Al- in this forum, and extended his gratitude and appreciation Ahmad Al-Sabah, Prime Minister of Kuwait, Guillame Kigbafori Soro, Prime Minister of Cote D’Ivoire and Dr. Ahmad Mohamed Ali, President to Kuwait for supporting development projects in Islamic of the Islamic Development Bank. countries, including Bahrain.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I43 LEADERSHIP PANEL: ISLAMIC COUNTRIES IN A COMPETITIVE WORLD

FRQ¿GHQW WKDW WKLV HYHQW ZRXOG JLYH D ERRVW WR UHODWLRQV EHWZHHQ0XVOLPVWDWHVLQDOO¿HOGVDQGZRXOGVHUYHWRDFKLHYH integration.

He said that his country aimed to become one of the 50 top competitive countries in the world, adding that over the past ¿YH\HDUVLWVHFRQRPLFJURZWKKDGUHDFKHGWHQSHUFHQW

Growth indications has allowed Kazakhstan to become a donor country and it is now one of the top 40 countries attracting investments, he said, adding that the government was continuing to place strategies for diversifying exports and services. Souat Mynbayev, Minister of Energy and Mineral Resources Kazakhstan, delivering a speech on investment opportunities in Kazakhstan, a country ranked 7th in the world in terms of oil reserves. Kazakhstan has rich natural resources, the country ranks 7th in the world in terms of oil reserves and 6th in gas reserves. It This kind of forum is a practical response to the wave of is also ranked 2nd in uranium reserves and aims to become allegations against Muslims and proves that Islam promotes the biggest uranium exporter in the world. Kazakhstan has GHYHORSPHQW DQG FLYLOL]DWLRQV +H FDOOHG IRU EHQH¿WLQJ IURP many investment opportunities and he called for investors in such events so that Muslim countries could contribute more Muslim countries to take advantage of this. towards development of their own countries. DR AHMED MOHAMED ALI, President of the Islamic In many places, the Islamic world seems to have abandoned Development Bank (IDB) noted the importance of the the human and natural resources and this has led to many participation of leaders and the topics that were being problems including poverty, ignorance and diseases. These discussed not only in the Forum but on the sidelines of the challenges need to be encountered and the Islamic world event. He also thanked Tun Musa Hitam as Chairman of WIEF needs to prove itself by participating in global development in in his pioneering role and Malaysia as a pioneer country in this fast-changing world. terms of sustainable development. He stressed that the high level participation at WIEF shows commitment and a lot of He stressed the need for increasing cooperation among creativity in solving the problems of the Ummah. countries in an effort to enhance economic development among Islamic countries. He also suggests that economic He commended the wise leadership of the Kuwait government and political reform in Islamic countries should be continued and that it was a pioneering country in global development and promoted to ensure effective participation of people in the and in joint Muslim action. Dr Ali said Kuwait’s role in development process. GHYHORSPHQW ZDV HYLGHQW LQ LWV HVWDEOLVKPHQW RI WKH ¿UVW national development fund, Kuwait Fund for Arab Economic H.E. SOUAT MYNBAYEV, Minister of Energy and Mineral 'HYHORSPHQWZKLFKKDGVLQFH¿QDQFHGSURMHFWVZRUWK86' Resources, Republic of Kazakhstan said that he was 15 billion.

44 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM Dr Ali stressed on the importance of human capital Human capital development also involves efforts to improve development. He said if we want our countries to be our universities so that they rank among the best in the competitive, we must invest more in our human resources world. We need to engage in more research activities at and that means from beginning to end, from school to work, universities and research institutes. from kindergarten to high school to university. Studies show that children who have had kindergarten schooling had It is important that Islamic countries have the commitment better chances of success and excellence later in life. to implement the 10 year program as agreed in the Makkah Summit. He said the IDB was proud to be one of the A move to knowledge-based economy would help us to be institutions that contributes to the alleviation of the suffering of more competitive. This means giving emphasis to education impoverished people of the world and will continue to strive to right at an early age, helping teachers to improve and be a strategic partner in the development of Islamic countries. giving concerns for teachers’ and students’ social, moral and We have no other choice but to penetrate the global market. material well being. He cited the case of , a country We should use all the resources and assets that God has with very little natural resources, as a success story on given us wisely and responsibly and with God’s help we can human capital development. Educating people means become more competitive. improving the curricula, as well as the mentalities and behaviour of people.

QUESTION & ANSWER SESSION

During the Question and Answer session, issues included the future of GCC as an economic bloc and the role of IDB in the Arab countries as distinct from the Arab League. The GCC region can become a role model to the rest of the Islamic countries in terms of economic cooperation. However, the GCC is highly dependent on oil and should consider wise investment especially in human capital development since oil is a non-renewable resource and it can run out. Lessons should also be learnt from countries that have acquired wealth and rapid economic growth with very limited natural resources. If not invested well, the gift of natural resources such as oil can become a “curse” to the nation and to its people.

The IDB has always been at the forefront in encouraging education not just at tertiary level but also at kindergarten and primary levels. The concern with university education is that universities should be increasingly engaged with research so as to contribute towards increasing competitiveness of Muslim countries.

There is also concern on how we could reduce the gap between rich and poor countries and one of the ways is to distribute national wealth such as oil with other Muslim nations in the forms that can provide capacity building and sustainable development rather than an aid dependent mentality.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I45 PARALLEL SESSION SMALL & MEDIUM ENTERPRISES

R ATEF OBAID, Former Prime Minister, Arab Republic of Egypt said that Small & Medium DEnterprises (SMEs) represent the cornerstone in the development of any country.

He stressed on the importance played by SMEs in economic development and contribution to raising gross domestic product, as well as combating poverty and unemployment.

MR TARIQ SAYEED, President, SAARC Chamber of Commerce & Industry’s presentation comprised 3 parts: an introduction to the region of South Asia, an overview of SMEs in the South Asia Region with particular reference to Pakistan DQG¿QDOO\DUHDVIRUMRLQWYHQWXUHVDQGSROLF\PHDVXUHV

SAARC comprises four Muslim nations: Pakistan, Bangladesh, Maldives and Afghanistan. However, India, despite being a part of South Asia and not considered as a majority Muslim country has more than 200 million Muslims. This is 40 million more than the population of the third leading Muslim country Pakistan. South Asia constitutes 22% of world population of which 50% forms the young labor force and is blessed with 15% of world resources. According to World Bank, the region

witnessed GDP growth of 6% during 2001-07. However despite enormous potential, economic performance of South Asia has been disappointing.

Various studies provide evidence on the role of SMEs in providing employment and compared to large-scale companies SMEs have bigger impact in reducing poverty. The growth and development of SMEs have become key concerns among policy makers because of their contribution to fostering growth, competitiveness and equity. Tun Musa Hitam, Chairman of WIEF Foundation talking to Dato Dr. Idris Jusoh, former Chief Minister of Terengganu, one of the richest states in In Pakistan, there are 3.2 million business enterprises, with Malaysia in terms of oil reserves. those employing up to 99 persons constituting over 90% of all

46 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM QUESTION & ANSWER SESSION

The Question & Answer session raised important issues on increasing education levels, support for SMEs, and the importance of increasing trade within Muslim countries and women enterprises’ lack of funding. SMEs should get involved in conferences and trade fairs in order to market their products since “seeing is believing”. As such the government or relevant body should consider ways to provide grants for women or SMEs as a whole to be able to participate in these international events that in the experience of Malaysia has provided a lot of boost in exporting. One way is to establish export development fund where a certain portion of export revenue is retained for this fund, which is to be used for deserving SMEs to go to trade fairs. Another suggestion is for WIEF secretariat to provide before the start of any session the background of what was discussed and agreed during the previous WIEF on the same topic, and the progress if any so that this would provide continuity. The importance of political stability for economic performance was stressed. Tanri Abeng, Chairman of PT Telecom Indonesia, giving an exuberant speech during his session on Small and Medium Enterprises.

private enterprises and they employ nearly 78% of the non- doing business. agriculture labor force. They contribute over 30% to the GDP 2. ,QFUHDVLQJ 60( DFFHVV WR IRUPDO ¿QDQFH LQFOXGLQJ and account 25% of exports of manufactured goods and 35% HTXLW\¿QDQFLQJDQGLPSURYLQJ60(FDSDFLW\WREHFRPH in manufacturing value added. “bankable”. 3. Improving delivery mechanism for assistance and access He pointed that these enterprises were facing such problems to resources for SME including business development as loan interest and providing basic capital. Sharing the VHUYLFHV TXDOL¿HG KXPDQ UHVRXUFHV PDUNHWLQJ DQG experience of Pakistan, he outlined the initiatives of the technology in order to improve competitiveness, Pakistan SME Task Force committee established by the productivity and capacity for employment generation. government which included: 4. (VWDEOLVKLQJDSSURSULDWHGH¿QLWLRQIHHGEDFNPRQLWRULQJ & evaluation mechanism. 1. Creating a favorable business environment for SMEs by eliminating unnecessary obstacles and reducing cost of Mr Sayed stressed the need for supporting SMEs and for

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I47 PARALLEL SESSION SMALL & MEDIUM ENTERPRISES

The weaknesses of SME in Indonesia are: 1. Access to capital and collateral. 70% of capital is raised by themselves. The other 30% comes from high interest sources. 2. Scale of business is small and not linked to big companies.

The number of SMEs has grown especially after the 1998 ¿QDQFLDOFULVLVZKHQPDQ\ELJFRPSDQLHVFROODSVHGDQG60(V seemed to be better able to cope with the crisis. Mr Abeng The panelists of the session on Small and Medium Enterprises (L – R) Tanri Abeng, Chairman of PT Telecom Malaysia, Dr. Atef Obaid, Former suggested the following in order to improve the situation: Prime Minister of Egypt and Tariq Sayeed, President of SAARC Chamber of Commerce and Industry. 1. Education: to improve access and to lengthen the duration of education. Islamic countries to cooperate with African countries who were 2. To provide structure on how the scale of business can be threatened to lose their agricultural resources. increased. 3. Funding – how to improve access and the channeling of MR TANRI ABENG, Chairman of PT Telecom, Indonesia surplus funds for e.g. petrodollar to needy areas such as said that SMEs contribute to survival and development of to help SMEs in Indonesia in areas such as agriculture for any national economy. In Indonesia there are 49 million SME rice, sugar, vegetables etc. establishments with 85 million workers which form 96% of total employment and contribute to 56% GDP.

48 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM PARALLEL SESSION TELECOMMUNICATIONS, TRANSPORT & LOGISTICS

The paneslists of the session on Telecommunications, Transport and Logistics (L – R) Mr. Bahjat El-Darwiche, Principal of Booz Allen Hamilton (Middle East) and Eng. AbdulRahman Khalid Al-Ghunaim, former Minister of Communications Kuwait.

NG. ABDULRAHMAN KHALED AL-GHUNAIM, development in the telecommunication sub-market has Former Minister of Communication, State of grown rapidly in the Middle Eastern region, with all countries EKuwait, moderator of the session, started by stating seeing competition in the mobile market, both within that the Middle East is an important market for logistics. It facilities and infrastructure investment. is currently being impacted by the growth in oil prices and consumer spending. Development of railroads, airports, and Increased competition has had a positive impact on customers, roads is taking place rapidly and is a chance to link Middle and social and economic development. In the region, mobile Eastern markets with the Asian and American markets. penetration has had a growth rate of 4%, with mobile growth rate of 40% across the region, and higher penetration rates MR BAHJAT EL-DARWICHE, Principal, Booz Allen WKDQ¿[HGOLQHVEHQH¿WLQJERWKXVHUVDQGWKHRYHUDOOVHFWRU Hamilton (Middle East) gave a global industry overview Beyond competition, the region has been successful in of the telecommunications sector, stating that there has leveraging regeneration and consolidation gaps. Many been rapid development of telecommunication in the Middle operators see new opportunities emerging beyond regional East and North African regions. The industry has become boundaries, acquiring operators across the region. Today increasingly liberalised and consolidated, a combination there are a number of regional and global operators emerging of action between investors and policymakers. With in South Africa, operating in other countries. the introduction of regulatory bodies and frameworks,

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I49 PARALLEL SESSION TELECOMMUNICATIONS, TRANSPORT & LOGISTICS

Further growth is to be expected, facilitated by strong :HEUHÀHFWVWKHXVDJHRIRQOLQHDSSOLFDWLRQVQRWPHUHO\ demographics with 2.5% per year population growth in the for information. Instead, users demand interactive applications. Middle East (the highest growth rate in the world, accompanied ,Q WKH 0LGGOH (DVW DSSOLFDWLRQV DUH EHLQJ FXVWRPLVHG WR ¿W by the highest GDP growth rate). The telecommunication the culture and values of the region. Policy and regulatory industry is expected to grow at 14% per year on average, frameworks are being tailored to facilitate the development in the next two to three years. The two trends essential in of service based business models. liberalising the industry are as follows: An important additional trend is the way in which boundaries 1. Convergence: RIWKHWHOHFRPPXQLFDWLRQVHFWRUDUHFKDQJLQJZLWK¿QDQFH Convergence of the telecommunication industry with media and telco sectors blending together. This drives the need other industries will sustain growth along the value to change frameworks and licensing structures. Government FKDLQ RIIHULQJ PHGLD VHUYLFHV ¿QDQFLQJ VHUYLFHV VXFK requirements are now interlinked with regulating media. as e-commerce and mobile payment. Technology FRQYHUJHQFHZLOOGULYHRSHUDWRUVWREHPRUHHI¿FLHQWIRU While operators used to compete on connectivity, example through videoconferencing, Internet, TV and so improvising content applications are a new challenge for on. Today there exist completely new entrants relying them. Understanding needs to be built on customers and on convergence to gain market share, and overall have new markets in order to adapt to their operating models. gained 35% market share from traditional operators. In Partnerships and alliances with players in other industries is addition to this, regulatory frameworks in the region need one way to react to changing trends. Opportunities exist for to be devolved to adapt to updated services in the region. JURZWKEXWVWDNHKROGHUVPXVWDGGUHVVWKHVHFKDOOHQJHV¿UVW

2. Development of service based business models: There are two main drivers pushing this: a) User habits are changing and they don’t want simple connectivity. Instead, they want applications, personalisation, customer service, and accessibility  RI DSSOLFDWLRQV LQ ERWK ¿[HG DQG PRELOH OLQHV Consolidation of these networks is necessary through one service provider. Wireless technology is being used for access boards. b) Regulators usually consider access rights as a scarce resource and provide a limited number of service- based licenses. Service players are extremely aggressive today, and should be providing best services to maintain competitive advantages. Surplus based business models should be focused on, in providing content applications to the end user. Dr. Yousef Al-Ebraheem, Advisor at the Diwan Al-Amiri of Kuwait (left) ZLWKDIHOORZ.XZDLWLRI¿FLDO

50 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM QUESTION & ANSWER SESSION

During the Question & Answer session, several themes emerged. ICT development is increasing within and Jordan, although there are content and application gaps that need to be bridged. A “Silicon Valley” of the Middle East was suggested, to sustain development in software. Education was an important area of interest, especially the need to maximise the young generation from university Question and answer session level and beyond. Muslim countries have a very young population, which should be taken into consideration. Local players dominate the industry currently, owning 75% Technical education in the areas of services, logistics, of the share and 25% from international players, in the telecommunication and transportation should be important region. ¿HOGVRIVWXG\DWXQLYHUVLW\OHYHO 2QH ZD\ RI UHLQYHQWLQJ ¿[HG EXVLQHVVHV WR XWLOLVH Mr Bahjat El-Darwiche stated that although broadband rates FRQYHUJLQJWHFKQRORJLHVLVWRWUDQVIRUP¿[HGEXVLQHVVLQWR were initially very high, many countries are now approaching broadband business, complementing DSL with value added an average benchmark level, and telco operators are DSSOLFDWLRQV ,Q 0RURFFR DQ DWWHPSW WR RIIHU QHZ ¿[HG PRYLQJWRZDUGVÀDWUDWHPRGHOVRIFRQQHFWLYLW\ SD\LQJÀDW licenses was attempted but no parties were interested. After rates and getting unlimited calls, while users pay more for DFHUWDLQSHULRGWKH\RIIHUHG¿[HGPRELOLW\OLFHQVHV,QRQH applications and content). Although prices will decrease, \HDUWKHQXPEHURI¿[HGOLQHVLQ0RURFFRZHQWXSDIWHU spending on telecommunications will probably increase in several years of stagnation. In addition to this, traditional the long run, with increased revenue for the sector. One ¿[HGRSHUDWRUVQHHGWREHPXFKPRUHDJJUHVVLYHLQFRPLQJ UHDVRQZK\WKHWHOFRVHFWRUKDVDWWUDFWHGVLJQL¿FDQWIRUHLJQ up with communication services rather than communication. direct investment in the region is that many countries have They need to segment markets and offer catered services signed commitments to WTO agreements, in particular to each. commitment to open ownership of telco players. Another GULYHULVSUR¿WDELOLW\RIWKHVHFWRUUDQJLQJEHWZHHQDQG On the issue of transportation and logistics, Eng. 60% consistently. Abdulrahman Khaled Al-Ghunaim stated that there are developments taking place in different parts of the world. Most acquisitions that took place in the region were by Studies should be conducted to identify supply and regional players and not foreign. The reasons behind logistics chain, as these are essential elements of business this are that many telco operators investing in the region transactions and relations. Developing possibilities should VHYHQ \HDUV DJR ZHQW WKURXJK D GLI¿FXOW SHULRG DIWHU WKH be analysed. Important technologies must be utilised, dotcom burst. Local operators then rushed to maximise creating a centre for future value chain technology, and on opportunities, thereafter building solid understanding to utilise universities and big companies’ investments into amongst them to compete against foreign counterparts. Islamic countries.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I51 PARALLEL SESSION INFRASTRUCTURE & REAL ESTATE

NG SAEED DASHTI – Chairman & MD – KGL, Kuwait who moderated the session, started by Eintroducing the speakers.

Global Industry overview: MR MOHD ANWAR YAHYA, Senior Executive Director, Pricewaterhouse Coopers Malaysia reported the results of the Annual Global CEO Survey, which is based on the world’s economic landscape on the trends (L to R) Dato’ Ikmal Hijaz Hashim, Managing Director of Iskandar and outlook on global infrastructure and real estate, Development Region Authority Malaysia, Tan Sri Azman Mokhtar, Khazanah Nasional Berhad Malaysia and a fellow participant of the 4th challenges and the future. He discussed four main topics: WIEF.

1. World’s Economic Landscape by 2050 3. Challenges ‡ (PHUJLQJ HFRQRPLHV ZRXOG WDNH FHQWUH VWDJH DQG ‡ 2SHUDWLRQDOLVLQJLPSOHPHQWDWLRQDQG&65VWUDWHJLHV the relative GDP of , China, Indonesia, , ‡ 6WUDWHJ\VWUXFWXUHSURFHVVSHRSOHDQGWHFKQRORJ\ and would be 1.5 times larger than the G7 economies (, France, , , Japan, UK & 4. The future – excitingly positive but fraught with USA). challenges ‡ $VLD ZRXOG KDYH KDOI LWV HPHUJLQJ HFRQRPLHV LQ KLJK ‡ :KDWNLQGRILQIUDVWUXFWXUHZLOOEHWKHPDLQIRFXV growth mode, with having a 9.7% projected real ‡ 3XEOLF3ULYDWH 3DUWQHUVKLSV 333  RU 3XEOLF3ULYDWH growth rate. Initiatives (PPI) ‡  XUEDQ SRSXODWLRQ LQ WKH GHYHORSLQJ ZRUOG ZLOO EH LQ ‡ 'HYHORSPHQWLVVKLIWLQJWR$VLD3DFL¿FZLWKDQLQFUHDVLQJ towns and cities. number of urban growth corridors.

2. Global Infrastructure Trends & Outlook by 2030 DATO’ IKMAL HIJAZ HASHIM, Managing Director, ‡ ,QIUDVWUXFWXUHGHPDQGZLOOLQFUHDVHODUJHO\LQ$VLD3DFL¿F Iskandar Development Region Authority, Malaysia, with water a key focus, and an estimated US $41 trillion on reported on the Iskandar Malaysia (IM), Infrastructure and urban infrastructure. Real Estate Development, who started by: ‡ $PRQJ HPHUJLQJ FRXQWULHV RYHU KDOI DUH VWLOO ODJJLQJ behind in infrastructure quality. 1. Introducing Iskandar Malaysia: ‡ (PHUJLQJHFRQRPLHVIDFHDPDVVLYHLQIUDVWUXFWXUHIXQGLQJ ‡ /LHV DW WKH KHDUW RI 6RXWK (DVW $VLD ZLWKLQ PLQXWHV WR gap, for example India’s infrastructure today is where China Singapore was a decade ago. ‡ /RFDWHGDWWKHFURVVURDGVRI(DVW:HVWWUDGHODQHV ‡ )XWXUH FROODERUDWLYH PRGHOV HJ 333 3XEOLF 3ULYDWH ‡ 0LGZD\EHWZHHQWKHJURZLQJHFRQRP\RI&KLQDDQG,QGLD 3DUWQHUVKLS IRU¿QDQFLQJDQGGHOLYHULQJSXEOLFLQIUDVWUXFWXUH ‡ $UHD RI  NP VTXDUH FXUUHQW SRSXODWLRQ  PLOOLRQ projects worldwide. and by 2025 population is expected to increase to 3 ‡ .H\GULYHUV±GHPRJUDSKLFWUHQGVHFRQRPLFWUHQGVDQG million product trends. ‡ /RQJWHUPDVSLUDWLRQV*'3 333 LQ86'IURPLQ to 93.3 to 2025

52 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM The panelists of the session on Infrastructure and Real Estate (L – R) Dato’ Ikmal Hijaz Hashim, Managing Director, Iskandar Development Region Authority Malaysia, Nurlan Nigmatulin, Governor of the Karaganda Region Kazakhstan, Mohd Anwar Yahya, Senior Executive Director, Pricewaterhouse Coopers Malaysia, and Eng. Saeed Dashti, Chairman and Managing Director of KGL Kuwait.

‡ FRPSRQHQWVRI,0 – The strategic plan – comprehensive development plan MR NURLAN NIGMATULIN, Governor of – The super developer – Iskandar Investment Berhad Karaganda Region, Kazakhstan, discuss potential (IIB) investment opportunities in the region of karaganda – The Facilitating Authority – IRDA from four perspectives: – Catalyst initiatives 1. Natural resources – Uranium. 2. Progress update: 2. Capital investment based on collaboration. ‡ 3KDVH±SODQQLQJPRQWKV 3. Building an industrial park focused on pharmaceutical ‡ 3KDVH±PRELOL]DWLRQDQGWUDQVLWLRQPRQWKV areas. ‡ 3KDVH±FDWDO\WLFGHYHORSPHQW\HDUV 4. Cluster system in areas such as tourism. ‡ 3KDVH±ZLGHQLQJWKHGHYHORSPHQW\HDUV 5. During the Question & Answer session, the issue ‡ 3KDVH±UHDOL]LQJWKHYLVLRQ\HDUV of considering those caught below the poverty line was raised, to which there was consensus that 3. Capital appreciation Governments should play their roles in solving such disparity. In the long run, however, development 4. Investment opportunities would eventually attract investment that would then ‡ 5HDOHVWDWH generate wealth, employment and provide social – Purchase land/property for development/investment projects for community participation. On private – Joint-ventures with key landowners / developers sector investment, speakers agreed that funding – Invest in property companies / REITS and investment for projects usually would be in ‡ 2SHUDWLRQV the areas of infrastructure (highways and tolls), – Set up new business in one of the 9 promoted although return on investment would vary with economic clusters sectors. Public-private partnerships estimate about – Relocation of existing operations a 16-17% return, depending on the sectors in which ‡ )LQDQFH they are involved.  ± 2IIHULQQRYDWLYH¿QDQFLQJIRUGHYHORSHUVDQGLQYHVWRUV

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I53 PARALLEL SESSION TOURISM & TRAVEL

R KHALED ABDULLAH AL-GHANIM, Vice Chairman & MD of Touristic Enterprises MCompany, Kuwait, who moderated the session, explained that the tourism industry had become a major economic pillar for many countries and that over 130 countries worldwide mainly depended on tourism and travel to develop their savings and national income. He stressed that many kinds of tourism had spread lately such as religious, political, sports and health tourism. According to the latest statistics, the tourism sector came second after oil in economic exchanges worldwide in 2007. He said that the most important tourism-enhancing elements in Kuwait were its unique location and the powerful tourist projects launched after 2003 that had succeeded in attracting many tourists. Khaled Abdullah Al-Ghanim, Vice Chairman and Managing Director of Touristic Enterprises Company Kuwait at the panel during his session on The recent laws and legislation on passing of the BOT (Build, Tourism and Travel. Operate and Turn over) projects law and involving the private sector in many tourist investments had a very positive impact on boosting the tourism sector and turning Kuwait into a the tourism sector with an overall strategy, then Middle East regional tourist attraction. tourism could grow to satisfactory levels. He said that tourism planners needed to put many elements into consideration MR RICHARD SHEDIAC, Vice President, Booz Allen such as the tastes and preferences, needs and purchasing Hamilton, presented a paper entitled the “Global Industry patterns of the target tourists. Middle Eastern tourists usually Overview” and said that what was needed for successful cared about the weather, shopping opportunities, dining and WRXULVP ZDV ¿UVW WR GH¿QH D VXFFHVVIXO WRXULVP VWUDWHJ\ family activities when choosing a destination. while focusing on the Middle East in particular. He explained that if governments were able to put more investment into H.E. MR NAN SY, Ambassador, Kingdom of Cambodia to State of Brunei, presented a paper on country overview and he said that Cambodia possessed great investment opportunities, namely in building a tourism industry infrastructure to help develop the sector. The government of Cambodia recently expanded the airport to reach a capacity of 15 million passengers in 2015. He further said that Cambodia had joined the United Nations (UN) and became the 148th PHPEHU FRXQWU\ LQ WKH :72 DQG IROORZLQJ D ¿YH\HDU plan intends to execute many developmental projects and Some of the panelists of the session on Tourism and Travel (L – R) Nan provide promising investment opportunities to help support Sy, Ambassador of the Kingdom of Cambodia to Brunei, Richard Shediac, Vice President of Booz Allen Hamilton and Muniruddeen Lallmahamood, the national economy, limit the rates of poverty, increase per Director of Global Management & Business Consulting Ltd., . FDSLWDLQFRPHUDWHVGHFUHDVHLQÀDWLRQUDWHVDFKLHYHFXUUHQF\

54 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM QUESTION & ANSWER SESSION

During the Question and Answer session, it was emphasized that tourism is one of the main pillars of the economy of any country anywhere in the world. Unfortunately, there were not many Kuwaiti investors present at the Forum to share their views and to explore opportunities with other countries. If Kuwaiti investors were present, there would be a great opportunity to dialogue and to debate. While agreeing, the moderator also stated that perhaps due to security reasons, there were not many investors present. It is true that there is a dire need to increase investment in tourism and travel (L – R) Toyoo Gyohten, President of the Institute for International Monetary industry anywhere in the world and this will be better Affairs Japan exchanging views with Nan Sy, Ambassador of the Kingdom approached in the next Forum to come. of Cambodia to Brunei.

stability and increase reserves of foreign currencies. Cambodia received over two million tourists in the period of 1995 until 2007 and they plan to reach 15 million by year 2015.

MR MUNIRUDDEEN LALLMAHAMOOD, Director, Global Management & Business Consulting Ltd, Republic of Mauritius, highlighted that the Republic of Mauritius had a fascinating location in the Indian Ocean and that it had been discovered by the Arab geography scientist, Abu Mohammed $O,GULVLZKRKDGSXWLWRQDQRI¿FLDOPDSIRUWKH¿UVWWLPHLQ 1145. The major crop in Mauritius was sugar cane and that the tourism sector was responsible for 9% of the national production rate of 14.9 billion in 2007. He further stressed that Mauritius possessed all the necessary factors needed to attract more tourists, such as natural scenery, landscape, people’s hospitality and adequate infrastructure in the form of a modern chain of hotels and spas needed to establish health tourism. Mauritius now adopts the Integrated Resorts System (IRS) where tourists, namely the GCC target market, can enjoy some privacy in a place they could own.

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I55 Delegates on the headphones listening to a translated speech.

56 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM

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86 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM CONCLUDING SPEECH BY THE PATRON OF WIEF FOUNDATION: The Hon. Dato’ Seri Abdullah bin Haji Ahmad Badawi, Prime Minister of Malaysia

As Patron of the WIEF, it gives me great satisfaction to see such a distinguished assembly of people of various nationalities and cultures, from various parts of the world, gathered together for WKHXQLWHGSXUSRVHRI¿QGLQJEXVLQHVVVROXWLRQVWRSUREOHPV concerning Muslim countries, and thereby securing a better life for many of the world’s poorest who live in these countries.

Indeed, we must always remain true to the mission of the WIEF which is twofold. First, to assist Muslim countries to cooperate with each other in international economic and development issues. Second, to assist Muslim countries to become competitive players in the wider world of international trade and investment. I hope therefore, as we prepare to journey home to our respective countries, that this 4th Forum will record concrete achievements in promoting business cooperation, strategic partnerships and human capital development. I hope you have also been able to share knowledge about EHVWSUDFWLFHVVRWKDW0XVOLPFRXQWULHVFDQEHFRPHHI¿FLHQW producers of goods and services.

I commend the World Islamic Economic Forum for being very successful in bringing together many Heads of State and Government, Cabinet Ministers, captains of industry, His Highness Sheikh Nasser Al-Mohammed Al-Ahmad Al- business entrepreneurs and strategic thinkers. The fact that Sabah, Prime Minister of Kuwait; the participants have been able to discuss critical issues and challenges facing the Muslim world in an atmosphere of peace The Hon. Tun Musa Hitam, Chairman, World Islamic Economic and goodwill between Muslims and non-Muslims is a great Forum Foundation and the W.I.E.F; achievement by itself. Indeed, we can claim that this is the contribution of the WIEF to the wider dialogue for engendering Excellencies, Distinguished Guests, greater understanding between the West and the world of Ladies and Gentlemen, Islam.

Assalammualaikum, and a very good morning to all of you. Ladies and Gentlemen,

Alhamdullillah, all praise be to Allah, by whose grace and I am very aware that this Forum has convened at a time when blessings we are able to meet here in Kuwait. I am delighted the global economic outlook is fraught with uncertainties. to be able to be with you in this Concluding Session of the 4th 7KHVXESULPHFULVLVDIIHFWLQJ$PHULFDQ¿QDQFLDOLQVWLWXWLRQV World Islamic Economic Forum. continue to hang over the economy of the United States. The

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I87 CONCLUDING SPEECH BY THE PATRON OF THE WIEF FOUNDATION: The Hon. Dato’ Seri Abdullah bin Haji Ahmad Badawi, Prime Minister of Malaysia

sub-prime crisis in America may very well spread to become of the fastest growing markets in the world. The 1.56 billion a global contagion. The global economy is furthermore faced Muslims living in various parts of the world constitute 20% ZLWK VWURQJ LQÀDWLRQDU\ SUHVVXUHV EURXJKW DERXW E\ KLJK RLO of the world’s population. In monetary terms, the report says prices and the increasing costs of basic foods. These are WKLV PDUNHW UHSUHVHQWV VLJQL¿FDQW VXPV DQ HVWLPDWHG 86' challenges which can bring about serious economic, social, 2 trillion potential in various sectors, particularly halal foods political and security impacts. We need accurate monitoring of DQG ¿QDQFH 7KH WLPH KDV FRPH IRU 0XVOLP FRXQWULHV WR the developing situation. Member countries of the O.I.C would seriously tap into this halal market which is fast developing do well to put in place effective surveillance mechanisms which into a mainstream industry. Towards this end, my country, can provide early warnings against uncertainties, including Malaysia has taken important steps to make itself a hub for SRVVLEOHJOREDO¿QDQFLDOLQVWDELOLW\ halal products and services, including the establishment of D KDODO FHUWL¿FDWLRQ V\VWHP ZKLFK PHHWV LQWHUQDWLRQDO In the face of these global uncertainties, it is imperative now standards. I would like to inform you that the Malaysian for Muslim countries to examine more closely the economic standard has been approved by the U.N CODEX. It is a widely potentials which exist in the Muslim world itself. I am referring accepted standard similar to the I.S.O standards maintained to the market for sharia compliant halal products. A report by the International Organization for Standardization. In E\ WKH ¿UP RI$7.HDUQH\WKH ZHOO NQRZQ JOREDO VWUDWHJLF 0DOD\VLD WKH FHUWL¿FDWH LVVXLQJ DXWKRULW\ LV WKH 0DOD\VLDQ management consultant, says that Muslims comprise one Halal Industry Development Corporation.

88 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM The halal industry does have real potentials for further In Malaysia, we pay special attention to making education development because it concerns not only food and Islamic accessible to all including those in the rural and other banking but also, among other things, drinks, apparel, hygiene remote areas of the country. We strongly believe that when SURGXFWV QXWULWLRQDO VXSSOHPHQWV ¿QDQFLDO LQVWUXPHQWV young people are equipped with knowledge and skills, and insurance. As part of its continuing commitment to the they will grow up to become useful citizens who can uplift development of the halal industry, Malaysia will host the themselves economically and socially and contribute to the World Halal Forum in Kuala Lumpur, 12-13 May 2008, two well being of the society at the same time. When we weeks from today. We would like to welcome you in Malaysia successfully deal with the problems affecting the young to take part in this important event. population, we are actually solving not only problems of the present but also investing for the future. This is because the Ladies and Gentlemen, youth of today are the leaders of tomorrow and they should be inculcated with the proper attributes of leadership. They I need not recount the dismal economic and social statistics should be prepared for leadership at all levels and in various which show evidence of the dire situation of most Muslim sectors including government, civil society, academia and in FRXQWULHV DQG VRFLHWLHV (FRQRPLF GHYHORSPHQW LV GH¿QLWHO\ business. the key to uplifting the quality of life in these countries and societies. It is therefore a primary function of the World (IIHFWLYH OHDGHUVKLS FDQ LQÀXHQFH RWKHUV WR DFFRPSOLVK Islamic Economic Forum to foster cross-border partnerships social tasks and development objectives. We need leaders and alliances which would help to develop these economies who have a strong faith in religion, who are equipped with and ensure a better future for their peoples. The WIEF should knowledge and who practise high moral conduct. They must recognize the urgency of this task because it is vital that be able to give clear directions while creating space for Muslim countries be taken out of the cycle of poverty and others to take initiatives. In this Forum, we are most deprivation. This is essential for bringing into being a more appreciative of the contributions made by the Leaders present peaceful and stable world order. in Kuwait during the discussions in the Session concerning Leadership. In this connection, I am delighted to learn that We know that the solution to the problems generated the Oxford Centre for Islamic Studies will be holding a by poverty and underdevelopment lies not only in the Global Islamic Leadership Programme at Oxford University construction of infrastructure and the provision of social in England this coming August. That Programme, I believe, amenities but also investment in human capital. This is will provide meaningful insights into the extremely important particularly important for Muslim nations which face the threat question of leadership development in the Muslim world. of growing unemployment. Education programmes must increasingly be industry relevant to make it easier for school Ladies and gentlemen, OHDYHUV WR ¿QG HPSOR\PHQW LQ WKH MRE PDUNHW 'HYHORSPHQW planning must equally cater for the creation of employment , DP FRQ¿GHQW WKDW WKH :,() KDYLQJ HVWDEOLVKHG LWV opportunities. I am very pleased to know that the issue of identity and position in the international conference FUHDWLQJ D SRRO RI TXDOL¿HG KXPDQ FDSLWDO ZLWK DGHTXDWH agenda, has set itself on the right track. The enthusiastic skills and competencies had in fact been a subject of response to this Forum and the high quality of the intense discussion in the present Forum. discussions support this observation of mine. I think, after

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I89 CONCLUDING SPEECH BY THE PATRON OF THE WIEF FOUNDATION: The Hon. Dato’ Seri Abdullah bin Haji Ahmad Badawi, Prime Minister of Malaysia

four years of its existence, the WIEF has succeeded in the emerging markets of the Muslim countries which are making an impression on the international traders and competing for a slice of these funds. There are certainly vast investors that the Muslim world is indeed a viable trading opportunities for investing in infrastructure development and partner and an alternative home for global investment. telecommunications as well as in the halal industry which I The WIEF should consolidate its role as the permanent have earlier singled out for special mention. trade and investment link for the economies of the Muslim world on the one hand, and between the Muslim and the Your Highness, Ladies and Gentlemen, non-Muslim world on the other. It should continue to set itself apart from other regional and international Forums. It should In conclusion, let me express the deep appreciation of be proud of its “Islamic” tag as this creates a brand name of the World Islamic Economic Forum Foundation and all its own. Let us make the WIEF capable of leading the Muslim participants at this Forum to the Government of Kuwait, ZRUOGDZD\IURPWKHGRPDLQWKDWLVV\QRQ\PRXVZLWKFRQÀLFW in particular to His Highness Sheikh Sabah Al-Ahmad Al- DQGSRYHUW\WRDQHZHUDWKDWVLJQL¿HVSHDFHSURJUHVVDQG Jaber Al Sabah, The Emir, and His Highness Sheikh Nasser prosperity. Towards this end, the Government of Malaysia Al-Mohammed Al-Ahmed Al-Sabah, the Prime Minister, of the KDVPDGHD¿QDQFLDOFRQWULEXWLRQWRVWUHQJWKHQDQGHVWDEOLVK State of Kuwait. They have indeed been most generous in a permanent Secretariat for the WIEF in Kuala Lumpur. their hospitality as host to this 4th World Islamic Economic Forum. We are also grateful to the Kuwaiti National Organising The most important task before us now is to sustain the Committee and all others involved for their dedication and momentum. Holding this Forum in Kuwait is indeed timely. hard work in ensuring the success of this Forum. 7KLVLVWKH¿UVWWLPHWKDWWKH)RUXPLVVHWWLQJLWVIRRWLQWKH Middle East. And it is happening at a time when the region Thank you. is experiencing high liquidity. We should capitalise on this fact. With vast amounts of reserves available for new Wassalammualaikum Warahmatuhllahi Wabarakatuh. investments, the WIEF can function as a clearing house for

90 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM WORLD ISLAMIC ECONOMIC FORUM (WIEF) FOUNDATION

The World Islamic Economic Forum (WIEF) Foundation was established on 6 March 2006 to institutionalise the World Islamic Economic Forum which had its inaugural conference convened LQ2FWREHU,WLVDQLQGHSHQGHQWQRWIRUSUR¿WRUJDQLVDWLRQWKDWDGPLQLVWHUVDQGRUJDQLVHV the annual global and regional Forums as well as its related programmes and initiatives. The Foundation’s main objectives is to forge greater business partnerships amongst the Muslim world’s business sector, and to act as a permanent trade and business conduit between the Muslim and non-Muslim world. The Foundation also seeks to provide an HI¿FLHQWSODWIRUPIRUWKHEHVWRIPLQGVLQJRYHUQPHQWDQGWKHEXVLQHVVZRUOGWRH[FKDQJHFXWWLQJHGJHLGHDVDQGRSLQLRQVIRUWKH enhancement of economic wellbeing in the Muslim world.

Under the tutelage of the Foundation, aside from convening the annual global and regional Forums, 3 initiatives covering the issues of women, young leaders and education were established, and are represented by the WIEF Businesswomen Network (WBN), WIEF Young Leaders Network (WYN) and the WIEF Education Trust (WET) respectively. These initiatives were established to develop programmes and business activities to enhance the potential and creativity of the dynamic segments of society, namely women and the youth, with education being the most important means of achieving this objective.

Contact details: World Islamic Economic Forum Foundation Level 2 Kompleks Antarabangsa Jalan Sultan Ismail, 50250 Kuala Lumpur Tel : 603 2145 5500 )D[   www.wief.org

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I91 ORGANIZATION OF THE ISLAMIC CONFERENCE

The Organization of the Islamic Conference (OIC) is the second largest inter- governmental organization after the United Nations which has membership of 57 states spread over four continents. The Organization is the collective voice of the Muslim world and ensuring to safeguard and project the interests of the Muslim world in the spirit of promoting international peace and harmony among various people of the world. The Organization was established upon a decision of the historical summit which took place in Rabat, Kingdom of Morocco on 12th Rajab 1398 Hijra (25 September 1969) as a result of criminal arson of Al-Aqsa Mosque in occupied Jerusalem.

,QWKH¿UVWHYHUPHHWLQJRI,VODPLF&RQIHUHQFHRI)RUHLJQ0LQLVWHU ,&)0 ZDVKHOGLQ-HGGDKZKLFKGHFLGHGWRHVWDEOLVKD permanent secretariat in Jeddah headed by the organization’s secretary general. Prof Ekmeleddin Ihsanoglu is the 9th Secretary *HQHUDOZKRDVVXPHGWKHRI¿FHLQ-DQXDU\DIWHUEHLQJHOHFWHGE\WKHVW,&)0

The Charter of the Organization was adopted by the Third ICFM in 1972 which laid down the objectives and principles of the organization and fundamental purposes to strengthen the solidarity and cooperation among the member states. Over the last 38 years, the membership has grown from its founding members of 30 to 57 states. The Organization has the singular honor WRJDOYDQL]HWKH8PPDKLQWRDXQL¿HGERG\DQGKDYHDFWLYHO\UHSUHVHQWHGWKH0XVOLPVE\HVSRXVLQJDOOFDXVHVFORVHWRWKH hearts of over 1.5 billion Muslims of the world. The Organization has consultative and cooperative relations with the UN and RWKHULQWHUJRYHUQPHQWDORUJDQL]DWLRQVWRSURWHFWWKHYLWDOLQWHUHVWVRIWKH0XVOLPVDQGWRZRUNIRUWKHVHWWOHPHQWRIFRQÀLFWVDQG disputes involving member states. In safeguarding the true values of Islam and the Muslims, the organization has taken various steps to remove misperceptions and have strongly advocated elimination of discrimination against the Muslims in all forms and manifestations.

7KH0HPEHUV6WDWHVRIWKH2,&IDFHVPDQ\FKDOOHQJHVLQWKHVWFHQWXU\DQGWRDGGUHVVWKRVHFKDOOHQJHVWKHWKLUGH[WUDRUGLQDU\ session of the Islamic Summit held in Makkah in December 2005, laid down the blue print called the Ten-Year Program of Action ZKLFKHQYLVDJHVMRLQWDFWLRQRIPHPEHUVWDWHVSURPRWLRQRIWROHUDQFHDQGPRGHUDWLRQPRGHUQL]DWLRQH[WHQVLYHUHIRUPVLQDOO spheres of activities including science and technology, education, trade enhancement, and emphasizes good governance and promotion of human rights in the Muslim world, especially with regard to rights of children, women and elderly and the family values enshrined by Islam.

Contact details: 32%R[-HGGDK Kingdom of Saudi Arabia Tel : 690 0001 )D[  

92 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM ISLAMIC DEVELOPMENT BANK

7KH,VODPLF'HYHORSPHQW%DQNLVDQLQWHUQDWLRQDO¿QDQFLDOLQVWLWXWLRQHVWDEOLVKHGLQSXUVXDQFHRI the Declaration of Intent issued by the Conference of Finance Ministers of Muslim Countries held I

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M I C E P in Jeddah in Dhul Q’adah 1393H, corresponding to December 1973. The Inaugural Meeting of the D P E V O E L L E V O E PM D E Board of Governors took place in Rajab 1395H, corresponding to July 1975, and the Bank was EN U T B IQ AN LAM K  BANQUE IS formally opened on 15 Shawwal 1395H corresponding to 20 October 1975.

Purpose: The purpose of the Bank is to foster the economic development and social progress of member countries and Muslim communities individually as well as jointly in accordance with the principles of Shari’ah i.e., Islamic Law.

Functions: The functions of the Bank are to participate in equity capital and grant loans for productive projects and enterprises EHVLGHVSURYLGLQJ¿QDQFLDODVVLVWDQFHWRPHPEHUFRXQWULHVLQRWKHUIRUPVIRUHFRQRPLFDQGVRFLDOGHYHORSPHQW7KH%DQNLVDOVR UHTXLUHGWRHVWDEOLVKDQGRSHUDWHVSHFLDOIXQGVIRUVSHFL¿FSXUSRVHVLQFOXGLQJDIXQGIRUDVVLVWDQFHWR0XVOLPFRPPXQLWLHVLQ QRQPHPEHUFRXQWULHVLQDGGLWLRQWRVHWWLQJXSWUXVWIXQGV7KH%DQNLVDXWKRUL]HGWRDFFHSWGHSRVLWVDQGWRPRELOL]H¿QDQFLDO resources through Shari’ah compatible modes. It is also charged with the responsibility of assisting in the promotion of foreign WUDGHHVSHFLDOO\LQFDSLWDOJRRGVDPRQJPHPEHUFRXQWULHVSURYLGLQJWHFKQLFDODVVLVWDQFHWRPHPEHUFRXQWULHVDQGH[WHQGLQJ training facilities for personnel engaged in development activities in Muslim countries to conform to the Shari’ah.

Membership: The present membership of the Bank consists of 56 countries. The basic condition for membership is that the prospective member country should be a member of the Organization of the Islamic Conference, pay its contribution to the capital of the Bank and be willing to accept such terms and conditions as may be decided upon by the IDB Board of Governors.

+HDG2I¿FHDQG5HJLRQDO2I¿FHV7KH%DQN¶VSULQFLSDORI¿FHLVLQ-HGGDKLQWKH.LQJGRPRI6DXGL$UDELD7ZRUHJLRQDORI¿FHV ZHUHRSHQHGLQRQHLQ5DEDW0RURFFRDQGWKHRWKHULQ.XDOD/XPSXU0DOD\VLD,Q-XO\WKHERDUGRI([HFXWLYH 'LUHFWRUVDOVRDSSURYHGWKHHVWDEOLVKPHQWRIDQ,'%5HSUHVHQWDWLYH2I¿FHDW$OPDW\.D]DNKVWDQWRVHUYHDVDOLQNEHWZHHQ,'% PHPEHUFRXQWULHVDQG&HQWUDO$VLDQ5HSXEOLFV7KHRI¿FHEHFDPHRSHUDWLRQDOLQ-XO\DQGLVQRZDIXOOÀHGJHG5HJLRQDO 2I¿FH 7KH %DQN DOVR KDV ¿HOG UHSUHVHQWDWLYHV LQ HOHYHQ PHPEHU FRXQWULHV 7KHVH DUH ,QGRQHVLD ,UDQ .D]DNKVWDQ /LE\D Pakistan, Senegal, Sudan, Gambia, Guinea Bissau, and Algeria.

Contact details: 32%R[-HGGDK 21432 Kingdom of Saudi Arabia Tel : (+9662) 6361400 )D[    7HOH[  ,6'%6- Email : [email protected]

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I93 ISLAMIC EDUCATIONAL, SCIENTIFIC AND CULTURAL ORGANIZATION

,6(6&2 D VSHFLDOL]HG LQVWLWXWLRQ RI WKH 2,& LQ WKH ¿HOG RI (GXFDWLRQ 6FLHQFH DQG &XOWXUH ZDV established in Makkah in January 1981 with their inaugural conference held in Morocco in May 1982. ISESCO was established with the objective of strengthening, promoting and consolidating cooperation DPRQJWKH0HPEHU6WDWHVLQWKH¿HOGVRIHGXFDWLRQVFLHQFHFXOWXUHDQGFRPPXQLFDWLRQDVZHOODVWRGHYHORSDQGXSJUDGHWKHVH ¿HOGVZLWKLQWKHIUDPHZRUNRIWKHFLYLOL]DWLRQDOUHIHUHQFHRIWKH,VODPLFZRUOGDQGLQWKHOLJKWRIWKHKXPDQ,VODPLFYDOXHVDQG ideals. ISESCO also seek to consolidate understanding among peoples and to contribute to the achievement of world peace and security through various means, especially education, science and culture while encouraging cultural interaction and supporting the aspects of cultural diversity in the Member States, while preserving the cultural identity and protecting the independence of thought among its people.

Contact details: ,6(6&25HJLRQDO2I¿FHLQ7HKUDQ 1/2, Kalantari St, Sepahbod Garani Avenue, 15847 14911 Tehran 32%R[ Islamic Republic of Iran Tel : 9821 8831 6288 / 8882 3274 )D[   E-mail : [email protected] www.isesco-tehran.org

THE MUSLIM COUNCIL OF BRITAIN

The Muslim Council of Britain (MCB) is an umbrella organisation dedicated to the common good, to the betterment of the community and country. It was inaugurated - after several years of wide-ranging consultation and careful planning - on November 23 1997 at the Brent Town Hall in Wembley by representatives RIPRUHWKDQ0XVOLPRUJDQLVDWLRQVIURPDOOSDUWVRI%ULWDLQLQFOXGLQJ1RUWKHUQ,UHODQG7KHUHFHQW¿IWKDQQXDOJHQHUDOPHHWLQJ $SULO DI¿UPHGWKH0&%¶VVWDWXVDVDYLEUDQWFRDOLWLRQRIJUDVVURRWRUJDQLVDWLRQVDQGLQVWLWXWLRQVDQGLQGLYLGXDOWDOHQWDQG skills that is making a positive and constructive contribution to meeting the needs and the aspirations of the Muslim community in DSHULRGRIUHFXUULQJFULVHVDQGDQ[LRXVRSWLPLVP

Contact details: 32%R[/RQGRQ(:- Tel : +44 (0) 845 26 26 786 )D[     Email : [email protected]

94 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM ISLAMIC CHAMBER OF COMMERCE AND INDUSTRY

7KH,VODPLF&KDPEHULVDQDI¿OLDWHGRUJDQRIWKH2UJDQL]DWLRQRIWKH,VODPLF&RQIHUHQFH 2,& DQG represents the private sector of 59 member Islamic Countries. It aims at strengthening closer collaboration LQ WKH ¿HOGV RI WUDGH FRPPHUFH LQIRUPDWLRQ WHFKQRORJ\ LQVXUDQFHUHLQVXUDQFH VKLSSLQJ EDQNLQJ promotion of investment opportunities and joint ventures in the Member Countries. Its membership is comprised of the National Chambers / Unions / Federations of Chambers of Commerce and Industry of the member countries.

Contact details: Islamic Chamber of Commerce & Industry 67$%ORFN.'$6FKHPH&OLIWRQ32%R[.DUDFKL3DNLVWDQ 7HO,)D[ www.icci-oic.org

ISLAMIC CENTRE FOR DEVELOPMENT OF TRADE

The Islamic Centre for Development of Trade (ICDT) is the subsidiary organ of the Organization of the Islamic Conference, which has been entrusted with trade promotion among the OIC Member States. Its main objectives are:

‡ 7RHQFRXUDJHUHJXODUWUDGHH[FKDQJHVDPRQJ0HPEHU6WDWHV ‡ 7RSURPRWHLQYHVWPHQWVOLNHO\WRGHYHORSWUDGHÀRZV ‡ To contribute to the promotion of Member States’ products and encourage access to foreign markets ‡ To promote trade information ‡ 7RDVVLVW0HPEHU6WDWHVLQWKH¿HOGVRIWUDGHSURPRWLRQDQGLQWHUQDWLRQDOQHJRWLDWLRQV ‡ 7RH[WHQGDVVLVWDQFHWRHQWHUSULVHVDQGHFRQRPLFRSHUDWRUV

Contact details: Islamic Centre for Development of Trade AV. Des F.A. R.-BP 13545, Casablanca, Morocco 7HO,)D[ URL: www.icdt.org

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I95 4th WORLD ISLAMIC ECONOMIC FORUM “Islamic Countries: Partners In The Global Development” 28th April to 1st May 2008

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WIEF BUSINESSWOMEN FORUM “CAPACITY BUILDING & SYNERGISTIC LINKAGES – THE WAY TO SUCCESS”

8.30am – 9.00am : Arrival of Participants & Registration

9.00am – 9.40am : OPENING SESSION:   ‡ +('U6KHLNKD+LVVDK6DDG$EGXODK$O6DOLP$O6DEDK Chairman, Organizing Committee, Kuwait   ‡ 'DWR'U1RUUDHVDK0RKDPDG&KDLUPDQ:,()%XVLQHVVZRPHQ1HWZRUN

Keynote Address by:   ‡ $]]D)DKP\&KDLUPDQ2ZQHU$)-JURXSRIFRPSDQLHV(J\SW From a one-woman-show to a structured organization

9.40 am – 11.20 am : PLENARY 1: ,JQLWLQJWKH6SLULWRI(QWUHSUHQHXUVKLS   $OO URXQG WKH ZRUOG ZRPHQ DUH VWDUWLQJ IRUSUR¿W DQG QRQSUR¿W YHQWXUHV GHYHORSLQJ LQQRYDWLYH QHZ products and services, winning patents, and creating new markets. Today, many businesses are owned by women and their numbers are increasing rapidly.

Speakers:   ‡ 0UV5DMD(DVD$O*XUJ&KDLUSHUVRQ&RXQFLORI8$(%XVLQHVVZRPHQ 0DQDJLQJ'LUHFWRU Easa Saleh Al Gurg Group, UAE.   ‡ 0UV0DGDZ\$O+DVVRXQ0HPEHURIWKH%RDUGRI-HGGDK&KDPEHURI&RPPHUFH ,QGXVWU\ Saudi Arabia   ‡ 6KHLNKD+DQDGL1DVVHU%LQ.KDOHG$O7KDQL)RXQGHU FKDLUSHUVRQRI$PZDO4DWDU   ‡ 0UV)DZ]LD0XEDUDN(O+DVVDZL'LUHFWRU%XVLQHVV'HYHORSPHQW Al-Hassawi Group Companies, Kuwait   ‡ 0UV)DG]LODK$KPDG'LQ'LUHFWRURI(QWHUSULVH'HYHORSPHQWDQG(QWHUSUHQHXUVKLS'LYLVLRQ Small & Medium Industries Development Corporation, Malasia

Moderator:   ‡ 0V%DULD$ODPXGGLQ(GLWRU0HGLD6HUYLFHV6\QGLFDWH )RUHLJQ(GLWRU$O+D\DW8. (An award-winning journalist & broadcaster in the Middle East and the UK)

11.20 am – 11.40 am : Coffee Break / Informal Interaction

11.40am – 1.20pm : PLENARY 2: &KDOOHQJHV)DFHGE\:RPHQ(QWUHSUHQHXUV   :RPHQ HQWUHSUHQHXUV JHQHUDOO\ ODFN ERWK KDUG UHVRXUFHV ¿QDQFH DVVHWV HWF  DQG VRIW UHVRXUFHV   PDQDJHPHQWH[SHULHQFHWUDLQLQJHWF 7KH\H[SHULHQFHGLI¿FXOWLHVDFFHVVLQJ¿QDQFHERWKIRUVWDUWXS and business growth. Women tend to use only one third of the starting capital that men do, irrespective of   VHFWRU+RZHYHUPRQH\WR¿QDQFHJURZWKPD\EHOHVVDYDLODEOHWRZRPHQRZQHG¿UPV

Speakers:   ‡ 0UV6DKDU$O6DOODE9LFH&KDLUPDQ 0DQDJLQJ'LUHFWRU&RPPHUFLDO,QWHUQDWLRQDO%DQN(J\SW   ‡ 0UV0DKD$O*KRXQDLP9LFH([HFXWLYH&KHI*OREDO,QYHVWPHQW.8:$,7   ‡ 0UV(OKDP+DVVDQ7KH&RXQWU\6HQLRU3DUWQHUIRU3ULFHZDWHUKRXVH&RRSHUVLQ%DKUDLQ%DKUDLQ   ‡ 3URI(OLVDEHWK(QJHOODX3URJUDPPH'LUHFWRURI,QVHDG*OREDO/HDGHUVKLS  Adjunct Clinical Professor of Management, FRANCE

96 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM WK$35,/ (YHQWVSULRUWR:,()RI¿FLDORSHQLQJ

  ‡ 0V5RNLD$5DKPDQ&KDLUPDQ:RPHQ¶V(QWUHSUHQHXUV$VVRFLDWLRQRI%DQJODGHVK   Chairperson, Arlinks Limited, BANGLADESH

Moderator:   ‡ 'DWR'U1RUUDHVDK0RKDPDG&KDLUPDQ:,()%XVLQHVVZRPHQ1HWZRUN

1.20 pm – 2.40 pm : WORKSHOP 1: New Essence of Business Science and technology is a powerful domain for marketing and networking. It is high time for the   ZRPHQ HQWUHSUHQHXUV WR XWLOL]H WKLV SRZHUIXO PHGLXP IRU LQFUHDVHG HI¿FLHQF\ 7KH SUHVHQFH RI WKH Internet helps businesses increase their turnover due to its established network. The development of biotechnology has also paved a new way and created great potential for the agriculture business.

1.20pm – 2.20pm Speakers:   ‡ 0UV$EHGD$OPDKGL0DQDJLQJ'LUHFWRU81,&216&RQVXOWDQF\/WG(FRQRPLFFRQVXOWDQF\¿UP based in Khartoum, Sudan   ‡ (QJ0DQDU$O+DVKDVK0HPEHURI+LJK/HYHO3DQHORI$GYLVHUVRI*DLG±8QLWHG1DWLRQV %RDUG member of World Summit Award, KUWAIT (a Computer Engineer, 9 years involvement in technical projects, media, public and social activities to promote technology)   ‡ 0UV6DQDD+DPDG$O$ZDG68'$1   ‡ 0V3DUYLQ$OL2%(&(2 )RXQGHU)$7,0$:RPHQ¶V1HWZRUN8.

2.20pm – 2.40pm DISCUSSIONS

Moderator:  ‡ 0UV%HJXP6DOPD$KPHG)RXQGHU3UHVLGHQW &(2:RPHQ¶V&KDPEHURI&RPPHUFH ,QGXVWU\ Pakistan

1.20 pm – 2.40 pm : WORKSHOP1XUWXULQJ/LQNDJHVDQG&UHDWLQJ6\QHUJLHV With the process of Industrialization, Modernization and Globalization women entrepreneurs must be savvy in realizing their competitive edge and staying ahead of the stiff competition

1.20 pm – 2.20pm Speakers:   ‡ 0V+DQDD$O+LODO\'LUHFWRU*HQHUDO,QWHUQDWLRQDO&DELQHWRI0LQLVWHUV Social Fund for Development, Egypt   ‡ 0V/LYLD6DPDHVWUL3UHVLGHQW,QWHUQDWLRQDO%XVLQHVV 3URIHVVLRQDO:RPHQ8QLRQ6ZLW]HUODQG   ‡ 0V'RXMD*KDUEL3UHVLGHQW )RXQGHU)RUJHGHOD/RXYH7XQLVLD   ‡ 0V)DGKHOD$O.KDQ+HDG3URMHFW)LQDQFH'HSDUWPHQW 5HPHGLDO'HSDUWPHQW the Bahrain Development Bank, Bahrain

2.20 pm – 2.40 pm DISCUSSIONS

Moderator:  ‡ 0GP2OLYH=DLWXQ.LJRQJR3UHVLGHQW8JDQGD1DWLRQDO&KDPEHUVRI&RPPHUFHDQG,QGXVWU\8JDQGD

2.45pm : Lunch / Prayers / End of Programme / Business matchmaking / Informal Interaction

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I97 4th WORLD ISLAMIC ECONOMIC FORUM “Islamic Countries: Partners In The Global Development” 28th April to 1st May 2008

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WIEF YOUNG LEADERS NETWORK (WYN)

8:00am : Arrival & Registration of Participants & Guests

9:00am to 9:10am : WYN OPENING ADDRESS by Jamal Ahmad Al-Shihab, Minister of Social Affairs and Labor

9:10 to 9:30am : WYN OPENING REMARKS by Dato Nazir Razak, Chairman, WIEF Young Leaders Network (WYN) Progress Report on WYN programmes

9:30am – 10:45am : FACILITATING YOUTH DEVELOPMENT: The Role of Local Initiatives What does it take to move up the value chain? For the sake of better prospects, there is a strong need to encourage young people to move from the public sector to the private sector. Thus the youth   QHHG WR EH WUDLQHG WR UXQ WKHLU RZQ RI¿FHV DQG WKHLU RZQ EXVLQHVVHV7KH\ QHHG WR OHDUQ WR EHFRPH entrepreneurs in their own right. What are the steps to take? What are the roles of local initiatives in developing the youth in this regard?

Panellists:   ‡ 'DWR1D]LU5D]DN&KDLUPDQ:,()

Moderator:   ‡ 6DOHK$O$WHHTL0F.LQVH\ &RPSDQ\,QF,QWHUQDWLRQDO

10:45am – 11:00am : Refreshments & Networking

11:00am to 12:00noon : 3OHQDU\6HVVLRQ(QFRXUDJLQJ0HQWRUVKLS3URJUDPPHV'HYHORSLQJ

Panellists:   ‡ +HVKDP$7DVKNDQGL*HQHUDO0DQDJHU7KH&HQWHQQLDO)XQG   ‡ 0DKPRXG$WDOOD+HDGRIWKH0RVDLF3URJUDPPH7KH3ULQFH¶V7UXVW   ‡ $QDV-0HHU]D$VVLVWDQW9LFH3UHVLGHQW,QYHVWPHQW7HFKQRORJ\(QWUHSUHQHXUVKLS&HQWUH   ‡ .KDOLG$O=DQNL

Moderator:   ‡ 'DWR1D]LU5D]DN&KDLUPDQ:,()

98 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM WK$35,/ (YHQWVSULRUWR:,()RI¿FLDORSHQLQJ

12:00noon – 12:30pm : Break and Prayers

12:30pm – 1:30pm : 6WUDWHJLF7DON6HVVLRQ0RQH\0DWWHUV)LQDQFLQJ60(%XVLQHVVHV How best can we provide seed capital for SMEs? Is there a need to formulate terms and conditions for   VHHGFDSLWDOWRLQFUHDVHDFFRXQWDELOLW\DQGHI¿FLHQF\LQEXVLQHVV"+RZGRZHFROODERUDWHZLWK,VODPLF   ¿QDQFLDOLQVWLWXWLRQVVXFKDVWKH,VODPLF'HYHORSPHQW%DQN ,'% WRSURYLGHDSURSHU¿QDQFLQJVWUXFWXUH for young entrepreneurs?

Panellists:   ‡ +DVVDQ0RKDPPDG$O4XQDL*HQHUDO0DQDJHURI.63'&.XZDLW.63'&.XZDLW   ‡ 7HQJNX=DIUXO$]L]&(2RI7XQH0RQH\   ‡ 'U)DWKL2VPDQ3URIHVVRU3XEOLF$XWKRULW\IRU$SSOLHG(GXFDWLRQDQG7UDLQLQJ.XZDLW

Moderator:   ‡ -DVHP$O$PPDU,QGXVWULDO%DQNRI.XZDLW

1:30pm – 2:00pm : WYN CLOSING CEREMONY &ORVLQJ$GGUHVVE\ Jamal Ahmad Al-Shihab, Minister of Social Affairs and Labor &ORVLQJ Remarks by Dato Nazir Razak, Chairman, WIEF Young Leaders Network (WYN)

2:00pm – 3:30pm : Lunch

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I99 4th WORLD ISLAMIC ECONOMIC FORUM “Islamic Countries: Partners In The Global Development” 28th April to 1st May 2008

DAY ONE 29th APRIL 2008

10.30am – 12.00pm OFFICIAL OPENING CEREMONY Venue: Bayan Palace ‡ 5HFLWDORIWKH4XUDQ ‡:HOFRPLQJ6SHHFK by H.E. Faisal Mohammad Al-Hajji Bukhadhour, Deputy Prime Minister of Kuwait & Kuwait National Organising Committee for 4th WIEF ‡2SHQLQJ.H\QRWH$GGUHVV by H.H. Sheikh Sabah Al Ahmad Al-Jaber Al- Sabah, The Emir of the State of Kuwait ‡Special Addresses by: > H.M. King Abdullah II of the Hashemite Kingdom of Jordan > H.E. Abdoulaye Wade, President of Senegal & Chairman of OIC > H.E. Hamid Karzai, President of the Islamic Republic of Afghanistan > H.E. Dr. Haris Silajdzic, President of Bosnia and Herzegovina Republic ‡Speech by the Hon. Tun Musa Hitam, Chairman, WIEF Foundation & former Deputy Prime Minister of Malaysia

12.15pm - 12.45pm Refreshments / Informal Networking / Prayers

12.45 pm – 2.15 pm LEADERSHIP PANEL: “Islamic Countries In A Competitive World” ± Venue: Bayan Palace In what way do Islamic values propel Islamic countries forward in an ever-competitive world? Can  ,VODPLFSUHFHSWVEHXVHGWRFUHDWHDQHI¿FLHQWZRUNFXOWXUHDPRQJWKHFRXQWULHVLQWKH0XVOLPZRUOG"+RZ critical is leadership in the Islamic world in steering into the right direction? What are the important traits of Islamic leadership that is crucial to compete in the contemporary world?

Leaders:  ‡ ++6KHLNK1DVVHU$O0RKDPPHG$O6DEDK3ULPH0LQLVWHURIWKH6WDWHRI.XZDLW  ‡ ++6KHLNK.KDOLIDELQ6DOPDQ$O.KDOLID3ULPH0LQLVWHURI.LQJGRPRI%DKUDLQ  ‡ +(*XLOODXPH.LJEDIRUL6RUR3ULPH0LQLVWHURIWKH5HSXEOLFRI&RWH'¶,YRLUH  ‡ +('U$KPHG0RKDPHG$OL3UHVLGHQW,VODPLF'HYHORSPHQW%DQN  ‡ +(6RXDW0\QED\HY0LQLVWHURI(QHUJ\ 0LQHUDO5HVRXUFHV.D]DNKVWDQ

2.15pm – 4.00pm Lunch Break

4.00pm – 6.30pm PARALLEL SESSIONS & MEETINGS  7KH DLP RI HDFK RI WKHVH SDUDOOHO VHVVLRQV LV WR JDUQHU LGHDV DQG H[FKDQJHV UHODWHG WR WKH SDUWLFXODU industry, bringing together the leaders, the small and medium companies to interact with each other. Each session will also showcase selected projects around the Muslim world, seeking for funding or joint venture collaborations across borders.

SMEs Moderator:  ‡ 'U$WHI2EDLG)RUPHU3ULPH0LQLVWHU(J\SW&RXQWU\

Global Industry Overview:  ‡ 0U7DULT6D\HHG3UHVLGHQW6RXWK$VLDQ$VVRFLDWLRQIRU5HJLRQDO&RRSHUDWLRQ 6$$5&  ‡ 0U7DQUL$EHQJ&KDLUPDQDQG)RXQGHU([HFXWLYH&HQWUHIRU*OREDO/HDGHUVKLS

100 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM DAY ONE 29th APRIL 2008

 7HOHFRPPXQLFDWLRQV7UDQVSRUW /RJLVWLFV Moderator:  ‡ (QJ$EGXOUDKPDQ.KDOHG$O*KXQDLP)RUPHU7HOHFRPPXQLFDWLRQ0LQLVWHU7KH6WDWHRI.XZDLW

Global Industry Overview:  ‡ 0U%DKMDW(O'DUZLFKH3ULQFLSDO%RR]$OOHQ+DPLOWRQ0LGGOH(DVW

Country Overview:  ‡ 0U6DODKXGGLQ.DVHP.KDQ&KDLUPDQ$NWHO%DQJODGHVK

Infrastructure & Real Estate Development Moderator:  ‡ (QJ6DHHG'DVKWL±&KDLUPDQ 0'±.*/.XZDLW

Global Industry Overview:  ‡ 0U0RKG$QZDU

Project Presenter:  ‡ 'DWR¶,NPDO+LMD]+DVKLP0DQDJLQJ'LUHFWRU,VNDQGDU'HYHORSPHQW5HJLRQ$XWKRULW\0DOD\VLD

TOURISM & TRAVEL Moderator:  ‡ 0U.KDOHG$EGXOODK$O*KDQLP±&(27RXULVWLF(QWHUSULVHV&RPSDQ\.XZDLW*OREDO

Industry Overview:  ‡ 0U5LFKDUG6KHGLDF9LFH3UHVLGHQW%RR]$OOHQ+DPLOWRQ0LGGOH(DVW

Country Overview:  ‡ +(1DQ6\$PEDVVDGRURI.LQJGRPRI&DPERGLDWR%UXQHL'DUXVVDODP  ‡ 0U0XQLUXGGHHQ/DOOPDKDPRRG'LUHFWRU*OREDO0DQDJHPHQW %XVLQHVV&RQVXOWLQJ/WG0DXULWLXV

8.30pm – 10.30pm Formal Dinner at Bayan Palace

DAY TWO 30th APRIL 2008

9.30am – 11.00am PLENARY SESSION:  ³7KH0XVOLP:RUOG$V$%XUJHRQLQJ0DUNHW´ Perception is all that matters to make or break an economy. Perception fuels speculation, which  LQ WXUQ GHWHUPLQHV )', ÀRZV LQWR WKH UHJLRQ DQG DOVR FDSLWDO ÀLJKW RXW RI WKH UHJLRQ 7KLV VHVVLRQ  VHHNV WR DGGUHVV WKH LGHD RI FKDQJLQJ WKH SHUFHSWLRQ RI WKH 0XVOLP ZRUOG IURP D FRQÀLFW ]RQH WR a booming market of 1.3 billion people with a huge potential to grow into a burgeoning and lucrative market. How can we promote the Muslim world as a lucrative bloc?

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I 101 4th WORLD ISLAMIC ECONOMIC FORUM “Islamic Countries: Partners In The Global Development” 28th April to 1st May 2008

DAY TWO 30th APRIL 2008

Chairman:  ‡ 0U $OL 0RKDPPHG 7KXQD\DQ $O*KDQHP &KDLUPDQ .XZDLW &KDPEHU RI &RPPHUFH & Industry, State of Kuwait

Speakers:  ‡ 0U7RQ\%ODLU)RUPHU3ULPH0LQLVWHU8.  ‡ 0U7R\RR*\RKWHQ3UHVLGHQW,QVWLWXWHIRU,QWHUQDWLRQDO0RQHWDU\$IIDLUV-DSDQ  ‡ +('U0RKDPPDG$O7XZDLMUL$VVLVWDQW6HFUHWDU\*HQHUDOIRU(FRQRPLF$IIDLUV The League of Arab States  ‡ 'U,]]DW'DMDQL+HDG.H\DQG3ULRULW\&OLHQWV*ROGPDQ6DFKV,QWHUQDWLRQDODQGIRUPHU0'  Ras Al Khaimah Investment Authority  ‡ 0U.DLUEHN8VNHQED\HY9LFH0LQLVWHUIRU7RXULVPDQG6SRUWV5HSXEOLFRI.D]DNKVWDQ

11.00am – 11.30am Break

11.30 am – 1.00 pm PLENARY SESSION: ³7KH)XWXUHRI(QHUJ\,Q$&KDQJLQJ:RUOG´ Venue: Sheraton Hotel Energy has become a central pillar of most Muslim countries in the Middle East and the Central Asia Republics, and has spurred great interest in these regions. Higher spending leads to better investment  RSSRUWXQLWLHV 7KHUH LV DOVR D VXUJH RI LQWHUHVW LQ H[SORULQJ DOWHUQDWLYH HQHUJ\ VRXUFHV LQ WKH 0XVOLP world. Such developments provide new partnership opportunities between the Middle East and the developing countries in the Muslim world as well as large energy consuming countries like China, Japan and  ,QGLD :KDW DUH WKH LGHQWL¿HG VHFWRUV RI LQWHUHVW" :KDW DUH WKH SRVVLELOLWLHV RI SDUWQHUVKLS" +RZ ZLOO RLO  SULFHVLPSDFWRQEXVLQHVV":KDWLVWKHRXWORRNIRURLOSULFHVRYHUWKHQH[WIHZ\HDUV"

Chairman:  ‡ +(0RKDPPHG$EGXOODK$O$OHHP0LQLVWHURI(OHFWULFLW\ :DWHUDQG$FWLQJ0LQLVWHURI2LO State of Kuwait

Speakers:  ‡ 0U1DGHU+DPDG$O6XOWDQ6HQLRU3DUWQHU) 1&RQVXOWDQF\&RPSDQ\  ‡ 0U9DGLP=YHUNRY&KDLUPDQRIWKH%RDUG-6&³1DWLRQDOFRPSDQ\³6RFLDO(QWUHSUHQHXUVKLS Corporation “Saryarka”  ‡ 0U-DPDO$O1RXUL3ODQQLQJ0DQDJLQJ'LUHFWRU.XZDLW3HWUROHXP&RRSHUDWLRQ.XZDLW

1.30pm – 4.00pm 2I¿FLDO/XQFK

4.00pm – 5.30pm PLENARY SESSION: “Economic Partnership between The Gulf Cooperation Council Countries & The Muslim World” The Middle East is blessed with natural reserves that have translated into huge revenues on oil proceeds for many decades. There is a need to forge business collaboration in the Muslim world to capitalize on this promising development. To date, there is a vast array of promising investment opportunities in the GCC countries that can turn out to be promising ventures for the Muslim world. Can a platform be established to facilitate this business collaboration?

Chairman:  ‡ +(0XVWDID-DVLP$O6KDPDOL0LQLVWHURI)LQDQFH6WDWHRI.XZDLW

102 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM DAY TWO 30th APRIL 2008

Speakers:  ‡ 0U$EGXOODK%LVKDUD±)RUPHU6HFUHWDU\*HQHUDO±7KH&RRSHUDWLRQ&RXQFLOIRUWKH$UDE  States of the Gulf.  ‡ 'U-DVVLP$O0DQQDL'LUHFWRU*HQHUDO&KDLUPDQRIWKH%RDUG$UDE0RQHWDU\)XQG  ‡ 0U

5.30pm – 6.00pm Refreshments / Informal Networking

6.00pm – 8.00pm PLENARY SESSION: “The Role of Investment In Poverty Reduction ”  7KH PRVW LPSRUWDQW LVVXH \HW LQ WKH 0XVOLP ZRUOG DW WKLV PRPHQW LV WKH H[LVWHQFH RI D ZLGH SRYHUW\ JDS between nations. A sizeable proportion of Muslim societies live in abject poverty, despite the presence of immense wealth in other parts of the Muslim world. This begs the question of whether social welfare on its own is enough to alleviate poverty, or does the Muslim world need a more structural approach towards tackling poverty? How does investment factor into the closing of the poverty gap? Does investments into sanitation, electricity, and education make a difference?

Chairman:  ‡ +(6KHLNK'U0RKDPPHG6DEDK$O6DOHP$O6DEDK'HSXW\3ULPH0LQLVWHU  Minister of Foreign Affairs, Kuwait

Speakers:  ‡ 0U%RE+DZNH)RUPHU3ULPH0LQLVWHURI$XVWUDOLD  ‡ +(6RI\DQ'MDOLO6WDWH0LQLVWHURI6WDWH(QWHUSULVHV,QGRQHVLD  ‡ 0U$EGXO/DWLI<$O+DPDG'LUHFWRU*HQHUDO &KDLUPDQRIWKH%RDUG Arab Fund for Economic & Social Development  ‡ 'DWR¶7LPRWK\2QJ&KDLUPDQ%UXQHL(FRQRPLF'HYHORSPHQW%RDUGC  ‡ 'U$PDGR%DXEDNU&LVVH9LFH3UHVLGHQW2SHUDWLRQV,VODPLF'HYHORSPHQW%DQN

DAY THREE 1st MAY 2008

9.00am – 10.30am PARALLEL SESSION A: “Education & Development In The Islamic World” As the saying goes, “An open mind is the best way to look at the world”. Education is the most important factor in shaping a successful civilization. The values that inform a particular education system invariably determine how its people would view the world around them. A sound education and training system impresses upon its people the importance of living a civilized life, of fully embracing its many institutions and seeking to  HQKDQFHWKHFDSDELOLWLHVRIVFLHQFHDQGWHFKQRORJ\,WLVRQO\ZLWKVXFKHGXFDWLRQDODQGWHFKQLFDOH[SHULHQFH that people can fully embrace the sciences and implement it to its fullest capacity. Is the educational corpus in the Muslim world conducive to this view of the world? What are the ways in which we can regain the technological prowess and intellectual tradition of the past? How can such education and training be introduced in our human capital development programmes?

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I 103 4th WORLD ISLAMIC ECONOMIC FORUM “Islamic Countries: Partners In The Global Development” 28th April to 1st May 2008

DAY THREE 1st MAY 2008

Chairman:  ‡ +(1RXUH\D6DEHHK$O6DEHHK0LQLVWHURI(GXFDWLRQ +LJKHU(GXFDWLRQWKH6WDWHRI.XZDLW

Speakers:  ‡ 'U$EGHO0RQHLP02VPDQ±'LUHFWRU81(6&25HJLRQDO%XUHDXIRU(GXFDWLRQLQWKH$UDE6WDWHV UNESCO representative to Lebanon & Syria  ‡ 'U+DVDQ$OL$O(EUDKHHP3UHVLGHQW±.XZDLW6RFLHW\IRUWKH$GYDQFHPHQWRI$UDE&KLOGUHQ  ‡ 7DQ6UL'DWR¶'U:DQ0RKG=DKLG0RKG1RRUGLQ&KDLUPDQ8QLYHUVLW\7HFKQRORJ\0$5$ &KDLUPDQ WIEF Education Trust  ‡ 'U)DUKDQ1L]DPL'LUHFWRU2[IRUG&HQWUHIRU,VODPLF6WXGLHV8.

9.00 am – 10.30 am PARALLEL SESSION B: “The Private Sector Role In Development” Venue: Sheraton Hotel The private sector is crucial as actual prime movers of economic development. Are the structures and frameworks in place to allow for their natural growth, especially taking into account the SMEs? What are the possibilities of public-private partnerships in the Muslim world and what are the challenges facing this arrangement? What are the challenges impeding the growth of the private sector in the Muslim world?

Chairman:  ‡ 0U,DQ%XFKDQDQ6HQLRU$GYLVRU%RR]$OOHQ+DPLOWRQ

Speakers:  ‡ 0U7DUHN$EGXOD]L]$O6XOWDQ&KDLUPDQ$JLOLW\7KH6WDWHRI.XZDLW  ‡ 0U$GQDQ$EGXOD]L]$O%DKDU&KDLUPDQ 0DQDJLQJ'LUHFWRUWKH,QWHUQDWLRQDO,QYHVWRU.XZDLW  ‡ 0UV2OLYH=DLWXQ.LJRQJR&KDLUPDQ8JDQGD&KDPEHURI&RPPHUFHDQG,QGXVWU\  ‡ 0U0RKDPPHG5DVKHHG.DVKHVKWKH0LQLVWHURI)LQDQFH5HSXEOLFRI7XQLVLD

10.30 am– 11.00 am Refreshment / Informal Networking

11.00am– 12.00pm CONCLUDING SESSION Venue: Sheraton Hotel Keynote AddressE\WKH3DWURQRI:,())RXQGDWLRQ±7KH+RQ'DWR¶6HUL$EGXOODK$KPDG%DGDZL Prime Minister of Malaysia

Speech by Representative to The Hon. Susilo Bambang Yudhoyono, President of the Republic of Indonesia

Declaration of the 4th World Islamic Economic Forum by Faisal Mohammad Al-Hajji Bukhadhour, Deputy Prime Minister of Kuwait & Kuwait National Organising Committee for 4th WIEF &ORVLQJ5HPDUNV 9RWHRI7KDQNVE\ the Hon. Tun Musa Hitam, Chairman, WIEF Foundation

12.00pm Press Conference  ‡ +()DLVDO0RKDPPDG$O+DMML%XNKDGKRXU'HSXW\3ULPH0LQLVWHURI.XZDLW & Kuwait National Organising Committee for 4th WIEF  ‡ 7KH+RQ7XQ0XVD+LWDP&KDLUPDQ:,())RXQGDWLRQ

104 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM Photos of the Forum

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I 105 he WIEF International Advisory Panel (IAP) is the Tstrategic body of the World Islamic Economic Forum and its related programmes. This body consists of business leaders of various industries, thought leaders and heads of OIC related organizations. The IAP provides input for the intellectual and strategic content of the annual global and regional Forums, WIEF related programmes and the future of the Forum in general. The IAP typically meets twice a year during which discussions are led by the Chairman of the WIEF Foundation, Tun Musa Hitam. Conclusions to these meetings mould the direction that subsequent events will take in the future.

On the 27th April 2008, the WIEF International Advisory Panel convened its meeting in the Sheraton Hotel & Tower Kuwait, a day before the commencing of the main programme of the 4th World Islamic Economic Forum. The meeting discussed issues related to the organization of the 4th WIEF and the status report of its ancillary programmes. The meeting also discussed the 4th WIEF Declaration and the progress of the various projects concluded under the 3 initiatives namely the WIEF Businesswomen Network (WBN), WIEF Young Leaders Network (WYN) and WIEF Education Trust (WET). Among them are the WYN Groom a Leader Scholarship and Internship programme and the WET’s project in Gambia under the WIEF-UiTM International Centre, in collaboration with the Islamic Development Bank (IDB).

Lastly, the meeting announced the establishment of the new :,()6HFUHWDULDWDQGLWVQHZRI¿FH

106 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM THE 4TH WORLD ISLAMIC ECONOMIC FORUM I 107 108 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM THE 4TH WORLD ISLAMIC ECONOMIC FORUM I 109 110 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM THE 4TH WORLD ISLAMIC ECONOMIC FORUM I 111 DECLARATION OF 4TH WORLD ISLAMIC ECONOMIC FORUM

E, the Delegates gathered together for the 4th the success of the 4th WIEF; APPLAUDING the generous WWorld Islamic Economic Forum (WIEF) with the commitment of $100Million by H.H. Sheikh Sabah Al-Ahmad theme “Islamic Countries: Partners in Global Al- Jaber Al-Sabah and the Government and People of the Development” in Kuwait City, the State of Kuwait, from 28th State of Kuwait for the establishment of a food security fund April to 1st May 2008, to assist the poorest within the Muslim Ummah alleviate their hunger and build their capacity to achieve sustainable long APPRECIATING the support, encouragement and wise term food security by investing in the production, storage counsel of H.H. Sheikh Sabah Al- Ahmad Al-Jaber Al- and distribution of basic foodstuffs; APPRECIATING the Sabah, the Amir of the State of Kuwait, H.H. Sheikh Nawaf presence and contribution of all Forum participants as well Al-Ahmad Al- Jaber Al-Sabah, the Crown Prince of the State as their harmony and cultural diversity; of Kuwait and H.H. Sheikh Nasser Al-Mohammed Al-Ahmed Al-Sabah, the Prime Minister of the State of Kuwait; AFFIRMING our belief that the spirit and objectives of the World Islamic Economic Forum remain the effective RECORDING our appreciation to HM King Abdullah II promotion of sustainable economic development, growth of the Hashemite Kingdom of Jordan, H.E. Abdoulaye and prosperity of the Muslim Ummah by fostering cross- Wade, President of Senegal and Chairman of OIC, border business linkages and public-private partnerships H.E. Hamid Karzai, President of the Islamic Republic of and alliances both within the Muslim business community Afghanistan, H.E. Dr. Haris Silajdzic, President of Bosnia and with the rest of the world; and Herzegovina Republic, H.H. Sheikh Khalifa bin Salman Al Khalifa, the Prime Minister of the Kingdom of Bahrain, HEREBY TAKE NOTE of the wise guidance from the H.E. Dato’ Seri Abdullah Ahmad Badawi, Prime Minister participating Leaders: of Malaysia and Patron of the WIEF Foundation, H.E. 1. VISION: The need for a Shared Vision of ‘Hope, Nader Dahabi, Prime Minister of the Hashemite Kingdom Tolerance and Mutual Respect’ in which the whole of of Jordan, H.E. Guillame Kigbafori Soro, Prime Minister of the Muslim Ummah will work to ‘seize the opportunity’ the Republic of Cote D’Ivoire, H.E. Irman Gusman, Vice to create a ‘fair economic partnership’ between richer Chairman of the House of Regional Representatives of the and poorer communities to ‘eradicate poverty, hunger Republic of Indonesia, representing H.E. President Susilo and illiteracy’; Bambang Yudhoyono, H.E. Souot Mynabayev, Minister of 2. HARMONISATION: The importance of ‘unlocking the Energy & Mineral Resources of Kazakhstan, representing unmet potential’ of our markets by working together to H.E. President Nursultan Abishuly Nazarbayev as well as ‘harmonise business, trade and investment regulation former Prime Ministers Prof. Atif Obaid of Egypt, Mr Tony and practices’; Blair of Britain and Mr Bob Hawke of Australia and H.E. Dr 3. EDUCATION: Achieving our ‘rightful place within the Ahmed Mohamed Ali, President of the Islamic Development Global economy’ will depend ‘not only on our natural Bank for their invaluable contributions; resources but also on our human resources’. Today’s ‘Knowledge Economy’ requires a shared commitment to ACKNOWLEDGING the gracious hospitality of the unlock the full potential of all our people by investing in Government of the State of Kuwait in hosting and ensuring HGXFDWLRQIURPSUHVFKRROWRSRVWJUDGXDWH±LQFOXGLQJ

112 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM µSUDFWLFDO VFLHQWL¿F HGXFDWLRQ¶ WKH µHGXFDWLRQ DQG of Commerce and Industry to enhance linkages empowerment of women’, and creating conditions between the Chambers of Commerce and Industry in which will attract, motivate and retain our best and the OIC countries with their counterparts in the non- brightest students; Muslim world; 4. STABILITY: Promote a secure, stable and safe 2. Support the initiatives of the Kuwait Banking environment for business investment; Association proposed at its Inaugural Forum for 5. ENVIRONMENT: Working with others to better use the development of Islamic Banking and Takaful H[LVWLQJ HQHUJ\ UHVRXUFHV DQG WR FRQWULEXWH WR WKH Insurance in both Muslim and Non Muslim countries; development of more sustainable and environmentally friendly new energy sources; RECOGNISE the importance of public-private dialogue 6. VALUES: Demonstrate in everything we say and and partnering to realise these aspirations and call upon do our Islamic values and work together to promote the Governments of the OIC countries and the Muslim integrity and good governance; Ummah to work with their private sectors to ensure the successful implementation of the practical ideas and CONFIRM our continued support for and commitment to SURJUDPV LGHQWL¿HG GXULQJ WKH )RUXP DQG WR GHYHORS the success of WIEF projects: VSHFL¿FSURMHFWVVWUHQJWKHQLQJWKHYLEUDQW60(VHFWRU 1. The WIEF-UiTM1 International Centre and its training, education and R&D programmes, including the THANK the Malaysian Government for its generous proposed WIEF-UiTM-IDB2 technical and vocational grant for the establishment of a permanent WIEF courses for disadvantaged communities, to be Secretariat as well as all our strategic partners, launched initially in The Gambia. sponsors, corporate members and role players for their 2. The WIEF Young Leaders Network in their ongoing continued support of the WIEF; ‘Groom-a-Leader’ internship and scholarship programs and the ‘Lets-Plug-in-Education’ rural ACCEPT the gracious offer of H.E. Susilo Bambang e-learning program as well as the newly initiated Yudhoyono, the President of the Republic of Indonesia, Cross-border Mentorship program to encourage the to host the 5th World Islamic Economic Forum in participation of youth in business activities and to Jakarta, Indonesia in 2009. develop and motivate future Muslim business leaders; FINALLY, in closing this, the 4th World Islamic Economic 3. The WIEF Businesswomen’s Network and Forum, we call on the Forum’s Chairman to submit FRQJUDWXODWHWKHPRQWKHVXFFHVVRIWKHLUH[SDQGLQJ this Declaration to the Chairman and the Secretary Nurses Training Program and on their efforts to General of the Organisation of Islamic Conference. empower and engage women fully in the development process by igniting their entrepreneurial spirit ADOPTED by the Delegates in the Kuwait City, the WKURXJK H[DPSOH DQG WKH HVWDEOLVKPHQW RI D State of Kuwait on 1st May 2008. ‘Training Centre for Women Entrepreneurs’;

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FURTHER AGREED TO: 1. Support the efforts of the Kuwait Chamber of Commerce and Industry, and the Islamic Chamber

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I113 The World Islamic Economic Forum (WIEF) Foundation wishes to acknowledge the following for their support and contribution towards the 4th World Islamic Economic Forum:

H.H. Sheikh Sabah Al Ahmad Al-Jaber H.E. Hamid Karzai Al- Sabah President of the Islamic Republic of Afghanistan The Emir of the State of Kuwait H.E. Dr. Haris Silajdzic President of Bosnia and Herzegovina Republic +0.LQJ$EGXOODK,, of the Hashemite Kingdom of Jordan H.H. Sheikh Khalifa bin Salman Al Khalifa, Prime Minister of Kingdom of Bahrain H.H. Sheikh Nasser Al-Mohammed Al-Sabah Prime Minister of the State of Kuwait +(*XLOODXPH.LJEDIRUL6RUR Prime Minister of the Republic of Cote D’Ivoire H.E. Dato’ Seri Abdullah Ahmad Badawi Prime Minister of Malaysia

H.E. Abdoulaye Wade President of Senegal & Chairman, OIC

ALL DISTINGUISHED SPEAKERS AND MODERATORS

for their invaluable time and effort in providing a rich dialogue and for sharing their wealth RILQIRUPDWLRQIRUWKHEHQH¿WRIWKHSDUWLFLSDQWV

114 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM WIEF SPONSORS

EVENT SPONSORS

Kuwait Fund for Arab & KGL TRANSPORTATION Economic Development

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M I C E D P P E V O E L L E V O E PM D E Noor Financial Investment Co. EN U T B IQ AN LAM K  BANQUE IS Islamic Development Bank

GLOBAL KNOWLEDGE PARTNER

THE 4TH WORLD ISLAMIC ECONOMIC FORUM I115 WIEF FOUNDATION DONORS

YAYASAN ALBUKHARY FOUNDATION Felda Holdings Berhad

WIEF FOUNDATION CORPORATE MEMBERS

Sime Darby

Sime Darby Berhad TELEKOM INDONESIA

116 I THE 4TH WORLD ISLAMIC ECONOMIC FORUM