{"id":24835,"date":"2025-11-29T14:12:30","date_gmt":"2025-11-29T11:12:30","guid":{"rendered":"https:\/\/arab-digital-economy.org\/?p=24835"},"modified":"2025-12-16T06:31:24","modified_gmt":"2025-12-16T03:31:24","slug":"productive-economy-in-the-arab-world","status":"publish","type":"post","link":"https:\/\/arab-digital-economy.org\/?p=24835&lang=en","title":{"rendered":"Productive economy in the Arab world"},"content":{"rendered":"
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Cairo<\/span><\/p>\n

Source: Al-Wafd Newspaper<\/span><\/p>\n

Prof. Dr. Ali Mohammed Al-Khouri<\/span><\/p>\n<\/div>\n<\/div>\n

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When the first factories appeared in England, it heralded a new era in which ways of thinking changed even before tools did. Work became a science based on measurement and organization, and production transformed into a means of consolidating the social and economic order. As awareness of the value of organization grew and the tools of production developed, intellectual and social transformations paved the way for a new phase embodied in the Industrial Revolution, where humankind used knowledge to expand its control over nature, and factories became centers that reshaped cities, society, and politics.<\/span><\/p>\n

The Western experience was founded on a long-term investment in education, technology, and management. Universities transformed into engines of market-oriented research, and banks into institutions that fund ideas with clear economic viability. This convergence of knowledge and capital produced a model that made productivity the measure of progress, linking advancement to the ability to transform an idea into a product and experience into value.<\/span><\/p>\n

The structure of Western supremacy<\/span><\/p>\n

The Western industrial revolution was built on the idea of \u200b\u200bcomprehensive organization. All facilities, from production lines to government offices, were part of a system operating with precise sequencing. The law provided stability that allowed for calculated risk, and technical education supplied the workforce that built, innovated, and managed. As trade expanded, transnational economic networks emerged, organizing the relationship between factories, financial institutions, and trade routes. This interconnectedness gave Western industry a leading position and made the economy the focus of political decision-making.<\/span><\/p>\n

What we must understand is that the source of progress in the Western experience did not come from machinery alone, but from the engineering of the relationships surrounding it: from the organization of work, the distribution of responsibilities, the building of trust between investor and worker, and the establishment of time as a productive resource and a part of capital that must be invested. Thus, discipline became a social value, factories became schools of modernity, and the industrial mindset a model for public behavior.<\/span><\/p>\n

Transformations in the 21st Century<\/span><\/p>\n

The global economy is redrawing the map of production. Advantage no longer lies in possessing raw materials, but rather in controlling value chains and key technologies. Transnational corporations have moved beyond simply manufacturing goods to building market-oriented frameworks and serving as centers for shaping economic and trade policies. Their institutions now manage data and information and set the standards that govern the rhythm of global trade. This new structure gives those who possess technology and knowledge a significant advantage, even if their resources are limited.<\/span><\/p>\n

Conversely, the world is witnessing a fierce race towards renewable energy, advanced industries, and artificial intelligence-based technologies. This transformation has created a new reality where countries capable of leveraging knowledge and mobilizing financial resources within a smart production system are advancing. With the rise of this technology-driven economy, a new group of emerging economies has emerged, relying on scientific planning, applied education, and public-private partnerships.<\/span><\/p>\n

Arab Challenge<\/span><\/p>\n

The Arab economy possesses financial, natural, and human resources, but it lacks a cohesive production system. Excessive reliance on rentierism has rendered growth fragile and volatile. Overcoming this situation can only be achieved by rebuilding the relationship between education and industry. Universities need to transform from centers of theoretical knowledge into institutions of applied research, and factories need to become genuine training grounds for new skills.<\/span><\/p>\n

The Arab region can establish broad industrial integration if it succeeds in linking its diverse resources within a single network that combines the Gulf’s resources, the skilled workforce of North Africa, and its strategic geographic location connecting Asia and Europe, thus enabling the creation of a globally competitive regional market. These advantages, when managed with a unified vision, will create a truly competitive regional market.<\/span><\/p>\n

The desired transformation cannot stop at economic policies; it must extend to the cultural fabric of society. A culture that values \u200b\u200bproductive work must occupy a central place in the collective consciousness. Societies that place the value of effort and excellence at the core of their culture succeed in building a strong economy, no matter how limited their resources.<\/span><\/p>\n

The Arab production model<\/span><\/p>\n

In summary, the transition to a productive economy in the Arab world requires a project that balances achieving development with a national economy based on justice and equal opportunities, thus ensuring societal stability. Renewable energy, the food and pharmaceutical industries, and digital technologies are practical entry points for building this model. What is needed are smart financing policies that link investment with innovation, legislation that guarantees market stability and maintains fair competition, and institutions capable of translating plans into tangible results.\u00a0<\/span><\/p>\n

When the relationship between knowledge, labor, and financial resources is restructured, an environment is created that fosters innovation and strengthens reliance on local capabilities. True change begins with building renewed trust between society and the state regarding the meaning of production and its role in shaping the future. In this environment, production becomes part of the national identity, and cooperation between society and the state transforms into a driving force for sustainable development from within.<\/p>\n

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