Dr. Nasser Saidi’s comments appeared in an Arab News article titled “Could citizenship for talented foreigners and investors be the GCC’s game changer?” on 24th Feb 2021.
The comments are posted below.
“The UAE is very much en route to becoming a multi-ethnic, multi-religious, multicultural country and it is certainly taking all the steps to make that happen,” Nasser Saidi, a Lebanese politician and economist who previously served as minister of economy and industry, told Arab News.
“The new citizenship law goes very much in this same direction. Previously, you were just a visitor here in one form or another. You were employed, you invested, but you didn’t have a long-term stake in the country. UAE citizenship for foreigners means you now have a long-term stake in the country.”
One particularly enticing aspect of the policy is that it allows new UAE passport applicants to also keep their existing citizenship.
“You can retain your own home country citizenship, which is very important for many people,” said Saidi. “There’s a big advantage from that point of view. Importantly, what this is really saying in terms of the economic aspect is that it allows you to be a leader in the country. It will attract and maintain human capital.”
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“The first advantage is that you are creating a much more diverse multi-skilled labor force by reaching new people from other nationalities,” said Saidi, referring to the liberalized UAE residency rules.
“The second, the idea is to move away from the past economic model of the UAE, which is a ‘build it and they will come’ type of model to one based more on knowledge and tech-oriented development of industries. Fourth, you retain talent, and fifth, you increase foreign direct investment into the country.”
Experts see many of the changes in the UAE’s visa policies as a response to sluggish economic growth, low oil prices and financial blows delivered by the COVID-19 pandemic.
“Since 2015, you have had ups and downs in oil prices which has meant that continuing with the model where you are non-diversified becomes an increasingly risky proposition, particularly at a time of climate change when countries across the world are moving to reduce their carbon footprint,” said Saidi.
“The market for oil over time has become smaller as countries shift towards greater energy efficiency and greater renewable energy. When you think of de-risking your fossil fuel assets, you do what Saudi Arabia did with Aramco. Everyone wants to de-risk now, which means greater diversification and moving away from high energy-intense activities. And this has been taking place over the last three to four years.”
