Logistics boss demands regional bureaucratic shake up

Ghandour, Founder, President and CEO of Aramex International, was speaking ahead of his appearance at the forthcoming International Entrepreneurship Forum & Exhibition (IEFE) - Entrepreneurs in Dubai - where he will address a packed audience of businessmen and entrepreneurs on 'Competitive Strategy - Winning Market Share From Global Players.'

Ghandour has warned that unless governments take quick action to lessen red tape, chances for a revival of Arab entrepreneurialism will become farfetched.

"The heavy hand of government stifles entrepreneurialism and creativity. The modern day Arab world is simply not conducive to entrepreneurs. There is too much bureaucracy, and the banks are too traditional to lend money with any risk attached.

"There is a lack of start-up capital available in the region, and a lack of Foreign Direct Investment. There is the added complication of local ownership restrictions, and government regulations simply make starting a business tougher than it needs to be.

"We do not have any tradition of venture capital in this part of the world; Arab businesses prefer hard assets, such as real estate and involvement in big government contracts. The region's energy resources are a double-edged sword; on the one hand they give the region the revenues it badly needs for development and at the same time they give us a false sense of security, thus discouraging the search for other sources of income."

Ghandour, who developed Aramex International over 23 years to see it become the first company from the Arab world to go public on the NASDAQ stock exchange, says more could be done to stop, what he terms, an Arab entrepreneurial brain drain.

"We could do so much more here. That's why a lot of Arab entrepreneurs go to the West," he said, "where they find opportunities in terms of education, entrepreneurship and venture capital."

But Ghandour is quick to add that the 'Entrepreneurs in Dubai' forum is a step in the right direction. "This is a great way to share knowledge, to encourage a re-kindling of the entrepreneurial flame in the region. It will also show governments that allowing greater entrepreneurialism is good for the national economy and good for the country. If restrictions are taken away, the benefits will outweigh the negatives."

Ghandour joins an impressive 'Entrepreneurs in Dubai' speaker line-up of more than 30 global entrepreneurs, from billionaire property magnate Donald Trump, who will appear via videocast, to more local business leaders such as founder and chairman of the Bin Zayed Group of Companies, Sheikh Khaled Bin Zayed Al Neyahan and Abdul-Aziz Al Ghurair, CEO of Mashreqbank and director of the Abdulla Al Ghurair Group of Companies.

"Business leaders and entrepreneurs are outspoken by nature and given their vast experience in taking businesses from start-ups to corporate giants, have much to pass on to business leaders and budding entrepreneurs in the region," said Jessica Sutherland, General Manager, IIR Middle East, which is organising the forum in conjunction with the Young Arab Leaders Organisation.

"We expect some controversial recommendations to emerge from the forum, which we hope will positively impact the scenario for regional entrepreneurs of the future."

Running alongside the ground breaking forum, which will run at the Dubai International Exhibition Centre from May 23-25, will be a specialised exhibition of products and services aimed at the small-to-medium enterprise sector.

'Entrepreneurs in Dubai' is being held under the patronage of His Highness Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Chairman of the Board, Mohammed bin Rashid Establishment for Young Business Leaders, and organised in co-operation with IIR Middle East and Young Arab Leaders. It is endorsed by the United Nations Conference On Trade and Development (UNCTAD) and energy giant Shell Markets Middle East. Business solutions and services consultants Deloitte is a headline sponsor.

The event is open to all those involved in business and aims to promote entrepreneurial spirit among young GCC nationals, encouraging them to set up their own small-to-medium enterprises.

'Entrepreneurs In Dubai' has attracted AME Info, Flip Media, BBC World and Gulf Business, Arabian Radio Network and Dubai Radio Network as Media Partners.