Welcome
Foreword
The EMA region comprises Germany, the Barcelona Process participating southern Mediterranean countries and other members of the Arab League. Together they have a total population of over 500 million in 2008 created real growth up to 10 %.
The EMA region is one of the strongest growing regions in the world. This is not only the result of enormous energy-price increases on the world market, but above all, the modernisation and economic reforms in all countries, and the opening up of markets in the region. In addition, the signing of numerous bi- and multinational free-trade agreements during the last ten years is also making an impact.
Asia, the USA and a few European countries benefit from this growth. Germany, however, shares only a low percentage of the procurement of large projects or direct foreign investments, despite well-situated location factors and holding a high position in the competition rakings.
Until now, the EMA region has been only of secondary importance to German entrepreneurs, whereas there are sufficient grounds for increasing economic cooperation and development. These include high profitability of foreign investments, the vicinity of Europe, and multiplex cooperation and association agreements between the EU and countries in the EMA region.
It is difficult to justify the moderate level of German engagement and interest.
Arguments such as transaction costs, small markets, the adverse security situation and the involved hazards for investments lose their credibility if the activities of German investors are compared with those of other economic powers, such as Asia or America. Their businesses are not deterred by the same risks.
The low exchange between Germany and the countries in the EMA region is explained above all by a lack of qualified lobbies and professional networks and by too-small-scale personal contacts and relations with the region’s actors.
In the countries of the EMA region, Germany enjoys high political esteem, as, unlike other European states, it has no colonial history. The high quality of German products and the high level of service standards is another factor. ‘Made in Germany’ is another hallmark of excellence for high-quality products in the region. Additionally, cultural relations further the mutual understanding of differences and similarities, thus enabling personal exchanges to take place.
These three factors – political capital, high quality standards and intensive cultural relations – make Germany a desired partner for the member state in the EMA region, especially for the Arab countries. Politicians and trade associations are challenged to support the exploitation these potentials. Until now, this has not taken place. The EMA sees this as its main task.
