Tuesday, January 10, 2012

Dr. Karima Korayem, Professor of AlAzhar University, Cairo, on "The Challenges Egypt is Facing During This Time of Change"

To give a big picture of how the revolt has been making an impact, she broke it down to the following socio-economic-political needs the country is grappling with:
  • Security
  • Economic vision
  • Establish democracy

Factors for lack of security: mistrust of police, and their lack of control/authority; police stations were attacked by public; police don't intervene in crime.

Economic challenge centers on unemployment. Security and economics are interrelated. Economic situation creates "criminals" people transgressing the law in order to survive, in order to feed their family. Need to unify economic vision, propose scenarios for economic development, policy to cover financial and monetary needs, to support the financial sector. Businesses needs loans, foreign investors need to feel safe to work in Egypt. In the past investors could be sued for paying lower price. Meetings between ministers and businesses, they need money, labor.

To form a sustainable democracy the needs above must be fulfilled, in addition to the following: the people need to be raised with democracy, they need to have political literacy. The country also needs strong parties and ability to transfer power.

Some of Minister Gouda's related comments:

Don't look at the Egyptian case in isolation. Pivotal country through out history. If revolution succeeds Saudi Arabia will feel it, which why they asked for Mubarak's release.

Egypt is being transformed from a state of subjects to a state of citizens. There are 85 million Egyptians who need to undergo this transformation. So far the change has been peaceful, industry still intact, agriculture still intact, tourism intact though below capacity. In comparison with other revolutions, they are doing well. For example, there has been no absolute decline in GDP in Egypt so far. The GDP fell 30% during first year after revolutiin in Poland. 

Sponsors:
Mershon Center for International Security Studies, Department of Economics, Middle East Studies Center, The Women's Place, Department of History, Department of Near Eastern Languages and Cultures, Moritz College of Law, International Studies Program, and Department of Women's, Gender and Sexuality Studies


Revolution in Egypt, Minister Addresses Political and Economic Dimensions

Yesterday at the Mershon Center for International Security Studies, Gouda Abdel-Khalek, Minister of Supply and Domestic Trade, Egypt, spoke on "The Political Economy of Egypt and the Arab Spring: International Support Packages"

He addressed the tripartate slogan of Tahrir: "Bread, Freedom, and Social Justice!" from a political/economic analytical perspective. He also identified the causal factors of the revolution as inequality and poverty. In particular unemployment: as high as 20% very high among youth, above 30%.

Thus, logical that young Egyptians spearheaded the movement. Inequality between old generation and young generation. High poverty rates is the number one factor. Not caused by corruption. Below mean level of corruption worldwide.

What kind of economic system is it?
Pendulum between free market and regulated. Question of what controls will be put in place for social justice remains. Progressive taxation has not been implemented, which would be a step toward it. Equality in terms of opportunities between the social strata. The Mubarak regime gave lip service to liberalizing the economy, but actually implemented a system of cronyism. The minister supports the integration of a regulated free market economy.