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Policy Recommendations for German-Gulf Cooperation in Support of Egypt and Tunisia

Executive Summary and Policy Recommendations

3. Policy Recommendations

3.2 Policy Recommendations for German-Gulf Cooperation in Support of Egypt and Tunisia

Continue to make use of the Deauville Partnership as a forum for multilateral dialogue involving key ac-tors from Western, Gulf, and North African states and international organizations. The partnership continues to provide important space for relevant stakeholders to discuss strategies and instruments for Arab countries that have been undergoing political change since 2011, particularly in the absence of other multilateral forums.

They should nurture and improve these spaces instead of abandoning them. Western stakeholders in particular should strive to increase trust and inclusivity if they wish to influence the future engagement of the Gulf states more effectively. They should pay more attention to ap­

proaches that go beyond stabilizing the existing system economically in order to stabilize the beneficiary country sustainably by offering more socioeconomic inclusion.

Discussions on how to integrate the informal sector should figure more prominently.

74 The Engagement of Arab Gulf States in Egypt and Tunisia since 2011 Chapter Four: Executive Summary and Policy Recommendations 75

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its partners should seek to convince stakeholders in Egypt and Tunisia of the benefits of closer coordination and cooperation among the various providers of assistance.

It is also important to include representatives from Gulf development organizations and Gulf states’ superordinate ministries in this process.

The potential for trilateral business activities in Egypt and Tunisia is limited, but consider even small opportu-nities. Private sector investments from Qatar and the UAE come from state­owned rather than private enterprises.

Private investors from Germany and other Western states operate with different risks, which makes cooperation between Gulf and other investors and companies difficult.

The perspectives for trilateral economic cooperation are thus currently limited. The sectors of renewable energy, energy efficiency, and energy consumption, however, do offer potential. Activities of German companies that are

already investing or producing in countries like Egypt – or that show interest in using opportunities offered by the enlargement of the Suez Canal – offer fruitful grounds for dialogue. The same should be possible for German companies planning to invest in Tunisia.

Reach out more actively to the Gulf states on the mat-ter of Tunisia. Individual European states as well as the EU as a whole should take the first step of reaching out to the Gulf states with regard to Tunisia. This is because of the dominance of European investors in Tunisia and the fact that instruments of the European Neighborhood Policy are widely regarded as suitable for meeting Tuni­

sia’s challenges. Together with the Tunisian government, mutual dialogue on political, economic, and social issues should be strengthened in order to identify potential for cooperation and areas of synergy.

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