GCC monetary union to get major boost
MENAFN - The Peninsula - 20/12/2009
(MENAFN - The Peninsula) The establishment of the Gulf Development Bank put forward by Qatar will help the process of setting up the monetary union among GCC states, according to financial experts.
Some experts anticipate that the proposed body would contribute in the return of the Sultanate of Oman to the monetary union club in view of the role the institution is expected to play in the economic development in the region.
GCC Summit which was held in Kuwait recently has asked the Council for Financial and Economic Cooperation to explore the possibility of establishing a joint development bank between member states and conduct a study on the proposal during the council's first meeting.
A study entitled 'The GCC in its Third Decade. Integration and Union' pointed out that a series of law and system projects which would support joint activities may be completed in a very short period of time.
The study noted that some 20 law schemes covering a wide range of fields for cooperation, including industry, trade, water and electricity as well as statistics have been put forward in a bid to set up a monetary block that is capable of facing the global economic changes.
Economic analyst, Nidhal Kholi is of the view that the establishment of a Gulf development bank is one of the requirements for setting up the monetary union and said the proposal for such a bank has come at the right time.
"The bank will strengthen the idea of monetary union and will also strengthen the development process in the Gulf states," he said.
Kholi added that Gulf states need such an institution besides other mechanisms to go along with economic development and growth in the region.
He also called for speeding up the issue of unified economic laws between GCC countries, because he said this will contribute to bring them close together.
The unified laws are an important element in order to establish an economic unification and overcome disparity.
Meanwhile, Bashir Al Kahloot, economist at the Gulf Organisation for Industrial Consulting (GOIC) said the establishment of a Gulf development bank would assist development in the GCC member states.
He added that the setting up of such a bank is among vital mechanisms for the success of the monetary union at least in the first years.
MENAFN - The Peninsula - 20/12/2009
(MENAFN - The Peninsula) The establishment of the Gulf Development Bank put forward by Qatar will help the process of setting up the monetary union among GCC states, according to financial experts.
Some experts anticipate that the proposed body would contribute in the return of the Sultanate of Oman to the monetary union club in view of the role the institution is expected to play in the economic development in the region.
GCC Summit which was held in Kuwait recently has asked the Council for Financial and Economic Cooperation to explore the possibility of establishing a joint development bank between member states and conduct a study on the proposal during the council's first meeting.
A study entitled 'The GCC in its Third Decade. Integration and Union' pointed out that a series of law and system projects which would support joint activities may be completed in a very short period of time.
The study noted that some 20 law schemes covering a wide range of fields for cooperation, including industry, trade, water and electricity as well as statistics have been put forward in a bid to set up a monetary block that is capable of facing the global economic changes.
Economic analyst, Nidhal Kholi is of the view that the establishment of a Gulf development bank is one of the requirements for setting up the monetary union and said the proposal for such a bank has come at the right time.
"The bank will strengthen the idea of monetary union and will also strengthen the development process in the Gulf states," he said.
Kholi added that Gulf states need such an institution besides other mechanisms to go along with economic development and growth in the region.
He also called for speeding up the issue of unified economic laws between GCC countries, because he said this will contribute to bring them close together.
The unified laws are an important element in order to establish an economic unification and overcome disparity.
Meanwhile, Bashir Al Kahloot, economist at the Gulf Organisation for Industrial Consulting (GOIC) said the establishment of a Gulf development bank would assist development in the GCC member states.
He added that the setting up of such a bank is among vital mechanisms for the success of the monetary union at least in the first years.