Recent tech improvements good but not enough

The six-nation Gulf Cooperation Council (GCC) countries are showing growing appreciation for information and communication technologies (ICT) and for good reasons. This is demonstrated in the recently released The Global Information Technology Report 2012.

The World Economic Forum issues the annual report in partnership with the renowned business school, Insead. The latest report, the 11th since its inception, provides ranking for some 142 nations, collectively accounting for 98 per cent of gross domestic product (GDP) of the world, or ones that matter the most.

The report ranks reviewed countries on the basis of their achievement on the Network Readiness Index (NRI), in turn derived from performance of ranked countries on 10 pillars generated through four sub-indexes. These sub-indexes comprise 1) environment (political and business conditions) 2) readiness (infrastructure, affordability and skills 3) usage (individual, business and government) and 4) impact (economic and social).

The study is noted for being uniquely comprehensive through combining hard data variables such as number of personal computers and internet penetration rate as well as views expressed by executives. Nevertheless, there is a shortcoming as opinions provided by provided by professionals tend to be subjective.

High rank

Surprisingly, Bahrain succeeded in attaining the best ranking among GCC, Arab and Muslim countries.

Much to its credit, Bahrain has advanced by three notches, thereby overtaking the UAE and Qatar as well as Malaysia. More specifically, Bahrain secured ranking number 27 globally, ahead of Qatar, Malaysia and the UAE, in turn ranked numbers 28 to 30, alternatively.

The achievement reflects unique qualities of Bahrain including having exceptionally educated locals by regional standards. To be sure, a good number of locals attend evening classes as part of efforts of sustaining their carrier opportunities.

Bahrain's strengths include financial market sophistication, as evidenced by the financial services sector comprising nearly one quarter of the country's GDP in constant terms. Conversely, the oil sector emerges as top contributor of GDP in current terms, reflecting steady oil prices.

Ranking numbers for the other GCC countries are 34, 40 and 62 for Saudi Arabia, Oman and Kuwait, respectively. Altogether, GCC countries are ahead of many European Union countries when it comes to ICT including Lithuania, Cyprus, Portugal and Spain, to name a few.

Demographics

Also, GCC countries are ranked ahead of emerging BRICS countries (Brazil, Russia, India, China and South Africa).

Certainly, demographics play a factor in all GCC countries, as youths who make up half of the populations, have appreciation for technological materials.

Nowadays, many perform routine internet functions including use of email via smartphones. For some, carrying a laptop is an essential part of being dressed-up.

Still, GCC countries need to overcome some critical shortages including limited ability availability of and attraction of scientists and engineers. As such, there is a serious problem when it comes with innovation.

Needless to say, in the age of globalisation, professionals are in demand and hence can move around, hence the need for making the environment conducive for human capital. Also, the report correctly points out the persistent bureaucratic problem in GCC countries. Bahrain ranks number 132 worldwide when it comes to the number of procedures required to enforce a contract, merely better than 10 countries studied in the report.

The bureaucratic constrain runs contradictory to technological appreciation, all the more pointing out to availability of room for streamlining ranking in future editions of NRI.

The writer is a member of parliament in Bahrain.