Friday, September 17, 2010

Egypt - A Country Mired in the Past

Egypt – A Country Mired in the Past

In 2008, the United States distributed over $26 billion dollars in financial aid to various countries around the world. Factoring out Iraq and Afghanistan, Egypt was number two on the list behind only Israel and was the recipient of $1.8 billion dollars. The financial aid to Egypt in 2008 was another annual installment of aid that dates back to 1975 which was formalized with the signing of the Egyptian – Israeli peace treaty of 1979.

Of the $1.8 billion dollars in financial aid to Egypt in 2008, $1.3 billion dollars was used for weaponry. In 2007, the Bush Administration requested $13 billion dollars of financial aid for Egypt that would be spread out over 10 years, the majority of the aid to be spent on weaponry. Recently, the U.S. Department of State requested $1.3 billion dollars in aid for Egypt for 2011. The majority of the Egyptian aid to be spent on weaponry.

With Egypt being a democratic republic with an elected form of government, the recipient of substantial financial aid from the United States for over 35 years and having hosted a recent visit from President Obama, I had anticipated Cairo to be a vibrant modern city to rival those in other Middle Eastern countries. As we drove into the city from the airport, I did notice a lot of construction cranes and building sites in progress. Was Cairo really the city I imagined?

My first impression of Egypt and the Egyptian people can be summarized by “what’s in it for me”. From passport control to the baggage claim to departing the airport, many of us were hit up for money at least 3 times. The requests for a tip or gratuity were encountered numerous times. Things we would take for granted such as a public restroom with toilet tissue was the anomaly in Egypt and if there was toilet tissue it was usually dispensed by a restroom attendant expecting a gratuity. The question I asked was “What added value did the restroom attendant provide us for the gratuity?”

My first meal in Cairo would be at the Marriott’s Egyptian Nights restaurant. A clean inviting place with al fresco dining. The menu did feature roast pigeon which we had been told is a local delicacy. Some of our group did brave outside of our comfort zone by trying the pigeon but found it to be a lot of work for little meat, much like a skinny Cornish Hen. Was Egypt really the country we had been briefed about?

Doing business in Egypt is a challenge according to those business leaders we had encountered during our stay. With only 3 percent of the population owning a car, the division between those “who have” and those “who have not” was very apparent. Driving through the neighborhoods of Cairo, the signs of poverty were everywhere. The very fact that over half a million people live in the cemetery known as the City of the Dead is a telling tale of the strain that the more than 17 million people living in Cairo is putting on the Egyptian government. Where is the Egyptian middle class, crucial for a growing, sustainable economy that will entice more foreign direct investment?

The role of women in Egypt is still very much in transition. From the passport control booths at the airport to the various business meetings we attended in Cairo, if women were present they were relegated to administrative or other support roles. In all the meetings I attended, men were in leadership, decision making roles. During my time in Egypt, I saw only one woman tourist police and that was at the final security checkpoint as we departed for Turkey. Can Egypt afford to limit its future by limiting 50% of the country’s population?

Next : Turkey - A Country Focused on the Future.

1 comment:

  1. Thanks, Lowell, great insights. Here are a few of my own to add to yours:

    Egypt ranks 111 out of 180 countries on the Transparency International Global Corruption Index. We were told by an Egyptian entrepreneur that bribery is a common practice in business dealings.

    It was amazing to sit in two lanes of traffic in which 5 to 7 cars were constantly competing for space. We were told in one of our meetings that Egypt has one of the highest mortality rates on roadways anywhere. Even now I can still imagine the horns in the background.

    The upcoming Presidential election will be telling. President Mubarak who is 82 years old has been in power for the last 29 years, and may or may not run for another 5-year term. He has also been rumored to have serious health issues. Most believe that if President Mubarak does not run again that his son, Gamal Mubarak, will take over. Given a fair and Democratic election, which according to many is highly doubtful, the main contender currently is Dr. Mohammad ElBaradei, the Nobel Peace Prize winning former head of the International Atomic Energy Agency, who is backed by the Muslim Brotherhood. Currently Dr. ElBaradei has a petition to institute changes to the electoral process to allow more candidates to run and to end the state of emergency imposed by President Mubarak since 1981. The outcome of this election is of significant interest to the U.S. and Israel.

    Being in Egypt during the month of Ramadan, and hearing the call to prayer given five (5) times a day was a new experience for me. The city came alive after sunset and went on well into the early morning hours. I’ll never forget the celebrations, the colored lights across the city and on the boats going up and down the Nile, and the festive spirit. I am not Muslim, but it was striking to me what a beautiful reminder a song is for a call to prayer, and that Ramadan is a time to celebrate good deeds and to give to the poor. These are certainly traits that our countries and people can agree upon. The trip allowed me to discard fears, meet amazing people, and to experience cultures I may have never traveled to on my own.

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