A new trend has emerged in the Arab region, described as “Infrastructure Diplomacy”, whereby governments and private companies enter partnerships to reconstruct infrastructure destroyed by the various forms of violence and conflict plaguing the region over the past decade. For example, Egypt allocated $500 million to reconstruct the Gaza Strip after the last round of conflict between Palestinian armed groups and Israel. Tunisia has also expressed its aspirations to participate in the reconstruction of neighbouring Libya after their National Unity Government was formed last March. The UAE has become involved in the reconstruction of Syria, while Saudi Arabia has contributed to the reconstruction of areas in Yemen controlled by the legitimate Yemeni Government, and Kuwait organized an international conference for the reconstruction of its former foe Iraq in February 2018.
These efforts are motivated by many factors, including:
1- Efforts to transition from armed conflict to sustainable peace: After more than a decade of revolution, and armed conflict in Libya, Yemen, and Syria, there is a push for the return of peace and stability. Countries like Egypt, the UAE, and Saudi Arabia, are seeking to find mechanisms to put an end to conflicts and bring opposing parties to the negotiating table. They perceive reconstruction as a tool to move things forward, as the images of destruction create the perception that conflict has not ended. In this context, Egypt supports the reconstruction of Libya with the help of Egyptian companies, and Saudi Arabia directs financial aid through various mechanisms to strengthen the internationally recognised government’s control over areas in southern Yemen.
2- A means of stabilizing ceasefires: On May 18th, Egyptian president Abdel Fattah Al-Sisi announced that Egypt had provided USD500 million for the reconstruction of the Gaza Strip with input from Egyptian companies. This is consistent with Egypt’s vision that reconstruction can play a role in ending the vicious cycle of violence there, paving the way for a long-term truce.
3- Overcoming past inter-Arab frictions: Kuwait hosted an international conference between 12-14 February 2018 for the reconstruction of Iraq, as part of a larger transformation in Kuwaiti foreign policy towards countries that supported former Iraqi president Saddam Hussein invasion of Kuwait. Aiding efforts for reconstruction in Iraq is a means of overcoming the psychological barriers created by the past.
Perhaps the most significant contribution from Kuwait in this regard was the establishment of the Kuwait Fund for Arab Economic Development, on February 11, 2019, with a grant worth USD 85 million to reconstruct areas affected by terrorist operations in Iraqi cities. In addition to that on April 17th, 2021, Iraq received a grant from Kuwait for USD100 million directed to the reconstruction of infrastructure and services in the affected governorates.
4- Reducing the interference of regional powers in Arab internal affairs: Arab countries are pursuing reconstruction diplomacy in countries affect by crises to prevent non-Arab regional powers from filling the political and economic vacuum. There have been attempts by Iran and Turkey to change the demographic landscape in some areas inside Syria. Perhaps this explains the participation of some Arab countries in reconstruction forums hosted in the Syria capital Damascus, so as not to repeat the mistake of letting Iraq fall under Iranian influence after the fall of Saddam Hussein’s regime.
In this context, it is evident that some countries become involved in reconstruction efforts to expand their influence. For example, Iran’s activities in Iraq aim at securing a greater role for the militias it backs there, especially the “Popular Mobilization Forces” militia.
5- Reducing the influence of terrorist organizations across borders: The dangers posed by terrorist organizations is a very significant concern among political leaders and the security apparatus of countries in the Arab region. Efforts to rebuild the areas that were occupied by terrorist organizations such as ISIS in Syria and Iraq, between the years 2014 and 2017, are critical to eracing their footprint. To this end, Egyptian Prime Minister, Dr. Mustafa Madbouly, signed 15 memoranda of understanding with his Iraqi counterpart Mustafa Al-Kazemi on the 31st of October 2020. The memoranda included reconstruction projects that involved input from Egyptian companies.
6- Enhancing financial resources through exporting labour: This is an important factor in Egypt’s reconstruction efforts in Libya. Egypt has been one of the main labour exporting countries in the Arab world during the past six decades, in particular to Gulf states, Iraq, and Libya. The export of labour is an important economic resource for Egypt and strengthens the competitive edge of Egyptian companies in the Arab region, providing them with the experience of working in different environments, and honing their skills.
Reconstruction operations in countries that have experienced widescale destruction constitute a lucrative opportunity for companies operating in this field, and for their own countries as well. Therefore, there is great competition over gaining contracts and exporting labour, which will in turn benefit the countries providing the support. Some perceive competition in this respect as another sphere of the conflict over influence and hegemony in the region, that is likely to continue for some time to come.
In sum, reconstruction efforts in the Arab World are perceived as an essential component of preserving the integrity of the Arab states that have undergone extensive conflict and destruction, necessary for the protection of Arab national security and for the reestablishment of peace and stability in the Arab region. This suggests that Arab countries have strong political and security motivations to continue their involvement in reconstruction efforts, in addition to the economic motivation of ensuring profits to their own economies and denying them to the competition in non-Arab regional countries who have their own strategic, political and economic aims.