Global strength

The 10th anniversary of the Future Generation Foundation provided an opportunity to reflect on a host of local, regional and international issues, reports Mohamed El-Sayed

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Mubarak and Blair during their meeting

The global financial crisis dominated the anniversary of the Future Generation Foundation (FGF). Gamal Mubarak, chairman of the foundation and head of the ruling National Democratic Party's Policies Committee, called for a new leadership to rethink the global system.

The FGF, a non-profit, non-governmental organisation formed in 1998 by leading members of the private sector with the aim of developing Egyptian business in order to compete in the global arena, celebrated its 10th anniversary this week.

"FGF was an idea that started more than 10 years ago when we began worrying about continuity and sustainability," said Gamal Mubarak, chairman of the foundation and head of the ruling National Democratic Party's Policies Committee, addressing an audience of public figures that included Mrs Suzanne Mubarak, Queen Rania of Jordan and former UK prime minister Tony Blair. "FGF is about people, helping to formulate the minds and personalities of our youth."

Over 10 years FGF has supported more than 40,000 promising graduates of public universities, equipping them with the basic skills necessary for success in business.

Gamal Mubarak linked the mission of the foundation to the dynamics governing the world of today. "FGF is about people because globalisation is about people... and because globalisation is here to stay."

In his speech Gamal Mubarak reflected on the current global financial crisis. "Today... we have a crisis of epic proportions in the world economy, one that further binds us together, pushing us to consult, coordinate and move in unison to fend off a panic that could sink us all." Markets, he added, may look for safer havens, but "there are none anymore. They look for safer assets -- and very few are to be found. And we all look for easy solutions -- and none is there."

Drawing on his experience as an investment banker Gamal Mubarak argued for a review of the reasons that led to the crisis.

"Did we not supervise enough? Did we not supervise where we should have? Did we put too much confidence in unfettered market forces?"

He posited a better balance between the efficiency of the free market and clear rules regulating market participants. "Set the parameters wrong and the wrong outcome becomes optimal," he said.

"Today we need a new leadership to rethink our system, reorder our priorities, find the new tools, the new paradigms, and the goals of a new order."

Despite the success of free market economies, he argued, some people still look back to the old days of communism because globalisation continues to lack a global social agenda.

"Some look back to the days of the Cold War because globalisation needs a global social agenda. Some look back to serene days which were less toxic, because globalisation lacks a global environmental agenda... global social security, global environmental safety needs our work, our vision and our commitment."

Blair offered his own thoughts on the global financial crisis.

"Just a few weeks ago," he recalled, "when Lehman Brothers collapsed, I was stepping out of my house when somebody passing by asked me: who are those Lehman Brothers? We can see how this economic crisis have swept over the consciousness of billions of ordinary people the world over." And the reason for this, he said, is that "we live today in a world of economic integration".

What is astonishing in the current financial crisis, Blair argued, is not necessarily the event itself. "Rather, it's the speed of it. People have less predictability about their living than they had before. And because the pace of change is so fast, we, countries, companies and individuals, have to change too." The secret to success, he insisted, "is to be well prepared to adapt and to adjust and to change as fast as the change is happening around us".

The challenges facing the world today had one thing in common: problems in one part of the world affect other parts. "In the West," said Blair, "we have come to a fact that power is shifting East and fast. We have China and India's growth in the years to come, putting pressure on the world's resources. These countries seek to get hundreds of millions of their people out of farming and into the industrial sector."

"Some people think that globalisation is something invented by governments. Actually globalisation is being invented by people, because people are able to exchange information at greater speed than ever before and because the world has become more integrated and inter-dependant."

The role of governments, in Blair's view, is to empower people to achieve their potential. "The role of government today is not to make choices on behalf of the people or try to direct or control them." It is "to give people the support and assistance to take power in their own hands. That's why education and its reform is probably the single most important thing that any government can do by way of domestic policy other than keeping its economy strong."

He added that economies succeed today on the basis of talent, ability and creativity. "You cannot have a creative work force unless it's an educated workforce. So education, and changing our education system to give the best possible start in life to our young people... is fundamental for any government in the 21st century."

Asked about change, Blair recalled his experience as a leader of the Labour Party and prime minister for 10 years. "In my experience, when you first propose change everyone tells you it's the end of the world. And when you are doing the change it's complete hell. And after the change happens everyone assumes the world was always like that."

"When challenging conventional opinions, the people who shout the loudest don't necessarily have the best argument." A politician's task "is to persuade [people] and if we persuade, we win."

Conflicts in the Middle East featured prominently in Blair's speech. "[There is] one question dominating the Middle East region: will the forces of modernisation, moderation and tolerance and mutual respect triumph over the forces of reaction and extremism?" This battle, he said, cannot be won by weapons; "rather by ideas and persuasion."