Economic cooperation between Egypt

The international arena witnessed several fundamental changes after World War II, perhaps the most important of which was the formation of economic blocs to address the widespread economic devastation left by the war, to confront its economic and social problems, to benefit from the significant advancements in communications and information technology, and to adapt to the phenomenon of globalization, which has made international economic relations a fertile and influential field with social, cultural, and political dimensions. Economic globalization is manifested in the growth of interdependence between countries and national economies, and the deepening of trade exchanges under the auspices of the World Trade Organization (WTO). In light of these changes, the prevailing trend among countries has become the formation of blocs between themselves and countries that share many commonalities. Regional blocs have become among the most important trade arrangements forming the cornerstones of the new global economic order. Prominent examples include the European Union (EU), the North American Free Trade Agreement (NAFTA) between the United States, Canada, and Mexico, and the Association of South Asian Nations (ASEAN). These global economic blocs have resulted in a deterioration of the terms of trade, to the detriment of developing nations, including Arab states. Consequently, these challenges necessitate strengthening Arab cooperation and prioritizing it strategically. This cooperation must be based on more competitive economic and productive foundations to keep pace with the rapidly evolving regional and international challenges. In this context, strengthening economic cooperation between Egypt and the Gulf Cooperation Council (GCC) countries is crucial to confronting the intense competition that characterizes global markets. It is worth noting the intertwined relations and strong ties between Egypt and the GCC countries, including their shared history, the Arabic language, a common Islamic identity, and the significant political influence of both Egypt and Saudi Arabia within the Arab world. These relations are characterized by mutual benefit. On the one hand, the GCC countries provide Egypt with development and economic assistance, in addition to remittances from Egyptians working there, and play a vital role in supporting Egyptian economic development. On the other hand, Egypt is a key force in safeguarding Gulf security, which is considered an integral part of Egyptian national security.