Region |
Country |
Ease of Doing Business |
Opportunities |
Challenges |
Middle East |
UAE |
2017 Ranking
26 th
2017 DTF Score
76.89
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British imports will become cheaper as sterling weakens against the dirham ( which is pegged to the US dollar ).
UK exports to the UAE , Britain ’ s largest export market in the Middle East , grew by an annual average of 10 % from 2010 – 15 .
British firms can leverage their longstanding relations in the UAE — especially in areas such as education , healthcare , ICT and fintech ( financial technology ) — to support the country ’ s strategic shift towards a knowledge-driven economy .
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Weaker sterling makes the UAE more expensive for people from the UK and will likely negatively affect the economy , especially tourism .
British people are key investors in the UAE ’ s real estate market . The weaker pound will dampen their activity in the Dubai market , which is considered a global asset class due to its high yield .
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Saudi Arabia
2017 Ranking
94 th
2017 DTF Score
61.11
Brexit will offer British companies the opportunity to strengthen wellestablished trade relations with Saudi Arabia , which have achieved double-digit annual average growth for more than a decade .
The weaker pound will stimulate Saudi demand for British imports .
Defence budgets , which have been on the rise in recent years , provide sound opportunities for UK-based firms , a key source for material and defence technology .
The weakening pound will reduce opportunities for British companies wanting to invest Saudi Arabia ’ s local manufacturing sector , which the government is heavily promoting to foreign investors .
“ Saudization ” of the market , a nonmeritocratic policy which sets minimum employment quotas for nationals , creates challenges for sourcing skilled and cheaper foreign labour .
Iran
2017 Ranking
120 th
2017 DTF Score
57.26
Iran ’ s forecast annual growth of more than 5 % over the next few years presents some of the most promising opportunities in the region .
British companies in the business and consumer sectors can take advantage of the opening economy , specifically in the transport , energy , infrastructure , consumer-packaged goods , automotive , travel and tourism sectors .
Britain can create new opportunities with Iran when it is free from EU regulations , which currently include some sanctions against Iran .
Despite the lifting of sanctions , Iran remains poorly integrated with global financial networks . This raises risks for efficient transactions and payments .
Iran is a relatively complex market where years of sanctions have strengthened domestic competition . The lack of transparency increases risks for foreign businesses entering the market .
Source : Doing Business database - World Bank
Emerging markets offer significant opportunities for British businesses — these opportunities also include new niches within established territories . However , opportunity never comes without risk . Local , expert knowledge of legal and regulatory issues , cultural differences and a whole host of practical issues can mitigate such risks . Ipsos Business Consulting offers unparalleled experience in helping assess opportunities for clients and tailoring Go-To-Market strategies that are optimised for their specific needs .
Armed with these insights , British companies can confidently and strategically expand their interests around the world .
Rather than waiting for Brexit to be completed , forwardthinking businesses can act now , increase their opportunities beyond the confines of the EU and play a pioneering role in reshaping Britain ’ s trading map in the 21st century .
For more information on how we can help your business make the most out of Brexit , contact brexit . support @ ipsos . com
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