Question

Case: Going Down to the Wire in the Money-Transfer Market Question 9-1: The United [Arab] Emirates, of which Dubai is a member. is one of the Gulf Cooperation Council members. How does it compare with the other GCC countries in terms of total population and the non-immigrant population as a percentage of total population? How important do you think migration and therefore capital remittances are for each of the countries in the GCC? (Daniels, Radebaugh. & Sullivan. 2018, Chapter 9). Guided Response: Respond to at least twn of

Answer 1

Population of Total GCC ( Gulf Cooperation Council) are as follows year 2019 :

Bahrain – 1,641,172

Kuwait – 4,207,083

Qatar – 2,832,067

Saudi Arabia – 34,268,528

United Arab Emirate – 9,770,529

Out of 9,770,529 Population in UAE , Dubai Population would be 2,833,079 . So Dubai covered ( 29%)

Dubai covered ONLY 5 % of GCC total Population ( Dubai Total Population – 28,33,079 vs GCC total Population – 5,27,19,379

% of non Immigrant ( rather national population position in Dubai as compared with other GCC countries are as follows :

Non Immigrant position in GCC	% of Natioanl ( Approx)-a	Population ( approx)-b	Non Immigrant(a*b)
UAE	15%	97,70,529	14,65,579
Bahrain	45%	1,50,116	67,552
Kuwait	30%	46,40,415	13,92,125
Oman	56%	46,56,133	26,07,434
Qatar	13%	27,43,932	3,56,711
Saudi Arabia	62%	3,34,13,600	2,07,16,432
Total			2,66,05,834
Dubai	15%	28,33,079	4,24,962
Non Immigrant % coverage Dubai vs GCC			2%

Remittance from the GCC – The Middle East is considered one of top destination from migrant remittance . In fact , the Middle East has two countries in the top ten remittance receiving countries as a percentage of their Gross Domestic Product ( GDP). Saudi Arabia was the second highest remittance sending country in the world with an estimated value of remittance of $ 16 billion. Kuwait, Oman and Bahrain are ranked in the top 30 sender countries . Bahrain ranks fourth among remittance sender countries with remittance equal to 12% of its GDP. Saudi Arabia and Kuwait remit 5% and 4% of their GDP

Pressure on Exchange rates – A GCC countries peg their currency to the US $ , by remitting money , the expatriates are converting the local currency into a more easily converted and widely accepted currency such as the dollar or the euro .

Pressure on fiscal Policy – The growing size of these remittance adds downward pressure on the government spending multiplier .

The monetary transfer from the GCC countries have dramatically increased over the last two decade ,placing the GCC countries among the top remittance senders in the world . The sheer size of these monetary transfer is a major concern for policymakers . Remittance flows from the GCC are one of the major consequences of the huge economic boom in the region