Wed 13-09-2023 22:43 PM
SHARJAH, 13th September, 2023 (WAM) – A recent study by the Abu Dhabi-based Trends Research & Advisory, titled “Human Capital Management in a Crisis-ridden World: How to Preserve and Develop Wealth in Light of Global Economic Challenges,” has revealed that the UAE maintained a top position in the international human development indices, thanks to constant development of public expenditure on education and healthcare, which contributed to elevating the quality of life as well as socio-economic wellbeing of the population.
The research institute showcased the results of their study at the 12th annual International Government Communication Forum (IGCF 2023), organised by the Sharjah Government Media Bureau (SGMB).
The two-day forum, which was inaugurated today (Wednesday) is taking place in Expo Centre Sharjah under the theme ‘Today’s Resources…Tomorrow’s Wealth’.
Increase in health and education indices
Presenting the study’s most prominent findings which collected investment trends into healthcare and education between 2000 – 2020, Mouza Almarzooqi, Head of Economic Studies at Trends Research and Advisory, emphasised that for decades the UAE has prioritised investments into education, and public expenditure on healthcare increased from 7.5% in 2000 to 10.4% in 2020, and its share of GDP increased from 1.6% in 2000 to 3.4% in 2020. These findings confirm the UAE’s dedication to improving quality of education and their successful efforts to provide continuous learning opportunities to all.
Education provides immunity to human capital
The study has also reaffirmed that continued and qualitative investments in training and education serve as a shield that protects human capital from economic crises, and that the increase of the working age population by providing them good healthcare services ultimately enhances a nation’s economic capability to resist the pressure of international crises.
The study underscored that government expenditure on population health is a means to a greater purpose which is to protect human capital when cross continental crises like pandemics strike, emphasising the importance of supporting the private sector’s role in improving human capital indices, consequently, increasing per capita income and eradicating poverty.
Human Capital Index Development
According to the study, the human capital index in the UAE from 2010 to 2020 has increased from 0.62 in 2010 to 0.65 in 2017 and 0.67 in 2020.
The presentation also concluded with sharing several recommendations that have been put forth by this study. These include enhancing the efficiency of public and private spending in the economy by directing it towards investing in humans. It also recommended a continuous review of the effectiveness of public expenditure on education and health in the UAE economy and supporting the banking sector’s role and social funds in providing emergency support during a crisis.
The study recommends developing national plans based on successful international experiences to preserve human capital in the long term. It also recommends developing education and training spending and upskilling, taking into account technological advancement in production activities. The study has called for greater momentum in the development of technology localisation programmes, which will ensure expansion of localised productive jobs in the UAE economy. Furthermore, it recommends the development of policies that enable human capital to overcome widespread international economic fluctuations and crises.
Tariq Al Fahaam/ Hazem Hussein